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Zaxby’s Franchise: Costs, Incentives and Territory in the 2025 FDD

Cleared commercial pad site with survey stakes beside a suburban highway at dawn

A Zaxby’s franchise costs $1,445,000 to $3,810,500 to open under the April 25, 2025 disclosure document, including the $35,000 initial franchise fee. After opening, the franchisee pays a 6% royalty plus up to 4% for marketing each week.

Key takeaways

  • The Zaxby’s SPE Franchisor LLC Franchise Disclosure Document, issued April 25, 2025 puts the single-restaurant investment at $1,445,000 to $3,810,500, of which $40,200 to $45,000 goes to the franchisor or its affiliates (cover page and Item 7).
  • Building ($640,000 to $1,300,000) and Sitework ($150,000 to $990,000) make up 60.1% of the high total; Item 7 Note 20 says both lines can be removed when a landlord pays for improvements.
  • Outside the 8 Core Market states, the Select Market Incentive Program refunds the $35,000 fee and cuts the 6% royalty to 0% in year 1 and 3% in year 2 for restaurants opened by December 31, 2028 (Item 5).
  • The Protected Area is typically a 0.25-mile radius, there is no exclusive territory, and 15 kinds of Non-Traditional Outlet can still open inside it (Item 12).
  • The system had 969 restaurants at December 29, 2024 (826 franchised, 143 affiliate-owned), 58 franchise transfers in 2024 and 99 signed agreements not yet open (Item 20).

Minnesota’s CARDS database still listed the 2025 filing as the newest Zaxby’s FDD on November 10, 2026, and the franchisor’s own franchise page redirected our requests, so no later issue date could be confirmed. Federal law, 16 CFR 436.2(a), requires the current document at least 14 calendar-days before you sign or pay; ask for the issue date on the copy you receive. This page is general information, not legal, tax or investment advice.

Where does each dollar of the $1,445,000 to $3,810,500 go?

Item 7 of the April 25, 2025 Zaxby’s FDD splits the opening budget into 19 lines. Three of them, Building, Sitework and the Furniture, Fixtures & Equipment Package, account for $2,787,000 of the $3,810,500 high estimate, or 73.1%. Only two lines go to Zaxby’s itself: the $35,000 Initial Franchise Fee and the $5,200 to $10,000 Initial Marketing Contribution.

Item 7 lineLowHighShare of high totalPaid to
Initial Franchise Fee$35,000$35,0000.9%Zaxby’s SPE Franchisor
Lease Deposit and Payment$10,000$19,0000.5%Landlord
Utility Deposits$0$9,0000.2%Utilities
Building$640,000$1,300,00034.1%Vendors
Sitework$150,000$990,00026.0%Vendors
Architect & Engineer$45,000$110,0002.9%Vendors
Permits and Licenses$2,000$150,0003.9%Government authorities
Accounting and Legal Fees$500$25,0000.7%Professionals
Furniture, Fixtures & Equipment Package$445,000$497,00013.0%Vendors
Technology System$60,500$217,5005.7%Vendors
Signage$23,000$245,0006.4%Vendors
Insurance$1,000$17,0000.4%Insurance company or broker
Printing/Business Supplies$300$1,0000.0%Vendors
Initial Marketing Contribution$5,200$10,0000.3%Zaxby’s SPE Franchisor
Initial Inventory$5,000$22,0000.6%Vendors
Uniforms$1,500$5,0000.1%Vendors
Training Expenses$10,000$25,0000.7%Hotels, airlines
Pre-Opening Payroll$10,000$37,0001.0%Employees
Additional Funds, 3 months$1,000$96,0002.5%Vendors, employees, utilities
Total$1,445,000$3,810,500100%Item 7, single Restaurant

Source: Zaxby’s FDD issued April 25, 2025, Item 7; share column is our arithmetic. All 19 lines are in the download zaxbys-item-7-lines.csv, which re-adds to the printed totals of $1,445,000 and $3,810,500.

Figure 1Largest Zaxby's Item 7 lines, high end of each rangeSingle Restaurant, FDD issued April 25, 2025
Building$1,300,000Sitework$990,000Furniture, Fixtures & Equipment$497,000Signage$245,000Technology System$217,500Permits and Licenses$150,000Architect & Engineer$110,000Additional Funds, 3 months$96,000Pre-Opening Payroll$37,000Initial Franchise Fee$35,000
Source: Zaxby's FDD issued April 25, 2025, Item 7.

