Risk Score
Pending analysis
Investment Range
$305,500 - $518,000
Franchise Fee
$20,000
Min Cash Required
$15,000
Total US Locations
95
Business Summary
Hangry Joe's Hot Chicken operates a fast-casual restaurant concept that specializes in premium hot chicken sandwiches with various spice levels, along with a specialized menu. The business primarily sells its food and beverage items to individuals year-round.
Corporate History
Hangry Joe's Franchising, LLC was established as a Virginia Limited Liability Company on June 9, 2021. The company began offering its fast-casual hot chicken sandwich restaurant franchises in the United States starting in July 2021. Internationally, Hangry Joe's began franchising in Korea in July 2022 through Hangry Joe's Korea, and in the United Arab Emirates in 2022 through a Master Franchise.
Financial Overview
Investment Range
$305,500 - $518,000
Franchise Fee (Low)
$20,000
Franchise Fee (High)
$35,000
Minimum Cash Required
$15,000
Royalty %
6.5%
Marketing %
2%
Equipment Costs (Low)
$177,000
Equipment Costs (High)
$305,000
Working Capital
$20,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The franchisor's financial condition, as noted in a special risk section, raises questions about Hangry Joe's financial ability to provide services and support to its franchisees. The financial statements show that a retained earnings deficit has worsened over the past three years, from $128,947 in 2022 to a deficit of $1,593,938 in 2024. While the company reported a net income in 2024, it experienced a significant net loss in 2023. These factors indicate potential financial challenges for Hangry Joe's Franchising, LLC.
Financing Details
Hangry Joe's Franchising, LLC does not offer any direct or indirect financing to its franchisees. The company also does not guarantee any notes, leases, or other financial obligations for franchisees.
Performance Metrics
Total US Locations
95
Franchised Units
95
Corporate Units
0
Franchising Since
2021
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Hangry Joe's Franchising, LLC has no litigation that is required to be disclosed in its Franchise Disclosure Document.
Bankruptcy History
Hangry Joe's Franchising, LLC and its management have no bankruptcy history to disclose.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise agreement, Hangry Joe's Hot Chicken franchisees must notify the franchisor in writing at least 180 days before their current agreement expires. They must be in compliance with their existing Franchise Agreement and then sign a new franchise agreement that is current at the time of renewal, which may have different terms and conditions. A renewal fee of $2,500 and a general release of claims against the franchisor are also required.
Training & Support Program
Franchisor Assistance
Before opening, Hangry Joe's Franchising, LLC assists with site selection by providing criteria and approving the chosen site, as well as providing a sample site layout plan and approving lease or purchase agreements. The franchisor also provides guidance on the type and number of employees to hire, and helps with obtaining equipment, signs, fixtures, opening inventory, and supplies by providing approved vendor names or specifications. Franchisees receive initial training, typically two weeks long, at a designated franchise outlet and access to a comprehensive Operations Manual. The franchisor also offers guidance on establishing product and service prices. After opening, Hangry Joe's provides ongoing operational and marketing support, specifies computer hardware and software systems, and may offer additional training or seminars. They maintain a corporate website that includes franchisee contact information, and they may conduct digital marketing campaigns and negotiate vendor contracts for digital advertising.
Initial Training Hours
80
Training Location
An Affiliate restaurant location or another designated location
Ongoing Support
After opening, Hangry Joe's Franchising, LLC provides ongoing operational assistance for problems and issues franchisees may encounter, along with marketing support. The franchisor specifies computer hardware and software systems for business operation and may offer and require attendance at additional training or seminars. They also develop and maintain a corporate website with location contact information, create and promote digital marketing channels, and may negotiate digital advertising campaigns where franchisees can participate for a pro-rata share of costs.
Franchise Requirements
Ideal Candidate Profile
Hangry Joe's Franchising, LLC seeks franchisees who are willing to participate personally in the direct operation of their business, or who will employ a Designated Manager who has successfully completed the franchisor's initial training and passed a background check. All owners of the franchise must guarantee the obligations of the Franchise Agreement. For transferees, the franchisor looks for individuals who meet their educational, managerial, and business standards, possess a good moral character, business reputation, and credit rating, have the aptitude and ability to conduct the business, and have adequate financial resources and capital.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
hands-on
Territory Type
exclusive
Territory Size Requirements
Hangry Joe's Hot Chicken franchisees typically receive an exclusive territory with a radius of 2 to 5 miles around their restaurant location. Within this area, Hangry Joe's Franchising, LLC promises not to establish any other company-owned or franchised outlets selling similar goods or services under the same trademarks.
Staffing Notes
Hangry Joe's Franchising, LLC provides assistance and guidance regarding the type and number of employees that franchisees should hire. However, franchisees are solely responsible for all aspects of employee management, including hiring, firing, compensation, payroll taxes, and day-to-day supervision and control. Owners or a designated manager must attend and successfully complete initial training, and any designated manager must also sign a Confidentiality and Non-Compete Agreement and pass a background check.