Bbq Chicken
bb.q Chicken offers quick service restaurants, essential restaurants, and food trucks serving fresh salads, premium sandwiches, chicken wings, and grilled/fried chicken—all under a single proprietary brand with a focus on unique sauces and sides. Known for its diverse menu options and franchise investment opportunities ranging from $305,000 to over $1,289,000, it operates in the quick-service restaurant industry.
Bbq Chicken franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a bb.q Chicken quick service restaurant franchise ranges from $661,000 to $1,289,000. This includes $112,000 to $199,000 which must be paid to the franchisor or its affiliate. [p.1]
What is the initial franchise fee?
The initial franchise fee is $45,000 for the right to establish a single Franchised Business under a Franchise Agreement [p.13]. This fee is not refundable and is used in part for working capital and in part for profit [p.13]. For multi-unit operators, the initial franchise fee can be credited from the development fee [p.208].
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is $3,029,997 for 2024 as per [p.80], and it was reduced by half due to an amendment in the royalty expense agreement between the Company and its Parent Company. The Brand Development Fund supports advertising programs, with all sums paid into this fund being maintained separately and used for various advertising activities as detailed on [p.35].
How long is the initial franchise agreement, and can I renew it?
This isn't specified in the excerpts. The FDD does not provide information on the length of the initial franchise agreement or the conditions for renewal beyond mentioning that a successor term may be refused under certain circumstances [p.133].
Can I sell or transfer my franchise, and what does that require?
You can generally not sell or transfer your franchise without the franchisor's approval, except for good cause. The transferee must meet certain criteria, including educational, managerial, and business standards; good moral character; financial resources; and geographic proximity to existing franchises [p.162]. This isn't specified in the excerpts.
On what grounds can the franchisor terminate the agreement?
According to [p.258], the franchisor may terminate the agreement on any grounds available by law. However, [p.264] notes that terminating a franchise without reasonable cause is unlawful under Virginia Retail Franchising Act, and provisions for termination must comply with the definition of 'reasonable cause' as defined in Virginia laws.
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts. The FDD does not provide specific details on the required net worth or liquid capital amounts for qualification as a franchisee. However, it does require you to maintain sufficient working capital to fulfill your obligations under the agreement and to provide recent financial statements that present fairly your financial position.
Do I get an exclusive or protected territory?
Based on the excerpts, you do not receive an exclusive territory. Your territorial rights may include a designated territory, but it is not guaranteed to be exclusive, and we retain the right to operate or grant franchises within your development area if you are in compliance with all terms of the agreements [p.42, p.128].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program lasting five days, which includes their Manual, marketing, and promotion materials [p.39]. This training must be completed by two trainees, one of whom must be you, your Operating Principal, or General Manager, no later than 30 days before the Franchised Business begins operation [p.29]. Ongoing support is implied through the mention of potential negotiation for purchase arrangements with approved suppliers and the consideration of compliance in granting additional franchises [p.29, p.5], but specific details are not provided in the excerpts.
How many franchised outlets are there, and how many have closed or been terminated?
This isn't specified in the excerpts.
Does the franchisor share any financial performance or earnings information?
The franchisor may provide actual records of an existing outlet if you are purchasing one, but they do not make representations about future financial performance or past financial performance of company-owned or franchised outlets. Additionally, the franchisor can share financial data with other parties under certain conditions, including disclosure in the franchise disclosure document(s). [p.55, p.158]
What am I restricted to selling, and where must I buy supplies?
You are required to sell only the menu items, products, and services that the franchisor has expressly approved in writing [p.48]. You may have to buy or lease certain items from the franchisor or a limited group of suppliers designated by them, as these items might be more expensive than those you could purchase on your own [p.4].