Chick-fil-A Franchise

 Joel Sigmon for Chuck-fil-a, opened with examples of a few of the company’s marketing ploys.  In keeping with its preference for phonetic spelling, as in its name, the company makes herds of small plush toy cows, each wearing an apron saying, “eat mor chikin.”  Also, Joel explained that their business calendar is the best selling calendar of any calendar in the market, and for those with doubts, he explained that it had $38 worth of free coupons in it.

    To qualify for a franchise, the entrepreneur only has to pay $5,000, but he or she does not build equity in the company and can never buy the franchise outright.  This is to prevent someone getting the franchise just to try to turn it over for a profit later.

  Chick wants someone with a proven track record in business, a college degree, a hands-on approach, someone who is optimistic, opportunistic and has an “ownership” attitude, with a growth mind-set, and a sense of financial stewardship.

  It all started in 1946, when Truett Cathy opened his first restaurant, The Dwarf Grill, in Hapeville, Georgia. Credited with inventing Chick-fil-A's boneless breast of chicken sandwich, Mr. Cathy founded Chick-fil-A, Inc. in the early 1960s and pioneered the establishment of restaurants in shopping malls with the opening of the first Chick-fil-A Restaurant at a mall in suburban Atlanta in 1967. Since then, Chick-fil-A has steadily grown to become the second largest quick-service chicken restaurant chain in the United States, with over 1,615 locations in 39 states and Washington, D.C. In 2011, annual sales were over $4.1 billion. Chick-fil-A is still privately held and family owned.

  With 44 consecutive years of positive sales growth, Chick-fil-A has set itself apart by pioneering innovations and delicious products—including the ever-popular Chick-fil-A^® Chicken Sandwich.

  “How can I serve you” instead of “what do you want,” and ‘May I refresh your beverage” instead of “fill ‘er up?” are examples of how management tries to make the customer feel at the center of the eating-out experience. 

  The owner must like working with teen-agers, as this will often be the first job for the employees, and the experience could influence the rest of their life choices.  Originally opened in mall food courts, Chicks are often located near college campuses.

  The franchise is not for someone who wants to diversify their portfolio with passive ownership.  It is not a chance to sell the property back at a profit, nor will Chick build at a location just to satisfy a franchisee.

  Chick will support its franchises by an intensive five week training course, then information technology, marketing programs and promotions, such as tying in with the New Year’s Eve Chick-fil-a bowl in Atlanta, formerly the Peach Bowl.

  The selection process is thorough, including reference checking and interviews in depth. The average franchise volume is about $3.5 million a year, of which typically 15% is the net profit.

  Joel said that Chuck-fil-a is considering locations in Thousand Oaks, Santa Barbara, Seal Beach or Downey. Incidentally, The Downey Patriot announced in April that Chick-fil-a had plans to open a new restaurant in Downey before the end of the year, on city-owned land on Firestone next to Arby’s.  The owner’s conservative Christian belief of traditional family values has caused recent boycotts of a number of the franchises.