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Chick-Fil-A Franchise Review

Background and Benefits

About.com Rating 4.5 Star Rating
User Rating 4 Star Rating (3 Reviews)

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FORT WORTH, TX - AUGUST 01: Drive through customers wait in line at a Chick-fil-A restaurant on August 1, 2012 in Fort Worth, Texas. Chick-fil-A resturants across the country experienced heavier than normal traffic after Mike Huckabee, the former governor of Arkansas and a 2008 presidential candidate, encouraged a 'Chick-fil-A Appreciation Day' in support of the company's stance on gay marriage.
Tom Pennington/Stringer/Getty Images
In 1946, Truett Cathy opened his first restaurant in Hapeville, GA. In 1964, this privately owned franchise family offered the first boneless breast of chicken sandwich, named the Chick-Fil-A sandwich. Chick-Fil-A was also the first to sell chicken nuggets in 1982. Now, with over 1380 restaurants in 37 states, Chick-Fil-A has grown to become the second largest quick-serve chicken restaurant chain in America, exceeding $2 billion in annual sales.
Chick-Fil-A offers potential franchisees an exclusive right to become a part of its team. Once selected, franchisees enjoy a corporate staff of professionals that support them on every level. Chick-Fil-A, Inc. will handle all advertising, selection of business location, training, marketing, and more. In fact, Chick-Fil-A, handles so much of their franchisees’ business that franchisees may eventually feel a little cooped up by the amount of control Chick-Fil-A retains.

How Much Does a Chick-Fil-A Franchise Cost?

Got $5000 laying around? Then you can forget the burgers and throw your money down on a license to operate a Chick-Fil-A. But get in line. Chick-Fil-A only gives about 75 of the 10,000 applicants per year the right to operate a franchise, and along with this right comes strict stipulations. Your store will be closed on Sunday to give employees a day off to rest or worship. You will not own the property upon which the store sits, nor will you be allowed to select your location. Investment information is conspicuously missing from the company’s website as well as the net, but good credit with a proven business track record will get you considered for a franchise. You will have to surender a whopping 50% of the monthly net profits.

What We Like

We like chicken, we like the community presence, and we like Truett Cathy. We love the ridiculously low franchise fee of $5000, and we even love the psychology of the “cows as spokes-animal” advertising. It would be nice if Mr. Cathy could give up a little more control to his franchise partners, but maybe that’s why the chicken and the profits are so darned good. Even with all the stipulations, this proven winner has staying power and its continued popularity has demonstrated this Mega brand’s stability in every decade’s economy.

Pros

  • Franchise Fee - We hate to keep clucking, but shucks, only $5000?

Cons

  • Ownership - If you're not a control freak you might survive the arrangement, but 50% of the net sounds like Fowl play.

Chick-Fil-A Franchise Information

Business Established: 1946
Franchising Since: 1967
Franchise Fee: $5,000
Initial Investment: A closely guarded secret-You'll have to send in an application

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