BurgerFi Franchise Loan: The Complete Financing Guide for BurgerFi Franchise Owners

BurgerFi has carved a premium niche in the crowded fast-casual burger market by prioritizing quality ingredients, clean preparations, and a differentiated guest experience. Founded in 2011 in Palm Beach, Florida, BurgerFi has grown to hundreds of locations across the United States, appealing to health-conscious consumers who want a better burger without sacrificing speed or convenience. For entrepreneurs considering a BurgerFi franchise, the brand offers a compelling opportunity in a resilient food service category. But like any premium franchise, getting started requires substantial capital. Understanding your BurgerFi franchise loan options is the critical first step toward ownership.

This guide covers everything you need to know about financing a BurgerFi franchise: what it costs, which loan types work best, how to qualify, and real-world scenarios for franchise buyers at every stage of their journey.

BurgerFi Franchise Overview

BurgerFi positions itself as a "better burger" brand, using fresh, never-frozen beef, cage-free chicken, and proprietary Wagyu beef blends. The brand has earned recognition from major food publications and has built a loyal customer base that appreciates transparent ingredient sourcing. Unlike many fast-food chains, BurgerFi markets itself to a demographic willing to pay a premium for quality, which typically drives higher average ticket sizes compared to traditional quick-service restaurants.

BurgerFi locations operate in a variety of formats including traditional end-cap and inline strip center locations, freestanding buildings, and ghost kitchen configurations. This flexibility in real estate makes BurgerFi adaptable to different markets. The brand also operates with a relatively lean staffing model compared to full-service restaurants, which helps manage labor costs over time.

As of recent Franchise Disclosure Document (FDD) filings, BurgerFi franchisees pay a royalty of 5.5% of gross sales plus a 2% national marketing fund contribution. The brand provides franchisees with site selection assistance, training programs, ongoing operational support, and access to national marketing campaigns. For entrepreneurs with restaurant experience or strong business management backgrounds, BurgerFi represents a well-supported franchise opportunity in a proven category.

BurgerFi Franchise Investment Costs

Before exploring your BurgerFi franchise loan options, it is essential to understand the full range of investment required. According to BurgerFi's published FDD information, the total estimated initial investment for a traditional BurgerFi franchise ranges from approximately $1,044,000 to $1,672,000. This range accounts for variations in real estate costs, local construction markets, and equipment specifications.

Here is a breakdown of the primary cost categories:

• Franchise Fee: $37,500 for a single franchise unit
• Real Estate and Leasehold Improvements: $350,000 to $700,000+ depending on market and location type
• Kitchen Equipment and POS Systems: $200,000 to $350,000
• Furniture, Fixtures, and Decor: $100,000 to $200,000
• Signage: $15,000 to $40,000
• Opening Inventory and Supplies: $15,000 to $25,000
• Training Expenses: $10,000 to $20,000
• Technology and Software: $10,000 to $25,000
• Working Capital (3 to 6 months): $100,000 to $200,000
• Miscellaneous Pre-Opening Costs: $10,000 to $30,000

The majority of franchisees finance a significant portion of these costs through a combination of personal equity, SBA-backed loans, equipment financing, and working capital lines of credit. Rarely does any franchisee pay for a BurgerFi unit entirely out of pocket. According to the SBA's franchise resources, structured lending programs are specifically designed to help qualified buyers acquire established franchise brands.

Why Financing Your BurgerFi Franchise Makes Sense

Even if you have substantial personal assets, financing your BurgerFi franchise rather than self-funding offers several strategic advantages. Most seasoned franchise investors use leverage deliberately to preserve liquidity and accelerate growth.

Preserve Working Capital: Restaurant businesses regularly face unexpected costs in the first year of operations. Staffing challenges, equipment repairs, marketing pushes, and slower-than-projected ramp-up periods all require cash. By financing your buildout and equipment costs, you retain working capital to manage these operational realities without financial stress.

Accelerate Multi-Unit Growth: BurgerFi allows franchisees to develop multiple locations. Investors who use financing wisely can open their first location, generate positive cash flow, and use that track record to access capital for additional units, rather than waiting years to save for each new location.

