This franchise is the place for you if you’re seeking a distinctive dining experience with great taste that endures. This quickly expanding restaurant specializes in providing some of the tastiest hot chicken in the South this side of the Mason-Dixon line. You’re likely to discover something to sate your hunger whether you prefer spicy, smoky, or sweet variations. In the food and beverage sector, Houston’s hot chicken market is expanding, especially in the fast-casual restaurant category. As per qsrmagazine, Houston’s Hot Chicken has an average franchise unit volume (AUV) of between $3 and $4 million, and prospective investors must have a minimum net worth of $2 million and a liquidity requirement of between $400,000 and $800,000. Numerous locations have been opened as a result of the industry’s quick expansion, including six current ones in Tempe and Las Vegas, Nevada. In general, Houston’s hot chicken franchise sector is growing and becoming more popular.

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

The initial cost to franchise a Houston’s Hot Chicken restaurant ranges from $529,000 to $1.02 million. These include the franchise fee, site selection and buildout costs, equipment purchases and signage, staffing and operational expenses, legal costs, inventory and supplies, and, of course, the cost of the opening day itself.If you love hot chicken and want to bring Houston’s Hot Chicken to your city, you’re probably wondering how much it’ll cost.

There are also ongoing fees that come with being part of a hot chicken franchise

  1. Franchise fees (a recurring amount)
  2. Marketing fees (usually 2% of sales)
  3. Advertising funds (typically 1–2% of sales).

It’s important to note that different areas will have different requirements for opening a hot chicken franchise, so be sure to check with your local municipality about any additional fees you may need to pay. All in all, though, Houston’s Hot Chicken is an excellent choice for bringing some deliciousness into your city!

 

Houstons Hot Chicken Franchise Price and Cost

Houston’s Hot Chicken Franchise Fee $50,000
Houston’s Hot Chicken Franchise Cost $529k–$1.02M

 

Royalty Fee 6%
Advertising Fee 1-2%

 

Term of Agreement
Is franchise term renewable?
Renewable Franchise Fees

Note that the specific details about this franchise’s fees, costs, and terms are not publicly available. To get accurate and up-to-date information, it’s best to contact Houston’s Hot Chicken directly or visit their official website.

Houston’s Hot Chicken Franchise +

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

The Houston’s Hot Chicken franchise owners make $3 to 4 million every year in revenue. Everything is dependent on the specific franchisee and their area. Many of these franchise owners claim that because of how well-liked and lucrative their eateries are, they can earn up to $500,000 or more in profit in a single year.

Most prosperous Hot Chicken franchise owners typically make a profit in 12 to 18 months. To help ensure your restaurant’s success, Houston’s Hot Chicken provides comprehensive training programs for first-time franchisees as well as ongoing support to ensure your business is running efficiently. With the right support and training in place, you can expect to see a return on your investment within a reasonable amount of time.

What is Houston’s Hot Chicken franchise profit?

I will project the Houston Hot Chicken franchise profit and years to recoup the investment (ROI).

AUV Estimated Annual Profit (12.5%) Estimated Annual Profit (15%) Estimated Annual Profit (18%)
$ 3,000,000 $375,000 $450,000 $ 540,000
Recoup mid-point

$ 774,500

2 years 2  years  1.5 years

The estimated Houston’s Hot Chicken franchise profit is in the range of $500,000  to $720,000   and it will take 1.5  to 2 years to recoup the investment. 

Houston’s Hot Chicken Franchise Requirements

Are you thinking of opening this franchise? Well, then, let’s go over the details.

  • Investment

First off, the total investment to open a franchise ranges from $529k to $1.02 million. That includes start-up costs and the franchise fee, which is generally around $50,000.

  • Location Requirements

In addition to a hefty initial investment, there are some things you’ll need for this franchise location. You’ll need to find a spot with adequate parking and great visibility from the street. Plus, your building should be able to accommodate seating for at least 50 customers. Finally, your desired location must be in an approved area that meets its criteria for new locations.

In terms of what type of establishment you’re running, this franchise can take on many forms: free-standing restaurants, food courts in shopping malls, or even drive-through units (though these come with additional requirements).

Finally, you should also have access to some basic equipment like warmers, grills, and fryers — but don’t worry; they offer training programs that show you how to use the correct equipment before opening day!

What are Houston’s Hot Chicken franchise reviews?

Do you recognise this franchise? They have some devoted followers, making it the hottest place in town! Let’s look at what the reviews have to say to get a sense of what others are saying.

To begin with, the majority of people appear to concur that the chicken is simply extraordinary. While some claim the flavor is distinctive and delightful, others claim it is zesty and peppery. In addition, a lot of clients value how quickly the service is provided—the majority of meals may be delivered quickly!

