Dave’s Hot Chicken Franchise Cost Price Profit Fee

 

The story began in 2017 with the opening of the first Dave’s Hot Chicken franchise, which was a pop-up restaurant in a parking lot, by chef Dave Kopushyan, and his three friends Arman Oganesyan, Tommy, and Gary Runyan. The business is a fast-casual chicken concept with a California base. The restaurant’s creator, Kopushyan, a self-described “spice freak,” loved the taste of Nashville Hot Chicken and wanted to share it with Los Angeles residents. The business opened its first physical restaurant in East Hollywood. A year after awarding franchise locations, it began to grow its franchise presence across North America. 

The business specialises in offering food options with customised levels of heat. The customer can select from no spice, lite mild, mild, medium, hot, extra hot, and reaper for their desired level of heat. Before tasting anything from their spicier menu, even customers must sign a waiver. They offer a variety of foods in addition to chicken dishes, including burgers, sandwiches, salads, and appetisers. Dave’s is primarily concerned with spreading its famous tenders and sliders throughout the nation.

 

 

How much does a Dave’s Hot Chicken franchise cost?

You need at least $626,300 to open a Dave’s Hot Chicken franchise. This initial investment will cost you between $615,800 to $1,825,000. The total amount of money needed will be $250,000 in cash and $500,000 in net worth. 

Dave’s Hot Chicken $40,000 franchising fee. The advertising marketing fee will be 2% of gross sales, and the royalty fee will be 5% of gross sales. The company will not offer any discounts to veterans.

The below tables will help you understand its costs in the United States and Canada.

 

Dave’s Hot Chicken Franchise Price
Dave’s Hot Chickens Franchise Fee	$ 40,000
Dave’s Hot Chickens Franchise Cost	$615,800 to $1,825,000
Royalty Fee	3%
Advertising Fee	2%
Term of Agreement	10 years
Is franchise term renewable?	Yes,
Renewable Franchise Fees	50% of Initial Franchise fees

How much do Dave’s Hot Chicken franchise owners make?

 

As this franchise owner, you know that your reputation is everything. You have worked hard to build a name for your chicken restaurant, and you want to ensure that your customers know that you are the best in town. You want to ensure that your restaurant is always clean and well-maintained and that your employees are always happy and on their game.

One way to do this is to invest in quality food and equipment. You should also make sure that your restaurant is well-lit and organized. You should also make sure that your employees are well-trained and know how to run your restaurant effectively.

 

What is Dave’s Hot Chicken franchise profit?

Unfortunately, Dave’s Hot Chicken has not shared their franchise average sales volumes and profitability in item 19 of the latest franchise disclosure document.

I will contact Dave’s Hot Chicken’s top management to share these franchise sales volumes with us, once we receive them. We will update the information on this article for you. Alternatively, you can ask Dave’s Hot Chicken’s existing franchises for franchise reviews on revenues and profit.

 

Dave’s Hot Chicken Franchise  Requirements

 

The company doesn’t demand much from the owners because it is a new brand. No prior expertise in a particular field is required. All you require is

1. Candidates must adhere to applicable pre-sale registration requirements.

2. Must adhere to the franchise state’s disclosure requirements

3. A desire to serve the community by using different spices and a love for spices.

4.  $615,800 to $1,825,000 initial requirement

 

 

Dave’s Hot Chicken franchise reviews

 

There is no denying that Daves’s Hot Chicken is one of the most popular fast-food franchises in the United States. The chicken is cooked to perfection and the flavors are unmatched. However, is the Daves Hot Chicken franchise a good investment?

There are a lot of these franchise reviews online, and the majority of them are positive. One customer even said the chicken is “the best tasting chicken he’s ever had.”

However, some people do have concerns about the franchise. One customer said that the franchise is “overpriced” and that “the food isn’t that great.

 

Dave’s Hot Chicken Franchise Rankings

What is Dave’s Hot Chicken?

