CHICK-FIL-A License Program
The Chick-fil-A License Program grants licenses to operate limited-menu, quick-service restaurants featuring Chick-fil-A brand products, primarily the boneless breast of chicken sandwich, along with items like nuggets, waffle fries, salads, milkshakes, lemonade, and breakfast options, in non-traditional captive audience locations such as schools, universities, airports, hospitals, workplaces, and similar sites. Licensees can operate directly as Self-Operators or provide food service to third-party owners as Food Service Providers, using custom facades, counter areas, or existing facilities, while adhering strictly to Chick-fil-A's standards and specifications with no initial license fee required. The target market includes customers primarily aged 18-44, with developed markets in the Sunbelt region from Pennsylvania south through Texas and expanding elsewhere.
Franchise Costs
10% royalty (license fee on Gross Receipts) + no ad fund + no fixed monthly fees
Financial Performance
Item 19 Financial Performance
Data Based On: 409 domestic Chick-fil-A Licensed Units open for at least one full calendar year as of December 31, 2024 and operated by Licensees during the entire year.
* Calculated weighted average gross revenue: (312 units × $1,395,745 + 97 units × $3,451,788) / 409 total units = $1,883,364.0. Calculated weighted median gross revenue: (312 units × $897,932 + 97 units × $3,152,764) / 409 total units = $1,432,696.56. Net income, profit, EBITDA, and profit range could not be determined as the document explicitly states that it does not reflect costs of sales or operating expenses.
Extracted Item 19 Section
How CHICK-FIL-A License Program Compares
Key Insights
- Higher than average SBA loan default rate in Fast Food
| Franchise | Investment | Fee | Royalty | Locations |
|---|---|---|---|---|
CHICK-FIL-A License Program Current | $586K – $3.4M | N/A | 10.0% | 425 |
| MCDONALD'S | $1.5M – $2.6M | $45K | N/A | 12,772 |
| AFC | $45K – $151K | $6K | 9.5% | 3,572 |
| SONIC DRIVE-IN | $1.7M – $3.1M | $15K | 5.0% | 3,441 |
| JIMMY JOHN'S | $366K – $728K | $35K | 6.0% | 2,647 |
| ARBY'S | $645K – $2.5M | $38K | 4.0% | 2,316 |
Fast Food Average 126 franchises | $594K – $1.5M | $35K | 6.1% | – |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 126 Fast Food franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2024)
Outlets by state across the United States
+34 more states
SBA Loan History
Historical SBA 7(a) loan data for CHICK-FIL-A License Program franchisees (2016 – 2025)
Loans by Year
SBA 7(a) loan activity over time
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Franchisee Contacts
2,636 franchisee contacts on file from official FDD filings.
| Name | SBA Loan |
|---|---|
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
2,636 Contacts Available
Unlock all CHICK-FIL-A License Program franchisee contacts with verified contact information
Due Diligence
Litigation (Item 3)
Bankruptcy (Item 4)
Pier 1 Imports, Inc. (where director Cheryl Bachelder served as Interim CEO until November 2019) filed Chapter 11 on February 17, 2020.
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
The total initial investment to open a CHICK-FIL-A License Program franchise ranges from $585,500 to $3,437,000. Ongoing royalty fees are 10.0% of gross sales.
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