Regarding its sides, Houston’s Hot Chicken has received some excellent ratings as well. Many patrons adore the house-made mac & cheese, coleslaw, and fries. These sides not only go fantastically with their famous fried chicken, but they also use premium products that significantly improve the flavor.

Overall, the consensus on Houston’s Hot Chicken seems to be overwhelmingly positive. People love their tasty fried chicken and perfected side dishes, plus they appreciate how, even after expanding to several locations around town, they still manage to provide speedy service at a great price.

Houston’s Hot Chicken Franchise Rankings

I apologise for any confusion. Based on my search, there doesn’t seem to be any specific ranking information available for Houston’s Hot Chicken as a franchise. However, the brand has experienced growth and has sold more than 100 franchises in 12 states. To get more details on their rankings, you may want to check industry-specific publications or reach out to Houston’s Hot Chicken directly.

What is Houston’s Hot Chicken?

The go-to place for mouthwatering fried chicken is a well-known new franchise called Houston Hot Chicken. You’ll want to order more of the chicken, which has been perfectly spiced up and fried to a beautiful brown.

They have a family recipe that has everything. The Houston’s Hot Chicken team starts by marinating their chicken in a special blend of herbs and spices overnight before coating it in a top-secret blend of flour and spices. Then they fry it to perfection in premium canola oil.

Houston’s Hot Chicken serves up several flavours, ranging from mild to hot and everything in between.

Is Houston’s Hot Chicken a franchise opportunity?

At this point, you’re likely wondering if Houston’s Hot Chicken is an opportunity to become a franchisee.The bottom line is that Houston Hot Chicken is indeed a great option for those looking for a franchise opportunity in the fast food industry; just make sure you take time to review all the details before taking that plunge!

How to Open Houston’s Hot Chicken franchise?

But before you jump in and sign the papers, there are a few things you need to know about the process.

  • Start-up Costs

First, the cost of starting a franchise can be quite high. Franchises typically require an up-front fee of around $50,000 to get things rolling, plus the cost of purchasing or building out the facility and obtaining equipment and supplies. You will also need to pay ongoing royalties to Houston’s Hot Chicken for marketing and advertising efforts.

  • Franchise Agreement Details

You’ll also need to review the details of the franchise agreement carefully before signing on. This agreement will detail rights and responsibilities for both parties, such as procedures for day-to-day operations and training requirements for employees, as well as building maintenance obligations. The franchisor must also provide support services such as marketing and supply chain management of ingredients.

Facts That Nobody Told You About Houston’s Hot Chicken

You should must be aware of some facts regarding Houston’s Hot Chicken that no one has ever told you

  • At its more than 500 locations spread across many states, the renowned fast food chain Houston’s Hot Chicken offers a selection of hot and spicily seasoned chicken sandwiches, wraps, and tenders to suit the preferences of every customer. 
  • The “Hot Sandwich,” which includes a sizable piece of chicken along with lettuce, tomatoes, cheese, and the restaurant’s own hot sauce, is the menu item that has become synonymous with the establishment. Houston’s Hot Chicken offers a variety of milder choices, such as honey garlic and BBQ-flavored dishes, for customers who prefer spicy cuisine but don’t want it to be extremely hot. 
  • The restaurant provides Buttermilk Crispy Chicken, a special version produced with a mixture of buttermilk, spices, and herbs for a delectable taste, in addition to normal fried chicken. 

 

Houston’s Hot Chicken Franchise Review and Information

Industry Type Food Franchise Opportunities
Sub Category Fast-Food Casual Restaurant 
Company Name Houston’s Hot Chicken
Founder/Management Head
Franchising Started
Employees at Company H.O
Franchise Expansion Plan United States
Number of Units
Number of Franchise Units
Company Office location 

Note that some information is not publicly available, and I am unable to give you. You may want to reach out to Houston’s Hot Chicken directly for more details.

Training for Franchises

Houston’s Hot Chicken might be the ideal possibility for you to launch a business. If you didn’t know, this franchise offers complete training and support. Houston’s Hot Chicken supports prospective entrepreneurs by providing a range of services to all types of business owners, assisting them in taking the crucial steps to establish their businesses and achieve success.

Operations management, restaurant finance, marketing, and customer service are just a few of the areas Houston’s Hot Chicken offers both in-person and online training on. Along with internal expert consultations, the company offers a variety of business coaching and mentoring programs. You can also get help anytime you need it from a network of Houston’s Hot Chicken franchisees.

Operations and Support to Franchises

You might not be aware that what began as Houston’s Hot Chicken operations, which took the shape of a modest food truck, has grown to include franchises all over the country and become a household name. It’s not surprising that it gained popularity so fast given its distinctive combination of spices and flavour!