It began offering franchise opportunities just one year after it was founded, five years ago. If you’re interested in such quick-service restaurants, this new franchise might be the best choice for you. Franchisees for the company are currently coming from various parts of America. Franchise owners have praised the business for its numerous revenue streams, merchandise, and online ordering. 

The company’s support and training program will be advantageous to the owners. Both classroom and on-the-job training will be used for this training. The new owners will benefit from this program’s assistance in efficiently operating their units. Other restaurant-related tasks such as marketing, advertising, hiring, managing sales, and ongoing support throughout your tenure with the franchise are also included in this program. plus a tonne more. Being Dave’s franchisee requires you to experiment with spices while providing the best chicken flavor for the community.

 

Is Dave’s Hot Chicken a franchise?

When it comes to QSR or fast-casual concepts, chicken franchises dominate. Chicken brands are among the most popular options in America, aside from burgers and pizza. Since it first opened its doors five years ago, Dave’s Hot Chicken has drawn a lot of interest from chicken lovers across the nation. The company began offering franchise opportunities shortly after opening its third store, which indicates a significant opportunity for the future of the business. 

Additionally, it is anticipated that the brand will soon announce 100 additional proposed franchise locations. Currently, franchise offers and sales are restricted in the following states: The following states are included in the United States: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin.

 

 

Dave’s Hot Chicken Franchise Information

Forbes has listed the company’s name in the category of future emerging brands. Former First Lady of California Maria Shriver, film producer John Davis, Red Sox owner Tom Werner, actor Samuel L. Jackson, and Good Morning America anchor and former NFL player Michael Strahan are among the investors in this new company. Recently, they have more than 20 units in America, and the business is looking to grow throughout the continent.

 

Dave’s Hot Chicken Franchise Review
Industry Type	Food and Beverages
Sub Category	Fried Chicken, Burgers
Year Established	2018
Company Name	Dave’s Hot Chicken Franchise Co., LLC
Founder/Management Head	Bill Phelps, CEO
Franchising Started	2019 (3 years)
Employees at Company H.O	More than 30
Franchise Expansion Plan	United StatesAsia, Middle East, Canada
Number of Units	152 (as of 2023)
Number of Franchise Units	45+
Social Media Handles	Facebook
	Twitter
	Instagram
Company Office location	600 Playhouse Alley, #504Pasadena, CA 91101

 

Dave’s Hot Chicken Franchise Training and Support

The Daves take great care to ensure the success of their franchises. 48 hours of classroom instruction and 18 hours of on-the-job training are split up into two parts of the company’s initial training program during the first phase. You will receive all the knowledge necessary to successfully operate a business from this training. You will receive assistance in choosing the store’s location from a committed team. Additionally, they will assist with the grand opening and train you prior to and following the opening.

Daves Hot Chicken Franchising Operations and support

Even after the start of the store, training, and assistance will continue to ensure your company’s success in the industry. The training will not begin until it is open. For the duration of your time with the franchise, they will help you with marketing and advertising, hiring, managing sales, and ongoing support like meetings & conventions, newsletters, field operations, and many more things. 

You can anticipate excellent marketing support from the brand because of the company’s strong social media presence.

 

 

How is Dave Hot Chicken Franchise Territory Granted

To open a franchise there, franchise owners must adhere to any pre-sale registration and disclosure requirements in their state. Franchise Disclosure Documents will be used to offer franchises. 

Only a prospectus that has been previously submitted to and registered with the Department of Law of the State of New York may offer a franchise in New York. The submission of an offering prospectus for registration or its acceptance and filing by the Department of Law under New York law.

What is Dave’s Hot Chicken Franchise Term of Agreement and Renewal?

The Dave’s Hot Chicken franchise’s initial term is 10 years. Franchisees are eligible for renewal if they are performing as expected. Existing franchise owners have the option of an additional ten years during the renewal process.

