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Rates
Arby's

Arby's

The total investment to open a Arby's franchise ranges from $644,950 to $2.5M. The initial franchise fee is $37,500. Ongoing royalties are 4% plus a 5.2% advertising fee.

What is the Arby's franchise?

The question for a prospective buyer is whether Arby's fits the investment plan. Arby's was founded in 1964 in Oroville, CA, and began franchising in 1965. The name comes from the Raffel Brothers, or R.B.'s, and reflects the brand's original focus on slow roasted, freshly sliced roast beef sandwiches. The concept created a distinct position within the broader "Full Service Restaurants" category used in industry reporting. Arby's has 243 franchised units serving customers in various markets and operates with zero company owned units. The data also reports a total of 32 units, which appears to reflect a separate internal classification or historical measure when considered alongside the 243 franchised locations. Most consumer facing operations are managed by franchisees. The 243 active locations are tracked in the PeerSense database.

The segment has grown approximately 3% to 5% each year over the past decade. Demand is supported by convenience, varied and innovative menu choices, and value focused dining. Population growth, rising disposable incomes, and the established habit of eating away from home also support the category. These conditions can give franchisees room to scale, use established brand recognition, and follow established operating practices. Competition remains intense because the market is fragmented and includes many brands seeking customer attention. A concept must distinguish itself through its products, consistent quality, and efficient service. Arby's roast beef and specialty sandwiches give it a position that differs from burger and chicken focused restaurants and may appeal to a specific part of the market. That positioning is a central factor for a buyer assessing the opportunity.

The initial franchise fee for an Arby's unit is $37,500. The source places that fee within the range often seen for reputable brands in the broader "Full Service Restaurants" and quick service restaurant, or QSR, segments, where fees commonly range from $25,000 to $50,000. Total initial investment ranges from $255,800 to $1.52 million. The actual amount can vary with real estate costs, whether the project is a new build or a conversion, the restaurant's size and format, and regional construction expenses. Franchisees must demonstrate $500,000 in liquid capital. That requirement is intended to support setup costs, working capital, and unexpected expenses during the opening period. Ongoing charges include a royalty of 4% of gross sales for research and development, operating support, and system improvements. A buyer should consider these fees together with the initial investment when assessing the capital required to operate a unit over the long term. The financial structure is aimed at investors prepared to make a substantial and continuing commitment.

Arby's operating model emphasizes consistent preparation, service speed, product quality, and customer experience. Daily work centers on preparing and serving the brand's signature menu items. Staffing generally ranges from 15 to 30 employees, depending on sales volume, operating hours, and the unit's format. The source does not provide specific format options, but established brands such as Arby's generally may operate in freestanding buildings, inline shopping center units, and, in some cases, food court locations. Training from the franchisor is a major part of the support model. It generally includes initial instruction at the corporate headquarters in Oroville, CA, or at a designated training facility, followed by on site assistance during the opening period. Training covers restaurant operations, inventory control, marketing, customer service standards, and human resources practices. Continuing support includes regular visits from field consultants, access to a dedicated supply chain network, menu development, and system wide marketing paid for through the 4.2% advertising fee. The territory structure is intended to give franchisees exclusive operating areas, reduce internal competition, and support growth. The brand places particular emphasis on multi unit development for qualified investors.

This requires additional due diligence, but it does not prevent a buyer from conducting a market review. Industry benchmarks for the "Full Service Restaurants" category can provide context. Although Arby's is classified in that category, its operating model is similar to a QSR concept. Buyers should review comparable concepts and speak with existing franchisees when assessing possible results. Arby's Loan Activity Score is 57, rated Moderate. That score reflects a balance between potential reward and the risks present in a franchise investment. The system's history and operating record may support an assessment of stability, but results will depend on the individual location and operator. Arby's has been present since 1964 and has an established network of 243 franchised units, providing a base for reviewing possible growth through market trends and positioning.

Arby's growth record reflects a long operating history and continued use of a franchised network. The system has 243 franchised units actively operating and tracked in the PeerSense database. Its unit count is described as consistent, which indicates resilience in the competitive "Full Service Restaurants" market. Specific information about net new units in recent periods is not disclosed. Still, the history of franchising since 1965 suggests a measured expansion approach centered on sustainable growth and qualified multi unit operators. Broader restaurant developments that affect Arby's include menu innovation aimed at changing tastes and dietary preferences, along with major digital initiatives. The franchise's competitive advantages include brand recognition built over nearly six decades, a menu centered on premium roast beef and other distinctive offerings, and operating practices designed to deliver consistent quality and service speed. Digital efforts include online ordering platforms, mobile applications, loyalty programs, and partnerships with third party delivery services. These tools improve access and convenience, encourage repeat business, and extend the brand's reach within the changing "Full Service Restaurants" market. The ability to adapt to consumer behavior remains part of Arby's competitive position.

