How much does it cost to open a Chick-fil-A franchise?

The total initial investment for a Chick-fil-A franchise ranges from $426,735 to $2,339,525. This includes the franchise fee of $10,000, buildout costs, equipment, and initial working capital.

What are the ongoing fees for a Chick-fil-A franchise?

Chick-fil-A franchisees pay a 15.0% royalty fee. These are typically calculated as a percentage of gross revenue.

How much money can you make with a Chick-fil-A franchise?

Based on Item 19 financial performance data, the median Chick-fil-A franchise generates $9,226,669 in annual revenue. Estimated owner profit is approximately $461,333.

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QSR 2,629 Units

Chick-fil-A Franchise Cost Breakdown

Complete investment analysis based on official FDD data

Total Investment

$426,735 – $2,339,525

Franchise Fee

$10,000

Royalty Rate

15.0%

Initial Investment Range

Low: $426,735 High: $2,339,525

The total initial investment to open a Chick-fil-A franchise ranges from $426,735 to $2,339,525, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $10,000.

Midpoint estimate: $1,383,130

Franchise Fee

$10,000

One-time initial fee

The Chick-fil-A franchise fee is a one-time upfront payment made to the franchisor when you sign the franchise agreement. This fee grants you the right to operate under the Chick-fil-A brand and is included in the total initial investment range above.

Ongoing Fees

Royalty Fee

15.0%

of gross revenue

Ad/Marketing Fund

N/A

Other Ongoing Fees

Fee Type	Rate	Type	Notes
Advertising contribution	N/A	PCT	May vary between 0% to 3.25% to be determined by Chick-fil-A. Since 6/30/89, Chick-fil-A has not charged any amount for advertising (0% of Gross Receipts) as a matter of internal policy, which is subject to change. Operators within a geographic area may establish local or regional advertising fees.
Advertising Support and Services Fee	100.0	VARIABLE	Optional service. Chick-fil-A may offer advertising support and services through its in-house agency. Fee varies based on services selected. Operator pays additional fees for print production, materials, and other related costs.
Additional Franchise Fee	5000.0	FIXED	Payable when signing an Additional Business Amendment for each additional restaurant (traditional location, captive venue unit, or delivery kitchen unit). Chick-fil-A is not obligated to offer additional locations.
Business Services Fee	300.0	FIXED	If Chick-fil-A offers certain business services directly or through approved third-party suppliers, operator must use them. Operator pays for cost and expense of third-party services, including rebilled or pass-through costs.
Rent (Traditional Unit)	N/A	VARIABLE	Varies depending on location, size of premises, type of restaurant (free-standing, mall, in-line), and other factors. See Items 7 and 8.
Occupancy Charge (Captive Venue Unit)	N/A	VARIABLE	Determined under Concession Agreement. Currently estimated to range between 4% to 30% of Gross Receipts. Payment frequency per Concession Agreement terms.
Use/Occupancy Charge (Delivery Kitchen Unit)	N/A	VARIABLE	Determined under DK Lease. Currently estimated to range between 4% to 30% of Gross Receipts. Payment frequency per DK Lease terms.
Food Truck Usage Fee (Food Truck Subleased from Chick-fil-A)	N/A	VARIABLE	Plus additional fees, costs and expenses. Paid in lieu of lease rental payment. Operator reimburses mileage surcharge, taxes, and costs to return truck to good order.
Food Truck Fee (Food Truck Leased from Vendor)	N/A	VARIABLE	Payable to Chick-fil-A for license grant and ongoing administration. Operator also responsible for all lease rental payments, charges, costs and expenses directly to third-party lessor.
Food Truck Insurance Fee	N/A	VARIABLE	Covers food truck and its contents and inventory, but not operator-owned contents or inventory.
Insurance	N/A	VARIABLE	Covers workers' compensation, general liability, auto liability, and employment practices liability insurance. See Item 8.
Equipment Rental	N/A	VARIABLE	Varies by type: Free-Standing/In-Line ($5,000), Drive-Through only ($4,000), Mall ($3,000), Captive Venue ($750-$3,000), Delivery Kitchen ($2,500-$5,000). Includes restaurant equipment, furniture, fixtures. Food trucks covered separately. Operator reimburses pass-through costs and taxes.
Hardware and Software Support; High-Speed Internet Access	N/A	VARIABLE	Fees may be less for captive or delivery kitchen venues if premises owner provides POS system with software. See Item 11.
Fines – Minimum Standards and Procedures	N/A	VARIABLE	Charged when operator fails to maintain applicable Minimum Standards or comply with Franchise Agreement.
Indemnification	N/A	VARIABLE	Operator must reimburse Chick-fil-A if held liable for claims arising from restaurant operation or site damage.
Operating Service Fees	15.0	PCT	Operating Service Fee — unique model where CFA owns the restaurant and provides equipment
Credit Card, Gift Card and related fees	N/A	VARIABLE	Processing fees imposed by vendors based on credit/gift card sales. Operator may contract directly with vendors. Non-refundable.
Highway Signage	N/A	VARIABLE	Actual fabrication cost plus annual expense for securing municipal highway signage opportunities, if available.
Interest on Late Payments	1.25	PCT	Maximum rate permitted by law, or if none, 1.25% per month. Applies to any payment or amount owed under Franchise Agreement, Leases, or related agreements. Compounded monthly.
Cash Handling System Services	N/A	VARIABLE	Vendor fees for cash handling system services. Additional fees for non-warranty safe repairs. May not apply to mall, office building, captive venue or delivery kitchen locations. See Note 8.
Reimbursement of Cost of Performance	N/A	VARIABLE	If operator fails to perform obligations under Lease, Concession Sublicense Agreement, Delivery Kitchen Agreement, or Food Truck License Agreement, Chick-fil-A may perform and operator reimburses cost plus interest.
Holdover Liquidated Damages	N/A	VARIABLE	If operator remains in occupancy after Lease termination/expiration for non-captive venue location. Liquidated damages, not penalty. Payment does not waive other rights or remedies.

What You Get

Financial Performance (Item 19)

Median Revenue

$9,226,669

per year, per location

Profitability Estimate

Estimated Owner Profit

$461,333

per year

Profit Margin

5.0%

of revenue

Estimation method: benchmark

Estimated ROI (Simple Payback): 3.0 years

Based on midpoint investment of $1,383,130 and estimated annual owner profit of $461,333.

Unit Growth & Failure Rate

Avg. Annual Closure Rate

0.2%

Low risk — below industry average

Net Unit Growth

+399 units

From 2022 to 2024

Unit Activity History

Year	Start	Opened	Closed	Transfers	End
2022	2230	+213	-1	—	2338
2023	2331	+255	—	—	2494
2024	2494	+243	—	—	2629

Is a Chick-fil-A Franchise Worth It?

Based on the FDD data, here is a data-driven snapshot of the Chick-fil-A franchise opportunity:

Overall Score

84/100

Strong opportunity

Est. Payback Period

3.0 yrs

Fast payback

Risk Level

Low

0.2% annual closure rate

Chick-fil-A scores well across our evaluation criteria, indicating a strong franchise system. With median unit revenue of $9,226,669 , prospective franchisees should model their own financial projections carefully. For a complete analysis including risk factors, deal-breaker flags, and detailed financial modeling, see the full report.