Wing-stop^®

Food & Beverage • Year: 2024

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What Is Wing-stop?

Wing-stop is a chicken-focused restaurant franchise offering chicken wings, boneless wings, tenders, chicken sandwiches, French fries, other foods, and beverages. Restaurants feature limited customer seating and rely on off-premises orders placed digitally via the company website or app or by phone. They may sell beer and wine where legally permitted and are typically located primarily in shopping centers, occupying approximately 1,200 to 2,000 square feet of leased retail space.

Wing-stop Franchise: Pros and Cons

The brand's perfect 100 training and support score, ranking it in the top quarter across industries, gives new operators unusually strong operational backing; however, the franchisor's large corporate footprint—49 company-owned units, well above typical for Food & Beverage—could limit new franchising opportunities and raise questions about growth commitment.

Pros

A perfect 100 training and support score—placing the brand in the top quarter across industries—signals unusually strong operational support for new and existing operators.

1,926 total outlets (1,877 franchised), which ranks in the top 5% for Food & Beverage, gives you substantial brand scale, purchasing leverage and a larger customer base to tap into.

A max Item 7 fee of $20,000 and initial franchise fee capped at $20,000—both well below typical for this sector—lowers your upfront cash requirement and leaves more capital for build-out and working capital.

Cons

1 franchisor-initiated enforcement action, which is higher than typical for Food & Beverage, suggests the franchisor actively pursues legal remedies and enforces standards—introducing potential friction with operators.

3 reacquired outlets, a figure in the top 10% for the category, indicates some franchisees have exited the system and points to operator turnover pressure.

49 company-owned units, well above typical for Food & Beverage, reflects a large corporate footprint that could limit new franchising opportunities and warrants questions about the franchisor's long-term commitment to growing the franchise base.

Lawsuits & Legal Risk

NORMAL

The Facts: An arbitration arose over development obligations, territorial exclusivity and termination after the franchisor sought to reduce the franchisee's rights; the tribunal issued mixed rulings, found breaches by the franchisee, and a quantum hearing on damages is pending. The Advice: Review territorial exclusivity, development schedules, termination and post-termination obligations, and arbitration clauses; request recent dispute outcomes.

Territory Protection

57/100

Good

Grants a protected operating area where the franchisor will not place other physical units. Franchisor retains the right to sell via e‑commerce and retail channels, operate in alternative venues, and use different trademarks within the market; protection is contingent on meeting performance quotas, while the franchisee retains site-specific relocation rights.

Training & Support

100

Excellent

The brand provides an Extensive 175-hour training curriculum designed to prepare two trainees for launch. The program includes on-site launch support for operational readiness, which is available for an additional fee, and franchisees are responsible for travel and living expenses.

Unit Growth Analysis

This franchise grew from 1,521 units in 2022 to 1,712 in 2023 (+191 units, +12.56%) and to 1,926 in 2024 (+214 units, +12.50%), indicating a stable, consistent growth trajectory. For investors, the near-identical YoY rates (12.56% → 12.50%, a 0.06 percentage-point dip) combined with larger absolute additions (+214 vs. +191) signal healthy, scalable expansion and predictable unit-level growth rather than meaningful acceleration or decline.

How Much Does It Cost to Open a Wing-stop Franchise?

Opening a Wing-stop franchise requires a total initial investment of $259,400 to $912,100, according to the 2024 Franchise Disclosure Document. This range covers the franchise fee, real estate, equipment, training, and initial working capital needed to launch and operate through the early months.

Minimum Investment

$259,400

Franchise Fee

Real Estate

Equipment & Assets

Reserves

Training

Other

Maximum Investment

$912,100

Minimum Investment Breakdown

Franchise Fee$10,000

Real Estate$107,300

Equipment & Assets$75,100

Reserves$25,000

Training$0

Other$42,000

Maximum Investment Breakdown

Franchise Fee$20,000

Real Estate$550,000

Equipment & Assets$226,100

Reserves$40,000

Training$0

Other$76,000

Investment Analysis

This investment analysis is coming soon. Have ideas for other analyses you'd like us to add? Get in touch.

The initial investment amounts shown are estimates only. Actual costs may vary based on location size, business model, and multi-unit ownership arrangements. We recommend reviewing the full Franchise Disclosure Document for complete details.

How Much Do Wing-stop Franchise Owners Make?

Wing-stop franchise locations reported average gross sales of $1,816,486 and median gross sales of $1,669,009 in 2024, based on financial performance data disclosed in Item 19 of the Franchise Disclosure Document.

Average Gross Sales:

$1,816,486

Median Gross Sales:

$1,669,009

High Gross Sales:

$5,021,415

Low Gross Sales:

$442,869

Sample Size:

1637

Percent Attaining Average:

42.0%

Franchise vs Corporate Performance: Franchised restaurants averaged 1,816,486 in net sales for 2023, which is lower than WRI-owned restaurants' average of 2,233,700, indicating company-owned units outperformed franchised units on average during the measured period.

Performance Variability Analysis: Franchised unit annual net sales ranged widely from 442,869 to 5,021,415 with a mean (1,816,486) modestly above the median (1,669,009), suggesting a right-skewed distribution and substantial variability across locations; only 42% of franchised units exceeded the franchised average.

Data Scope and Limitations: The figures cover only restaurants open for the entire 2023 measured period and exclude newly opened, temporarily closed, and permanently closed units; the underlying sales data were not independently audited and no expense or net income breakdowns are provided.

Frequently Asked Questions

How much does it cost to open a Wing-stop franchise?

The total initial investment for a Wing-stop franchise ranges from $259,400 to $912,100, according to the 2024 Franchise Disclosure Document. This includes the franchise fee, real estate, equipment, training, and working capital.

What is the Wing-stop initial franchise fee?

The initial franchise fee for Wing-stop is $20,000, as stated in the 2024 FDD. This fee is paid upon signing the Franchise Agreement.

How much do Wing-stop franchise owners make?

Wing-stop franchise locations reported average gross sales of $1,816,486 and median gross sales of $1,669,009 in 2024, based on Item 19 of the Franchise Disclosure Document. Actual earnings vary by location, market, and operator experience.

Does Wing-stop have any franchise lawsuits or legal issues?

Wing-stop received a legal risk score of 98 out of 100 in the 2024 FDD analysis. The Facts: An arbitration arose over development obligations, territorial exclusivity and termination after the franchisor sought to reduce the franchisee's rights; the tribunal issued mixed rulings, found breaches by the franchisee, and a quantum hearing on damages is pending.

Does Wing-stop offer exclusive franchise territories?

Wing-stop received a territory protection score of 57 out of 100. Grants a protected operating area where the franchisor will not place other physical units.

What training does Wing-stop provide to new franchisees?

Wing-stop received a training and support score of 100 out of 100. The brand provides an Extensive 175-hour training curriculum designed to prepare two trainees for launch.

How many Wing-stop franchise locations are there?

Wing-stop had 1926 total locations as of the 2024 Franchise Disclosure Document.

What type of business is Wing-stop?

Wing-stop is a chicken-focused restaurant franchise offering chicken wings, boneless wings, tenders, chicken sandwiches, French fries, other foods, and beverages.

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