Burger King Shifts Focus to Local Owners in U.S. Franchise Strategy

Burger King is recalibrating its franchise approach in the United States by prioritizing local, hands-on owners over large private equity-backed chains, a move intended to strengthen operational accountability and long-term stability.

The shift is exemplified by Kline, a former director of franchising for Burger King North America. While working for the company, Kline struggled for two years to sell 16 underperforming locations in Salt Lake City. In February, he purchased those same restaurants from Meridian Restaurants Unlimited, which had previously been one of Burger King’s largest U.S. franchisees with more than 120 sites across nine states before filing for Chapter 11 bankruptcy protection in 2023. To operate his new portfolio, Kline relocated from Miami to Salt Lake City.

Curtis, a company representative, emphasized that the brand wants franchisees who live and work within the communities they serve. Proximity ensures operators visit their restaurants frequently, while community ties create natural accountability, as neighbors and acquaintances are more likely to raise complaints directly.

This strategy marks a departure from the private equity model that has dominated the restaurant industry for over a decade. Private equity firms have typically acquired multi-location franchises, expanded them by purchasing smaller operators, and sold the businesses at higher valuations within short timeframes. Curtis acknowledged that such entities are now a smaller part of Burger King’s portfolio and are unlikely to grow.

“It really needs to be a great story of a company with a great operator who’s significant equity in the business, who has a long-term outlook, not a five-year plan,” Curtis said.

While private equity remains attractive to many restaurant chains due to capital access in a high-interest-rate environment, Burger King is focusing on operator skill and financial sustainability. The company supports this goal through initiatives like Crown Your Career, which helps restaurant leaders and managers secure financing to purchase their own locations.