Building ($1,300,000) and Sitework ($990,000) are 60.1% of the $3,810,500 high estimate. Source: Zaxby’s FDD issued April 25, 2025, Item 7.

What does Item 7 assume about the site?

Item 7 Note 2 sets the physical spec behind the numbers: the Restaurant must have drive-thru capability (Non-Traditional locations excepted), improved space runs 1,100 to 3,500 square feet, and the typical lot is 0.72 to 1.5 acres. If you buy the land instead of leasing, Note 2 puts unimproved real estate at $400,000 to $1,800,000, which is outside the Item 7 total.

Two notes in the same table point in opposite directions. Note 2 says the estimates assume the landlord pays for leasehold improvements, while Note 20 says the total assumes the landlord will not pay them. Because the $640,000 to $1,300,000 Building line is inside the total, the printed range reads as a tenant-funded build; ask the franchisor which note controls before relying on either.

Which older Zaxby’s totals are still in circulation?

What other guides sayWhat the April 25, 2025 FDD printsSource
A review updated February 2025 lists a total of $1,406,700 to $3,323,200$1,445,000 to $3,810,500Item 7
The same review lists Technology at $60,200 to $92,200 and Signage at $23,000 to $134,000Technology System $60,500 to $217,500; Signage $23,000 to $245,000Item 7
A franchise directory shows $351,000 to $718,500 in one block and $284,000 to $664,300 in anotherNo Item 7 line set adds to either rangeItem 7
Directory listings give net worth of $1,000,000 and liquid capital of $500,000No net worth or liquid capital minimum appears in Items 1 to 23Full FDD

How much drops out if a landlord pays for the building?

Item 7 Note 20 says the Building and Sitework lines can be removed if the landlord pays for leasehold improvements. Taking both lines out of the printed range leaves $655,000 to $1,520,500 for a single Zaxby’s restaurant. Note 2 adds the trade-off: such a landlord typically sets rent from a 6.5% to 8% annual capitalization rate on its real estate and improvement costs.

StepLowHighBasis
Item 7 total as printed$1,445,000$3,810,500Item 7 table
Less Buildingminus $640,000minus $1,300,000Item 7 Note 4
Less Siteworkminus $150,000minus $990,000Item 7 Note 5
Landlord-funded build (our arithmetic)$655,000$1,520,500Item 7 Note 20
Buying the land instead: add unimproved real estateplus $400,000plus $1,800,000Item 7 Note 2

The low end of Building and Sitework already reflects converting an existing freestanding building rather than a ground-up build (Notes 4 and 5). Zaxby’s does not offer financing for any part of the investment (Item 7 and Item 10), so the lender, the landlord’s cap rate and the land decision set the real cash need. Our franchise cost guide explains how other Item 7 tables handle the same lease-versus-own choice.

Which incentive could refund the $35,000 fee and shrink the 6% royalty?

Item 5 of the 2025 Zaxby’s FDD describes two Development Incentive Programs signed through the addendum in Exhibit K. Both refund the $35,000 Initial Franchise Fee at opening. The New Restaurant Opening program lowers royalty to 2% then 4% in Core Markets, and the Select Market program lowers it to 0% then 3% everywhere else. A separate VetFran discount takes $7,000 off the fee for qualifying veterans.

ProgramWhereDeadlineFeeRoyalty year 1 / year 2Source
New Restaurant Opening IncentiveCore Market: Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina, TennesseeReal Estate Committee Approval by June 30, 2025; open by December 31, 2026Refunded at opening2% / 4%, then 6%Item 5, Item 6
Select Market IncentiveAny approved state outside the 8 Core MarketsOpen by December 31, 2028Refunded at opening0% / 3%, then 6%Item 5, Item 6
VetFranAny state; DD Form 214 from an owner of 25% or moreFirst five new Restaurants20% off, which is $7,0006% / 6%Item 5
Zaxby's FDD Item 5 page with the Select Market Incentive Program paragraph boxed in coral
Item 5 boxes the Select Market Incentive Program: fee refund and 0% then 3% royalty outside the 8 Core Markets for openings by December 31, 2028. Source: Zaxby’s FDD issued April 25, 2025, Item 5, page 9, accessed November 10, 2026.

The Core Market program’s June 30, 2025 approval date had passed by November 2026, so ask whether a newer FDD or Exhibit K addendum extends it. Item 5 also says the fees actually collected in fiscal 2024 ranged from $0 to $35,000, and that a VetFran discount must be repaid ($7,000) if the Restaurant is transferred or terminated before its first anniversary. Our veteran franchise discount report compares the VetFran terms other franchisors file.

