Complete guide to starting Jack in the Box Franchise in the USA
Jack in the Box is a quick-service American fast-food chain that is leading in serving hamburgers and other food products. It’s the most popular Burger Franchise Known for its Tacos and from where one can try new things and order what they want when they want it. With 70+ years in the food business, they are actively growing across the country with above 2000 units in 18 states.
The story of Jack in the Box started in 1951 by Robert O. Peterson in San Diego, California. Jack in the Box started expanding outside of California in 1960 and in 1982 it started franchising in order to make a strong franchise system. The brand is known for its first major chain to expand the drive-thru concept. Its headquarters is located from where it originated and are presently offering its new franchisees throughout America.
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Jack in the Box franchise Benefits
The reason why one is interested in Jack in the Box is because of its wide range of benefits. They come up with the best benefiting features for its franchisees, below are a few of the common benefits to owning a Jack in the Box franchise.
Menu Innovation: Its innovative menu is a benefit that franchisees love because anyone can get anything on its diverse 24/7 menu at any time both day and night.
Prime Markets: its available prime markets are another benefit because in the US they have access to 3,750 potential locations in new and existing U.S. markets.
Drive-Thru: its famous Drive-Thru Convenience benefits guests a lot because its guests choose drive-thru or take-out. It’s estimated that roughly 90% of its 500M annual guests choose this service.
All 5 Dayparts: they are operational for all 5 Dayparts and offer food during breakfast, lunch, dinner, snacks, and late-night.
Training: in order to make its franchisees successful they offer On-The-Job Training of 183 hours and classroom training of 49 hours.
Guest Experience: its digital guest experience provides an option to order food online and one can also get connected with its customer-loyal app.
Multi-Unit Foundation: its franchisees are so happy with its franchise module and support system that on average we can see its franchisee owns more than 15 locations.
Jack in the Box franchise Requirements
The interested Potential franchisees must need go through the five-part approval process, Pre-qualification, qualification, due diligence, approval, and post-approval. After this, you need to keep in view the following requirements given below:
- Initial Franchise Fee $50k per location
- Net Worth Requirement $1.5MM
- Cash Requirement $500,000
- Royalty Fee 5%
- Ad Royalty Fee 5%
- Term of Agreement 20 years
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Jack in the Box franchise Cost
In order to operate the Jack in the Box franchise, the estimated total investment necessary ranges from $1,651,500 to $2,638,600. Following are the upfront costs, one-time fees, and other costs needed to launch the franchise.
- Initial Franchise Fee $0 to $50,000
- The fee for trade area surveys analysis is $4,500 (plus all expenses) to $7,000 (plus all expenses
- Fee for architect/engineering services $49,000 to $166,000
- Environmental assessment $2,500 to $34,000
- On-site improvements $286,000 to $507,000
- Building Improvements $611,000 to $785,000
- Furniture, fixtures, and equipment $408,000 to $469,000
- IT equipment and installation $45,000 to $60,000
- Computer-related services and licensing $1,000 to $1,000
- Initial Inventory $12,000 to $20,000
- Pre-opening training and inventory expenses are $50,000 to $55,000
- Pre-opening additional funds of $14,000 to $17,000
- Uniforms $1,500 to $3,000
- Operating cash $1,200 to $3,000
- Business licenses and utility deposits of $500 to $3,000
- Additional funds for 3 months $165,300 to $458,600
- Total estimated cost for prototypical MK9 or MK10-Style restaurant (excluding land, financing, and certain other costs) $1,651,500 to $2,638,600
- Development Fee $60,000 to $60,000
- Professional Fee $1,000 to $5,000
- Total Estimated Initial Investment for Two (1) Jack in the Box Restaurants (based upon high/low ranges from Table Above) $3,303,000 to $5,277,200
- Total Estimated Initial Investment for a Development Agreement $3,364,000 to $5,342,200.
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Jack in the Box franchise Profit
It is a profitable business with a unique module, as per recent data this Fast Food industry collected $278.6 billion in revenue and in the next five years it is expected to grow by 3.2%. Its Average EBITDA is 22.3% and its Average Unit Volume is $1,800,191.
