factual

What core equipment is required to prepare Chesters menu items?

Chesters Franchise · 2025 FDD

Answer from 2025 FDD Document

.

Besides paying the training fee, you must buy various equipment, signage, fixtures, and product inventory before you open your Restaurant. The cost of all items available from us will depend on the Restaurant's anticipated venue and the items already in place. The expected range is $12,000 to $55,000 for a Restaurant to be located in a convenience store or similar retail business. You must have the core equipment to bread, fry, and merchandise CHESTER'S menu items. You may buy this equipment from us or use existing equipment we approve. You may buy certain proprietary food products and preparation supplies from unaffiliated suppliers. However, as described in Item 8, we have the right to require you to buy some or all of these items from designated exclusive sources, including us. None of the amounts you pay to us for any special order equipment is returnable and refundable, unless approved in advance by us. Special order equipment includes electric and/or gas powered cooking or food holding equipment, any custom signage, and other custom marketing materials. All other amounts paid to us for various equipment, signage, fixtures, and product inventory are refundable to you.

If you cancel your order for various equipment, signage, fixtures, and product inventory within 3 weeks from the estimated shipping date, or after some or all of the products are received by Chester's, then we may charge you a product cancellation fee equal to 10% of the total amount that is canceled. If you return any equipment, signage, fixtures, or product inventory to us any time, then we may charge you a restocking fee equal to 20% of the total amount that is returned, plus any freight cost we incur on your behalf. If we determine that you have failed to participate in the required pre-opening activities as required under your franchise agreement, then in addition to any remedy available to us under the franchise agreement, we may charge you a one-time storage fee equal to 10% of the total amount of the stored item(s) for storing any equipment, signage, fixtures, or product inventory that you ordered, but that we have not yet delivered to your Restaurant.

Before you open your Restaurant, we will conduct a restaurant-readiness review assessment at no additional charge to you. However, if we determine that your Restaurant does not pass the assessment and we must reassess the Restaurant multiple times, we have the right to

charge you our costs and expenses. We currently estimate this cost to be approximately $1,000 per assessment. This payment is not refundable.

Source: Item 5 — INITIAL FEES (FDD pages 13–14)

What This Means (2025 FDD)

According to Chesters's 2025 Franchise Disclosure Document, franchisees must have core equipment to bread, fry, and merchandise the brand's menu items. The FDD specifies that as of the issuance date of the document, franchisees have the right to purchase fryers, breading and batter tables, hot cases, landing tables, and oil-removal caddies from Chesters or an unaffiliated third-party food-service equipment supplier. However, Chesters retains the right to mandate that franchisees buy these items from specified exclusive sources, including themselves or their affiliates, at prices determined by the source.

The equipment package required for a Chesters restaurant depends on several factors, including the presence of existing food-service or deli-type facilities, the square footage and anticipated sales volumes, the menu format, and whether the restaurant includes a drive-thru window. Franchisees must also buy or lease certain equipment, including kitchen and serving-line equipment, a decor package, refrigeration and installation, point-of-sale materials, a safe, menu-boards, miscellaneous small wares, and signage.

Chesters also has a program with a third-party equipment lender, Ascentium Capital, to finance the purchase price for certain core equipment, signage, fixtures, and supplies. If a franchisee cancels an order for equipment, signage, fixtures, and product inventory within 3 weeks from the estimated shipping date, or after some or all of the products are received by Chesters, they may be charged a product cancellation fee equal to 10% of the total amount that is canceled. Additionally, if any equipment, signage, fixtures, or product inventory is returned, Chesters may charge a restocking fee equal to 20% of the total amount that is returned, plus any freight cost incurred on the franchisee's behalf.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.