What leaves the bank account every Monday after opening?

Item 6 makes the Royalty (6% of Gross Sales) and the weekly marketing contribution (up to 4%) due each Monday for the prior week, by electronic debit. Together they reach 10% of Gross Sales unless your Co-op votes above its 3% cap. A $0.06 per-transaction Technology Services Fee and a $0.075-per-dollar Zax Rewardz charge on loyalty-member sales come on top.

FeeAmountPaid toSource
Royalty6% of Gross Sales for the preceding weekZaxby’s SPE FranchisorItem 6
National Marketing ContributionCurrently 1.5% of Gross Sales; may rise to 3.5%Zaxby’s National Marketing Fund (ZNMF)Item 6, Item 11
Co-op Marketing or Multi-DMA Advertising ContributionUp to 3% of Gross Sales; Co-op members may vote moreLocal Co-op, or the Multi-DMA Advertising Association (ZMAA)Item 6
Weekly marketing totalUp to 4% of Gross SalesSplit by the franchisorItem 6
Technology Services Fee (TSF)$0.06 per transaction; 2025 Period cap of $7,000,000 across Existing Restaurants; 2026 Period to be set by the franchisorZaxby’s SPE FranchisorItem 6 Note 4
Zax Rewardz$0.075 per dollar of Gross Sales from a member; member earns 10 points per $1ZNMFItem 6
Franchised Managed Training Program Fee$500 to $1,500 per Restaurant annually, if you train your own managersZaxby’s SPE FranchisorItem 6
Late fees$100 per week (royalty) and $25 per week (marketing), plus 18% per annumZaxby’s SPE FranchisorItem 6
Diagram of Zaxby's payments at signing, before opening and every week after opening What a Zaxby’s franchisee pays, and when (Items 5, 6 and 7) At signing Initial Franchise Fee: $35,000 Development Fee: 50% of fees Impact study: $3,500 if asked Paid to the franchisor Before opening Build-out: vendors, landlord Initial Marketing Contribution: $5,200 to $10,000, 5 days prior Mostly third parties Every week after opening Royalty: 6% of Gross Sales National fund: 1.5% (cap 3.5%) Co-op or Multi-DMA: up to 3% TSF: $0.06 per transaction Rewardz: $0.075 per member $1 Franchisor, funds, Co-op Source: Zaxby’s FDD issued April 25, 2025, Items 5, 6, 7. Weekly marketing capped at 4% unless a Co-op votes more.
Payments run from the $35,000 fee at signing to a weekly 6% royalty and up to 4% marketing. Source: Zaxby’s FDD issued April 25, 2025, Items 5, 6 and 7.

The TSF rules differ by opening date. Existing Restaurants are the 145 corporate and 778 franchised units open on April 26, 2023; a New Restaurant pays the lesser of $0.06 per transaction or 0.33% of Gross Sales in its first partial fiscal year, collected once (Item 6 Note 4). From the 2026 Period the franchisor may change the method, amount or cap on 30 days’ written notice.

How does a 3 to 10 restaurant Development Agreement price out?

A Zaxby’s Development Agreement requires a commitment of at least three Restaurants (Item 1). At signing you pay a Development Fee of 50% of the combined Initial Franchise Fees, then $17,500 more as each Franchise Agreement is signed. Item 7’s second table prices that fee at $52,500 to $175,000 for three to ten Restaurants, before any build-out cost.

Restaurants committedDevelopment Fee at signing (Item 7 formula)Paid at each Franchise AgreementSource
3$52,500$17,500Item 7, second table
5$87,500 (our arithmetic); Item 5’s own example shows $105,000$17,500Items 5 and 7
10$175,000$17,500Item 7, second table
Each Restaurant above 10plus $17,500$17,500Item 7, Note 1

The $17,500 gap at five Restaurants comes from Item 5’s worked example, which charges the full $35,000 for the first Restaurant plus 50% of $140,000 for the other four. The cover page and Item 7 describe $17,500 per Restaurant. Ask which method your Development Agreement (Exhibit B) uses, because the Development Fee is not refundable. Our area development agreement report sets these terms beside other filed schedules.

Each Restaurant in the Development Schedule carries three deadlines, and missing any one lets Zaxby’s terminate the Development Agreement (Item 1):

  1. Real Estate Committee Approval Deadline: site approved, site agreement form approved, Franchise Agreement signed and the remaining 50% of the fee paid.
  2. Construction Commencement Deadline: site agreement executed, plans accepted, insurance in place and construction started.
  3. Opening Deadline: Restaurant open, with the required number of Restaurants operating.