The focus of Houston’s Hot Chicken is on providing top-notch quality by utilising only fresh ingredients and fusing traditional Southern cooking methods with more contemporary tastes. To assure the best flavor, they slow-marinate their chicken using premium local ingredients. The end result is perfectly crisp chicken that delivers an explosion of flavor in every bite!

Since launching their franchise model, they’ve opened dozens of establishments all over the US, including in major cities like New York City and Los Angeles. Plus, they offer franchising opportunities to other experienced entrepreneurs — perfect for people who want to get into the business but don’t have a lot of experience yet.

The franchise package includes training for team members and even access to a private chef for menu development and testing. Plus, each franchisee gets access to Houston’s extensive marketing resources, including website hosting, social media assistance, PR help, and more.

With its continued success as well as its growth potential through franchising opportunities, Houston’s Hot Chicken is primed for even more success — maybe even becoming a global phenomenon!

How is territory granted to franchises?

You may be wondering how the franchising of Houston’s Hot Chicken works. Basically, the company grants exclusive franchises to qualified individuals and provides a territory-based system where you have to apply for a franchise covering a specific geographical area.

This ensures that franchisees have exclusive rights to the area, which encourages individual owners to commit their resources and attention to the specific market they serve. Plus, it also helps to maintain high standards of service at each franchise throughout the territory system.

Applying for Franchises

When looking into applying for this franchise, there are certain criteria that must be met in order for your application to be considered. You will need to provide basic information, such as:

  • contact information
  • net worth
  • source of funds (cash or borrowed)
  • equity percentage
  • references
  • legal documents like articles of incorporation or an LLC operating agreement.

Houston’s Hot Chicken also requires a financial statement in order for your application to be considered—it must include your sources of capital funds, recent tax returns, and other financial documents like bank statements. After submitting this information, your application is reviewed by the franchise department, and if approved, you will receive an Area Development Agreement from Houston’s Hot Chicken outlining the terms and conditions of the franchise agreement.

What is the franchise term of agreement and renewal?

You might be wondering, “What’s the commitment like when you sign up for a franchise with Houston Hot Chicken?

The Franchise Term of Agreement (FTOA) sets out how long the initial franchise agreement is and how many years to renew. The FTOA is normally a 10-year contract with subsequent 5-year extensions. Franchisees are obliged to follow all state, provincial, and federal laws relevant to the running of their business as well as to take part in any regional or national marketing efforts authorised by Houston’s Hot Chicken.

Franchisees must also meet a number of requirements in order to stay in compliance with their FTOA. Paying a yearly royalty charge for the use of Houston’s Hot Chicken mark is one of these requirements, among others.

  • Maintaining modern, well-maintained facilities
  • Adhering to all applicable food safety laws.
  • Purchasing ingredients from reputable suppliers.
  • Regularly submitting reports on sales and operational data.
  • Maintaining adequate insurance coverage.

By regularly abiding by these set terms outlined by the FTOA, you can rest assured knowing that your business will continue to be both successful and compliant for years to come!

Financial assistance to franchises?

You might be curious about if Houston’s Hot Chicken offers franchisees financial support. Yes, it is the answer. For qualifying franchisees, Houston’s Hot Chicken does offer financial support in the form of financing.

The three parts of financial assistance provided to Houston’s Hot Chicken are as follows

  1. Financing: Up to 70% of the total costs associated with opening a franchise can be financed through third-party lenders. This financing may be used to pay for starting costs, franchise fees, and ongoing operational expenses.
  2. Lease Assistance: Some landlords may offer discounts or other lease terms that are beneficial to a franchisee. Franchisees should always check with their landlord and with Houston’s Hot Chicken before signing any lease to ensure they are getting the best deal possible.
  3. Grants for business development: These grants assist in defraying expenses for things like technology upgrades, advertising campaigns, restaurant expansions, and more. For new and existing franchises that match the eligibility standards, business development grants are available.

With financial aid initiatives like these, Houston’s Hot Chicken is here to help make the process simpler for their franchisees because they are aware that funds can be restricted when it comes to starting a business.

Houston’s Hot Chicken Franchise

Pros and Cons of Owning a Houston’s Hot Chicken Franchise

There are a few benefits and drawbacks to take into account if you’re thinking about operating one of these franchises because owning a franchise is a huge decision.

  • Pros

Houston’s Hot Chicken has a lot of potential for financial success. There is a tonne of opportunity to make money and develop a successful business over time because the franchises are well-liked in towns all throughout the US. A professional network of thriving restaurant owners will also be available to you, and you may benefit from the company’s marketing resources, training, and support.

  • Cons

Franchise ownership might have certain disadvantages as well. For starters, you have to follow strict corporate guidelines when it comes to pricing, ingredients, and branding, which could limit your creativity. Additionally, you’ll have to pay licensing fees and taxes, which could be quite pricey depending on where your restaurant is located. Finally, because you’re part of a national chain, you lose out on the chance to really connect with the customers that come through your doors.

