Church’s Chicken Franchise Costs $649K – $1.9M (2024 Fees & Profits)
Founded in 1952 by George W. Church Sr., Church’s Chicken, now known as Church’s Texas Chicken® in the Americas, has grown to become one of the largest quick-service chicken restaurant chains globally. The first location opened in San Antonio, Texas, right across the street from the Alamo, and quickly became known for its hand-battered, double-breaded chicken, Honey-Butter Biscuits™, and classic home-style sides.
The franchise began its international expansion in the 1970s and has continued to grow steadily, with significant developments in recent years. Owned by High Bluff Capital Partners since 2021, Church’s Texas Chicken® celebrated its 70th anniversary in 2022, marking seven decades of delivering bold flavors and warm hospitality. The brand differentiates itself through its commitment to quality, preparing its chicken in small batches throughout the day to ensure freshness and taste.
Church’s Texas Chicken® has seen impressive growth and innovation, especially with the introduction of the Blaze concept, which modernizes the dining experience while maintaining a connection to its Texas roots. This rebranding effort has led to increased sales and customer traffic, further solidifying the brand’s position in the competitive quick-service restaurant industry. The franchise continues to expand globally, with plans to open 100 new international locations and grow its system-wide sales from $1.4 billion to over $2 billion by 2028.
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Initial investment
Here’s what you can expect to spend to start a Church's Chicken franchise.
| Type of Expenditure | Blaze Compact Model | 1400 Blaze Model | 1700 Blaze Model | Conversion of Existing Freestanding Building | End Cap Restaurant |
|---|---|---|---|---|---|
| Development Fee | $10,000 | $10,000 | $10,000 | $10,000 | $10,000 |
| Initial Franchise Fee | $15,000 | $15,000 | $15,000 | $15,000 | $15,000 |
| Grand Opening Marketing Funds | $25,000 | $25,000 | $25,000 | $25,000 | $25,000 |
| Real Estate (purchase or lease) | Variable | Variable | Variable | Variable | Variable |
| Site Work | $200,000 – $425,000 | $220,000 – $450,000 | $250,000 – $480,000 | $23,782 – $106,400 | $30,075 – $152,000 |
| Building and Improvements | $475,000 – $600,000 | $605,124 – $692,672 | $738,000 – $750,000 | $304,932 – $578,000 | $194,641 – $510,000 |
| Equipment and Signs | $320,000 – $350,000 | $352,450 – $380,000 | $357,450 – $385,000 | $280,174 – $390,000 | $290,000 – $375,000 |
| Fees, Misc., Architectural and Engineering Services, Deposits | $45,000 – $125,000 | $50,000 – $150,000 | $50,000 – $150,000 | $50,000 – $100,000 | $50,000 – $100,000 |
| Initial Training | $0 – $23,000 | $0 – $23,000 | $0 – $23,000 | $0 – $23,000 | $0 – $23,000 |
| Opening Supplies | $6,350 – $12,700 | $6,350 – $12,700 | $6,350 – $12,700 | $6,350 – $12,700 | $6,350 – $12,700 |
| Insurance | $7,500 – $10,000 | $7,500 – $10,000 | $7,500 – $10,000 | $7,500 – $10,000 | $7,500 – $10,000 |
| Utility Deposits | $5,000 – $15,000 | $5,000 – $15,000 | $5,000 – $15,000 | $10,000 – $15,000 | $10,000 – $15,000 |
| Business Licenses | $300 – $600 | $300 – $600 | $300 – $600 | $300 – $600 | $300 – $600 |
| Additional Funds (3 months) | $10,000 – $20,000 | $10,000 – $20,000 | $10,000 – $20,000 | $10,000 – $20,000 | $10,000 – $20,000 |
| Total Investment | $1,119,150 to $1,631,300 | $1,306,724 to $1,803,972 | $1,609,600 to $1,896,300 | $743,038 to $1,305,700 | $648,866 to $1,268,300 |
Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.
Franchise fees & Royalties
Here are the main ongoing fees the franchisor will ask you to pay going forward to run the franchise.
Initial Franchise Fee
The initial franchise fee is $15,000 for each restaurant. This fee is paid when you sign the Franchise Agreement.
