How to Finance a Jefferson’s Franchise: Wings, Oysters and SBA
By Anthony Cornella
A Jefferson’s franchise loan has to cover more than a typical counter-service restaurant. Jefferson’s is a full-service, sports-friendly neighborhood bar and grill known for wings, burgers and oysters, so a buyer is financing a dining room, a bar, a full kitchen and the licenses and staff that come with them.
This article covers the concept, what to pull from the Franchise Disclosure Document (FDD), which loan programs fit a bar and grill and how the brand’s SBA Franchise Directory listing works.
US Professional Funding is not affiliated with, sponsored by or endorsed by Jefferson’s; the name is used only to describe the business. Figures in the franchisor’s disclosure document can change, loan programs vary, and every loan is subject to approval. Nothing here is legal, tax or investment advice; review the current FDD and franchise agreement with a franchise attorney and an accountant.
Jefferson’s Franchise Loan at a Glance
- Concept: a sports-friendly, family-friendly neighborhood bar and grill known for double-dipped wings, hand-pattied burgers and fresh oysters.
- History: the first Jefferson’s opened in Jacksonville, Alabama, in 1991; the company moved its headquarters to Lawrence, Kansas, in 2000.
- System size: the company reported 36 restaurants as of May 2025 across Alabama, Georgia, Kansas, Missouri and Tennessee.
- Franchisor: Jefferson’s Franchise Systems, which also operates a quick-service wing concept called WingStand by Jefferson’s.
- Initial fee, royalty and marketing contributions: not verified for this article; confirm them in Items 5 and 6 of the current FDD.
- Estimated initial investment and owner requirements: not verified; use the Item 7 table and ask the franchisor for current net worth and liquidity minimums.
- SBA Franchise Directory: listed under code S3516, with a note about lease documents when real estate secures the loan.
What Is Jefferson’s?
Jefferson’s started as a single restaurant in Jacksonville, Alabama, in 1991. The company opened its second restaurant in Lawrence, Kansas, in 2000 and moved its headquarters there, and it has grown through franchising across the South and the Kansas City region since then.
The company describes itself as a neighborhood restaurant chain with a hometown feel. The menu centers on wings tossed in signature sauces, burgers and oysters, served in a casual dining room with a full bar and televisions for game days. The system has even opened a waterfront restaurant on an Alabama lake with boat-up service.
An operator-grown system. The company says nearly 65 percent of its locations are owned by people who first worked in a Jefferson’s restaurant, often as servers, bartenders or managers, and that it had 12 franchisees as of May 2025. Many new restaurants are opened by existing franchisees rather than first-time owners. For lenders, a buyer who has worked in a Jefferson’s brings brand-specific experience.
Why lenders look closely at a bar and grill. Full-service restaurants carry larger payrolls and kitchens than quick-service units, and alcohol sales add licensing and insurance requirements.
Jefferson’s Franchise Costs
We could not verify the brand’s current fee and investment figures, so this section explains what each cost category covers and where to find the number in the FDD.
Initial franchise fee. Item 5 states the fee for a single restaurant, when it is due and whether any part is refundable. An SBA 7(a) loan can usually include the fee in the project budget.
Real estate and build-out. A full-service restaurant with a bar needs a larger space than a takeout shop. Build-out typically covers a commercial kitchen with ventilation and fire suppression, a bar with plumbing and refrigeration, restrooms sized for a dining crowd, booths and tables, audio-visual systems for sports and exterior signage.
Equipment and fixtures. Expect fryers for wings, flat-top grills, refrigeration and walk-in coolers, oyster storage and prep equipment, a dish machine, bar coolers and draft systems, ice machines, televisions and point-of-sale technology.
Opening costs and working capital. Liquor licensing, permits, insurance, opening inventory, training payroll and deposits come before the first sale. Item 7 also lists additional funds for an initial operating period.
Total investment. Item 7 adds these categories into a low and high range for each format. When you read it, look for:
- The initial franchise fee and any development fee
- Real estate, rent and security deposits
- Leasehold improvements or construction
- Kitchen equipment, bar equipment and refrigeration
- Furniture, fixtures, televisions, signage and technology
- Liquor license, permits, insurance and professional fees
- Opening inventory, training expenses and additional funds for the initial period
Ongoing Fees and How They Affect Your Jefferson’s Franchise Loan
Item 6 lists the royalty, any brand or marketing fund contribution, technology fees, local advertising requirements, transfer and renewal fees and other recurring charges. In 2025 the company launched a system-wide cooperative marketing fund that lets franchisees pool back-end resources while keeping funds for local outreach, so check how that contribution is set in the current FDD.
