About Dixie's Franchise
Dixie's is a franchise brand that has been offering business opportunities since 2018, building a network of independently owned locations backed by a proven operating system.
The brand provides entrepreneurs with the training, tools, and support needed to establish a successful business in their local market.
The franchise fee is $25,000, offering an accessible investment level for aspiring business owners.
Dixie's Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $25,000 | One-time payment upon signing |
| Royalty Fee | 5.5% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of Gross Sales (up to 4% of Gross Sales for Advertising Fund, and 2% of Gross Sales up to 4% of Gross Sales for Local Advertising and Cooperatives, with a combined maximum of 6% of Gross Sales) | National brand fund |
| Total Investment Range | $715,500 – $2,659,000 | Includes build-out, inventory, working capital |
The investment range of $716K–$2.7M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5.5% of Gross Sales) and marketing fee (2% of Gross Sales (up to 4% of Gross Sales for Advertising Fund, and 2% of Gross Sales up to 4% of Gross Sales for Local Advertising and Cooperatives, with a combined maximum of 6% of Gross Sales)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $25,000 | $25,000 |
| Lease and Utilities Security Deposits | $1,000 | $30,000 |
| Leasehold Improvements (1) | $400,000 | $1,400,000 |
| Architect, Design and Construction fees | $5,000 | $50,000 |
| Signage (2) | $20,000 | $60,000 |
| Furniture and Fixtures (2) | $10,000 | $150,000 |
| Equipment and Smallwares (2) | $75,000 | $400,000 |
| Security System (3) | $5,000 | $10,000 |
| Computer Hardware and Software (including POS system) (4) | $25,000 | $50,000 |
| Office Equipment and Supplies (5) | $500 | $2,000 |
| Uniforms (6) | $500 | $2,000 |
| Business Licenses and Permits (7) | $5,000 | $20,000 |
| Professional Services (8) | $2,000 | $10,000 |
| Initial Inventory/Supplies (9) | $25,000 | $250,000 |
| Insurance (10) | $1,500 | $10,000 |
| Initial Training Costs (11) | $55,000 | $80,000 |
| Grand Opening Advertising (12) | $10,000 | $10,000 |
| Additional Funds – Initial 3 months (13) | $50,000 | $100,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 (or in certain cases our out-of-pocket costs and expenses) |
| Renewal Fee | $25,000 |
| Technology Fee | Currently $0, but we reserve the right to establish such fee in the future in an amount to be generally based on our costs to provide technology and support to franchisees |
| Audit Fee | An amount equal to all costs and expenses in connection with the audit (in addition to any unpaid amounts owed to us with interest on those unpaid amounts at a rate of 18% per year or the maximum lawful rate) if an examination or audit shows you have understated any amount owed to us by 2% or more. |
| Grand Opening Expense | $10,000 |
| Taxes | An amount levied by applicable tax authorities |
| Liquidated Damages/Unauthorized Closure fee | An amount equal to the total royalties paid by you during the previous 12 months multiplied by two. If you have not paid royalties for at least 12 consecutive months then your average royalty payments (average per month) will be multiplied by 24 to determine the liquidated damages owed to us. |
| Business Listings Cost | On demand |
| Merchandise for Resale; Equipment; Décor Items | Reasonable cost |
| Interest | The lesser of 18% per year or the maximum lawful rate |
| Late Fees | $100 for each delinquent amount owed to us, and $100 for each day that any report, statement, or return is late. |
| Additional Training (at our headquarters or other location designated by us) | At our option, a per diem rate of $250 for each person receiving training. |
| On-site Remedial Training | The then-current per diem fee for remedial training, plus our costs for travel, lodging, wages and meals. Our current per diem rate is $500 per trainer |
| Securities Offering Fee | Our reasonable costs and expenses associated with the proposed offering. |
| Manual Replacement Fee | $500 |
| Inspection and Testing Costs | Cost of inspection, if applicable, and cost of test |
| Indemnification | Varies according to loss |
| Intranet Fee | A reasonable amount based on your usage if/when we establish an Intranet |
| Insurance Fee | A reasonable amount based on our expenses |
| Deadline Extension Fee | $2,500 for each 30-day extension |
| Enforcement Costs | Will vary |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 26 hours classroom, 320 hours on-the-job |
| Classroom Training | 26 hours |
| On-the-Job Training | 320 hours |
| Training Location | Mount Holly, New Jersey |
| Additional Training | We may require your Operating Partner, General Manager and Assistant Managers to attend additional training programs and seminars. We have the right to charge a reasonable fee for these additional training programs and seminars. You must pay all expenses you or your personnel incur in connection with any training program or seminar, including the cost of travel, lodging, wages and meals. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | A circular geographic area having a radius of at least one (1) mile, centered at the front door of your Colbie’s Southern Kissed Chicken Restaurant. May be larger based on market factors. |
