Chester’s Franchise FDD, Profits & Costs (2025)
Chester’s, a distinguished name in the fast-food realm, has been synonymous with exceptional fried chicken for numerous years.
Established in 1952 by W.O. Giles in Birmingham, Alabama, Chester’s quickly established itself as a key player in the fast-food franchise arena.
With its headquarters still in Birmingham, Alabama, Chester’s prides itself on its deep-seated tradition of Southern charm and delectable dishes. Initially launched as a standalone diner, Chester’s signature fried chicken recipe swiftly won over the palates and hearts of patrons across the board.
The year 2002 marked Chester’s venture into the franchising domain, a pivotal moment that significantly contributed to its expansive growth.
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Initial Investment
How much does it cost to start a Chester’s franchise? It costs on average between $28,000 – $297,000 to start a Chester’s franchised restaurant.
This includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount depends on various factors, including the type of restaurant you choose, the location, and whether the franchisee chooses to lease or purchase the property.
| Type of expenditure | Amount |
|---|---|
| Training Fee | $3,500 |
| Insurance | $0 – $10,000 |
| Build-out Cost | $0 – $200,000 |
| Equipment, Furniture, Signage, and Fixtures | $12,000 – $50,000 |
| Initial Inventory | $2,000 – $9,000 |
| Grand Opening Advertising | $0 – $4,000 |
| Additional Funds (3 Months) | $10,000 – $20,000 |
| Total (excluding real estate costs) | $27,500 – $296,500 |
Average Revenue (AUV)
How much revenue can you make with a Chester’s franchise? A Chester’s franchised restaurant makes on average $322,000 in revenue (AUV) per year.
This compares to $1,662,000 yearly revenue for similar chicken franchises. Below are 10 Chester’s competitors as a comparison:
The most profitable franchises to own in 2025
We have compiled the list of the top 400 franchises across 9 industries. Download the report below.
Chester’s Franchise Disclosure Document
Frequently Asked Questions
How many Chester’s locations are there?
Chester’s Chicken currently has over 1,200 active locations, primarily in convenience stores, truck stops, and supermarkets .
What is the total investment required to open a Chester’s franchise?
The total investment required to open a Chester’s franchise ranges from $28,000 to $297,000.
What are the ongoing fees for a Chester’s franchise?
Chester’s franchisees are required to pay a 5% royalty fee on gross sales. Additionally, there is a marketing fee of 1% of gross sales, which supports national advertising efforts, including local promotions to drive traffic to franchise locations.
What are the financial requirements to become a Chester’s franchisee?
To become a Chester’s franchisee, the financial requirements include having a minimum net worth of $300,000. Additionally, prospective franchisees must have a minimum of $100,000 in liquid capital. These financial requirements ensure that the franchisee has the necessary resources to establish and operate a Chester’s location effectively.
How much can a Chester’s franchise owner expect to earn?
The average gross sales for a Chester’s franchise are approximately $0.32 million per location. Assuming a 15% operating profit margin, $0.32 million yearly revenue can result in $48,000 EBITDA annually.
Who owns Chester’s?
Chester’s Chicken is owned by Chester’s International, LLC. The company was founded by W.O. Giles in 1952 and has since grown into a well-known fried chicken franchise primarily based in convenience stores, truck stops, and supermarkets across the United States.
Disclaimer
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