Dave’s Hot Chicken Franchises Financial Assistance

It does not provide direct franchise financing. Any lease or note obligation cannot be guaranteed by the business franchisor for the franchisee. Given that the business has a relationship with investors, it can offer third-party financing options that will cover startup costs, inventory, equipment, payrolls, and accounts receivable. 

SBA financing may be available to help with franchise purchases. It is assigned SBA franchise ID (S5336) in April 2020.

I will strongly recommend you buy franchise insurance after owning this.

 

Pros & Cons of Dave’s Hot Chicken Franchise

There are many pros and cons to owning this. The pros of owning Dave’s franchise include the opportunity to own a successful business, the ability to be your boss, and the potential to make a lot of money. The cons of owning Dave’s franchise include the potential for long hours and a lot of work, the potential for high startup costs, and the potential for long-term financial risks.

Below you can find the pros and cons of owning this.

 

Pros of owning a Dave’s Hot Chicken 

1. The business has a strong online presence, which will initially result in a large fan base.

2. They’ll support local and national marketing efforts and have loyalty programs.

3. Offer a variety of spice options that appeal to spice lovers.

4. Have a great operational procedure, manual, and system

5. Assistance with site selection

6. A well-known global brand

7. The chicken is incredibly hot and seasoned well

8. Dave’s Hot Chicken has a variety of sauces and toppings available to customize the chicken meal

9. It is open late at night and offers a variety of food items for purchase

 

Cons of owning a Dave’s Hot Chicken

 

1. Being a new brand that is still developing. 

2. Their training and marketing not reaching the level. 

3. Having a few picky requirements for territory approval. 

 

 

Franchise Deck Analysis and Overview

In the current US market, this franchise is developing. The country’s market is more geared toward the quick-service restaurant model, where chicken restaurants are receiving more attention than many other categories. Despite being a new company (founded in 2017), they have already begun franchising after opening three company-owned locations and one award-winning franchise location. 

The famous investor pays close attention to the business as well. Additionally, the business has social media presence strategies. These actions have helped the business build a strong fan base of customers. Even though the pandemic had a significant impact on the market, the company was able to survive and is expected to soon add 100 franchises. 

However, because they are a new franchise, their training and support program hasn’t yet developed well. However, they guarantee the success of their franchises and offer training. The Dave’s Hot Chicken franchise is a fantastic opportunity for the future, is all I can say. Therefore, it is anticipated to be worthwhile to invest.

The Franchise Deck rating for the Dave’s Hot Chicken franchisee is 3.4/5.0.

Conclusion: Should You Buy Dave’s Chicken Franchise for Sale?

We can therefore conclude that the Dave’s Hot Chicken franchise is a new one with a bright future and a realm of possibility. The business, which was only founded in 2018, has generated a lot of buzz thanks to its celebrity investors. The company is currently looking to expand in the US, Canada, and New York. And they are working to expand their profitable franchise business model. Because of this, it is anticipated to be a great investment for any interested owner.

Entrepreneurs who want to open a franchise in the chicken franchise category can look at 

1. Golden Chick Franchise 

2. Raising Cane’s Franchise

3. Pluckers Franchise 

4. Halal Guy Franchise  

5. Bonchon Franchise

6. KFC Franchise

7. Zaxby’s Franchise

8. Bonchon Chicken Franchise

9. Chicken Express Franchise

10. PDQ Franchise

11. Houston’s Chicken Franchise

12. Krispy Chicken Franchise

13. Slim Chicken Franchise

14. Chicken Salad Chick franchise

15. Chicken Guy Franchise

Frequently Asked Questions (FAQs)

1. Is the Dave’s Hot Chicken franchise profitable?

The Dave’s Hot Chicken franchise is indeed successful. It will take time, just like in other businesses, to reach full profitability. Considering how well-liked the company is, we can anticipate its future success.

2. Can you make money owning a Dave’s Hot Chicken?

Yes, you can make money with the ownership of the Dave’s