What does the 0.25-mile Protected Area keep out?

Item 12 grants no exclusive territory. Within a Protected Area the franchisor sets during site confirmation, typically a 0.25-mile radius and never smaller, Zaxby’s will not open or license another traditional Restaurant. Non-Traditional Outlets, delivery and catering by other franchisees, grocery or e-commerce sales and acquired competing chains can all operate inside it.

Inside your Protected AreaAllowed?Source
Another traditional Zaxbys RestaurantNo, while you are not in defaultItem 12
Non-Traditional Outlets: airports, stadiums, travel plazas, supermarkets, food courts, hospitals, universities, military bases, ghost kitchens and food trucks, among 15 listed categoriesYesItem 12
Delivery and catering by other Zaxby’s franchiseesYes, under current policyItem 12
Zaxby’s products in grocery, e-commerce or other retail channelsYesItem 12
A competing chain bought by the franchisor, under its own name or convertedYesItem 12

Item 5 adds a check that reaches farther than the 0.25-mile radius. A new site within five miles of an existing Zaxby’s triggers notice to that operator, and if the operator pays $3,500 for a third-party impact study, the new franchisee pays a matching $3,500.

Predicted sales impact on the existing RestaurantRefund of your $3,500 Impact Study Fee
Less than 8%Full refund
8% to 12%50% refund
More than 12%No refund

A default can shrink the Protected Area temporarily or permanently. After an eminent-domain taking or a no-fault lease loss, Item 12 gives 60 days to get a substitute site approved and 12 months to reopen, with substitute royalty and marketing fees due in between. Our franchise territory rights report shows how a 0.25-mile radius compares with other filed territories.

Zaxby’s SPE Franchisor, Craveability and Goldman Sachs: who stands behind the contract?

The seller is Zaxby’s SPE Franchisor LLC, a Delaware company organized on April 13, 2021 that has offered franchises since July 2021. Item 1 traces it through Zaxby’s Funding LLC, Zaxby’s SPE Holdco LLC, Zaxby’s Franchising LLC and Zaxby’s Operating Company L.P. to Craveability Parent LLC, which is owned by investment funds managed by affiliates of the Merchant Banking business of The Goldman Sachs Group Inc.

  • 1994: Zaxby’s Franchising LLC (ZFL) begins offering Zaxby’s franchises.
  • Dec 28, 2020: Restructuring closes: ZFL and ZOC become indirect subsidiaries of Craveability Parent LLC.
  • Apr 13, 2021: Zaxby’s SPE Franchisor LLC organized in Delaware.
  • Jun 2021: Securitization Transaction closes: franchise agreements and U.S. marks move to the franchisor.
  • Jul 2021: Zaxby’s SPE Franchisor LLC begins offering franchises.
  • Dec 2, 2022: RSS sells accounting-services rights to Doyle HCM, Inc.
  • Apr 25, 2025: Current FDD issued: 969 restaurants at Dec 29, 2024 (Item 20).
Timeline of Zaxby's franchisor ownership from 1994 franchising to the April 2025 FDD Who sells the Zaxby’s franchise: ownership timeline from Item 1 Parent: funds managed by affiliates of the Merchant Banking business of The Goldman Sachs Group Inc. 1994 Zaxby’s Franchising LLC (ZFL) begins offering Zaxby’s franchises Dec 28, 2020 Restructuring closes: ZFL and ZOC become indirect subsidiaries of Craveability Parent LLC Apr 13, 2021 Zaxby’s SPE Franchisor LLC organized in Delaware Jun 2021 Securitization Transaction closes: franchise agreements and U.S. marks move to the franchisor Jul 2021 Zaxby’s SPE Franchisor LLC begins offering franchises Dec 2, 2022 RSS sells accounting-services rights to Doyle HCM, Inc. Apr 25, 2025 Current FDD issued: 969 restaurants at Dec 29, 2024 (Item 20) Source: Zaxby’s FDD issued April 25, 2025, Item 1 and Item 20
The franchisor was formed April 13, 2021 and took over all franchise agreements in the June 2021 securitization. Source: Zaxby’s FDD issued April 25, 2025, Item 1.

Under a management agreement signed at the June 2021 securitization, ZFL delivers training and field support, but Item 1 states the franchisor stays accountable for every promise in your agreement. An affiliate, Zaxby’s Company Restaurants LLC, operated 143 Restaurants at December 29, 2024, and Items 3 and 4 report no litigation or bankruptcy requiring disclosure. Our private equity franchise ownership report covers how securitized franchisors like this one are structured.

