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SONIC DRIVE-IN

SONIC DRIVE-IN

Sonic Drive-In franchises quick-service drive-in restaurants offering made-to-order cheeseburgers, chicken entrees, hot dogs, onion rings, tater tots, breakfast items, specialty drinks like cherry limeades and slushes, and ice cream desserts such as SONIC Blast treats. The business model includes Traditional Drive-Ins with carhop service, Drive-Thru Only, Non-Drive-In (e.g., convenience stores), and Non-Traditional locations, plus development agreements for multiple units and multi-brand co-locations with brands like Arby’s or Dunkin’. They target frequent fast-food consumers in a highly competitive quick-service restaurant market.

3,120locations
$1485K–$2523K
Since 1974
Food & BeverageAtlanta, GAInspire Brandswww.sonicdrivein.comDisclaimer

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Franchise Costs

Franchise Fee
$15,000
Initial Investment
$1,485,200 – $2,522,900
Royalty Rate
5.00%
Brand Fund
0.90%
Fixed Monthly Fees
$365 – $565

5% royalty + 0.9% brand fund + $365-$565/mo Inspire Payment Services

Financial Performance


Item 19 Financial Performance

Average Gross Revenue
$1,552,145
Median Gross Revenue
$1,465,090
Top Quartile Revenue
$2,332,093
Bottom Quartile Revenue
$919,629

Data Based On: 3,057 franchised Traditional Restaurants for 2025 fiscal year

* Average gross revenue is the overall average AUV for 'All Restaurants' as stated in the table. A weighted average calculated from quartile data confirmed this value (1,552,144.77). Revenue top quartile is the average AUV for the 1st Quartile. Revenue bottom quartile is the average AUV for the 4th Quartile. Median gross revenue is the median AUV for 'All Restaurants'. No profit or expense information was provided to calculate profit metrics or a best guess profit range.

Extracted Item 19 Section

Avg. Revenue: $1,552,145

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SONIC DRIVE-IN Franchise Analysis

Sonic Drive-In's retro carhop vibe sets it apart in the fast-food frenzy, drawing loyal fans for limeades and tots. Yet Item 19 unveils revenue snapshots across thousands of units, while SBA lending data hints at rock-solid repayment amid a subtle system shift. Does this classic hold the keys to profitable acceleration, or is the drive-thru lane crowded with risks?

Item 7 in the 2026 FDD pegs initial investment at $1,485,200-$2,522,900 for a traditional drive-in, covering buildout, equipment, and inventory in a capital-intensive QSR play. Upfront franchise fee is a modest $15,000, but ongoing 5% royalty plus 0.9% brand fund stacks on $365-$565 monthly Inspire Payments—aligning with category norms yet pressuring slim margins. Item 19 shines brightly: average gross revenue hits $1,552,145, median $1,465,090 across franchised units, suggesting top performers thrive in high-traffic spots while laggards battle competition from burger giants.

System metrics signal maturity over explosive growth: 3,120 franchised locations (292 corporate) dipped 1% from 3,144 in 2024, with just 2 terminations but 100 transfers indicating owner liquidity. Projected 16 new units tempers expansion hype, favoring multi-unit deals or non-traditional formats like drive-thru only or co-brands with Arby's. SBA stats impress—97 loans averaging $1,162,942 default at only 1.0%, far below QSR averages, underscoring franchisee resilience. For deep-pocketed operators eyeing steady $1.5M+ top lines, Sonic offers proven drive-in economics; casual investors may find the high entry and contraction a cautionary brake.

Analysis based on the 2026 Franchise Disclosure Document. All figures should be independently verified before making investment decisions.

How SONIC DRIVE-IN Compares

Key Insights

  • Higher investment than 92% of Fast Food franchises
  • Top 10 largest franchise system in Fast Food
FranchiseInvestmentFeeRoyaltyLocations
SONIC DRIVE-IN
Current
$1.5M – $2.5M$15K5.0%3,120
MCDONALD'S$1.5M – $2.6M$45KN/A12,772
AFC$45K – $151K$6K9.5%3,572
KFC (NON-TRADITIONAL)$1.2M – $4.2M$45KN/A3,404
CHICK-FIL-A License Program$586K – $3.4MN/A10.0%2,795
JIMMY JOHN'S$366K – $734K$35K6.0%2,737
Fast Food Average
131 franchises
$614K – $1.6M$35K6.2%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 131 Fast Food franchises by location count.

Locations & Growth


Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2025)

Outlets by state across the United States

Top States
1TX
872
2OK
191
3AR
190
4MO
183
5TN
164
6LA
141
7KS
131
8MS
122
9FL
97
10AZ
86
11CA
80
12SC
73
13NC
73
14AL
72
15NM
70

+32 more states

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SBA Loan History


Historical SBA 7(a) loan data for SONIC DRIVE-IN franchisees (20102025)

Total Loans
97
Average Loan
$1,162,942
Total Volume
$112.8M
Default Rate
1.0%

Loans by Year

SBA 7(a) loan activity over time

* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.

97 SBA loans on record

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Franchisee Contacts

3,046 franchisee contacts on file from official FDD filings.

3,046 Contacts Available

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Due Diligence


Litigation (Item 3)

Franchisee Cases0
No litigation involving franchisees reported

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
2
Non-Renewals
0
Reacquired
0
Ceased Ops
54
Transfers
100
Sold to Franchisees
4
Projected New
16

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Frequently Asked Questions

The total initial investment to open a SONIC DRIVE-IN franchise ranges from $1,485,200 to $2,522,900. This includes a franchise fee of $15,000. Ongoing royalty fees are 5.0% of gross sales.