factual

What are some of the site selection criteria that Chicken Guy establishes for demographic characteristics?

Chicken_Guy Franchise · 2025 FDD

Answer from 2025 FDD Document

  • C. Real Estate Site Application. Franchisee shall submit to Chicken Guy a Real Estate Site Application (containing that information as Chicken Guy may reasonably require) for a proposed site which Franchisee reasonably believes to conform to site selection criteria that Chicken Guy establishes from time to time for demographic characteristics, traffic patterns, parking, character of the neighborhood, competition from other businesses in the area, the proximity to other businesses (including restaurants operated or franchised by Chicken Guy or its affiliates), the nature of other businesses in proximity to the site and other commercial characteristics (including the purchase price, rental obligations and other lease terms for the proposed site) and the size, appearance, other physical characteristics, and a site plan of the premises.
  • D. Business Plan. Franchisee shall develop and submit to Chicken Guy, simultaneously with the submission of the Real Estate Site Application, a three-year business plan ("Business Plan") outlining the actions that Franchisee will take to ensure that Franchisee's operation and management of the Franchised Restaurant are in compliance with Chicken Guy's standards. During the term of this Agreement, Franchisee agrees to revise the Business Plan as required by Chicken Guy and further agrees to implement that Business Plan as approved by Chicken Guy.

Source: Item 22 — CONTRACTS (FDD page 50)

What This Means (2025 FDD)

According to Chicken Guy's 2025 Franchise Disclosure Document, franchisees must submit a Real Estate Site Application for site approval. This application should contain information that Chicken Guy reasonably requires, conforming to site selection criteria that Chicken Guy establishes. These criteria include demographic characteristics, traffic patterns, parking, the character of the neighborhood, and competition from other businesses in the area.

Additionally, the application should detail the proximity to other businesses, including restaurants operated or franchised by Chicken Guy or its affiliates. It should also describe the nature of other businesses near the site and other commercial characteristics, such as the purchase price, rental obligations, and other lease terms. The application must also include information on the size, appearance, other physical characteristics, and a site plan of the premises.

Chicken Guy also requires franchisees to develop and submit a three-year business plan simultaneously with the Real Estate Site Application. This plan should outline the actions the franchisee will take to ensure compliance with Chicken Guy's standards. Franchisees must revise the Business Plan as required by Chicken Guy and implement the plan as approved by Chicken Guy.

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.