Tax Efficiency: Interest payments on business loans are generally tax-deductible as a business expense. Combined with depreciation deductions available on equipment, leveraged financing can meaningfully reduce your effective cost of capital compared to deploying equity alone. (Consult a qualified tax advisor regarding your specific situation.)

Access Larger Loan Amounts: The SBA 7(a) program allows loans up to $5 million for qualified borrowers, which is more than sufficient to fund a BurgerFi unit. Because SBA loans carry government guarantees, lenders can offer more favorable terms than conventional business loans for similar risk profiles. Learn more about SBA loan programs available through Crestmont Capital.

According to U.S. Census Bureau small business data, franchise businesses have higher survival rates than independent startups, in part because they come with proven systems, brand recognition, and franchisor support, all of which lenders weigh favorably when evaluating loan applications.

Types of BurgerFi Franchise Loans

Several distinct loan products are commonly used to finance BurgerFi franchise units. Understanding each option helps you build the most cost-effective capital structure for your investment.

SBA 7(a) Loans

The SBA 7(a) loan is the most commonly used financing vehicle for franchise acquisitions. These government-backed loans offer loan amounts up to $5 million, terms up to 10 years for working capital or up to 25 years for real estate, and competitive interest rates tied to the Prime Rate. SBA loans require a down payment of 10% to 20% of the total project cost, which means you typically need $100,000 to $350,000 in equity to access the full range of SBA funding for a BurgerFi unit.

SBA 504 Loans

If you plan to purchase real estate for your BurgerFi location rather than lease it, the SBA 504 loan is specifically designed for owner-occupied commercial real estate and long-term equipment purchases. The 504 program offers fixed interest rates and 20-year terms, providing long-term payment stability that helps restaurant operators plan cash flow accurately.

Conventional Business Term Loans

For franchisees with strong credit profiles and established business history, conventional small business loans can be funded more quickly than SBA loans. While rates are generally slightly higher, conventional loans typically have fewer documentation requirements and faster processing times, which can be advantageous when time-sensitive real estate transactions are involved.

Equipment Financing

A significant portion of BurgerFi's startup costs go toward commercial kitchen equipment, refrigeration systems, POS technology, and HVAC systems. Equipment financing allows you to fund these purchases specifically against the equipment as collateral, often without requiring additional assets. Equipment loans typically feature lower rates because the collateral is directly tied to the financed asset.

Business Lines of Credit

A business line of credit is not typically used for initial franchise acquisition costs, but it is an invaluable tool for ongoing operations. Once your BurgerFi is open, a revolving credit line lets you manage cash flow gaps, fund inventory purchases ahead of busy periods, and handle unexpected costs without disrupting operations.

Long-Term Business Loans

For franchisees who have been in business for 2 or more years and have demonstrated stable revenues, long-term business loans with multi-year repayment terms can provide capital for a second or third BurgerFi unit at favorable rates based on your existing performance history.

SBA Loans for BurgerFi Franchisees

The SBA has developed specific procedures for franchise lending. BurgerFi's franchise agreement must align with SBA eligibility requirements, and in most cases, established brands like BurgerFi have already been vetted and approved for SBA financing. This means lenders familiar with franchise SBA lending can move more efficiently through the underwriting process when financing BurgerFi units.

Key SBA 7(a) loan parameters for BurgerFi franchise buyers:

• Maximum Loan Amount: $5,000,000
• Maximum Loan Term: 10 years (working capital, equipment) or 25 years (real estate)
• Interest Rates: Prime Rate + 2.25% to 2.75% for most loan sizes (variable or fixed options available)
• Required Down Payment: Typically 10% to 20% of total project costs
• Collateral: Business assets, equipment, and in some cases personal real estate
• Personal Guarantee: Required for owners with 20% or more equity stake

For a BurgerFi franchise with a total project cost of $1.3 million, an SBA 7(a) loan of $1,000,000 with a 10-year term at 8.5% would result in estimated monthly payments of approximately $12,400. At 10% down ($130,000), you would need to bring $130,000 in equity and could finance the remaining $1,170,000 through an SBA loan. Many borrowers also layer equipment financing separately to further reduce the SBA loan balance required.

According to SBA.gov, the 7(a) loan program is specifically designed to support small business owners who might not qualify for conventional financing on standard terms.

