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Is Burger King’s $1 Double Cheeseburger A Losing Proposition For It’s Franchisees?

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I'm thinking it must be. Some franchisees are suing Burger King corporate because it's just not a good deal, according to them.

According to Yahoo Finance News;

The National Franchise Association, a group that represents more
than 80 percent of Burger King's U.S. franchise owners, said the $1
promotion forces restaurant owners to sell the quarter-pound burger
with at least a 10-cent loss.



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While costs vary by location, the
$1 double cheeseburger typically costs franchisees at least $1.10, said
Dan Fitzpatrick, a Burger King franchisee from South Bend, Ind. who is
a spokesman for the association. That includes about 55 cents for the
cost of the meat, bun, cheese and toppings. The remainder typically
covers expenses such as rent, royalties and worker wages.

I wonder of the term "at participating locations" will start applying….


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joel libava

I'm The Franchise King®, Joel Libava. I help prospective franchise owners avoid bank account emptying mistakes.
For 23 years, I’ve been showing people how to make smart, informed decisions on franchises to buy, and I can help you, too!
P.S. I'm not a franchise consultant/broker.

Straightforward Advice
Joel, thank you for taking the time to speak with me yesterday. It was refreshing to finally speak with someone in franchising who dishes out straightforward, candid advice. You provided me with some insightful ideas that I'm giving a good deal of thought and consideration to. I look forward to speaking with you on our next consultation call."
- John Timmins, Columbia, South Carolina
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