Are you a recent college graduate with limited business experience who is looking for an exciting new venture? Franchising with Chick-fil-A may be just what you’re looking for! The International Franchise Professionals Group (IFPG) is a membership-based franchise consulting network that can help guide you through the process. In this article, we will provide all the information you need to know about franchising with Chick-fil-A.
Chick-fil-A is an immensely popular chicken restaurant chain and it is one of only 15 companies on the Fortune 500 list that was founded and is still run by the same family. Chick-fil-A has over 2,400 restaurants in 46 states and Washington, D.C. and the company’s success is due, in part, to its dedication to customer service and its innovative menu. The corporation also gives back to the community by supporting education, volunteering, and making grants to charities.
Franchising with Chick-fil-A is an appealing option for those looking to start their own business. It offers the benefits of a well-known brand, a proven business model, and the potential for a healthy return-on-investment. Aspiring franchise owners who choose Chick-fil-A will enjoy the convenience of having a restaurant pre-built and an established supply chain offering fresh quality ingredients. Here are the key steps to consider when opening a Chick-fil-A franchise:
Franchise Application Process
The first step in becoming a franchisee with Chick-fil-A is to submit a potential franchise application. The application will entail questions about both your personal and professional background. Once your application is received, Chick-fil-A corporate representatives will review it and if all criteria are met, you will receive an invitation to attend a personal interview.
The interview is used to further assess your potential as a franchise owner. At this stage, Chick-fil-A will contact your references and also ask questions about your knowledge of the restaurant industry and your enthusiasm for the brand. It is important to note that Chick-fil-A encourages applicants from diverse backgrounds and if your application is approved, you will be offered a franchise opportunity.
Business Requirement
Next, you will need to provide Chick-fil-A with a business plan. This should include information about your financial resources, your restaurant location and your planned marketing strategy. Having a business plan sets you up for success in the franchising process and will be a key element for the review process.
The Chick-fil-A franchise agreement outlines all the terms and conditions of the franchise and is the pillar of the agreement between the two parties. It includes the obligations of both the franchisee and the franchisor. The agreement also outlines the list of support and ongoing training that Chick-fil-A provides, which includes educational and coaching resources to help the franchisee succeed in running their restaurant.
Financial Requirements
Chick-fil-A requires that franchisees have a net worth of at least $1 million and that $750,000 of that be liquid assets. The total cost of opening a Chick-fil-A restaurant varies based on the location but typically ranges between $945,000 – $2,263,000. The franchise fee is $10,000 and the royalty fee is 5% of gross sales.
Operations
The franchise agreement outlines how the Chick-fil-A franchise will operate. These operations include everything from how the customer orders their food to how the restaurant is staffed. The franchise agreement also includes Chick-fil-A’s well established brand standards, which provide franchisees with a structured approach to customer service.
The Bottom Line
In summary, franchising with Chick-fil-A is an exciting opportunity for new business owners. There is a long list of benefits to owning a franchise with this well-known brand, including premier customer service, innovative menu options, and a strong return-on-investment. The franchising process is straightforward and provides franchisees with the support and guidance needed to achieve success.
For those considering franchising with Chick-fil-A, it’s important to understand that the process is highly competitive and the restaurant model requires that franchisees have a substantial financial investment. If you meet the application and financial requirements and can demonstrate a strong business plan, Chick-fil-A can be an excellent opportunity.
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