What factors does Chicken Guy consider when reviewing a relocation request?

According to Chicken Guy's 2025 Franchise Disclosure Document, if a franchisee wishes to relocate their restaurant, Chicken Guy must provide prior written consent. Chicken Guy may withhold this consent at their sole discretion. In making this determination, Chicken Guy will review a variety of factors. These factors include population density, the proximity of other Chicken Guy restaurants, and other relevant demographic factors.

This means that franchisees cannot simply move their Chicken Guy restaurant to a new location without approval. Chicken Guy retains significant control over where its franchises operate, likely to ensure brand consistency and market optimization. The mention of "sole discretion" suggests that Chicken Guy has broad authority in these decisions.

Furthermore, Chicken Guy has the right to charge the franchisee for all reasonable expenses actually incurred while considering the relocation request. Chicken Guy may also condition its approval upon the payment of an agreed minimum royalty fee during the period in which the restaurant is not in operation. This indicates that relocation can be a costly process for the franchisee, involving not only direct expenses but also potential royalty obligations during the transition period. Franchisees need to carefully weigh these costs against the potential benefits of relocation and factor them into their business planning.