About The Budlong Franchise
The Budlong Hot Chicken is a restaurant franchise specializing in spicy fried chicken and sandwiches, complemented by a variety of sides, desserts, and beverages.
Franchising since 2023 under Craveworthy LLC, the brand targets a broad customer base including local residents, college students, and travelers looking for bold, craveable chicken with serious heat.
The initial franchise fee is $30,000.
The Budlong Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $30,000 | One-time payment upon signing |
| Royalty Fee | 6% of total Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 4% of Gross Sales (2.5% Brand Development Fee + 1.5% Local Marketing Contribution) | National brand fund |
| Total Investment Range | $178,000 – $989,500 | Includes build-out, inventory, working capital |
The investment range of $178K–$990K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of total Gross Sales) and marketing fee (4% of Gross Sales (2.5% Brand Development Fee + 1.5% Local Marketing Contribution)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $30,000 | $30,000 |
| Architect/Engineering Fee | $10,000 | $20,000 |
| Business License & Permits | $1,000 | $10,000 |
| Liquor License | $0 | $10,000 |
| Rent - First 3 Months | $10,000 | $40,000 |
| Leasehold Improvements | $30,000 | $400,000 |
| Furniture, Fixtures & Decor | $10,000 | $50,000 |
| Equipment | $15,000 | $250,000 |
| Smallwares | $7,500 | $9,500 |
| Insurance | $3,000 | $7,500 |
| Miscellaneous Opening Costs | $5,000 | $15,000 |
| Training Costs: Travel and Living Expenses While Training | $10,000 | $20,000 |
| Opening Inventory | $7,500 | $15,000 |
| Signage | $5,000 | $20,000 |
| Professional Fees | $3,000 | $15,000 |
| Uniforms | $1,000 | $2,500 |
| Computer, Point of Sale System and Annual Maintenance Contract, and Office Equipment and Supplies | $5,000 | $20,000 |
| Grand Opening Advertising | $10,000 | $10,000 |
| Additional Funds – First 3 Months | $15,000 | $45,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 50% of then-current standard initial franchise fee or $2,500 if less than a controlling interest in you is transferred |
| Renewal Fee | $5,000 |
| Technology Fee | Currently $750 per month |
| Audit Fee | Cost of audit (including the charges of any independent accountants and the travel expenses, room and board and compensation of our employees) plus interest from due date |
| Late Fee | $250 per occurrence, plus any bank charges |
| Additional Initial Training Program | Currently $2,500 per attendee, plus our costs and expenses |
| Supplemental or Refresher Training | Currently $500 per day plus our costs and expenses not to exceed $5,000 |
| Income and Sales Taxes | Cost of all taxes arising from our licensing of intellectual property to you in the state where your Restaurant is located, as well as any related assessment. |
| Approved Supplier/Product Testing Fee | Currently, $500 per request plus the costs and expenses we incur (up to $5,000) |
| Remodeling Expenses | Will vary under circumstances |
| Costs and Attorneys’ Fees | Will vary under circumstances |
| Interest Expenses | Lesser of 18% per year or the maximum rate permitted by law |
| Insurance | Cost of insurance plus late charges and administrative fee |
| Operating Assistance | Currently, $350 per day plus our costs and expenses |
| Management Fee | A reasonable fee, plus our costs and expenses |
| Quality Assurance Audits | Up to $250 per inspection |
| Mystery Shopper Program Expenses | Cost of third-party mystery shopper services |
| Annual Conference | Our then-current conference fee |
| Reimbursement of Designated Programs and Promotions | Costs of marketing, advertising and promotional programs we establish |
| Taxes | Varies |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 2 to 3 weeks |
| Classroom Training | 40 hours |
| On-the-Job Training | 60 to 110 hours |
| Training Location | Certified training restaurant and online; your Restaurant |
| Additional Training | We may require the Operating Principal and any key management personnel to attend supplemental and refresher training programs for up to 7 days each calendar year, in addition to any Annual Conferences. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected Territory |
| Exclusive Territory | No |
| Territory Size | Varies based on population density, zip codes, counties, median household income, and economic development. Urban areas may have a minimum 1/8th-mile radius, suburban areas up to a two-mile radius. |
