factual

What is the range for leasehold costs and building and site improvements for a non-traditional Chicken Guy restaurant?

Chicken_Guy Franchise · 2025 FDD

Answer from 2025 FDD Document

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

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 leasehold costs and building and site improvements for a non-traditional restaurant ranges from $350,000 to $1,200,000. These costs are paid in progress payments as arranged with a contractor or architect.

The FDD notes that the investment for a non-traditional Chicken Guy restaurant will vary depending on factors such as the venue type, size, location, number of seats, anticipated sales volume, operational conditions, and the configuration of the facility. The document also estimates that building and site improvement costs, including permits and municipality fees, will range from $400 to $1,200 per square foot or more, depending on the condition of the property and local regulatory requirements.

Prospective franchisees should carefully consider these variable factors and conduct thorough due diligence to estimate their potential costs accurately. The higher end of the estimate reflects higher development costs incurred in certain geographic areas. Checking with relevant regulatory agencies to identify costs for required building permits, impact fees, taxes, bonds, licenses, and other fees is also advised, as these can vary greatly depending on location, size, condition, market condition, and other factors.

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.