How lenders treat these fees. Royalty and marketing fees are usually calculated on gross sales, so they come off the top before food and beverage cost, labor and rent. A lender builds a monthly cash-flow model, subtracts those fees, then checks whether what remains covers occupancy, payroll and the proposed loan payment with a cushion. Show a lender your staffing plan for weeknights, weekends and game days.
Franchisor Requirements for New Owners
We did not verify Jefferson’s net worth or liquidity minimums, so ask the franchise development team for current requirements. Based on how the company describes its system, expect it to look for:
- Owners who share a community-minded approach and plan to be involved in the restaurant and its neighborhood
- Restaurant, bar or hospitality experience, ideally inside a Jefferson’s
- Enough liquid capital to cover the equity injection and reserves
Ways to Own a Jefferson’s
A new restaurant. Opening from scratch means a site search, a full build-out, licensing and a sales ramp with no history. Lenders underwrite on projections, your experience and your equity.
Buying an existing restaurant. A resale comes with real sales, a trained team, an active liquor license (subject to transfer rules) and established game-day traffic. Lenders can underwrite historical cash flow, but the franchisor must approve the transfer and the landlord must consent to any lease assignment. Our article on buying a franchise resale covers the steps, and our page on franchise restaurant acquisition financing explains how purchase loans are sized.
An employee becoming an owner. A manager who buys into a restaurant is a realistic path here, though that buyer often has less cash to inject.
A WingStand location. The company describes WingStand as a quick-service concept with limited indoor seating and a smaller footprint than its full-service restaurants. If the current FDD offers WingStand to franchisees, the budget, equipment list and staffing will differ from a full Jefferson’s restaurant, and so will the loan.
Financing Options for a Jefferson’s Franchise
SBA 7(a) loans. Because the brand is on the SBA Franchise Directory, an SBA 7(a) loan can fund the franchise fee, build-out, equipment, opening inventory and working capital in one loan, or the purchase price of an existing restaurant.
SBA 504 loans. A Jefferson’s in a freestanding building can be a good fit for an SBA 504 loan, which is built for owner-occupied real estate and long-lived equipment.
Conventional term loans. Experienced operators with several restaurants may use a conventional business loan, especially for an acquisition or expansion where the group’s cash flow carries the request.
Equipment financing. Fryers, grills, walk-in coolers, oyster refrigeration, draft beer systems, ice machines, dish machines, televisions and point-of-sale terminals can be financed separately. See our restaurant equipment financing and leasing options.
Working capital and lines of credit. A bar and grill buys food, beer and spirits weekly and staffs up for football season and big games. A line of credit can smooth those swings and cover pre-opening payroll. Learn more about restaurant working capital.
Seller financing on resales. A retiring owner may agree to carry a note for part of the price. Any seller note is typically subordinate to the senior loan, and SBA program rules may limit how it is structured or counted toward the buyer’s injection.
SBA Loans for Jefferson’s Franchisees
SBA lenders check the SBA Franchise Directory before they lend to a franchisee. A listing means the brand’s franchise documents have been reviewed for SBA eligibility; it does not approve any borrower or guarantee a loan.
Jefferson’s listing and its note. Jefferson’s appears on the directory under code S3516. The listing’s note says that when the real estate where the franchise business is located will secure the SBA-guaranteed loan, the Collateral Assignment of Lease and the Consent and Agreement of Lessor may not be executed. In plain English, those two documents exist to protect a lender’s interest in a leased location. If the borrower owns the property and pledges it as collateral, there is no lease to assign, so those lease documents should not be signed as part of that loan.
Loan size. The SBA 7(a) program maximum is currently $5 million, though program rules can change.
Application tips. Bring the FDD, a lease or purchase contract, quotes, a liquor license plan and realistic projections. Our SBA loan calculator can help with early payment estimates; results are for planning only.
How Lenders Evaluate a Jefferson’s Deal
Personal credit and financial history. Expect a review of credit and tax returns, plus personal guarantees from significant owners.
Net worth and liquidity. A Jefferson’s franchise loan request is strongest when the equity injection comes from documented funds and reserves remain after closing.
Industry and management experience. Bar and full-service restaurant experience counts heavily. Time spent managing a Jefferson’s is especially useful.
Business plan and projections. Model game-day peaks, the mix of food and alcohol sales, wing and oyster costs, labor, rent and a realistic ramp-up.
The FDD and franchise agreement. Lenders read Items 5, 6, 7 and 21 closely, plus Item 17 for term, renewal and transfer rights, Item 10 for any franchisor financing and Item 19 to see whether the FDD includes financial performance representations. Our article on how lenders read a Franchise Disclosure Document walks through each item.
Site, lease or real estate. Lenders compare the lease term with the loan term and confirm the site can support a liquor license and parking.
