Why Is Culver’s Only in the Midwest?
It is not strictly, and it is spreading. But the chain grows slowly on purpose, because every restaurant must have its owner working in it, and no owner can have more than four.
The chain’s own leadership puts it more simply. Co-founder Craig Culver has said he wants to do it the right way and keep growing the right way, and that he has a fear of failing.
Where it started
The first Culver’s opened in Sauk City, Wisconsin in July 1984, and the company is still headquartered a few miles away in Prairie du Sac. Franchising began in 1988.
A franchise chain naturally grows outward from home first. The early franchisees tend to be people who already know the brand, the suppliers are local, and the training happens at the original restaurant. For Culver’s, all of that points to Wisconsin, Minnesota, Illinois, Iowa and the surrounding states.
What is unusual is how long the chain has stayed concentrated there, and that is a choice.
The rules that slow it down
| Rule | What it means |
|---|---|
| Owner-operator only | Every restaurant must have an owner who works in it day to day. No passive investors running stores from a distance. |
| Four location cap | A single franchisee cannot own more than four Culver’s restaurants. |
| Discovery Week | Candidates spend five full days working at the original Sauk City restaurant learning operations and food prep before going further. |
| Development program | Successful candidates then complete classroom and hands-on training, including at the company’s ButterBurger University. |
| Capital requirement | At least 500,000 dollars in liquid assets, or 750,000 if the franchisee will own the real estate. |
Chief executive Julie Fussner has called the owner-operator rule the absolute secret to the company’s success, and said there is absolutely no compromise on it.
Why the slow model pays off
The numbers explain why the company has no reason to change.
The average Culver’s takes more than 4 million dollars a year. System sales reached about 3.68 billion dollars in 2024, up 12.1 percent, and sales rose again in 2025 with traffic up 5.4 percent.
For comparison, an average Jersey Mike’s takes about 1.4 million and an average Subway about 500,000. A chain with store economics that strong does not need to rush into new states. Subway shows what happens at the other extreme, covered in why Subway is closing so many stores.
It is spreading
Culver’s now has more than 1,046 restaurants across 26 states, and it has moved well beyond the upper Midwest into the South and the West. The growth is steady rather than explosive, but the Midwest-only label is becoming less accurate every year.
The pattern is similar to Whataburger in Texas, which also stayed regional for decades before expanding, though for a different reason. Whataburger’s family chose not to grow. Culver’s grows, but only as fast as its rules allow. That comparison is in why Whataburger is only in the South.
Is the food tied to Wisconsin?
Partly. The brand leans on Wisconsin dairy. The butter on the ButterBurger bun comes from Alcam Creamery, a family-owned Wisconsin dairy less than an hour from the headquarters, and frozen custard and cheese curds are Wisconsin staples.
That regional identity travels with the brand, which is part of the appeal in new markets. Current prices and the full lineup are on the Culver’s menu.
Related Questions
Why is Culver’s only in the Midwest?
Because it deliberately grows slowly. Every restaurant must have a hands-on owner-operator, no franchisee can own more than four locations, and candidates train in person at the original Wisconsin restaurant. That rules out rapid multi-unit expansion, so the chain has spread outward from Wisconsin gradually and now reaches 26 states.
How many states have Culver’s?
Twenty-six, with more than 1,046 restaurants. The heaviest concentration is still in the Midwest, but the chain has expanded into the South and the West and continues to open new locations each year.
Can anyone open a Culver’s franchise?
No. Culver’s requires an owner-operator who works in the restaurant, caps each franchisee at four locations, and needs at least 500,000 dollars in liquid assets. Candidates also complete Discovery Week, five full days working at the original Sauk City restaurant, before moving forward.
What is Culver’s Discovery Week?
A five day stint that prospective franchisees spend working at the original Culver’s in Sauk City, Wisconsin, learning operations and food preparation first hand. Those who continue then complete the company’s franchisee development program, including training at ButterBurger University.
How much does a Culver’s make per year?
More than 4 million dollars on average per restaurant, one of the highest figures among quick service chains. System sales were about 3.68 billion dollars in 2024, up 12.1 percent on the year before.
Is Culver’s expanding?
Yes, steadily. It opens new locations every year and has moved well beyond the upper Midwest, but it expands only as fast as it can find qualified owner-operators, so growth is gradual rather than explosive.
Where was the first Culver’s?
Sauk City, Wisconsin, which opened on 18 July 1984. The company is still headquartered nearby in Prairie du Sac, and prospective franchisees still train at the original restaurant.
More on Culver’s
About this guide. USA Food Menu is an independent reference site and is not affiliated with Culver’s. Franchise requirements, sales figures and location counts come from published reporting and franchise disclosures and change over time. Current prices and calories are on the Culver’s menu.
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