Where are Zaxby’s restaurants, and how many changed hands?

Item 20 counts 969 Zaxby’s restaurants at December 29, 2024: 826 franchised and 143 affiliate-owned, across 17 states with franchised units. Franchised units grew by 11, 20 and 30 in 2022, 2023 and 2024, while affiliate units fell from 146 to 143. Georgia alone held 206 franchised and 48 affiliate restaurants, about 26% of the system.

Figure 5Franchised Zaxby's restaurants by state, end of 2024Item 20 Table No. 3, 826 franchised restaurants in 17 states
Georgia206Florida112North Carolina97Alabama89Tennessee87South Carolina68Mississippi36Kentucky33Arkansas21Virginia19Texas15Indiana13Louisiana8Utah8Oklahoma7Missouri6Kansas1
Source: Zaxby's FDD issued April 25, 2025, Item 20 Table No. 3.

Georgia had 206 of 826 franchised Zaxby’s restaurants at the end of 2024; the 8 Core Market states hold 728 of the 826. Source: Zaxby’s FDD issued April 25, 2025, Item 20.

StateFranchised, end 2024Affiliate-owned, end 2024Transfers in 2024Signed, not open (Dec 29, 2024)
Georgia20648613
Florida1128520
North Carolina972358
Alabama894182
Tennessee871105
South Carolina6837206
Mississippi36002
Kentucky33003
Arkansas21000
Virginia192012
Texas15638
Indiana13002
Louisiana8400
Utah8000
Oklahoma7000
Missouri6001
Kansas1011
Arizona, Maryland, Nevada, New Jersey, Ohio, Pennsylvania00016
Total8261435899

Source: Zaxby’s FDD issued April 25, 2025, Item 20 Tables 2 to 5. State rows, plus 2022 and 2023 transfers and fiscal 2025 projected openings, are in the download zaxbys-item-20-by-state.csv.

Transfers to new owners ran 56 in 2022, 27 in 2023 and 58 in 2024, with South Carolina (20) and Alabama (18) leading in 2024. In 2024, 37 franchised units opened, 6 were terminated and 1 ceased for other reasons. Table 5 projects 50 franchised and 10 affiliate openings in fiscal 2025, and a November 5, 2025 company press release announced a 10-store Ohio agreement covering Dayton, Columbus and Cincinnati.

Two printing checks: the Utah row for 2022 shows 10 restaurants at the start and 0 at the end with no closings, yet 10 at the start of 2023, and the 2022 state rows add to 766 against a printed total of 776. Item 20 also says some franchisees signed confidentiality provisions, and it lists the independent Z Franchisee Association in Kennesaw, Georgia, with its website address as printed in Item 20.

Is there a net worth minimum, and how hands-on must the owner be?

The April 2025 Zaxby’s FDD prints no net worth or liquid capital minimum; a text search of all 23 Items finds none. What it does set is a staffing structure: a Designated Principal owning at least 25%, a full-time Key Operator approved by Zaxby’s, and at least four Certified Managers in year 1 (three after the first year), with 12 to 24 months from signing to opening.

RequirementWhat the FDD saysSource
Designated PrincipalAt least 25% ownership, authority over business decisions; need not run the Restaurant dailyItem 1, Item 15
Key OperatorFull time on the Restaurants in one area; approved by Zaxby’s; must complete trainingItem 15
Certified ManagersAt least 4 (1 general manager, 3 assistant or shift managers); 3 after one yearItem 15
Initial trainingNo tuition for 4 people; $2,500 per extra manager; 11.5 classroom hours of orientation, then 3 to 8 weeks of manager trainingItem 11
Signing to openingTypically 12 to 24 monthsItem 11
Term and renewal10 years from opening; one 10-year renewal at 50% of the then-current feeItem 6, Item 17
NoncompeteNo chicken-focused restaurant anywhere in the U.S. during the term; 2 years within 10 miles afterwardItem 17
DisputesArbitration in Atlanta, GeorgiaItem 17

Owner pay depends on the Item 6 fees and Item 7 costs above, plus the local sales level, and the FDD gives no owner-income figure. Item 19 does contain three historical tables: franchised-restaurant revenue for 2024, a table headed as affiliate restaurants whose text describes 270 franchisee-reported units with certain operating costs, and a 2022 to 2024 revenue series. Read them in Item 19 of the current FDD; our Item 19 research report explains how to test such tables.