Royalty Fee
The royalty fee is 5% of Gross Sales. This fee is paid within 5 business days after the end of each fiscal week.
Marketing/Advertising Fee
The advertising fund contribution is 5% of Gross Sales, with at least $25,000 per year. If a Regional Co-Op is formed, the contribution to the Co-Op can be up to 1% of Gross Sales.
Transfer Fees
- Authorized Transfer: $5,000
- Unauthorized Transfer: $25,000
Renewal Fees
The renewal fee is 50% of the then-current standard initial franchise fee. This fee is due upon signing the Franchise Agreement for the renewal term.
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Franchise pros and cons
The Pros:
- Exclusive territory protection: The franchisor offers franchisees an exclusive protected area, the geographic area around the restaurant. The franchisor doesn’t open competing channels or grant any other Church’s Chicken franchises in the agreed-upon geographic area.
- Franchise training: To help its franchisees establish, build, and operate a successful Church’s Chicken franchise, the brand offers extensive training to its franchisees and their employees. This is in the form of 13–17 classroom hours and 116–154 hours of on-the-job training programs, as well as advanced operations and leadership training programs, employee management, and food handling procedures.
- Operations support: The brand offers franchisees comprehensive corporate support to correctly implement the restaurant’s concept. This comprises the grand opening support, security and safety procedures, monthly newsletters, and field operational and evaluation support.
- Marketing support: The brand employs fundamental marketing and promotional campaigns that create excellent brand awareness. Franchisees benefit from regional advertising, ad templates, national media, social media, and email marketing promotions to optimize growth and customer loyalty.
- Product development: Church’s Chicken has a diverse quality menu with fresh fried chicken, signature Homestyle sides, hand-crafted tenders, and other delicious food items. The brand is evolving its menu to meet consumers’ changing needs and trends, which differentiates the franchisees from the competition.
- Real estate and construction. The brand assists the franchisees in site selection, restaurant design, and construction. With an in-house real estate and construction team, franchisees can select convenient locations and significantly reduce the cost of establishing their restaurants.
- Appropriate locations: The brand locations are strategically located in high-traffic areas such as malls, supermarkets, convenience stores, sales plazas, and learning institutions. The brand also employs different restaurant options such as drive-thrus, deliveries, take-outs, catering, and sit-in locations. All these help franchisees scale their income streams.
The Cons:
- No financing: The brand or its affiliates do not directly or indirectly finance its franchisees. It also does not guarantee any lease, obligation, or note from any lender on the franchisee’s behalf.
- Not a passive investment: Church’s chicken is not a passive investment. Franchisees must be involved in the daily operations of the restaurant.
How to open A Church’s chicken franchise
Opening a Church's Chicken franchise involves several steps, designed to ensure you are a good fit for the franchise. Here are the main steps to follow to open a Church's Chicken franchise.
1. Research and Initial Inquiry
- Understand the Franchise: Learn about Church’s Texas Chicken®, its history, market presence, and franchise requirements.
- Contact the Franchise Team: Reach out to the Church’s Texas Chicken® franchise development team to express your interest and request more information.
2. Review Franchise Disclosure Document (FDD)
- Obtain the FDD: This document provides detailed information about the franchise, including financial performance, fees, and obligations.
- Consult Professionals: Have a legal and financial advisor review the FDD to ensure you understand all commitments and risks involved.
3. Application and Financial Requirements
- Complete Application Form: Submit a formal application to become a franchisee, which includes personal, financial, and business experience details.
- Meet Financial Criteria: Ensure you have the required capital, which typically includes:
- Initial Franchise Fee: Covers the right to operate under the Church’s Texas Chicken® brand.
- Liquid Assets and Net Worth: Specific financial thresholds set by the franchisor to ensure you have the necessary funds to support and grow the business.
4. Site Selection and Approval
- Choose a Location: Work with Church’s Texas Chicken® real estate team to identify and secure a suitable location.
- Site Evaluation: The franchisor will evaluate the proposed site to ensure it meets their criteria for traffic, visibility, and market potential.
5. Training and Support
- Attend Training Program: Participate in a comprehensive training program covering operations, marketing, and management.
- Ongoing Support: Receive continuous support from the franchisor, including marketing materials, operational guidance, and access to a network of franchisees.
Disclaimer
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