Zaxby's
Zaxby's Franchising, Inc.
Company Information
1040 Founders Blvd., #100 Athens, GA 30606
We are a Georgia corporation formed on September 8, 1994. Our principal business address is 1040 Founder’s Boulevard, Suite 100, Athens, Georgia 30606.
We franchise Restaurants featuring fresh, hot, prepared-to-order real chicken in a clean, friendly and inviting environment, which includes dining in, carrying out, calling in, and driving through options. You will develop and operate one or more Restaurants with the right to use our marks and our system, including operational guidelines, opening guidelines, our specifications for Restaurant design and proprietary menu items and ingredients, our initial and ongoing training programs, accounting services and marketing and promotional assistance. Our standards, guidelines, and specifications are outlined in our confidential manual (the “Manual”) and otherwise in writing from time to time. You will own the underlying assets of the business; those assets will be operated by you, as our licensee, under a license from us. You will enter into a license agreement that lays out your rights and obligations in the operation of each Restaurant (the “License Agreement”). A copy of our current License Agreement is attached as Exhibit A. Each License Agreement will be between you and us, and each of your owners will guarantee your obligations to us. If you commit to develop more than one Restaurant, you will enter into a multi-restaurant development agreement (the “Development Agreement”). A copy of our current Development Agreement is attached as Exhibit B. You must agree to develop at least two Restaurants in order to sign a Development Agreement. The Development Agreement will set a timetable for the development of the Restaurants within a defined geographic area. On or before 180 days prior to the date on which each Restaurant is to be opened pursuant to such timetable, you must enter into our then-current License Agreement and such ancillary agreements as we may require related to the development and operation of such Restaurant, except that the franchise fee for each Restaurant shall remain the same as the fee in effect as of the date the Development Agreement was signed. Each Development Agreement will be between you and us, and each of your owners will guarantee your obligations to us.
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Franchise Rating
Franchimp Summary Rating
6/10
Earning Transparency
10/10
Investment Accessibility
1/10
Summary of potential earnings
$2,544,354 / unit
Average Revenue During 2021QSR
$411,442
Industry Low
$2,544,354
Industry High
Franchise System Development
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Distribution of Zaxby's Franchisee
Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $40,200 Maximum: $45,000
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $1,406,700 Maximum: $3,323,200
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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