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It costs $10k to ‘own’ a Chick-fil-A franchise

thehustle.co

171–180 of 233 posts

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#171

Earlier quoted context omitted.

Editing to remove accurate but aggressive words is a common piece of advice you hear on HN. I stand by original comment and my edit. > They help 23 million people a year, without any type of discrimination. This is false. > They have at least one dorm exclusively for transgender individuals. Their charity services literally benefit millions of LGBTQ individuals every year. Good acts do not undo bad acts. > But if you…

You gave yourself three chances to defend your position and each time you failed to attempt it. I understand two things about the Salvation Army. They serve the most vulnerable in their community(-ies) and they hold religious beliefs which run against the politics of the day. That second point may give you some sense of justification. But consider this, on the Salvation Army's website, one of their top line issues is…

My family recently watched the entire boxed set of 'Quantuum Leap'. The series was consistently, unapologetically progressive. (It had pro-abortion episode, sympathetic gay characters, etc.) One Christmas episode had an evil rich guy who was trying to close down....... the local Salvation Army building.

It is simply amazing how intolerant some people are. Yesterday's progressives are today's horrible bigots in the eyes of some. (Really. Ask Monty Python!)

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#172

Earlier quoted context omitted.

The Atlanta Falcons (Mercedes-Benz Stadium) Chick-Fil-A turns into a "Fries Up" restaurant on Sundays.

What's "Fries Up"? Does that mean the same location and equipment are used for a 'different' restaurant?

https://www.11alive.com/article/sports/nfl/superbowl/heres-h...

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#174
post #131

I know several CFA owner-operators, and this article is mostly on point. Some of the comments I’ve seen are a bit off. 2 of the 3 owner-operators I know have multiple locations, although this is rare. Income estimates are a bit low for typical stores I’d be surprised if any owner operator of a freestanding unit is below $250k. Also, the estimates of worked hours are a bit high. All the owner operators I know have gre…

Something I've been curious about that maybe you or others here have some insight on: Do you think they'd do even better if they were open 7 days/wk? Or is taking a day off one of the things contributing to their success?

I think it lends to their success. First there is a bit of a lack of supply feeling. I think it drives people to go because it’s closed on Sundays, even if those same people had no real intention to go on Sunday. People are weird like that.

I also think every Sunday off helps them find and retain better workers.

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#175
post #8
post #2

I always found franchise initial startup costs to be predatory, as they get paid either way regardless of whether the franchisee actually succeeds. In my opinion they should be abolished and franchisors should only rely on royalties, so that they have an incentive to help the franchisee succeed if they want to make money.

I recall subway had "low" startup costs and it resulted in too many locations. What incentivizes the new location to do due-diligence in picking a good location? If this is placed into the chain owner: What's the difference between a franchise vs single owner?

Opening a Subway franchise is a great way to ensure you'll always be employed -- at a 50+ hour per week job earning about $40k per year. The business model and royalty rate generally require the owner to be an unpaid, full-time employee for the store to turn a profit.

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#176

I know several CFA owner-operators, and this article is mostly on point. Some of the comments I’ve seen are a bit off. 2 of the 3 owner-operators I know have multiple locations, although this is rare. Income estimates are a bit low for typical stores I’d be surprised if any owner operator of a freestanding unit is below $250k. Also, the estimates of worked hours are a bit high. All the owner operators I know have gre…

>> That’s not the type of thing many franchisees at other companies have the cash (or willingness) to do.

I'd point out McDonald's as a major exception to this. In the past decade, MCD has completely razed and rebuilt from dirt a huge number of its freestanding stores. Yes the franchisees have complained and not all are down with the program but the new stores are generally far more comfortable and pleasant than the old-style, (yet iconic) red-roofs. I imagine far more profitable as well.

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#177
post #48

Earlier quoted context omitted.

I can't really follow your logic there. In my mind for something to be predatory it should be your pretty much only option while promising you the world, an end to your tough situation. If you have a choice and you end up worse off, you just got into a bad deal is all. The deal is fair because both parties thought it was a good deal, no one was forced or desperate. There was no scam involved either (everyone got what…

When the wolf eats the rabbit in a fair fight, the wolf is still a predator, it's not an exchange of mutual benefit.

I don’t think the rabbit signed up to fight the wolf.

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#178

Earlier quoted context omitted.

Politics aside, the food is awesome, fast, and polite. And generally better for you than the major chains... I'm not really sure what MacDonald's actually serves anymore... much less any of the others...

> Politics aside, the food is awesome, fast, and polite. Is it though? I really don't get it. Chick-fil-A's entire menu consists of unremarkable chicken sandwich variations, and unremarkable... everything else. It's just not very good - at least compared to other fast food options. It doesn't stand out to me. I can't figure out why it stands out to so many other people. I think the push-back against them from LGBTQ a…

I think it is pretty good, especially compared to stuff like McDonald's or other fast food. They also have amazing customer service and are consistently fast at getting you your food. I'm curious which fast food chains you think taste better, I'd like to give them a try.

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#179
post #131

I know several CFA owner-operators, and this article is mostly on point. Some of the comments I’ve seen are a bit off. 2 of the 3 owner-operators I know have multiple locations, although this is rare. Income estimates are a bit low for typical stores I’d be surprised if any owner operator of a freestanding unit is below $250k. Also, the estimates of worked hours are a bit high. All the owner operators I know have gre…

Something I've been curious about that maybe you or others here have some insight on: Do you think they'd do even better if they were open 7 days/wk? Or is taking a day off one of the things contributing to their success?

I actually used to work there back in highschool before all the controversy in recent years with the bigoted owners. They'd totally make more money and they know it, just look at how much demand there is already to sustain a staff of around a dozen even for closing shifts (when mcdonalds et al would cut staff to two and close the dining room). I've only seen In n Out with similar staff sizes and latent demand, no one else in the fast food industry is close imo.

My typical shift was 4-close, and right around 4:15 demand would be a constant car after car until close, every single day. Demand was so high we had a term called 'wrap around' where the line of cars in the drive thru would wrap entirely around the store. This would be the case from 4:30-6 every single day I worked there, and this was only a mid sized suburb in the midwest in a strip mall with every other chain restaurant you can imagine, so they were dominating competition.

Re: It costs $10k to ‘own’ a Chick-fil-A franchise

#180
post #53

I have myriad issues with the personal ethics of the owners of Chick-fil-A - but their model does make sense to me. They're clearly not just wanting to sell their brand - they're wanting to own their brand. The 10k is just a token - It's maybe more than you have in your clearing account, but a figure that most people could likely produce and is just an indicator that "you're serious" Important part is that they put y…

10k seems low because the true cost is baked into all the sundry branded material and foodstuff you need to buy from cfa corporate. Chicken, straws, cups, salt, mop bucket soap—I wouldn't be surprised if the true cost of being a franchisee was more or less the same as any other major chain franchise.
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