About The Original Hot Chicken and Inked Tacos Franchise
The Original Hot Chicken and Inked Tacos is a dual concept restaurant franchise offering southern style hot chicken tenders, sandwiches, chicken and waffles alongside traditional Mexican inspired tacos, nachos, and related items.
Franchising since 2023 under TOHC Strategic Company LLC, the brand also offers an area representative opportunity for those who want to solicit and support franchise owners within a designated territory.
The initial franchise fee is $45,000.
The Original Hot Chicken and Inked Tacos Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $45,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Brand Fund Contribution: 2% of Gross Sales from your Model Restaurant; Local Advertising Expenditure: 1% of Gross Sales from your Model Restaurant (combined maximum 5% of Gross Sales) | National brand fund |
| Total Investment Range | $519,865 – $1,310,016 | Includes build-out, inventory, working capital |
The investment range of $520K–$1.3M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Sales) and marketing fee (Brand Fund Contribution: 2% of Gross Sales from your Model Restaurant; Local Advertising Expenditure: 1% of Gross Sales from your Model Restaurant (combined maximum 5% of Gross Sales)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Area Representative Fee | $250,000 | $500,000 |
| Initial Training Program Expenses (Area Rep) | $800 | $1,500 |
| Insurance Policies (Area Rep) | $6,000 | $7,500 |
| Additional Funds – 3 Months (Area Rep) | $5,000 | $8,000 |
| Initial Franchise Fee | $45,000 | $45,000 |
| Construction / Leasehold Improvements | $8,388 | $153,470 |
| Furniture, Fixtures and Décor | $9,347 | $57,078 |
| Equipment & Smallwares | $40,705 | $185,592 |
| Computer Systems | $12,000 | $25,000 |
| Drive Thru | $25,690 | $34,007 |
| Signage | $8,935 | $17,869 |
| Three Months’ Rent | $20,000 | $55,000 |
| Utilities | $2,500 | $12,500 |
| Security Deposit | $5,000 | $25,000 |
| Initial Inventory and Supplies (Ohio Valley Foods) | $25,500 | $34,000 |
| Initial Inventory and Supplies (Third Parties) | $4,500 | $6,000 |
| Grand Opening Advertising | $15,000 | $15,000 |
| Initial Training Program Expenses (Model Restaurant) | $5,000 | $10,000 |
| Crew Training & Pre-Opening Salaries | $10,000 | $20,000 |
| Licenses and Permits | $2,500 | $7,500 |
| Insurance (Model Restaurant) | $3,000 | $25,000 |
| Additional Funds - 3 months (Model Restaurant) | $10,000 | $50,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 50% of our then-current Initial Franchise Fee or Area Representative Fee, (based on the total Unit Franchises in your Development Quota), as applicable |
| Renewal Fee | Franchise Agreement: 50% of then-current Initial Franchise Fee; Area Representative Agreement: 50% of then-current Area Representative Fee, multiplied by number of Opened Restaurants in the Territory, plus Ongoing Area Representative Fees for the renewal term based on the successor Development Quota |
| Technology Fee | Franchise Agreement: currently, $250 per month, plus out of pocket costs for any on-site support; Area Representative Agreement: currently $1,000 per month |
| Audit Fee | Cost of audit, including legal and accounting fees, travel expenses, room and board, and compensation of our employees |
| Ongoing Area Representative Fee | $10,000 per Unit Franchise |
| Other Additional Training | Then-current fee, currently $250 per person per day |
| Franchise Compliance Costs | Our costs |
| Commission Refunds | Our costs |
| Re-Inspection Costs | Cost of re-inspections, including vendor fees, travel expenses, room and board, and compensation of our employees |
| Interest | Lesser of 2% per month or the maximum rate permitted by law |
| Insufficient Funds Fee | Then-current fee (currently, $100 per instance) |
| Supplier Testing Fee | Then-current fee, currently out-of-pocket costs (estimated $300 to $500 per product) |
| Correction of Deficiencies | Reimbursement of all expenses, including vendor fees, travel expenses, room and board, and compensation of our employees |
| Insurance | Then-current fee, currently, our out-of-pocket costs. |
| Management Fee | Then-current fee (currently, 5% of Gross Sales, plus expenses) |
| Indemnification | Will vary under circumstances |
| Costs and Attorneys’ Fees | Will vary under circumstances |
| Mystery Shopper Fee | Reimbursement of our expenses |
| Lost Revenue Damages | Will vary under circumstances |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 18 hours classroom, 38 hours on-the-job |
| Classroom Training | 18 |
| On-the-Job Training | 38 |
| Training Location | Atlanta metro area |
| Additional Training | We may require Key Personnel and/or other employees to attend various training courses, trade shows, ongoing education, or certification programs, and/or webinars. New Approved Managers or Principal Owners must attend the Initial Training Program within 30 days of appointment. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected Territory (for Model Restaurant), designated geographic area (for Area Representative) |
| Exclusive Territory | Yes |
| Territory Size | For Model Restaurant: a circle with a radius approximately 1 to 3 miles long. For Area Representative: designated geographic area. |
