Under what conditions will the Development Schedule Extension Fee for a Churchs Chicken franchise be credited to the Franchise Fee?
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, a franchisee may be charged a Development Schedule Extension Fee under certain circumstances. This fee is $5,000 for each extension of 5 months to the development schedule. Churchs Chicken reserves the right to grant extensions for either the site approval date or the opening date, at their discretion.
However, the Development Schedule Extension Fee can be credited back to the franchisee under specific conditions. If the extension applies to the opening date, and the franchisee successfully opens their Churchs Chicken restaurant within the extended timeframe, the $5,000 extension fee will be credited towards the initial Franchise Fee. This provides an incentive for franchisees to open on the extended schedule.
It is important to note that if the Development Schedule Extension Fee is related to extending the site approval date, the fee will not be credited towards the Franchise Fee, regardless of whether the site is approved within the extended period. This distinction highlights that the credit is specifically tied to the restaurant's opening and not just the site approval. Franchisees should carefully consider these conditions when requesting a development schedule extension, as the credit only applies if they open within the approved extension period.