About Chili's and Chili's Grill & Bar Franchise
Chili's Grill and Bar is a leading casual dining restaurant brand recognized worldwide for its signature baby back ribs, sizzling fajitas, burgers, and margaritas.
With a lively atmosphere and an extensive menu that appeals to families, friends, and coworkers alike, Chili's has become one of the most familiar names in full service dining across the globe.
The franchise fee ranges from $40,000 to $60,000.
Chili's and Chili's Grill & Bar Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 to $60,000 | One-time payment upon signing |
| Royalty Fee | 1.25% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 0.5% of Gross Sales | National brand fund |
| Total Investment Range | $40,000 – $60,000 | Includes build-out, inventory, working capital |
The investment range of $40K–$60K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (1.25% of Gross Sales) and marketing fee (0.5% of Gross Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee2 | $40,000 | $60,000 |
| Leasehold Expense3 | $7,500 | $28,000 |
| Pre-Construction4a | $50,000 | $300,000 |
| Construction Costs4b | $2,000,000 | $2,500,000 |
| Site Work5 | $300,000 | $800,000 |
| Exterior Signage6 | $20,000 | $80,000 |
| Furniture/Fixtures/ Sound System/TVs7 | $100,000 | $120,000 |
| Kitchen/Bar Equipment/8 | $350,000 | $400,000 |
| Opening Advertising9 | $5,000 | $10,000 |
| Initial Training10 | $65,000 | $250,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $2,500 |
| Audit Fee | Payable only if we find that you have underpaid or understated any amount owed t |
| Technical Services Fee (2) | 2.75% of Gross Sales (2) |
| Supplemental Marketing Programs | Currently, 0.10% of Gross Sales |
| Replacement and Supplemental Training | $4,000 |
| Product Testing Fee | $1,500 |
| Mandatory Sanitation and Food Safety Program (SAFE) | $181.31 |
| Offering | $10,000 |
| Late Charge and Interest | $500 |
| Liquidated Damages for Failure to Meet Development Schedule | $10,000 |
| Successor Fee | 100% of our then-current Franchise Fee |
| Decor Items, Certain Furniture and Fixtures | Currently, the prices that we charge our company- owned restaurants for the item |
| Gift Cards | $1,500 |
| Management Services | 10% of Gross Sales |
| Leasehold Expense3 | $7,500 |
| Pre-Construction4a | $50,000 |
| Construction Costs4b | $2,000,000 |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 1 hours classroom, 1 hours on-the-job |
| Classroom Training | 1 hours |
| On-the-Job Training | 1 hours |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | exclusive |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Renewal Term | The term of the successor franchise agreement will be 20 years. |
| Termination for Cause | Each of your obligations under the Franchise Agreement is a material and essential obligation, the breach of which may result in termination. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Does not offer financing. |
Chili's and Chili's Grill & Bar Franchise Earnings — Item 19
Chili's and Chili's Grill & Bar does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Chili's and Chili's Grill & Bar Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Chili's and Chili's Grill & Bar System Growth
Chili's and Chili's Grill & Bar currently operates 174 franchised locations and 9 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 174 | ||
| 2021 | 171 | ||
| 2022 | 101 |
Chili's and Chili's Grill & Bar Franchise — FAQ
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