When is the Development Schedule Extension Fee due for a Churchs Chicken franchise?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE1 | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| Development Schedule Extension Fee | $5,000 for each Development Schedule extension of 5 months – if extending opening date and open within the extended time period, the extension fee will be credited to the Franchise Fee; if extending site approval date, no credit | On our approval of any Development Schedule Extension | We reserve the right, in our sole discretion, to grant one or more Development Schedule Extensions to site approval date and/or opening date. |
Source: Item 6 — OTHER FEES (FDD pages 19–24)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, the Development Schedule Extension Fee is due upon the franchisor's approval of any Development Schedule Extension. This fee amounts to $5,000 for each extension of 5 months.
This fee applies when a franchisee needs to extend either the site approval date or the opening date of their Churchs Chicken location. It's important to note that Churchs Chicken reserves the right, at its sole discretion, to grant these extensions. If the extension is for the opening date and the franchisee opens within the extended time period, the $5,000 extension fee will be credited towards the initial franchise fee.
However, if the extension applies to the site approval date, the $5,000 fee is not credited towards the franchise fee. This distinction is crucial for prospective franchisees to understand, as it affects the overall cost of opening a Churchs Chicken restaurant depending on the type and number of extensions needed.
Franchisees should carefully consider their development timeline and potential delays to minimize the need for extensions and avoid incurring these fees. Understanding the conditions under which the fee is credited back can help in financial planning and managing the initial investment.