| Description | The Protected Area is a circular geographic area with a radius of at least one (1) mile, centered at the front door of the Colbie’s Southern Kissed Chicken Restaurant. The franchisor may modify or reduce boundaries based on traffic patterns, demographic data, or other factors. Reserved Areas (amusement parks, stadiums, etc.) are excluded. Franchisees may conduct catering within their Protected Area (excluding Reserved Areas) and outside with prior written consent if not within another franchisee's protected area. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | Three additional 10-year terms |
| Renewal Fee | $25,000 |
| Renewal Conditions | Give written notice; update the Colbie’s Southern Kissed Chicken Restaurant and required items; not be in default; pay all money owed; retain right to Location; pay us a renewal fee; sign general release; comply with our then-current standards, and remodel as required to meet our then-current standards for building design, image and décor, qualifications and training requirements. |
| Transfer Fee | $10,000 (or in certain cases our out-of-pocket costs and expenses, depending on circumstances) |
| Transfer Conditions | Pay all amounts due; not be in default; sign a general release; pay transfer fee; remain liable for pre-transfer obligations. Transferee must meet our criteria, complete required training, guarantee obligations; enter into then-current franchise agreement and upgrade the Colbie’s Southern Kissed Chicken Restaurant. |
| Termination for Cause | Franchisor may terminate for various defaults, some curable (e.g., failure to pay monies (5 days), misuse of Marks (24 hours), failure to obtain insurance (7 days), non-compete violation (10 days), failure to secure license (10 days), other defaults (10-30 days)) and some non-curable (e.g., insolvency, bankruptcy, unauthorized closure, conviction of certain crimes, threat to public health/safety, unauthorized transfer, false records, repeated defaults). |
| Non-Compete Period | During the term of the franchise, and for 2 years after termination/expiration/transfer. |
| Non-Compete Details | During the term, franchisee and owners may not divert business to competitors or have an interest in a similar business (chicken sandwiches/items) anywhere in the US or other registered areas. After termination/expiration/transfer, for 2 years, they may not divert business or have an interest in a similar business at the Location, within the Protected Area, within a 25-mile radius of the Location, or within a 25-mile radius of any existing or under-construction Colbie’s Southern Kissed Chicken Restaurant. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The Operating Partner must hold at least a 10% equity interest in the franchisee entity and devote full-time best efforts to operating the restaurant(s). The Operating Partner may also serve as General Manager for one location. A General Manager is required for each restaurant and must devote full-time efforts. Assistant Managers are also required and must devote full-time efforts. All owners must personally guarantee performance. |
| Required Suppliers | Sysco Foods, U.S. Foods Inc. (for food products generally); a supplier approved by us in writing (for bakery products, kitchen supplies and equipment, paper products); Brink point-of-sale system (for POS). |
| Supply Restrictions | You must purchase certain food and beverage items from suppliers that we approve or designate. We reserve the right to designate specific suppliers and change or add them. You must comply with all of our standards and specifications relating to the purchase of all food and beverage items, paper products, signage, décor items, ingredients, sauces, spice mixes, supplies, materials, fixtures, furnishings, equipment, computer systems and other items and services used or offered for sale. |
| Franchisor Revenue from Suppliers | Neither we nor our affiliates had any revenues from the sale of products or services to franchisees in the fiscal year ended December 31, 2022, nor did we or our affiliates receive any rebates, refunds or other payments from any designated sources because of transactions with our franchisees during such time period. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing, and we do not guarantee your notes, leases or other obligations. |
Dixie's Franchise Earnings — Item 19
Dixie's 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.
Dixie's 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.
Dixie's System Growth
Dixie's currently operates 1 franchised locations and 2 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 0 | 0 | 0 |
| 2021 | 2 | 0 | 2 |
| 2022 | 1 | 0 | 3 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 5 states: NJ, CA, NY, WA, MI
Franchisor Financials (Item 21)
Audited by Haynie & Company Certified Public Accountants for year ending December 31.
Dixie's Franchise — FAQ
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