factual

From whom must Chesters franchisees purchase Proprietary Goods?

Chesters Franchise · 2025 FDD

Answer from 2025 FDD Document

You currently must purchase required ingredients to prepare the Chester's menu, including but not limited to breading, fresh poultry, dipping sauces, frozen side items and paper products.

We license certain suppliers to prepare these ingredients using our proprietary formulas.

The suppliers then sell the Proprietary Goods to our designated distributors, and you must purchase the Proprietary Goods from one or more of our designated distributors.

However, we reserve the right to change these requirements from time to time.

Source: Item 7 — **ESTIMATED INITIAL INVESTMENT (FDD pages 16–19)

What This Means (2025 FDD)

According to Chesters's 2025 Franchise Disclosure Document, franchisees must purchase required ingredients, referred to as Proprietary Goods, from designated distributors. These ingredients are essential for preparing the Chesters menu and include items such as breading, fresh poultry, dipping sauces, frozen side items, and paper products. Chesters licenses certain suppliers to prepare these ingredients using their proprietary formulas. These licensed suppliers then sell the Proprietary Goods to designated distributors.

This system ensures that franchisees use ingredients that meet Chesters's standards and contribute to the consistency of the brand's offerings. However, Chesters retains the right to modify these requirements, which means the list of designated distributors could change over time.

As a prospective franchisee, it is important to stay informed about any changes to the approved supplier list to ensure compliance and maintain the quality of the products served. Understanding the relationship between Chesters, its licensed suppliers, and the designated distributors is crucial for managing inventory and maintaining brand standards.

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.