What factors may affect the size of a Churchs Chicken Development Area?

According to Churchs Chicken's 2025 Franchise Disclosure Document, the size of a Development Area under the Development Agreement can vary considerably and is subject to mutual agreement between Churchs Chicken and the developer before signing the agreement. This means that the Development Area is not a fixed size and is negotiable. Several factors can influence the final size of the Development Area.

The factors that may affect the size of a Churchs Chicken Development Area include the franchisee's wishes regarding the area they want to develop. The expansion capacity of the contemplated area is also a factor, as Churchs Chicken will consider how much potential there is for growth in that region. The level of competition in the area is another important consideration, as a highly competitive market may result in a smaller Development Area. Finally, the franchisee's prior experience and financial capacity play a role, as Churchs Chicken will assess whether the franchisee has the resources and skills to successfully develop a larger area.

It is important to note that Churchs Chicken may offer an amendment to the Development Agreement that provides limited territorial exclusivity, called an "Exclusive Development Agreement," which is negotiated based on the franchisee's capabilities and Churchs Chicken's market development objectives. However, even with an Exclusive Development Agreement, certain locations like airports, train stations, and shopping malls are typically excluded from the exclusive development area. Prospective franchisees should carefully consider these factors and negotiate the Development Area size to align with their capabilities and business goals.