Franchise Deck Analysis and Overview

Ever thought about investing in this franchise? Before you jump into it, make sure you do your due diligence to understand the potential risks.

The Franchise Deck is a detailed analysis of this franchise that can help you make an informed decision. It provides an overview of the current state of franchising, including:

  • The overall number of franchised locations
  • The projected price of the initial investment
  • Performance data for franchises
  • how many franchisees are terminating and/or extending their contracts?
  • Market conditions for real estate, regional competition, and supply chain developments are further considerations.

You should have a general understanding of the franchising environment and an understanding of whether it is a financially viable choice for you by the end of the analysis. Before purchasing this franchise, make sure to take everything into account!

 

Competition Analysis of Houston Hot Chicken

 

Houston’s Hot Chicken  Cost to Franchise Franchisee Fees Royalty + Ad fees Expected Profit Recoup of Capital FD Rating
Houston’s Hot Chicken  $529k–$1.02M $50,000 $500,000 1-2 years 4.2/5.0
Jason’s Deli Franchise $1,126,105.80 – $1,576,444.80 $17,500 4%+2% $405.9 million 3-4.5 years/ 4.0/5.0
Old Chicago Pizza and Taproom Franchise $1,399,000 – $2,177,000 $40,000 4%+2% $40.3 million     – 3.9/5.0 
HWY 55

Franchise

$196,055 – $433,055 $25,000 5%+2% $5.2 million   – 3.6/5.0
Pepe’s Mexican

Franchise 

$207,000 – $652,000 $15,000 4%+1% $5.9 million     – 3.7/5.0
Golden Corral

Franchise 

$2,168,419 – $6,602,5130 $50,000 4%+2% $195.1 million       – 4.0/5.0

The Franchise Deck rating for Houstons Hot Chicken franchise is 3.3/5.0.

Houston’s Hot Chicken Franchise

Conclusion: Should you buy a Houston’s Hot Chicken franchise for sale?

The most important consideration is whether you should purchase Houston’s Hot Chicken franchise. It depends, I guess. It might be a wise investment if the location is good and your clientele matches the offerings. One of the best things about owning a franchise is that you don’t have to worry about coming up with an original concept or handling all the marketing on your own. You receive top-notch training, have access to specialists with years of industry expertise, and have a well-known brand to support your business effort.

However, franchising does not come without dangers. You’re stuck paying fees and royalties to the franchisor, and you’re unable to make certain changes without permission from them. It’s important to remember that there are no guarantees — no matter how well you do your research and due diligence beforehand, there’s always a risk of failure when starting any business.

So if you’ve weighed up all the pros and cons of buying this franchise for sale carefully, then go ahead and make that decision — there are lots of potential rewards if done right!

Entrepreneurs who want to open a franchise in fast-casual restaurant  franchise opportunities categories can look at 

 

  1. Bonchon Chicken Franchise
  2. Chicken Express Franchise
  3. PDQ Franchise
  4. Cupbop Franchise
  5. Krispy Chicken Franchise
  6. Slim Chicken Franchise
  7. Dave’s Hot Chicken franchise
  8. Chicken Salad Chick franchise
  9. Chicken Guy Franchise
  10. Pieology Franchise
  11. Harold’s Chicken Franchise
  12. Hoot Wings Franchise 

Frequently Asked Questions (FAQs)

  1. Is Houston’s Hot Chicken franchise profitable?

    Although I am unable to obtain precise profit figures for this one, the franchise has seen expansion and has sold more than 100 units throughout 12 states. This means that the franchise’s owners might make money from it. Location, management, and market demand are a few examples of the variables that will affect profitability.

  2. Can you make money owning Houston’s Hot Chicken franchise?

    Yes, you can potentially make money owning Houston’s Hot Chicken franchise. However, as with any business, success is not guaranteed and will depend on factors such as location, market demand, management, and operational efficiency.

  3. Is Houston’s Hot Chicken a franchise?

    Yes, Houston’s Hot Chicken is a franchise, with more than 100 franchises sold across 12 states.

  4. How much is Houston’s Hot Chicken franchise?

    Regarding franchise expenses, no information is readily available to the general public. If you want the most up-to-date and correct information about franchise fees and costs, it is advised that you contact Houston’s Hot Chicken directly or go to their official website.

      5. How do Houston’s Hot Chicken franchises make money?

This franchise can make money mainly through the selling of its signature hot chicken dishes, along with sides and beverages. The revenue generated from these sales, minus the expenses incurred in running the business, determine the overall profitability of the franchise.

Published On: May 24th, 2023 / Categories: Blog, Chicken Franchise Opportunities, Food Franchise Opportunities /

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