Does Chesters anticipate allowing experienced foodservice operators to develop additional Chester Fried Licensed Restaurants in certain parts of the United States?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition, in certain parts of the United States, we may continue allowing certain experienced foodservice operators, and chain accounts who already operate one or more Chester Fried Licensed
Restaurants, to develop and operate additional Chester Fried Licensed Restaurants. We generally anticipate doing so only when the experienced food-service operator or chain account prefers (for its own business reasons) not to acquire a CHESTER'S Restaurant franchise. With this exception, we focus on offering and granting CHESTER'S Restaurant franchises and CHESTER'S Licensed Restaurants (as described below). Chester Fried Licensed Restaurants will continue to operate for many years and might compete with you if they are located in the same geographic area where your Restaurant is located. We do not currently operate and have not operated any Chester Fried Licensed Restaurants or CHESTER'S Restaurants.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–12)
What This Means (2025 FDD)
According to Chesters's 2025 Franchise Disclosure Document, Chesters may continue allowing experienced foodservice operators and chain accounts who already operate one or more Chester Fried Licensed Restaurants to develop and operate additional Chester Fried Licensed Restaurants in certain parts of the United States. Chesters generally anticipates doing so only when the experienced food-service operator or chain account prefers not to acquire a CHESTER'S Restaurant franchise for its own business reasons.
Chester Fried Licensed Restaurants will continue to operate for many years and might compete with a new franchisee if they are located in the same geographic area where the Restaurant is located. As of December 31, 2024, there were approximately 16 Operators of Chester Fried Licensed Restaurants remaining in the United States.
Chester Fried Licensed Restaurants generally did not receive all the benefits of a CHESTER'S Restaurant franchise and also were not subject to all the same restrictions and obligations. For example, Chester Fried Licensed Restaurants did not pay a franchise or any other initial fee. Also, most Chester Fried Licensed Restaurants continue to operate under the "CHESTER FRIED®" name. Operators of Chester Fried Licensed Restaurants have the right to convert their units to franchised Restaurants if they satisfy Chesters' standards for a CHESTER'S Restaurant franchisee.