- As per its September 2022 reports its gross profit margin was 29.5%.
- Its gross profit margin for fiscal years ending September 2018 to 2022 averaged 34.9%.
- Its franchise owner can make around $215,927 in profits per year.
- At a profit margin of 11.2%, it would take about 15 years to recoup your investment.
- At a profit margin of 12.5%, it would take about 13 years to recoup your investment.
Its Net Earnings
- Earning from operations $245,494
- Interest expenses, net $66,984
- Net earnings $178,510
Jack in the Box Menu
Jack In The Box is always ready to serve fast, hot, and fresh menu items. Its wide range menu includes Picked For You, Featured Items, Burger Combos, Chicken Combos, Late Night Munchies, Breakfast Combos, and much more.
Picked For You: Large Curly Fry, Loaded Tiny Tacos, Large French Fry, Large Oreo Shake, Chicken Nuggets.
Featured Items: Double Bonus Jack, Large Double Bonus Jack Combo, Triple Bonus Jack, Large Triple Bonus Jack Combo, Monster Taco (2), Large Basic Witch Shake.
Burger Combos: Large Classic Buttery Jack Cheese Combo, Large Bacon & Swiss Buttery Jack Combo, Large Double Jack Combo, Large Bacon Ultimate Cheeseburger Combo, Large Ultimate Cheeseburger Combo, Large Sourdough Jack Combo, Large Jumbo Jack Cheeseburger Combo, Large Jumbo Jack Combo.
Chicken Combos: Large Cluck Sandwich Combo, Large Homestyle Ranch Chicken Club Combo, Large Grilled Chicken Sandwich Combo, Large Chicken Fajita Pita Combo, Large Chicken Nuggets (10) Combo, Large Crispy Chicken Strips (6) Combo, Large Crispy Chicken Strips (4) Combo, Large Jack’s Spicy Chicken Combo, Large Jack’s Spicy Chicken With Cheese Combo, Chicken Teriyaki Bowl Combo.
Late Night Munchies: Stacked Grilled Cheeseburger Munchie Meal, Chick-N-Tater Melt, Sriracha Curly Fry Burger Munchie, Spicy Nacho Chicken Munchie Meal, Spicy Nacho Chicken.
Breakfast Combos: Stacked Croissant Combo, Supreme Croissant Combo, Sausage Croissant Combo, Grande Sausage Breakfast Burrito Combo, Meat Lovers Breakfast Burrito Combo, Loaded Breakfast Sandwich Combo, Extreme Sausage Sandwich Combo, Ultimate Breakfast Sandwich Combo, Grilled Sourdough Swiss Sandwich Breakfast Combo, Jumbo Breakfast Platter w/Bacon & Sausage Combo, Jumbo Breakfast Platter w/Bacon Combo, Jumbo Breakfast Platter w/Sausage Combo, Bacon Breakfast Jack Combo, Sausage Breakfast Jack Combo, Breakfast Jack Combo.
Tacos, Fries, & Sides: Tiny Tacos, Loaded Tiny Tacos, Two Tacos, Large Curly Fries, Large French Fries, Onion Rings, Stuffed Jalapenos (3), Stuffed Jalapenos (7), Jumbo Egg Roll (1), Jumbo Egg Rolls (3).
Shakes & Desserts: Large Oreo Shake, Large Chocolate Shake, Large Strawberry Shake, Large Vanilla Shake, Mini Churros (5), Chocolate Overload Cake, Cheesecake.
Drinks Menu: Large Coca-Cola, Large Coca-Cola Zero Sugar, Large Diet Coke, Large Sprite, Large Barq’s Root Beer, Large Fanta, Large Diet Dr. Pepper, Large Dr. Pepper, Large Diet Barq’s Root Beer, Large Hi-C Punch, Large Minute Maid Lemonade, Large Vanilla Sweet Cream Iced Coffee, Large Caramel Sweet Cream Iced Coffee, Large Mocha Sweet Cream Iced Coffee, Large Black Iced Coffee, Large High Mountain Arabica Coffee, Large High Mountain Arabica Decaf Coffee, Minute Maid 100% Apple Juice, Dasani Bottled Water, Milk, Zero Sugar Large FUZE Iced Tea, Simply Orange, Large FUZE Iced Tea.
