1988
10
$450,000
$35,000
$900,000
No
Frugals is redefining the American drive-thru burger experience with a winning formula of speed, quality, and consistency. Known for its signature flame-broiled burgers, hand-cut fries, and classic milkshakes, Frugals has carved out a loyal following across the Pacific Northwest and beyond. Unlike the typical fast-food model, Frugals operates with a streamlined, drive-thru-only design that reduces overhead costs while maximizing efficiency and profit margins.
As one of the most recognized regional burger concepts expanding into new markets, Frugals represents a modern twist on America’s timeless love for burgers. The franchise has built its reputation on serving fresh, high-quality ingredients made to order — fast. With over three decades of proven operations and strong community roots, Frugals offers franchisees a tested system that combines operational simplicity with exceptional profitability.
Backed by a recognizable brand name and a lean, high-turnover business model, Frugals is a standout opportunity for entrepreneurs seeking an affordable yet powerful entry into the thriving quick-service restaurant (QSR) industry.
Frugals is not just another burger franchise — it’s a recession-resistant, customer-loved concept designed for operational excellence. Here’s why investing in a Frugals franchise makes sense:
High-Profit Drive-Thru Model: A smaller footprint and reduced staffing requirements mean lower overhead and faster ROI.
Proven Brand Legacy: With a history of success since the 1980s, Frugals has perfected its streamlined menu and operations.
Strong Consumer Loyalty: Decades of consistent quality have built a cult following, ensuring repeat customers and word-of-mouth growth.
Flexible Site Selection: Drive-thru locations require smaller parcels, making them easier to find and cheaper to build.
Operational Simplicity: Limited menu, consistent products, and efficient systems make operations easy to manage for first-time owners.
Supportive Franchise Team: Frugals’ corporate team provides full-scale support in training, marketing, and ongoing development to ensure franchisee success.
Established Year: 1988
Founder: Peter Stewart
Headquarters: Port Angeles, Washington, USA
Industry Category: Quick-Service Restaurant (QSR) – Burgers, Fries & Shakes
Franchise Units: 10+ Locations (Expanding Across the USA)
Ownership Type: Privately Owned Franchise Brand
Frugals began in 1988 when Peter Stewart opened the very first Frugals drive-thru in Port Angeles, Washington. His vision was simple — to deliver high-quality, made-to-order burgers at lightning speed, without the complexity or cost of dine-in service. This concept quickly resonated with customers seeking fresh, affordable, and convenient meals.
The brand’s focus on drive-thru-only operations proved revolutionary at the time. By eliminating dining areas, Frugals streamlined its operations, reduced overhead, and maximized profitability — setting a new standard for efficiency in the QSR burger industry. Every burger is cooked fresh, every shake is hand-blended, and every customer interaction is fast, friendly, and personal.
Throughout the 1990s and early 2000s, Frugals expanded steadily across Washington, Montana, and neighboring states, earning a cult following for its flame-broiled burgers, hand-cut fries, and signature shakes. With each new location, the brand reinforced its reputation for quality, simplicity, and consistency — values that remain the cornerstone of its franchise model today.
Now headquartered in Port Angeles, Frugals continues to grow across the USA, targeting high-traffic suburban and highway markets ideal for drive-thru service models. Its legacy of over 35 years in operation and a proven franchise system make it one of the most trusted emerging burger franchises in the nation.
Brand Mission:
To serve fresh, high-quality burgers and shakes fast, while maintaining the warmth, efficiency, and consistency of a family-run drive-thru.
Vision:
To be America’s most loved drive-thru burger brand, known for quality ingredients, quick service, and local community connections.
Core Values:
Quality Ingredients, Freshly Made
Speed & Efficiency in Service
Community Engagement & Integrity
Consistent Guest Experience
Franchisee Success Through Simplicity
Frugals understands that franchise success depends on thorough preparation and continuous support. Every franchisee receives comprehensive assistance before, during, and after their launch:
Pre-Launch Support:
Site selection assistance and market evaluation
Lease negotiation guidance and build-out design
Access to preferred vendors and construction support
Operational Training:
4–6 weeks of hands-on training at an existing Frugals location
In-depth instruction on food preparation, drive-thru operations, staffing, and quality control
Inventory management and POS system setup
Marketing Support:
Grand opening marketing plan and local community engagement campaigns
Access to professionally designed digital and print materials
Ongoing brand marketing and seasonal promotions
Ongoing Support:
Regular field visits and performance reviews
Menu innovation updates and operational audits
Dedicated franchise development and support team for continuous growth
Frugals’ training ensures that even first-time franchise owners feel confident running their business from day one.
Who Should Own a Frugals Franchise
Owning a Frugals franchise is more than running a burger shop — it’s about joining a proven brand that values community, quality, and operational excellence. The ideal franchisee is a hands-on, growth-minded entrepreneur who believes in delivering top-tier service with speed and precision.
Frugals seeks franchise partners who share the brand’s commitment to doing the basics exceptionally well. Whether you’re an experienced restaurateur or a first-time business owner, Frugals’ proven systems, training, and support make ownership accessible to motivated individuals ready to take control of their financial future.
