How many Churchs Chicken outlets in Arizona were not renewed in 2024?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
| | 2024 | 0 | | | 2022 | 0 | | Michigan | 2023 | 1 | | | 2024 | 0 | | | 2022 | 0 | | New Mexico | 2023 | 0 | | | 2024 | 4 | | | 2022 | 5 | | Texas | 2023 | 3 | | | 2024 | 10 | | | 2022 | 9 | | Total | 2023 | 19 | | | 2024 | 19 |
Table No. 3 Status of Franchised Outlets For Years 2022 to 2024
| State | Year | Outlets At Start of Year | Outlets Opened | Termin -ations | Non Renewals | Re -acquired by Cajun | Ceased Opera tions – Other Reason | Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| 2022 | 27 | 0 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 62–67)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, one Churchs Chicken outlet in Arizona was not renewed in 2024. At the start of 2024, there were 39 outlets, and by the end of the year, there were 38. This decrease of one outlet is attributed to a non-renewal.
Non-renewal of a franchise agreement can occur for various reasons, such as the franchisee's failure to meet performance standards, changes in the franchisee's business strategy, or the franchisee's decision to retire or pursue other opportunities. For a prospective franchisee, understanding the factors that contribute to non-renewal is crucial for long-term success. It highlights the importance of maintaining good standing with Churchs Chicken and adhering to the terms of the franchise agreement.
It's important to note that non-renewals are distinct from terminations, re-acquisitions, and other reasons for ceasing operations. Terminations typically involve a breach of contract, while re-acquisitions involve Churchs Chicken buying back the franchise. 'Ceased Operations – Other Reason' can include closures due to poor performance or other factors. The fact that there was one non-renewal in Arizona during 2024 suggests that franchisees need to be aware of the renewal terms and conditions to avoid this situation.