Culver Franchising System Inc.

Frozen custard & specialty burgers

Background

Founded: 1984 Franchising since: 1988
After working with his parents in their restaurants, Craig Culver decided it was time to open one for himself. In 1984 Culver, with the help of his wife Lea and parents George and Ruth, transformed the A&W his parents owned since the sixties into Culver's Frozen Custard.

Its founder's family inspired the menu for the initial Sauk City, Wisconsin, restaurant. When Culver's mother made hamburgers, she would put a dab of butter on the crown of the hamburger buns before toasting them; something her children felt made them taste better. Today, employees at each Culver's location use the same technique when making their ButterBurgers.

There are Culver's locations in sixteen states. All Culver's franchisees are owner/operators.

540 Water St.
Prairie du Sac, Wisconsin 53578

Phone:
(608)643-7980

Franchisor has 98 employee(s); 4 employee(s) in franchise department.

Franchise Growth

Year	U.S. Franchises	Canadian Franchises	Foreign Franchises	Company Owned
2008	376	0	0	8
2007	355	0	0	8
2006	326	0	0	6
2005	289	0	0	5

Special Programs
Culvers has participated in fundraising activities for organizations like 4-H and Harvest Food for Families in Milwaukee.

Costs and Fees

Total investment: $1.6M-3.2M
Franchise fee: $55K

Ongoing royalty fee: 4%
Term of agreement: 15 years, renewable

Type of Financing Available

	In-House	Third Party
Franchise Fee	No	Yes
Startup Costs	No	Yes
Equipment	No	Yes
Inventory	No	Yes
Accounts Receivable	No	Yes
Payroll	No	Yes

Qualifications
Net worth requirement: $500K
Cash liquidity requirement: $300K

Operations

30% of all franchisees own more than one unit
Number of employees needed to run franchised unit: 40 - 50
Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators)