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Dave's Hot Chicken Franchise Costs, Fees, Profit and Data for 2026
Franchise Opportunity Deep Dive: This fast-casual hot chicken concept is known for bold flavors, a simple menu and a massive fan following.

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Franchise Opportunity Deep Dive: This fast-casual hot chicken concept is known for bold flavors, a simple menu and a massive fan following.

Dave’s Hot Chicken is a fast-casual, Nashville-style hot chicken concept known for its simple menu, extreme flavor and social-media-driven fan culture. The brand grew from a single parking-lot stand in 2017 into one of the hottest franchise concepts in the restaurant industry.
Dave’s Hot Chicken was founded in 2017 in East Hollywood by four childhood friends — Dave Kopushyan, Arman Oganesyan, Thomas Rubenyan and Gary Rubenyan. What began as a $900 pop-up with folding tables and a portable fryer exploded after Eater LA called the food “mind-blowing,” drawing massive lines and paving the way for their first brick-and-mortar restaurant. The brand began franchising in 2018.
Mission: To serve juicy, spicy hot chicken that delivers a “mind-blowing” flavor experience.
Vision: To expand a culture-driven hot chicken concept nationwide and introduce as many customers as possible to its signature heat levels and craveable menu.
Dave’s Hot Chicken does not provide specific availability. The company primarily sells multi-unit franchise agreements that require franchisees to open at least three restaurants in a designated territory. In some cases, it may offer single-unit franchises, including non-traditional locations and branded food trucks. Contact the franchisor for more information.
Initial Costs: The estimated total investment to open the first restaurant under a three-unit development agreement ranges from $823,800 to $4,121,900 for a freestanding restaurant, $616,800 to $2,632,500 for an in-line or endcap restaurant, and $263,150 to $688,500 for a branded food truck. The 2026 Franchise Disclosure Document (FDD) breaks these costs down as follows:
Freestanding Restaurant
| Type of Expenditure | Min | Max |
| Initial Franchise Fee | $40,000 | $40,000 |
| Architect/Engineer | $15,000 | $160,000 |
| Business Licenses & Permits | $1,000 | $217,000 |
| Construction, Remodeling & Leasehold Improvements | $475,000 | $2,315,900 |
| Equipment | $95,000 | $440,000 |
| Furniture, Fixtures, Décor & Smallwares | $11,500 | $135,000 |
| Signage | $23,000 | $123,000 |
| Graffiti & Artwork | $30,000 | $125,000 |
| Grand Opening Kit, Menu Boards | $12,500 | $36,000 |
| Drive-Thru Loop Timers & Signage | $0 | $35,000 |
| Computer Equipment & Information/POS Systems | $13,500 | $66,000 |
| Office Supplies | $1,000 | $3,000 |
| Uniforms | $1,500 | $13,000 |
| Initial Inventory & Supplies | $20,000 | $75,000 |
| Insurance Deposits | $1,500 | $12,000 |
| Liquor Licensing | $0 | $3,000 |
| Pre-Opening Rent | $5,000 | $35,000 |
| Initial Training Expenses | $2,000 | $30,000 |
| New Restaurant Opening Fee | $0 | $15,000 |
| Pre-Opening Labor Expense | $15,000 | $75,000 |
| Grand Opening Advertising | $10,000 | $12,000 |
| NRO Media Fee | $22,000 | $22,000 |
| Miscellaneous Opening Costs | $1,000 | $30,000 |
| Professional Fees | $1,000 | $15,000 |
| Additional Funds (3 Months) | $16,300 | $48,000 |
In-Line or Endcap
| Type of Expenditure | Min | Max |
| Initial Franchise Fee | $40,000 | $40,000 |
| Architect/Engineer | $14,000 | $97,000 |
| Business Licenses & Permits | $1,000 | $35,000 |
| Construction, Remodeling & Leasehold Improvements | $275,000 | $1,180,000 |
| Equipment | $95,000 | $440,000 |
| Furniture, Fixtures & Decorations | $11,500 | $135,000 |
| Smallwares | $11,000 | $41,000 |
| Signage | $17,000 | $103,000 |
| Graffiti & Artwork | $30,000 | $125,000 |
| Grand Opening Kit, Menu Boards | $12,500 | $36,000 |
| Computer Equipment & Information/POS Systems | $13,500 | $50,000 |
| Office Supplies | $1,000 | $3,000 |
| Uniforms | $1,500 | $7,500 |
| Initial Inventory & Supplies | $20,000 | $75,000 |
| Insurance Deposits | $1,500 | $10,000 |
| Liquor Licensing | $0 | $3,000 |
| Pre-Opening Rent | $5,000 | $25,000 |
| Initial Training Expenses | $2,000 | $35,000 |
| New Restaurant Opening Fee | $0 | $15,000 |
| Pre-Opening Labor Expense | $15,000 | $50,000 |
| Grand Opening Advertising | $10,000 | $12,000 |
| NRO Media Fee | $22,000 | $22,000 |
