Quick Verdict · who it fits
Zaxby's fits first-time franchise buyers looking for a mature food & beverage concept.
The numbers a buyer needs first — straight from the filing.
Initial investment (Item 7)
$1.5M - $3.8M
Franchise fee (Item 5)
$35K
Royalty (Item 6)
6% + 4% ad
System size (Item 20)
865 +41
Agreement term
10 yrs
Years in business
5+ yrs
Company-owned units
140
Model Zaxby's's costs in the investment calculator → Prefilled from this filing — startup cost, cash flow and break-even.
Buyer qualifications
•No exclusive territory✓Semi-absentee eligible✓No bankruptcy disclosed
Data extracted from the 2026 FDD filed with state regulators. Fees and terms may have changed since filing — request the current FDD from the franchisor before deciding. Not legal, financial, or investment advice. Full disclaimer.
Drag to your projected annual sales. Royalty 6% + ad fund 4% on gross sales.
PROJECTED ANNUAL SALES$2,780,000
$100k$5.1M
Royalty (6%)
—
Ad fund (4%)
—
Total / year
—
▪ Of-sales fees only · excludes rent, labor, COGS, and one-time costs · for illustration
Free AI summary — the first read on the filing.
1,005
Total units open
39 franchised units
Units opened last year
41 opened, 8 closed, net +39
8
Units closed last year
+39 units in 2025
Net unit growth
What our analysis flagged across the 2026 filing.
4
Risks to review
4
Strengths identified
3
Questions to ask
How Zaxby's ranks against 753 Food & Beverage peers we've analyzed.
Initial investment
94th pct · of 753 peers
Franchise fee
36th pct · of 753 peers
System size
93rd pct · of 753 peers
Food & Beverage industry averages
Avg investment
$589K - $1.4M
Avg franchise fee
$37K
Avg system size
261
Franchises analyzed
753
Closest concepts by category and investment.
| Brand | Item 19 | Fee | Investment | Royalty | Units |
|---|---|---|---|---|---|
| Zaxby's | Disclosed | $35K | $1.5M - $3.8M | 6% | 865 |
| Bmb Franchising Services, Inc. (bombshells)Similar price | None | $50K | $2.1M - $3.8M | 5.5% | 0 |
| Doctor's AssociatesBiggest system | None | $15K | $227K - $630K | 8% | 18,773 |
| Vintage Hospitality GroupTop-rated in category | Disclosed | $50K | $3.5M - $6.4M | 5.5% | 33 |
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Free explainers to go deeper before you sign.
Brand Analysis
Chipotle reported 4,186 company-operated restaurants and 15 international licensed restaurants as of June 30, 2026. None are franchised, there is no FDD, and there is nothing to apply for. Qdoba is the franchised version of the same order line, and its 12/25 FDD puts a traditional restaurant at $548,100 to $1,294,000.
Brand Analysis
Cracker Barrel Old Country Store, Inc. reported 656 company-operated stores in 43 states as of January 30, 2026, and the brand has never sold a franchise. Huddle House and Another Broken Egg cover the same daypart with filed FDDs, at $555,375 to $1,715,275 and $792,500 to $1,804,000.
Brand Analysis
The Häagen-Dazs Shoppe Company franchises the ice cream shops on a $30,000 fee and a 4% royalty, with a 2026 Item 7 range of $213,329 to $591,579. The trademark belongs to a different company, and the ice cream you are required to buy comes from a third.
Zaxby's requires a $35,000 initial franchise fee and a total initial investment range of $1,460,000–$3,810,500, per the most recent FDD on file.
Zaxby's franchises are sold by Zaxby's SPE Franchisor LLC, the franchisor entity of record on its Franchise Disclosure Document. Item 1 of the FDD discloses the corporate structure, including any parent companies and predecessors.
Yes. Zaxby's discloses Item 19 financial performance representations in its FDD. See the financials sub-page for the disclosed figures.
Franchisees pay a royalty of 6% and an advertising fund contribution of 4% on gross sales as defined in Item 6 of the FDD.
As of their 2026 FDD, Zaxby's has 865 total locations, with 41 new locations opened in the most recent reporting year. This information comes from Item 20 of the FDD.
No. Zaxby's does not grant exclusive territory rights under Item 12. The franchisor retains the right to operate or grant additional units inside or adjacent to your trade area.
Per the FDD, Zaxby's discloses an initial agreement term of 10 years. Review Items 10 and 17 for the full renewal and termination provisions.
This page is part of VetMyFranchise. View all pages: llms.txt · llms-full.txt