What is the low-end estimated initial investment for a non-traditional Chicken Guy restaurant?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
STIMATED INITIAL INVESTMENT FRANCHISE AGREEMENT
| Type of Expenditure | Amount: In-line, End Cap or Drive Thru (1) | Amount: Nontraditional Restaurant (2) | Method of Payment (3) | When Due | To Whom Paid | |
|---|---|---|---|---|---|---|
| Deposit Fee(4) | $0 - $5,000 | $0 - $5,000 | Lump sum | See Item 5 | Chicken Guy | |
| Initial Franchise Fee | $50,000 | $40,000 - $50,000 | Lump sum | See Item | Chicken | |
| (4) | 5 | Guy | ||||
| Grand Opening | $10,000 | $5,000 | Progress | As | Vendors | |
| Required Spending (5) | payments | incurred | ||||
| Leasehold Costs and Building and Site Improvements (6) | $350,000 - $1,900,000 | $350,000 - $1,200,000 | Progress payments | As arranged | Contractor, Architect | |
| Furnishings, Fixtures | $195,000 - $600,000 | $195,000 - $600,000 | As | As | Vendors | |
| and Equipment (7) | arranged | incurred | ||||
| Signage (8) | $20,000 - $95,000 | $15,000 - $95,000 | As arranged | As incurred | Vendors | |
| Point of Sale | $4.500 - $25,000 | $4,500 - $25,000 | As | As | Vendors | |
| System (9) | arranged | incurred | ||||
| Technology (10) | $15,000 - $30,000 | $15,000 - $25,000 | As arranged | As incurred | Vendors | |
| Graphic Items (11) | $30,000 - $60,000 | $20,000 - $60,000 | As arranged | As incurred | Vendors | |
| Type of Expenditure | Amount: In-line, End Cap or Drive Thru (1) | Amount: Nontraditional Restaurant (2) | Method of Payment (3) | When Due | To Whom Paid | |
| Professional Fees (12) | $10,000 - $20,000 | $10,000 - $20,000 | Before opening | As incurred | Attorney, accountant, and other business advisors | |
| Initial Manager | $15,000 - $25,000 | $15,000 - $25,000 | As | As | Third | |
| Training (13) | arranged | incurred | parties | |||
| Pre-Opening Costs | $15,000 - $50,000 | $15,000 - $50,000 | As | As | Vendors | |
| (14) | arranged | incurred | ||||
| Additional Funds – | $50,000 - $150,000 | $50,000 - $150,000 | As | As | Vendors | |
| 3 months (16) | arranged | incurred | ||||
| TOTAL ESTIMATED INITIAL INVESTMENT (17) | $764,500 - $3,020,000 | $734,000 - $2,310,000 | (Estimate does not include the cost to obtain an alcoholic beverage license which you may choose to incur. See Note 15 below.) | # TABLE NO. |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 16–20)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, the estimated initial investment for a non-traditional restaurant ranges from $734,000 to $2,310,000. This investment covers various expenses, including a deposit fee that could range from $0 to $5,000, an initial franchise fee between $40,000 and $50,000, and grand opening expenses of $5,000. Leasehold costs and building improvements are estimated to be between $350,000 and $1,200,000, while furnishings, fixtures, and equipment are projected to cost from $195,000 to $600,000.
Other significant costs include signage, estimated between $15,000 and $95,000, and point of sale systems, which are expected to range from $4,500 to $25,000. Technology costs are estimated between $15,000 and $25,000, and graphic items could cost between $20,000 and $60,000. Professional fees, such as those for attorneys and accountants, are estimated to be between $10,000 and $20,000. Initial manager training is projected to cost between $15,000 and $25,000, and pre-opening costs are estimated to be between $15,000 and $50,000.
Additionally, the estimate includes $50,000 to $150,000 for additional funds to cover the first three months of operation. It is important to note that this total estimated initial investment does not include the cost of obtaining an alcoholic beverage license, which, if desired, could add between $10,000 and $200,000 to the overall investment. Prospective franchisees should carefully review these figures with a business advisor to fully understand the financial commitment involved.
The FDD notes that the estimated initial investment for a Nontraditional Restaurant will vary, depending on the type of venue, size, location, number of seats, anticipated volume, operational conditions and configuration of the Facility. These estimates are based upon Chicken Guy's affiliates' experience in developing Nontraditional Restaurants.