| Description | You will receive a "Protected Territory" surrounding the Restaurant location, delineated by a mile-radius or other boundaries determined by the franchisor. The size depends on population density, zip codes, counties, median household income, and economic development. Urban areas may have a minimum 1/8th-mile radius, while suburban areas may have up to a two-mile radius. The franchisor reserves the right to operate or grant others the right to operate at "Non-Traditional Venues" within the Protected Territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 2 additional 5-year terms |
| Renewal Fee | $5,000 |
| Renewal Conditions | Provide advance notice, comply with the current Franchise Agreement, satisfactorily complete new/refresher training programs, sign a new agreement (which may differ), remodel the premises to current standards, provide proof of continued possession of premises, and sign a general release of claims. |
| Transfer Fee | 50% of then-current standard initial franchise fee or $2,500 if less than a controlling interest is transferred |
| Transfer Conditions | New franchisee must qualify and complete training, all amounts owed must be paid, franchisee must be in good standing, new franchisee assumes existing or signs new agreement, franchisor approves transfer agreement, transfer fee paid, lease assigned (if applicable), and non-compete agreement and general release signed. |
| Termination for Cause | Failure to conform to material System requirements, failure to timely pay obligations, violation of material provisions, bankruptcy, unauthorized transfer, material misrepresentation, conviction of certain crimes, abandonment, actions impairing the Marks, insufficient funds (3+ times in 12 months), violating restrictive covenants, unauthorized product sales, failure to maintain liquor license or insurance, or 3+ material breaches within any 12-month period. |
| Non-Compete Period | 2 years |
| Non-Compete Details | After termination or expiration, you (and Principal Owners) cannot directly or indirectly be involved in a Competing Business at the former Restaurant site, within a 10-mile radius of the former site or any other existing The Budlong Hot Chicken restaurant, or within the Protected Territory, or within a 10-mile radius of the Protected Territory. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The Operating Principal must be an approved individual responsible for day-to-day Restaurant operations, working on a full-time basis, and not engaging in other businesses or activities that conflict with their obligations. The Restaurant must always be under the direct, on-site supervision of the Operating Principal or a certified general manager. |
| Required Suppliers | You must purchase for use or sale at your Restaurant those food products and alcoholic and non-alcoholic drinks and other services or products we designate from us, our designees or from other approved suppliers. We, our affiliates or our designees may be the designated or sole source of supply for certain services and products. |
| Supply Restrictions | We may require you to purchase private labeled ingredients, provisions, products, smallwares, merchandise, and other items from us, our affiliates, or our designated suppliers. We may also require the use of a third-party accounting service or firm if you fail to maintain required financial records. |
| Franchisor Revenue from Suppliers | We (directly or through an affiliate) may derive revenue directly or in the form of rebates or other payments from suppliers, based directly or indirectly on sales of Products, advertising materials and other items to franchisees, and from other service providers. These payments may range from less than 1% up to 10% or more of the total purchase price of those items. We intend to contribute such rebates or payments into the Brand Development Fund, but are not obligated to do so, and may use any such rebates or payments for any purpose determined in our sole discretion. |
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 obligation. |
The Budlong Franchise Earnings — Item 19
The Budlong 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.
The Budlong 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.
The Budlong System Growth
The Budlong currently operates 0 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 |
|---|---|---|---|
| 2020 | 2 | 0 | 5 |
| 2021 | 1 | 1 | 5 |
| 2022 | 0 | 1 | 4 |
Transfers: 0 | Closures: 2
State Registrations
Registered in 6 states: Illinois, Indiana, Maryland, Michigan, New York, Virginia
Franchisor Financials (Item 21)
Audited by MONIS J. SIDDIQUI, CPA P.C. for year ending April 3, 2023 (inception date).
The Budlong Franchise — FAQ
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