From Food Cart to Nationwide Sensation: How Halal Guys Created a Cult-Like Following Through Franchising

There was an unusual scene near the intersection of Clark and Division last summer, where food obsessive Chicagoans were waiting up to an hour to order a gyro platter or chicken sandwich from Halal Guys. By most people’s standards, it’s just your average Middle Eastern takeout joint. An order usually consists of chopped up chicken and beef, smothered in a creamy tangy white sauce with a generous splash of hot red sauce. Underneath, there’s neon orange rice—a staple of the Halal Guy experience—and a handful of lettuce that (most likely) exists to make you feel better about eating a plate of meat.

At its simplest, it’s glorified street food—and ever since the brand announced that it would begin franchising, it’s created nothing short of a feeding frenzy in every city their food touches.

Halal Guys was started 20 years ago when four friends from Egypt launched a cart selling hot dogs. But when they noticed that many Muslim cab drivers were looking for a place to buy halal foods in Manhattan, which adhere to the dietary practices required by Islamic Law, they saw how large the demand was, and yet, how hard it was to find halal food in the city. So, the four friends decided to revamp their menu and become the Halal Guys, serving chicken, gyros and falafel from a cart.

Their idea quickly became a hit. It wasn’t long until lines started to form every single day at the corner of West 53^rd Street and Sixth Avenue in Manhattan—the intersection where the Halal Guys cart made its claim to fame. Office workers, taxi drivers, club-goers, tourists, construction workers and police officers couldn’t seem to get enough.

That’s why, nearly 25 years since Halal Guys was founded, owners Ahmed Elsaka and Abdelbaset Elsayed looked into franchising their business in 2014. The owners incorporated the cart and signed a deal with Fransmart, a restaurant franchise consulting firm. This is the same firm that took Five Guys Burgers and Fries from four locations in Northern Virginia and turned it into a fast food chain with over 1,200 and over $1 billion in sales. The company devised a five-year plan for Halal Guys, which would include over 100 locations in the United States, as well as a presence in Europe and Southeast Asia.

“McDonald’s has already dominated the burger segment. Starbucks has already dominated the coffee segment. But nobody has taken a global leadership position in the Middle Eastern and Mediterranean space. Now, thanks to Halal Guys, this is the first time Halal food will be in the same conversation as these major chains,” said Paul Tran, the senior director of development for FranSmart. “Just look at the diversity of the crowds they garner every single day. Ninety-five percent of their customers are non-Muslim, and that’s an indication that they could go anywhere—there’s a real need, and desire, for food like this. And Halal Guys is poised to bring it to the hungry masses.”

Not only does Tran work for a franchise development firm that has helped to thrust the brand into the national spotlight, but he’s also the chief operating officer of Halal or Nothing, the Southern California franchise group of the Halal Guys. Together with his business partners, Tran intends to open a Halal Guys restaurant in every SoCal city. The goal is 50 stores in 10 years—and judging by the immense potential that Tran sees in the brand, it’s an ambitious plan that’s well within sight.  

“For the past 25 years, Halal Guys has created such a loyal following of customers purely with its mouthwatering food. This is a brand that never cuts corner, and they’re committed to upholding that aspect of quality as they continue to grow. They boast a very focused menu of amazing food that’s different—but still familiar enough so that everybody can relate to it,” Tran added. “We knew it was something special and needed to share it with the world.”

The first franchise location opened up in June 2014 in New York’s East Village. And today, there are 12 franchised locations outside of New York, including ones in Dallas, Milwaukee, San Jose, California, Chicago and the Philippines. The Halal Guys have also sold development rights for about 340 additional locations in the U.S. and 50 in Southeast Asia—just two short years after the launch of its franchise opportunity.

If the numbers alone don’t convince you that Halal Guys is on the cusp of worldwide domination, just do a simple Google search—one result after another bears some kind of headline about the brand opening up in a new town. And after coming such a long way from its humble food cart beginnings, Tran believes that Halal Guys is well on its way to becoming a global icon and the largest American Halal street food concept in the world.

“The Halal Guys started with a mission to be different and encourage patrons across America to try something unique,” Tran said. “Food is such a great medium for cultural sharing. And Halal Guys is on that cutting edge and taking some risks—it’s exposing thousands of people to something new, and that in itself is exciting to see in franchising.”