What is the required grand opening spending for a non-traditional Chicken Guy restaurant?
Chicken_Guy Franchise · 2025 FDDAnswer 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 |
| 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.) |
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 required spending for the grand opening of a non-traditional restaurant is $5,000. This amount is paid in progress payments to vendors as the expenses are incurred.
This grand opening spending is part of a larger initial investment for a non-traditional Chicken Guy restaurant, which ranges from $734,000 to $2,310,000. This total includes other costs such as the initial franchise fee, leasehold costs, building and site improvements, furnishings, signage, point of sale system, technology, graphic items, professional fees, initial manager training, pre-opening costs, and additional funds for the first three months of operation.
Prospective franchisees should note that the grand opening spending is a required minimum. It is important to develop a comprehensive grand opening marketing plan to ensure a successful launch. Item 11 of the FDD provides further details regarding grand opening marketing obligations. Franchisees should also carefully review all estimated initial investment costs with a business advisor to ensure they have sufficient capital.