| Miscellaneous Opening Costs | $1,000 | $30,000 |
| Professional Fees | $1,000 | $15,000 |
| Additional Funds (3 Months) | $16,300 | $48,000 |
DHC Food Truck
| Type of Expenditure | Min | Max |
| Initial Franchise Fee | $20,000 | $20,000 |
| Food Truck | $75,000 | $150,000 |
| Food Truck Retrofit | $50,000 | $250,000 |
| Business Licenses & Permits | $1,000 | $10,000 |
| Equipment | $75,000 | $150,000 |
| Furniture, Fixtures & Decorations | $0 | $5,000 |
| Smallwares | $2,500 | $5,000 |
| Food Truck Wrap | $10,000 | $25,000 |
| Computer Equipment & Information/POS Systems | $5,000 | $10,000 |
| Office Supplies | $250 | $1,000 |
| Uniforms | $400 | $1,500 |
| Initial Inventory & Supplies | $5,000 | $10,000 |
| Insurance Deposits | $1,500 | $4,000 |
| Initial Training Expenses | $2,500 | $5,000 |
| Opening Fee | $5,000 | $5,000 |
| Pre-Opening Labor Expense | $5,000 | $12,000 |
| Miscellaneous Opening Costs | $500 | $12,000 |
| Professional Fees | $500 | $5,000 |
| Additional Funds (3 Months) | $4,000 | $15,000 |
Initial Franchise Fee: Dave’s Hot Chicken charges an initial franchise fee of $40,000 for each restaurant and $20,000 for a DHC food truck. This fee is payable upon signing the franchise agreement. If the restaurant is being developed under an area development agreement, a different payment schedule applies.
Ongoing Fees: According to the 2026 FDD, Dave's Hot Chicken franchisees are responsible for the following ongoing payments and fees:
| Type of Fee | Amount |
| Continuing Royalty | 6% of gross sales/week |
| Creative Fund Contribution | 4% of gross sales/week |
ROI Potential: Dave’s Hot Chicken does not disclose a financial performance representation in Item 19 of its FDD.
Dave’s Hot Chicken provides initial training covering restaurant operations and the systems and standards franchisees need to operate the concept.
The brand provides comprehensive training for experienced operators, including restaurant operations, brand standards, product preparation and guest experience.
Support includes guidance in real estate selection, restaurant design, construction, marketing and ongoing operational best practices to ensure performance consistency across all units.
Franchisees receive access to modern POS systems, digital ordering tools and operational software to support efficiency and guest service.
Other requirements include:
Dave’s Hot Chicken requires hands-on, multi-unit operators with established infrastructure. This is not a semi-absentee model.
The brand does not list financing partners or internal funding options.
“I felt that they were the strongest player in the chicken category, so that's number one. I also loved their leadership. The founders own stores and they're franchisees themselves, so that says a lot about the brand — they’re invested in the brand. I can call one of the leaders right now to ask about food costs or the menu, and I think that’s unheard of … Also, the brand is at its infancy stage … and I think the brand awareness will grow as the brand grows. I can't wait to see what it’s going to be in five years when they get to 500 or 600 units.”
- Suhel Ahmed, Franchisee — New York City (Nation’s Restaurant News)
“I’m really happy because we are changing a lot of lives with a purpose, and it fits into what I want to do. Dave’s has changed my life. Right now, my No. 1 focus is growing the business, and I hope to continue that for many years to come.”
- Lawrence Kourie, Franchisee — San Diego (Franchising.com)
The fast-food chicken industry has shown strong financial performance over the past five years, driven in part by rising disposable income and steady economic growth. Consumer habits have also shifted, with more guests seeking healthier options. In response, major chicken chains have diversified menus to include lighter or customizable choices. These combined trends pushed industry revenue to grow at an annualized rate of 5.6%, reaching $63.7 billion over the five years leading into 2025. Industry analysts project an additional 1.7% growth in 2025, reinforcing long-term momentum across the chicken category.
Dave’s Hot Chicken competes in the spicy chicken and fast-casual chicken category. Key competitors include: Raising Cane’s, Popeyes, Chick-fil-A and Wingstop. The brand stands out through its ultra-simple menu, extreme heat levels, high online visibility and trendy in-store aesthetic.
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