Historical financials for resales. For an existing restaurant, expect to provide several years of profit and loss statements, sales reports and tax returns, along with the status of the liquor license.
Kitchen, Bar and Game-Day Equipment
A Jefferson’s runs two operations under one roof. The kitchen needs high-capacity fryers and grills for wings and burgers, plus cold storage and handling for fresh oysters. The bar needs refrigeration, draft systems, ice and glassware, and the dining room needs televisions and sound for sports. When buying an existing restaurant, have this equipment and the HVAC inspected and price near-term replacements into the deal.
Multi-Unit Growth and Development Agreements
Jefferson’s growth leans on existing owners: the company said in 2025 that five of its six most recent openings came from existing franchisees, and one franchise group owns several restaurants in the Tennessee Valley. That makes multi-unit financing central to the brand.
Once a first restaurant has a track record, lenders combine its cash flow with projections for the next one and look at total debt across the group. If you sign for more than one restaurant, match each opening with a financing plan. Our article on multi-unit franchise financing explains how operators fund growth one location at a time.
Real-World Scenarios
A longtime manager buying the restaurant. A general manager buys the Jefferson’s she has run for years from a retiring owner. An SBA 7(a) loan covers most of the price, the seller carries a small subordinate note, and the lender leans on her operating history.
A franchise group adding a restaurant. An owner of three restaurants opens a fourth in a nearby town. The lender reviews combined cash flow and finances the build-out and equipment.
A buyer purchasing the building. A new owner buys a freestanding former restaurant with an SBA 504 loan, so the lease documents in the directory note do not apply.
Common Mistakes to Avoid
- Applying before reading the full Item 7 table and Item 6 fee list
- Underestimating liquor license cost and timing in your market
- Budgeting staff for an average night instead of game-day peaks
- Signing a lease before the lender reviews its term and assignment provisions
- Buying a resale without inspecting the kitchen, bar equipment and HVAC
- Leaving no reserve for slow seasons between sports calendars
For more pitfalls across the industry, read the restaurant loan mistakes that cost owners the most.
Next Steps to Finance Your Jefferson’s Franchise
Step 1: Request the current FDD. Focus on Items 5, 6, 7, 10, 17, 19 and 21.
Step 2: Confirm owner requirements. Ask about net worth, liquidity, experience and available markets.
Step 3: Gather your financial documents. Assemble tax returns and a personal financial statement.
Step 4: Price your site. Collect build-out, equipment and liquor license costs and compare them with Item 7.
Step 5: Build projections. Model sales, food and beverage cost, labor, rent, royalties and debt service.
Step 6: Talk with a financing specialist. Compare SBA 7(a), SBA 504, conventional and equipment options before you sign a lease or purchase contract.
Step 7: Close and open. Coordinate closing with franchise approval, licensing and construction.
Jefferson’s Franchise Loan FAQs
How much does it cost to open a Jefferson’s?
The total investment is disclosed in Item 7 of the current FDD and depends heavily on the site, whether you lease or buy, the space’s condition and the local liquor license cost.
What is the Jefferson’s franchise fee?
The initial franchise fee appears in Item 5 of the current FDD. We could not verify the current amount for this article.
What royalty does Jefferson’s charge?
Royalty and marketing contributions are listed in Item 6. Use them in your cash-flow model, because they are paid before debt service.
Can I get an SBA loan for a Jefferson’s?
Yes, if you qualify. Jefferson’s is listed on the SBA Franchise Directory under code S3516, so SBA lenders can consider a Jefferson’s franchise loan application.
Can I buy an existing Jefferson’s?
Yes, if an owner is selling and the franchisor approves the transfer. Lenders can underwrite the restaurant’s actual results.
Can I finance the bar and kitchen equipment separately?
Yes. Fryers, refrigeration, draft systems and televisions can be financed through equipment loans or leases.
Can a first-time owner qualify?
Possibly. The company says many owners started as employees, and lenders weigh that hands-on experience alongside your equity and credit.
How many locations does Jefferson’s have?
The company reported 36 restaurants as of May 2025 in five states.
Does Jefferson’s offer financing?
Check Item 10 of the current FDD, which discloses any financing the franchisor offers or arranges.
How long is the franchise term?
Item 17 and the franchise agreement state the initial term and renewal conditions. Lenders compare the term with the loan and lease lengths.
Final Thoughts
A Jefferson’s restaurant combines a full kitchen, a bar and a neighborhood following, and its owners often come up through the system. Buyers who read the FDD carefully, budget for licensing and game-day staffing, choose the right SBA or conventional structure and keep reserves give lenders a clear picture of a sound deal.
US Professional Funding helps franchise buyers and owners finance startups, acquisitions, equipment and working capital. Learn more about our franchise financing solutions and restaurant business loans.