| Description | Boundaries typically defined by political subdivisions (e.g., cities or counties), streets and highways, zip code boundaries, or other similar designations. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | Area Representative Agreement: 5 years; Franchise Agreement: 10 years |
| Renewal Term | Area Representative Agreement: one successive term of 5 years; Franchise Agreement: one successive term of 10 years |
| Renewal Fee | Area Representative Agreement: 50% of then-current Area Representative Fee, multiplied by number of Opened Restaurants in the Territory, plus Ongoing Area Representative Fees for the renewal term based on the successor Development Quota; Franchise Agreement: 50% of then-current Initial Franchise Fee |
| Renewal Conditions | Must give notice 180-540 days before expiration, substantially comply with agreements, maintain possession/remodel/modify Restaurant (for Franchise Agreement), agree on successor Development Quota (for Area Rep Agreement), sign current agreements and general releases, and franchisor must be offering developer rights/franchises in the market area. |
| Transfer Fee | 50% of our then-current Initial Franchise Fee or Area Representative Fee, (based on the total Unit Franchises in your Development Quota), as applicable |
| Transfer Conditions | Requires written application, franchisor consent, execution of transfer documents, no violations in prior 60 days, transferee and Key Personnel complete training, necessary third-party notices/approvals, transferee signs current agreements/guaranty, transferee acquires all restaurants in territory (for Area Rep), existing deficiencies corrected, and evidence of appropriate measures for transfer. |
| Termination for Cause | Franchisor may terminate for various violations including material misrepresentation, failure to complete training, abandonment, failure to meet development quota, false reports, unauthorized transfers, felony conviction, failure to maintain insurance, dishonest conduct, unauthorized disclosure of confidential information, failure to pay taxes, multiple defaults, bankruptcy, terrorist activities, or breach of other agreements. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the term, neither you nor your owners may have an ownership interest in or perform services for a Competitive Business anywhere. After termination/expiration, for 2 years, neither you nor your owners may have an ownership interest in or perform services for a Competitive Business located or operating within the Territory, or within a 10-mile radius of the Territory (for Area Rep) or within a 15-mile radius of the Premises or 10-mile radius of any other Restaurant (for Franchise Agreement). |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The Principal Owner must supervise the management and day-to-day operations of the Business and Model Restaurant on a full-time basis. If the Principal Owner does not wish to supervise, an Approved Manager must be appointed and approved by the franchisor. |
| Required Suppliers | For Model Restaurant: proprietary sauces, proprietary proteins, and branded supplies from Ohio Valley Foods; certain e-commerce support for online ordering and virtual brand management from Franklin Junction; soft drinks, signage and menu boards, meat products, other food items, credit card processing, point-of-sale, mystery shopper services, architectural services, sanitation services, insurance, marketing services, and compliance services from other designated exclusive suppliers. For Area Representative Business: franchise advertising materials and services from approved suppliers; customer relationship management (CRM) software from designated supplier; branded collateral. |
| Supply Restrictions | You must purchase and use only products and services meeting Brand Standards, and certain Operating Assets only from designated or approved suppliers. For Area Representative Business, you must use designated CRM software. |
| Franchisor Revenue from Suppliers | Currently, neither we nor our affiliates derive any revenue or other consideration from suppliers on the basis of sales to Franchisees or Area Representatives, but we may do so at any time in the future. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your promissory notes, mortgages, leases, or other obligations. |
The Original Hot Chicken and Inked Tacos Franchise Earnings — Item 19
The Original Hot Chicken and Inked Tacos 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 Original Hot Chicken and Inked Tacos 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 Original Hot Chicken and Inked Tacos System Growth
The Original Hot Chicken and Inked Tacos currently operates 0 franchised locations and 1 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 | 0 | 0 | 0 |
| 2022 | 1 | 0 | 1 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by Plante & Moran, PLLC for year ending May 31.
The Original Hot Chicken and Inked Tacos Franchise — FAQ
Similar Food & Beverage Franchises
Interested in The Original Hot Chicken and Inked Tacos?
Get free info on this franchise. We will send you a detailed FDD report by email.