✅ Entrepreneurial Spirit:
Driven, passionate, and ready to take ownership of daily operations. You understand that success in business comes from dedication, consistency, and smart execution.
✅ Operational Focus:
Frugals’ model thrives on speed, accuracy, and simplicity. Ideal candidates have strong organizational and leadership skills to manage a lean, efficient team while maintaining exceptional quality standards.
✅ Customer-Centric Mindset:
You genuinely care about creating great guest experiences — even from behind the drive-thru window. Building a loyal local following is key to long-term profitability.
✅ Financial Capability:
Franchisees should have access to sufficient capital to meet the brand’s investment range — typically $450,000 to $900,000 total — with at least $150,000 in liquid assets.
✅ Community-Oriented Approach:
Frugals thrives in suburban, small-town, and commuter-heavy areas. Ideal franchisees are people who love being part of their community — supporting local events, hiring locally, and becoming the go-to neighborhood burger stop.
✅ Growth Mindset:
Frugals encourages multi-unit ownership and regional development. Franchisees who see long-term potential and want to scale within their territory are highly valued.
Former managers or operators in QSR, hospitality, or retail seeking independence.
Corporate professionals ready to transition into entrepreneurship.
Family investors looking to build a legacy business with simple operations and strong returns.
Multi-unit investors seeking a scalable, lower-overhead restaurant model.
Frugals’ franchise expansion focuses on high-traffic suburban corridors, commuter routes, and college towns — areas with strong drive-thru demand and repeat customer potential. Territories are available across the Pacific Northwest, Midwest, and select regions in the Southern and Eastern USA.
Frugals franchisees aren’t just business owners — they’re ambassadors of a brand that stands for simplicity, speed, and quality. If you have the drive, integrity, and community spirit to represent a legacy burger brand, Frugals could be the perfect fit for you.
Investing in a Frugals franchise means joining a proven, scalable drive-thru burger concept with a lean operational model designed for maximum profitability. With its efficient layout, smaller footprint, and strong brand following, Frugals provides franchisees with an opportunity to achieve impressive returns without the heavy costs associated with traditional dine-in restaurants.
Below is a detailed breakdown of the Frugals franchise investment structure and financial performance expectations for the USA market.
| Category | Estimated Cost (USD) | Description |
|---|---|---|
| Initial Franchise Fee | $35,000 | Grants the rights to operate under the Frugals brand and access all proprietary systems, training, and ongoing support. |
| Total Estimated Investment | $450,000 – $900,000 | Includes construction, equipment, signage, permits, training, and initial inventory. |
| Minimum Liquid Capital Required | $150,000 | Ensures the franchisee has adequate funds to launch and sustain operations during the early months. |
| Net Worth Requirement | $500,000+ | Required to qualify for multi-unit or territory development rights. |
| Royalty Fee | 5% of gross sales | Paid weekly or monthly to cover ongoing brand and operational support. |
| National Marketing Fund Contribution | 2% of gross sales | Used for regional and national advertising, promotions, and brand marketing. |
| Local Store Marketing Budget | $2,000 – $5,000 per month | Recommended for community-based campaigns and launch promotions. |
| Working Capital | $25,000 – $50,000 | Required to manage initial payroll, utilities, and inventory replenishment. |
| Leasehold Improvements | $200,000 – $400,000 | Drive-thru build-out, kitchen installation, and site customization. |
| Equipment & Fixtures | $125,000 – $200,000 | Includes fryers, grills, refrigerators, POS systems, and other QSR essentials. |
| Initial Inventory & Supplies | $10,000 – $20,000 | Food products, uniforms, packaging, and initial stock. |
Frugals’ streamlined model allows for high throughput and quick customer turnover, maximizing daily revenue with minimal labor and square footage.
| Financial Metric | Average Range (USD) |
|---|---|
| Average Gross Sales per Unit (Annual) | $900,000 – $1.6 million |
| EBITDA Margin (Post-Royalty) | 18% – 25% |
| Estimated ROI | 20% – 30% annually |
| Typical Break-Even Period | 18 – 24 months |
| Payback Period | 3 – 4 years |
Frugals offers multiple income channels beyond its core burger sales:
Primary Sales: Burgers, fries, and shakes (core menu items).
Upsells & Combos: Add-on sides, double-patty upgrades, and combo meals.
Seasonal Promotions: Limited-time items, special sauces, and milkshake flavors.
Catering & Community Events: Optional local partnerships and brand pop-ups for added revenue.
Frugals offers assistance in connecting qualified candidates with third-party financing partners for:
SBA loans
Equipment leasing
Working capital loans
Franchise financing programs
The brand also provides detailed financial modeling tools during the franchise discovery process to help candidates evaluate unit-level profitability and cash flow projections.
With its low overhead, simplified operations, and high-volume throughput, Frugals franchisees benefit from attractive unit economics. Many existing locations have demonstrated strong financial performance and consistent profitability in both urban and suburban settings.
The brand’s proven operational efficiency ensures that even single-unit operators can achieve strong margins — while multi-unit franchisees enjoy compounded returns and scalability benefits.
