While many restaurant chains are closing stores, Freddy’s Frozen Custard & Steakburgers is bucking the trend. The chain is thriving by combining comfort food and franchising successfully. In 2024 alone, Freddy’s opened 40 new locations, reaching a total of 550. Out of these, 514 are franchises, and 36 are owned by the company.
Freddy’s is present in 36 states, with Delaware joining the list in early 2025. The chain is also expanding into unique spaces like airports and stadiums, which adds to its appeal.
CEO Chris Dull, who took over in May 2021, has a rich background in franchising, having led other restaurant brands for 14 years. He credits much of Freddy’s success to franchise owners who skillfully replicate signature menu items. Their kitchens are designed for efficiency, helping maintain quality in their made-to-order steakburgers and freshly churned frozen custards.
Thompson Street Capital Partners, based in St. Louis, owns Freddy’s. This private equity firm specializes in nurturing businesses for steady growth. While it also invests in biotech and tech, its focus on Freddy’s highlights its commitment to the restaurant industry.
Dull points out that Freddy’s is growing by choosing “multi-unit franchise developers.” This strategy helps keep costs in check, allowing Freddy’s to keep its prices competitive. For instance, the original double combo meal, including a burger, fries, and a drink, costs $10.79. Dull emphasizes that while they aim for value, Freddy’s is not a discount brand.
Customers appreciate Freddy’s not just for the food but for the friendly service. Drive-thru orders now make up 48% of sales, while in-restaurant dining is 33%. To enhance the drive-thru experience, staff are trained to confirm orders and engage with customers, creating a warm atmosphere even in a fast-paced environment.
Most Freddy’s locations are found in suburban areas rather than major cities. Dull notes that millennial families are their main customers, which include parents, kids, and even grandparents. Most restaurants can seat 80 to 100 people, a rarity in fast-casual dining where quick service often limits in-store seating.
Freddy’s menu features more than just steakburgers. They serve chicken tenders, fried chicken sandwiches, cheese curds, tater tots, and delicious custard with a variety of toppings. For those looking for lower calorie options, steakburgers and chicken sandwiches can be ordered as lettuce wraps, but there are no salads offered. They also provide calorie counts for each item, helping customers make informed choices.
A recent addition to the menu was the prime steakburger, featuring prime rib. Its popularity led to its continued availability on the 2025 menu, alongside a grilled cheese steakburger that highlights four different cheeses.
Customer reviews vary. For example, Rob from Wichita enjoyed his meal and praised the friendly staff at his local Freddy’s. However, Luisa from Dallas faced an issue when her takeout order was incorrect, and her experience with management left her dissatisfied. Freddy’s team responded to her complaint, inviting her to discuss it further with a regional manager.
Looking ahead, Dull plans to open 60 more locations by the end of 2025, aiming to surpass 600 total restaurants. When asked about going public, he admitted it’s a possibility for the future, although it isn’t a current focus.
Dull attributes Freddy’s steady growth to three key factors: a commitment to high-quality food and cleanliness, a focus on franchise profitability, and creating a welcoming atmosphere for families.
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