Equipment Financing for BurgerFi

BurgerFi kitchens require specialized commercial equipment to maintain brand standards and operational efficiency. Key equipment categories include:

• Commercial flat-top grills and charbroilers
• Refrigeration and cold storage systems
• Commercial fryers for hand-cut fries
• Frozen custard and soft-serve machines
• POS and ordering technology systems
• HVAC and ventilation systems
• Food safety and temperature monitoring equipment
• Walk-in coolers and freezers

Equipment financing allows you to fund $150,000 to $350,000 of these costs separately from your primary franchise loan. The equipment itself serves as collateral, which reduces the risk profile for lenders and often produces lower interest rates. Equipment loans typically feature terms of 3 to 7 years, with monthly payment structures that align cash outflows with the revenue-generating life of the assets financed.

Crestmont Capital's equipment financing program offers approvals within 24 to 48 hours for qualified borrowers, with funding in as little as 2 to 5 business days.

How to Qualify for a BurgerFi Franchise Loan

Lenders evaluate BurgerFi franchise loan applications using a combination of personal financial criteria and business factors. Here is what you need to prepare:

Personal Credit Score

Most SBA lenders require a minimum personal credit score of 680 to 700. Conventional lenders may accept scores in the 640 to 680 range with compensating factors. Higher scores (720+) typically unlock the best rates and terms. If your score needs improvement, focus on paying down revolving balances and resolving any collection accounts before applying.

Liquid Capital

BurgerFi requires a minimum of $500,000 in liquid capital. Lenders will verify this independently and want to see that your down payment comes from documented, legitimate sources. Acceptable sources include personal savings, retirement accounts (ROBS structures), proceeds from business sales, or gifts with documented letters.

Net Worth

BurgerFi requires franchisees to have a minimum net worth of $1,500,000. Lenders independently verify this through personal financial statements and will look at both assets and liabilities to assess your overall financial position.

Industry Experience

Restaurant experience, while not always required, significantly strengthens your loan application. Lenders and franchisors both favor candidates with operational backgrounds in food service, retail management, or multi-unit business management. If you lack restaurant experience, having a strong management team can partially compensate.

Business Plan

A professional business plan including market analysis, staffing plan, projected financials for years 1 through 3, and a site analysis for your proposed location will be required by most SBA lenders. Crestmont Capital can help you understand what lenders look for in a franchise business plan.

Borrowers with credit challenges should explore bad credit business loan options available for qualified franchisees who may not meet traditional SBA credit thresholds.

BurgerFi Franchise Loan Options Comparison

How Crestmont Capital Helps BurgerFi Franchisees

Crestmont Capital is a leading business lender rated among the top small business financing providers in the United States. We specialize in franchise financing and understand the unique capital needs that come with acquiring, launching, and scaling a fast-casual restaurant franchise like BurgerFi.

Our franchise lending advisors guide you through the entire process from initial consultation to funding. We evaluate your complete financial picture, identify the optimal loan structure for your situation, and connect you with the most competitive lenders in our network. Whether you need a single SBA loan to finance your first BurgerFi unit or a layered financing structure combining equipment loans with a working capital line, Crestmont Capital has the products and expertise to get you funded.

What sets Crestmont Capital apart:

• Same-day pre-qualification decisions
• Access to SBA-preferred lenders with franchise expertise
• Loan amounts from $10,000 to $5,000,000+
• Dedicated franchise lending advisors
• Streamlined documentation process
• Fast closings for time-sensitive franchise deals

Real Financing Scenarios for BurgerFi Franchisees

Scenario 1: First-Time Franchisee, Single Unit

Maria is a former restaurant manager with 12 years of food service experience. She has $600,000 in net worth and $350,000 in liquid assets. She is acquiring a BurgerFi franchise in a suburban strip center with a total project cost of $1.2 million. Maria secures an SBA 7(a) loan of $850,000 at 8.75% over 10 years, contributing $200,000 as her equity down payment. She separately finances $150,000 in kitchen equipment through Crestmont Capital's equipment financing program over 5 years. Monthly payments total approximately $11,800 (SBA) plus $3,100 (equipment). Based on projected revenues of $1.4 million in Year 1 and a typical 15-18% EBITDA margin for well-run fast-casual franchises, she projects break-even in month 14 and full debt service coverage in month 18.

