About East of Chicago Pizza Franchise
East of Chicago Pizza is a restaurant franchise offering pizzas, submarine sandwiches, salads, and other menu items through flexible formats including carry out and delivery or dine in, carry out, and delivery models.
The brand targets customers aged 18 to 45, including singles and families seeking diverse, quality options in the pizza market.
The franchise fee is $20,000, and the company has been franchising since 2010.
East of Chicago Pizza Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $20,000 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Revenues of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 3% of Gross Revenues (Marketing Fund Contribution) and 2% of Gross Revenues (Local Advertising Fund) | National brand fund |
| Total Investment Range | $213,900 – $690,200 | Includes build-out, inventory, working capital |
The investment range of $214K–$690K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Revenues) and marketing fee (3% of Gross Revenues (Marketing Fund Contribution) and 2% of Gross Revenues (Local Advertising Fund)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial franchise fee | $20,000 | $20,000 |
| Real estate (monthly) | $800 | $6,000 |
| Security deposits, utility deposits | $1,800 | $10,000 |
| Architectural fees | $4,000 | $20,000 |
| Leasehold improvements | $50,000 | $275,000 |
| Furniture, fixtures, signage, equipment (including computer / point-of-sale system), and décor | $85,000 | $220,000 |
| Signage | $3,500 | $35,000 |
| Smallwares and office equipment | $1,000 | $4,000 |
| Opening inventory | $4,000 | $12,000 |
| Professional fees (lawyer, accountant, etc.), governmental permits | $1,200 | $4,500 |
| Printing | $1,200 | $4,000 |
| Uniforms | $400 | $1,700 |
| Grand opening marketing and expenses | $1,000 | $10,000 |
| Working capital and miscellaneous expenses | $20,000 | $35,000 |
| Additional funds (for first three months) | $20,000 | $35,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $5,000 |
| Renewal Fee | 50% of the then-current initial franchise fee |
| Technology Fee | $1,800 to $4,000 annually for maintenance, updating, upgrading, or support contracts |
| Audit Fee | Our actual cost (if audit is due to non-compliance or under-reporting by more than 2%) |
| Market Cooperative Contribution | As determined by co-op. Currently, none. |
| Non-compliance fee | $250 (or $250 per week for ongoing non-compliance) |
| Reimbursement | Amount that we spend on your behalf, plus 10% |
| Interest and late fee | $100 plus interest on the unpaid amount at a rate equal to 18% per year |
| Insufficient funds fee | $50 |
| Replacement / additional manager training | Currently none, but can be $500 - $2,000 per person |
| Site visits during development | Our travel expenses (if subsequent visits) |
| Evaluation of approval of alternate suppliers | $50 - $150 per hour |
| Costs of collection | Our actual costs |
| Customer complaint resolution | Our expenses |
| Inspection fee | Currently $300, plus our out-of-pockets costs (if due to governmental report, complaint, or default) |
| Non-compliance cure costs and fee | Our out-of-pocket costs and internal cost allocation, plus 10% |
| Indemnity | Our costs and losses from any legal action related to the operation of your franchise |
| Prevailing party’s legal costs | Our attorney fees, court costs, and other expenses of a legal proceeding, if we are the prevailing party |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 42-59 hours |
| Classroom Training | 12 – 19 |
| On-the-Job Training | 30-40 |
| Training Location | Corporate Training Facility in Upper Sandusky, Ohio, and an approved East of Chicago location. |
| Additional Training | A second person (in addition to the Operating Partner) can attend initial training for no additional fee. A fee of $500 per person may be charged for more than two attendees. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected and Delivery Area Exclusive |
| Exclusive Territory | Yes |
| Territory Size | Typically a radius of one to four miles around your restaurant |
| Description | Your franchise agreement will specify a protected territory, typically a radius of one to four miles, where the franchisor will not open or license other EOC Pizza Stores, except in non-traditional locations. You also receive an exclusive Delivery Area where no other East of Chicago Pizza store will deliver or cater. This protection does not depend on achieving a certain sales volume or market penetration. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years from date you open your store |
| Renewal Term | one additional 10-year term |
| Renewal Fee | 50% of the then-current initial franchise fee |
| Renewal Conditions | Franchisee must give advance notice, be in compliance, renovate to then-current standards, sign the then-current franchise agreement, sign a general release (unless prohibited by law), and pay the renewal fee. |
| Transfer Fee | $5,000 |
| Transfer Conditions | Store must be in operation, transferors/transferees must be in compliance, transferee must qualify and complete training, transferee may not be a public company, all franchisee's stores must be transferred, transfer fee paid, debts subordinated, general release and non-compete signed, franchisor must approve price/payment terms, no adverse franchise legislation, and other requested actions. |
| Termination for Cause | Curable defaults (24 hours for health violations, 10 days for delinquent payments to franchisor, 15 days for delinquent payments to suppliers or other breaches). Non-curable defaults include insolvency, judgments over $10,000, asset attachment, failure to open/abandonment, lease cancellation, misrepresentations, felony conviction, unauthorized transfer/disclosure, libel/slander, breach of other agreements, or three defaults in a 12-month period. |
| Non-Compete Period | 3 years after termination or expiration |
| Non-Compete Details | During the term, neither the franchisee, any owner, nor their spouse may have an ownership interest in or be employed by any other pizza business. After termination/expiration, for three years, no ownership or employment by a competitor in the former territory or within 5 miles of any other East of Chicago Pizza business. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The franchisee (or one owner if an entity) must participate personally in the direct operation of the business. An 'Operating Partner' must be designated, own at least 10% of the business, have decision-making authority, and complete initial training. The Operating Partner must dedicate full-time (40+ hours/week) and best efforts to the business and cannot engage in conflicting activities. |
| Required Suppliers | SOFO Foods (primary distributor); Campbell’s Soup, Marzetti, Pierce Chicken, Pilgrim’s Pride, Rock Tenn CP, Stanislaus (for menu items); Middleby Marshall or XLT (for pizza ovens); approved sign manufacturer (for signage). |
| Supply Restrictions | Franchisees must purchase certain trade secret/proprietary items (pizza sauce, dough, cheese, sub buns) only from designated suppliers. Products bearing trademarks (uniforms, signs, paper goods, packaging) must be bought from approved manufacturers. Specific types of equipment are required. Business location, insurance, and point-of-sale systems are subject to franchisor approval and specifications. |
| Franchisor Revenue from Suppliers | Franchisor derived $1,055,319 (23.1% of total revenues in 2021) from required purchases/leases. Payments received from Campbell’s Soup ($2.50/case frozen condensed soup, $1.00/case macaroni & cheese), Tyson ($1.00/case BL UNCKD STKH TNDLN FRT, $2.00/case FC OR MED 1&2 WNG, $0.80/case FC GLDN BST CHNK TRL, $0.80/case FC FAJ SSND CKN BST STP), International Paper (9% on pizza boxes), SOFO Foods (Annual flat payment), Stanislaus ($1.00/case pizza and spaghetti sauces). |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligations. |
East of Chicago Pizza Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
East of Chicago Pizza 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.
East of Chicago Pizza System Growth
East of Chicago Pizza currently operates 61 franchised locations and 4 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 4 | 6 | 65 |
| 2020 | 2 | 2 | 65 |
| 2021 | 1 | 1 | 65 |
Transfers: 3 | Closures: 1
State Registrations
Registered in 15 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by Snyder & Company, CPAs for year ending December 31.
East of Chicago Pizza Franchise — FAQ
Similar Food & Beverage Franchises
Interested in East of Chicago Pizza?
Get free info on this franchise. We will send you a detailed FDD report by email.