Single unit, development deal, resale or another chicken brand: which Zaxby’s route fits?

The right Zaxby’s entry depends on four facts you can check before applying: the state of your site, how many Restaurants you can fund, whether a landlord will build, and whether you qualify for VetFran. The table below maps each to the FDD term that applies and its dollar effect, using only the April 25, 2025 filing.

If this describes youRouteWhat the FDD sets
Site in one of the 8 Core Markets, one RestaurantSingle Franchise Agreement$35,000 fee, 6% royalty; ask whether the June 30, 2025 incentive date was extended
Site in an approved non-Core state, open by December 31, 2028Select Market Incentive ProgramFee refunded at opening; 0% then 3% royalty
Capital for 3 or more RestaurantsDevelopment Agreement$52,500 to $175,000 Development Fee for 3 to 10, non-refundable
Landlord will fund the buildingLeased, landlord-built site$655,000 to $1,520,500 by our arithmetic; rent from a 6.5% to 8% cap rate
Prefer an operating RestaurantTransfer from a franchiseeTransfer fee 50% of the then-current fee ($17,500 at $35,000); franchisor may match the offer
Honorably discharged veteran owning 25% or moreVetFran$7,000 off, first five Restaurants

Buyers of an existing unit face the right of first refusal, release and remodel conditions in Item 17; our franchise resale report covers how those clauses affect price. To set Zaxby’s against another chicken system, the Popeyes franchise cost breakdown uses the same Item 7 method. Readers who first searched for chicken fingers should know the Raising Cane’s franchise record shows that brand does not sell franchises, and the fast food franchise guide lists systems that do.

How we compiled this

We read the full 343-page Zaxby’s SPE Franchisor LLC FDD issued April 25, 2025, downloaded from Minnesota’s CARDS database (document 33756-202504-09), re-added both Item 7 columns and the Item 20 state rows, and cross-checked 16 CFR 436.2 and one company press release, all accessed in November 2026. We excluded Item 19 dollar figures under this site’s no-earnings rule and did not use third-party cost estimates as sources.

Frequently asked questions

How much does a Zaxby's franchise cost?

The April 25, 2025 Zaxby’s FDD puts one restaurant at $1,445,000 to $3,810,500 in Item 7, including the $35,000 initial franchise fee. Building and Sitework alone run $790,000 to $2,290,000. If a landlord pays for those improvements, Item 7 Note 20 lets you remove both lines, which leaves $655,000 to $1,520,500 by our arithmetic, usually in exchange for higher rent.

How much is the Zaxby's franchise fee?

The Initial Franchise Fee is $35,000 per restaurant (Item 5 of the 2025 FDD). Half is refundable if no acceptable site is found outside a Development Agreement. Veterans in the VetFran program get $7,000 off on their first five restaurants, and the Select Market Incentive Program refunds the full fee at opening for qualifying restaurants outside the 8 Core Market states.

How much does a Zaxby's franchise owner make?

The FDD gives no owner-income figure, and this site does not publish earnings numbers. Owner pay depends on local sales minus the 6% royalty, up to 4% marketing, rent, labor and debt on a $1,445,000 to $3,810,500 build. Item 19 of the current FDD has three historical revenue tables; read them there and ask existing franchisees listed in Exhibit D about costs.

What are the requirements to own a Zaxby's franchise?

The 2025 FDD sets no net worth or liquid capital minimum. It requires a Designated Principal owning at least 25%, a full-time Key Operator approved by Zaxby’s, at least four Certified Managers in the first year, training for four people, a drive-thru site of 1,100 to 3,500 square feet, and opening within the deadlines, typically 12 to 24 months after signing.

Who owns Zaxby's?

Item 1 of the April 2025 FDD says the franchisor, Zaxby’s SPE Franchisor LLC, is an indirect subsidiary of Craveability Parent LLC of New York. Investment funds managed by affiliates of the Merchant Banking business of The Goldman Sachs Group Inc. own Craveability Parent. The restructuring under that parent closed on December 28, 2020, and a securitization in June 2021 moved franchise agreements to the current franchisor.

Is Zaxby's still selling franchises, and where?

Yes. Item 20 shows 37 franchised openings in 2024 and 99 signed agreements not yet open at December 29, 2024, including sites in Arizona, Maryland, Nevada, New Jersey, Ohio and Pennsylvania where no franchised unit operated yet. The Select Market incentive targets approved states outside Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina and Tennessee through December 31, 2028.

Sources

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