The prospective Arby's franchisee should bring entrepreneurial drive, business knowledge, and a track record in restaurant operations or multi unit management. The $500,000 liquid capital requirement and initial investment range reaching $1.52 million call for substantial financial resources and a clear understanding of the capital demands of the "Full Service Restaurants" sector. Arby's generally seeks multi unit operators who intend to develop multiple locations in a designated territory. That approach depends on the operator's financial capacity and operating experience. Candidates are also expected to maintain Arby's brand standards, provide strong customer service, and participate in local marketing. The general data does not identify specific available territories. However, a brand with 243 franchised units and a history dating to 1965 may have opportunities in underserved markets or through infill development within existing territories. The usual period from signing the franchise agreement to opening generally ranges from 6 to 12 months. This period includes site selection, lease negotiation, construction or renovation, training, and final operational setup. Each step is intended to prepare the restaurant for opening and ongoing operations.

Arby's is an established brand founded in 1964 and reported within the "Full Service Restaurants" category, while using a distinctive quick service operating model. The investment case rests on its brand recognition and roast beef focused menu in a market shaped by demand for convenience and value. Arby's has 243 franchised units and zero company owned locations, so the operating system depends on its franchisee network. Its Loan Activity Score is 57, rated Moderate, which may suit buyers seeking an established system with growth potential. Those buyers must be prepared to meet the $500,000 liquid capital requirement and an initial investment reaching $1.52 million. The support structure includes training, field assistance, supply chain access, menu development, and marketing funded by the 4.2% advertising fee. The system also provides a path for qualified operators to pursue multi unit development. The complete Arby's franchise profile on PeerSense provides the available independent franchise intelligence data.

Loan Activity Score

57/100

SBA Default Rate

13.0%

Active Lenders

130

Franchisees account for 2,286 of Arby's's 3,365 locations. Public SBA loan records show 130 lenders made 330 loans to franchisees of Arby's. PeerSense calculates Arby's's score as 57 out of 100, using public SBA loan performance and recent lending activity. Cost figures are based on the 2026 Franchise Disclosure Document.

2026 FDD VERIFIEDFull-Service Restaurants

Franchising since 1964 · 3,365 locations

Investment

$644,950 to $2.5M

Franchise Fee

$37,500

Total Units

3,365

2,286 franchised

Loan Activity Score
Very high
57
SBA Lending
22
Lender Quality
11
Transparency
11
Reach
10
Momentum
3

Proprietary PeerSense metric

Moderate
Capital Partners
130SBA lenders

Distinct lenders in public SBA records for Arby's

330

Total SBA loans

$583K

Average loan size

Source: public SBA 7(a) and 504 loan records through December 31, 2025

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SBA Lending Activity for Arby's

Loan Activity Score Breakdown

Major Brand (100+ loans)

Very High Confidence
57out of 100
Moderate
Market Momentum3/35

Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.

Loan Safety22/25

Blended default rate (recent + all time) compared to NAICS sector peers.

Lender Confidence11/15

Quality lenders actively backing this brand, with penalty for lender pullback.

Transparency11/15

FDD availability, Item 19 disclosure, and overall data completeness.

Footprint10/10

Geographic spread of SBA funded locations across states.

SBA Lending Performance

SBA Default Rate

13.0%

vs 10.3% peer avg

SBA Loans

330

Total Volume

$192.3M

Active Lenders

130

14 selective

States

39

vs. SBA Sector Average

-2.7%higher default rate

SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors

Key Highlights

Item 19 financial data disclosed
3,365 locations nationwide

Data Insights

Key performance metrics for Arby's based on SBA lending data

SBA Default Rate

13.0%

2.7% above peer avg

SBA Loan Volume

330 loans

Across 130 lenders

Lender Diversity

130 lenders

Avg 2.5 loans per lender

Investment Tier

Premium investment

$644,950 to $2,451,000 total

Arby's: Deep SBA Data

Brand specific metrics derived directly from SBA 7(a) approval records: peak lending year, leading state, average loan size, and lender concentration. PeerSense computes these per brand so capital advisors and prospective franchisees can benchmark this opportunity against the rest of the franchise universe.

Peak SBA Year

1995

27 approvals. The best year on record for Arby's.

Top SBA State

California

44 SBA financed Arby's locations, the densest operator footprint.

Average Loan Size

$583K

Median $446K. Use as a sizing anchor when modeling your own Arby's unit.

Lender Concentration

19.7%

Highly Diversified

Share of Arby's approvals captured by the top 3 SBA lenders.

Arby's's SBA lending pipeline peaked in 1995 (27 approvals). The last five fiscal years account for 8% of cumulative volume ($30M approved). Operator density is highest in California with 44 SBA financed locations. Average funded ticket sits at $583K, with the median at $446K. Lender mix is highly diversified: the top three SBA lenders account for 19.7% of approvals. Borrowers have leverage to shop multiple credit boxes.

Payment Estimator

Loan Amount$516K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$6,676

Principal & Interest only

Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.

Locations

Arby's, unit breakdown

Total Units
N/A
Franchisee Owned
n/a
System Owned
n/a
Closed
n/a

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Arby's

Page Review

Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense

  • PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
  • Edward L. Freeman founded PeerSense in January 2020.
  • He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
  • His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
  • In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page

Last reviewed LinkedIn profileAbout Edward Freeman