Scenario 2: Multi-Unit Operator Expanding

David owns two established fast-casual franchise units in Florida with combined annual revenues of $2.8 million and a demonstrated DSCR of 1.45. He wants to open a BurgerFi unit leveraging his existing track record. Because of his operational history, David qualifies for a conventional franchise loan of $1.1 million at 7.5% with a 7-year term. His existing business cash flow is used to underwrite the new location. Funding takes 21 days. David signs his lease, begins construction, and opens within 4 months of initial application.

Scenario 3: Investor Acquiring Existing BurgerFi Location

Jennifer is acquiring an existing BurgerFi unit that has been operating for 3 years with $1.6 million in annual revenue. The purchase price is $850,000, which includes goodwill, equipment, and the assignment of the franchise agreement. She uses a combination of an SBA 7(a) business acquisition loan for $680,000 and contributes $170,000 in equity (20% down). Because the business has demonstrated revenues, lenders are more comfortable with the risk profile. Jennifer's loan is approved in 45 days and she takes ownership smoothly. She later adds a business line of credit to manage seasonal cash flow variations.

Scenario 4: Restaurant Group Opening Multiple BurgerFi Units

The Cortez Restaurant Group has signed a multi-unit development agreement with BurgerFi to open 5 locations over 4 years. They secure a master credit facility from an SBA preferred lender with $4.5 million available across 5 draws, each triggered by a new location opening. This structure simplifies the administrative burden of multiple individual loan applications and locks in favorable terms across the entire development plan. Crestmont Capital connects them with the right banking partner to structure this multi-unit financing solution.

Scenario 5: Veteran Franchisee Using SBA Veteran Advantage

Robert is a veteran of the U.S. Army who spent 10 years in logistics and supply chain management. He qualifies for SBA Veteran Advantage, which waives the upfront guarantee fee for SBA loans under $350,000, saving him approximately $4,200 in closing costs. Robert uses an SBA 7(a) loan of $320,000 combined with $80,000 of personal equity to fund a scaled BurgerFi ghost kitchen concept in a food hall. His streamlined location requires less capital than a traditional buildout and reaches profitability in month 8.

Scenario 6: Bad Credit Franchisee Rebuilding

Thomas had a personal credit event 3 years ago due to a medical emergency that dropped his FICO score to 590. He now has $700,000 in net worth and strong income from a manufacturing business he owns. He explores bad credit business financing options and works with Crestmont Capital to structure a non-SBA franchise loan at a slightly higher rate while he continues to rebuild his credit. After 18 months of on-time payments, his score reaches 680 and he refinances into an SBA loan at significantly lower cost.

BurgerFi Franchise Financing at a Glance

Next Steps to Finance Your BurgerFi Franchise

Frequently Asked Questions About BurgerFi Franchise Loans

Conclusion

Owning a BurgerFi franchise is a significant investment that requires careful financial planning and the right lending partners. With total startup costs ranging from $1 million to $1.7 million, most franchise buyers rely on a combination of SBA loans, equipment financing, and working capital facilities to bring their BurgerFi vision to life. The good news is that BurgerFi's established brand, proven operational systems, and growing consumer base make it an attractive target for franchise lenders who understand the food service sector.

Whether you are a first-time franchisee looking for your first SBA loan or an experienced multi-unit operator expanding into the better burger category, Crestmont Capital has the expertise and lending network to help you secure the financing you need. From initial pre-qualification to closing, our team guides you every step of the way.

Understanding your BurgerFi franchise loan options is the foundation of a successful acquisition. Start that process today by exploring franchise business loans and fast business loans available through Crestmont Capital. Your path to BurgerFi franchise ownership starts with the right financing partner.

Disclaimer: This article is provided for general educational purposes only and does not constitute financial, legal, or investment advice. Franchise investment costs and loan terms vary based on individual circumstances, lender requirements, and market conditions. The financial figures referenced herein are estimates based on publicly available FDD information and industry data and may not reflect your specific situation. Always consult with qualified financial, legal, and franchise professionals before making any investment or financing decisions. Crestmont Capital does not guarantee loan approval or specific loan terms. Past performance of any franchise system does not guarantee future results.