Steak ‘n Shake

There are two very different investment options. A traditional Steak ’n Shake franchise generally requires an investment of approximately $1.34 million to $2.34 million, while non-traditional locations can start at around $316,000. The traditional franchise fee is $25,000.

The alternative Franchise Partner model is considerably less capital-intensive. Selected operators can take over an existing company-operated restaurant with a total upfront investment of $10,000. Steak ’n Shake provides the restaurant infrastructure, equipment and support, making this a very different model from developing a new restaurant.

For the traditional franchise model, candidates need more than $400,000 in liquid capital and more than $1 million in net worth, excluding their primary residence. The company is looking for operators with sufficient financial resources to develop and operate restaurants successfully.

The Franchise Partner program has a dramatically lower financial barrier because the required investment is only $10,000. However, the low investment does not mean it is a passive investment opportunity. Steak ’n Shake requires Franchise Partners to operate the restaurant full-time and hands-on.

The Franchise Partner agreement requires an upfront $10,000 investment. In return, the operator receives the opportunity to earn 50% of net profits, while Steak ’n Shake assesses a fee of up to 15% of sales plus 50% of profits.

This structure is unusual in franchising because the franchisor participates directly in the restaurant’s profitability rather than relying solely on a conventional percentage-of-sales royalty. Steak ’n Shake says the model is designed for entrepreneurs with strong operating ability who may have less capital available.

At the end of 2025, the brand had 404 locations, consisting of 131 company-operated restaurants, 179 Franchise Partner restaurants and 94 traditional franchise restaurants.

The footprint has continued to change during 2026 as the company closes weaker restaurants and converts selected company-operated units into franchise partnerships. This means the location count should always be presented with a date.

It can be, but the answer depends on which model the candidate is considering. The Franchise Partner program is specifically designed to make restaurant ownership accessible to entrepreneurs who may not have the capital required for a traditional restaurant investment. However, Steak ’n Shake requires these operators to be hands-on, full-time owner-operators and to complete extensive training.

The traditional franchise opportunity is more suitable for experienced restaurant operators or investors with significant capital, particularly those interested in multi-unit development. Steak ’n Shake’s franchise website explicitly promotes multi-unit ownership as a key part of its traditional model.