Discover the essentials of owning a Chick-fil-A franchise, from costs and expected profits to contract terms and responsibilities in our comprehensive guide.
What percentage do Chick-fil-A owners get?
Chick-fil-A has a distinct franchise business model. The Chick-fil-A franchise fee is a very accessible at $10,000. Chick-fil-A corporation will pay for land, construction and equipment for a restaurant, then rent it to the franchisee for 15% of sales plus 50% of pretax profit remaining.
Why is it only cost $10 K to own a Chick-fil-A franchise?
Startup costs for Chick-fil-A franchises are relatively low. That’s because, unlike other franchises, Chick-fil-A actually purchases the real estate and all of the equipment required to open the business, and then leases them to you via monthly rent payments.
How much does a Chick-fil-A owner make the first year?
With a Chick Fil A franchise owner’s salary range typically falling between $150,000 and $250,000 annually, the investment in this popular fast-food chain can prove to be highly profitable.
How long is a Chick-fil-A franchise contract?
Term of Agreement and Renewal: The initial franchise term terminates on the earlier of December 31 of year the agreement is signed or when the lease expires, if earlier. The term is automatically extended for one-year periods unless written notice given at least 30 days prior to end of existing term by either party.
What are the responsibilities of a Chick-fil-A franchise owner?
Ownership Structure This means that the franchisee is responsible for the day-to-day operations of the restaurant, such as hiring employees, managing inventory, and ensuring quality control. However, Chick-fil-A owns the real estate and equipment, and the franchisee pays rent to the company.