How Much Does an A&W Franchise Cost in Canada?

A&W Canada Is Its Own Franchise System

A&W Canada and A&W in the US share a name and a root beer heritage, but they are separate companies. A&W Canada is run by A&W Food Services of Canada Inc., listed on the Toronto Stock Exchange under the symbol AW since October 2024, when it combined with the former A&W Revenue Royalties Income Fund.

It is one of Canada's largest burger chains. At the end of its third quarter of fiscal 2026 (September 6, 2026) it had 1,113 restaurants across Canada, with 26 more under construction and quarterly system sales of $497.6 million. Only 10 restaurants are corporate-owned, all in Ontario; the rest are franchised.

Because the systems are separate, nothing on a US A&W franchise page (fees, investment, royalty or Item 19 sales) applies in Canada.

A&W Canada Franchise Cost and Fees

A&W Food Services of Canada's listing with the Canadian Franchise Association gives the headline numbers:

A&W Canada does not publish a total investment range. The cash figure is what you must bring unencumbered, not the full cost of the restaurant; financing covers the rest. Ask for the disclosure document for the full Item-by-Item breakdown of build-out, equipment and turnkey costs.

On ongoing fees, A&W Food Services' fiscal 2026 results describe "the continuing migration of A&W restaurants from a 2.5% to a 3.5% service fee rate," and list advertising fund contributions as a separate revenue line. Business in Vancouver reported in 2024 a 3.5% service fee plus a 2.5% marketing fee, about 6% of sales in total. Confirm the current rates for your agreement in the disclosure document.

Who A&W Canada Is Looking For

A&W Canada offers single-restaurant franchises. Its Canadian Franchise Association listing says candidates who are willing to move anywhere in Canada, particularly to smaller towns, are of special interest.

Plan around:

• Cash: the $575,000 to $700,000+ unencumbered investment, without borrowing it.
• Training: eight weeks of initial training before you take over a restaurant.
• Turnkey costs: A&W Food Services reports equipment and turnkey revenue from new restaurant openings, so ask exactly what the turnkey package includes and what you pay for separately.

Ask how a new-build restaurant, an existing restaurant transfer and a relocation each change your cash requirement.

Financing an A&W Franchise in Canada

With the cash portion covered, the rest of an A&W Canada deal is financed through Canadian lenders:

• Chartered banks. RBC, TD, BMO, Scotiabank and CIBC all run franchise lending programs, and an established national brand with 1,100+ restaurants is the kind of file they favour.
• BDC (Business Development Bank of Canada). BDC lends alongside banks and will often finance a larger share of a franchise purchase, including goodwill on a transfer.
• CSBFP (Canada Small Business Financing Program). Loans go up to $1,150,000 for equipment and leasehold improvements, but not goodwill.

Read how Canadian banks approach restaurant financing and compare Canadian lenders before you apply.

Disclosure Rules and How A&W Compares

Franchise disclosure is provincial. In Ontario, the Arthur Wishart Act requires the disclosure document at least 14 days before you sign or pay anything; Alberta, British Columbia, Manitoba, New Brunswick and Prince Edward Island have their own franchise acts. Quebec has no franchise statute; see how franchise law works in Quebec.

Compared with other Canadian QSR brands:

• Tim Hortons charges a 3% royalty plus a 4% advertising fund, with a CAD $1.2M to $2.5M investment.
• McDonald's Canada runs a 4% to 5% royalty, a 4% advertising fund and rent of 12% to 15% of sales, with a CAD $700K to $1.5M investment.
• A&W Canada's service fee, moving to 3.5%, plus its advertising contribution sits in a similar range. Its published entry figure is a cash requirement, not a total investment, so compare like with like.

Frequently Asked Questions

Score a Location