Burgers: Classic Buttery Jack, Bacon & Swiss Buttery Jack, Double Jack, Bacon Ultimate Cheeseburger, Ultimate Cheeseburger, Sourdough Jack, Jumbo Jack Cheeseburger, Jumbo Jack, Jr. Bacon Cheeseburger, Jr. Jumbo Jack Cheeseburger, Jr. Jumbo Jack.
Chicken & Salads: Cluck Sandwich, Jack’s Spicy Chicken With Cheese, Jack’s Spicy Chicken, Homestyle Ranch Chicken Club, Grilled Chicken Sandwich, Crispy Chicken Strips (6), Crispy Chicken Strips (4), Chicken Nuggets (10), Chicken Sandwich, Chicken Fajita Pita, Chicken Club Salad (Crispy), Grilled Chicken Strips, Southwest Chicken Salad (Crispy), Southwest Chicken Salad (Grilled), Side Salad, Chicken Teriyaki Bowl.
Breakfast: Stacked Croissant, Supreme Croissant, Sausage Croissant, Meat Lovers Breakfast Burrito, Grilled Sourdough Swiss Breakfast Sandwich, Ultimate Breakfast Sandwich, Extreme Sausage Sandwich, Loaded Breakfast Sandwich, Jumbo Breakfast Platter w/Bacon, Jumbo Breakfast Platter w/Sausage, Jumbo Breakfast Platter Bacon & Sausage, Bacon Breakfast Jack, Sausage Breakfast Jack, Breakfast Jack, Mini Pancakes (8) With Syrup, Hash Browns.
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Jack in the Box Locations
Jack in the Box has more than 2000 locations. The top places in the USA with the most Jack in the Box locations are listed below.
- California with 941 stores for every 41,989 people, which is about 43% of its total locations.
- Texas with 580 stores for every 49,993 people, which is about 27% of its total locations.
- Arizona with 172 stores for every 42,320 people, which is about 8% of its total locations.
- Washington with 147 stores for 7 million people, which is about 7% of its total locations.
Jack in the Box franchise Application
In order to get started with Jack in the Box you need to follow the following procedure. This entire process will take typically 90 – 120 days.
Complete Initial Inquiry: To complete its initial franchise application on its official website. Then they will get in touch with you for more information.
Connect With Our Team: you will get connected with its team via an introduction call. In order to begin the journey, answer their questions and know what you wanna know.
Complete Short Application: Once you are done with the initial conversation, you need to submit a short application form along with a non-disclosure agreement to give them more insight into your franchising goals.
FDD Review: review its Franchise Disclosure Document (FDD) and speak with other franchisees for more insights.
Financial Review: after you’ll submit the requisite documents, they will complete a full financial review along with credit and background checks.
Meet Operations Leadership: After the completion of all required documents, you will meet its senior operations team.
Finalize Development Agreement: they will finalize the franchise development territory and opening schedule for you.
Franchise Awarded: congratulations you will be an official franchisee after receiving your franchise agreement and initial franchise fees.
Orientation & Training: here REDM will help in the site selection process and you will also get weekly training.
For more info click https://www.jackintheboxfranchising.com/steps-to-ownership-jack-in-the-box-franchising
Conclusion
This Fast Food industry is a high revenue collector and is a billion-dollar company. They offer incentives for multi-unit franchisees for the ones who are signing up for three or more stores. They are actively growing across 50 states of the country, providing potential opportunities for investors. If you are the ideal candidate and can expand its footprint throughout the United States of America, then reach out to Jack in the Box and get yourself started.
FAQ’s
How many Jack in the Box stores are there in the USA?
There are 2000+ stores of Jack in the Box in the USA.
How to open a Jack in the Box franchise?
You need to check out its franchise requirements, franchise cost, and application procedure in order to open a Jack in the Box franchise.
Who is the founder of Jack in the Box?
Robert Oscar. Peterson is the founding father of Jack in the Box.
How much does a Jack in the Box Franchise Cost?
Its estimated total investment ranges from $1,651,500 to $2,638,600.
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