Huey Magoo's Chicken Tenders logo

Huey Magoo's Chicken Tenders Franchise

Audited Financials
Food and BeverageEst. 2004Orlando, FL
www.hueymagoos.com

Risk Score

Pending analysis

Investment Range

$932,863 - $2,995,500

Franchise Fee

$17,500

Min Cash Required

$45,000

Total US Locations

71

Business Summary

Huey Magoo's Chicken Tenders operates fast casual restaurants that specialize in selling chicken tender meals, wraps, salads, sandwiches, specialty dipping sauces, and various side dishes and beverages. These restaurants offer a fun, casual setting with friendly counter service for customers of all ages. Huey Magoo's Chicken Tenders offers different restaurant formats, including Inline Restaurants, Drive-Thru/Pick-Up Restaurants in free-standing buildings, and smaller Express Restaurants located in non-traditional venues like malls or airports. Franchisees operate these restaurants using the Huey Magoo's Chicken Tenders brand and a specific system of approved methods and products.

Corporate History

Huey Magoo's Chicken Tenders originated with the first restaurant opening in November 2004 in Oviedo, Florida, by its predecessor, HMFOUNDERS, LLC (previously Huey Magoo's Franchising, LLC), which was formed in May 2010. The predecessor began offering Huey Magoo's franchises in 2009. Huey Magoo's Restaurants, LLC, the current franchisor, was organized in Delaware on January 5, 2015, and acquired the assets, trademarks, recipes, and franchise system from the predecessor in May 2016. Huey Magoo's Restaurants, LLC has been offering franchises since May 2016.

Financial Overview

Investment Range

$932,863 - $2,995,500

Franchise Fee (Low)

$17,500

Franchise Fee (High)

$35,000

Minimum Cash Required

$45,000

Royalty %

5%

Marketing %

2%

Equipment Costs (Low)

$706,643

Equipment Costs (High)

$2,225,000

Working Capital

$81,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

The audited financial statements of Huey Magoo's Restaurants, LLC for the year ended December 29, 2024, show a net income of $1,237,303, an increase from the prior year's net income of $1,101,257. The company's cash and cash equivalents were $2,873,816 at the end of 2024, a decrease from $3,667,597 at the end of 2023. Member's equity increased to $1,451,792 at the end of 2024 from $876,304 at the end of 2023. The auditor's report indicates an unqualified opinion, meaning the financial statements are presented fairly in all material respects, and does not raise substantial doubt about Huey Magoo's Restaurants, LLC's ability to continue as a going concern.

Financing Details

Huey Magoo's Restaurants, LLC does not offer any direct or indirect financing to franchisees. The franchisor also does not guarantee any notes, leases, or other obligations for franchisees.

Performance Metrics

Total US Locations

71

Franchised Units

69

Corporate Units

2

Avg Square Footage

2,100

Franchising Since

2016

Agreement Terms

Initial Term

10 years

Renewal Term

10 years

Renewal Conditions

To renew their franchise agreement, Huey Magoo's Restaurants, LLC franchisees must provide written notice of their intention to renew 6 to 12 months before the initial term ends. They must complete all required maintenance, refurbishing, renovating, and upgrading of their restaurant to the franchisor's satisfaction. If renovation is not feasible, they must relocate their restaurant within their Limited Protected Territory, ensuring it does not infringe on another Huey Magoo's or company-owned restaurant's territory. Franchisees must also be in good standing, not in default of any agreements with Huey Magoo's Restaurants, LLC or its affiliates. They will sign a new successor franchise agreement, which may include materially different terms and conditions, and pay a Successor Term Fee equal to 50% of the then-current initial franchise fee. Additionally, franchisees and their owners must sign a general release of claims against Huey Magoo's Restaurants, LLC and its affiliates. They must also have the right to occupy their restaurant location for the entire successor term or secure approval for a new location.

Training & Support Program

Franchisor Assistance

Huey Magoo's Chicken Tenders provides extensive support to its franchisees. Before opening, the franchisor assists with site selection and lease approval, offering design specifications for restaurant construction. They review business plans and provide standardized accounting, cost control, portion control, and inventory control systems. Initial training is provided for franchisees and managers, along with pre-opening on-site training and grand opening assistance for the first two restaurants. After opening, Huey Magoo's Chicken Tenders offers ongoing support through periodic field visits (including quarterly Quality, Service, Cleanliness, Reputation - QSC visits), informational assistance via telephone and email, and listing on their central website. They also develop and make available advertising materials and campaigns, provide advice on local advertising, and engage in research and development for new menu items. The franchisor licenses its intellectual property and may offer optional periodic and special assistance.

Initial Training Hours

184

Training Location

Corporate Office in Orlando, Florida and at least 1 Training Restaurant in the Orlando, Florida area

Ongoing Support

After opening, Huey Magoo's Chicken Tenders franchisees receive ongoing support including periodic field visits, with a minimum of quarterly QSC (Quality, Service, Cleanliness) visits. They can also get informational assistance by telephone and email for operational, promotional, and business method matters. The franchisor maintains the Huey Magoo's website and lists each restaurant on its central webpage, also providing various advertising, marketing, and promotional materials. Advice on local advertising and pre-approved radio/television commercials are available. Huey Magoo's Chicken Tenders continuously researches and develops new menu items and techniques. Optional support includes additional training, special on-site assistance (for a fee), and ongoing training for managers and key employees. Each franchisee is assigned a Franchise Business Consultant (FBC) as their main point of contact for ongoing needs and QSC visits, transitioning from the training team 4 to 6 weeks after opening.

Franchise Requirements

Ideal Candidate Profile

Huey Magoo's Chicken Tenders seeks qualified individuals who are committed to operating two or more restaurants within a defined Development Area. Franchisees are required to have a Designated Representative (an owner with at least a 5% equity interest in the franchisee entity) who is committed full-time (40 hours a week) to the day-to-day operations, or, if the Designated Representative is not full-time, an additional full-time manager. For larger, multi-restaurant operations, the franchisor may waive the Designated Representative's direct participation in the initial training program if the company demonstrates an established internal operations management structure with experience operating at least 5 restaurants in the last 3 years.

Industry Experience Required

No

Management Experience Required

No

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Retail

Owner Participation

absentee-allowed

Territory Type

Limited

Staff Count

46

Territory Size Requirements

Huey Magoo's Chicken Tenders grants a Limited Protected Territory to franchisees for Fast Casual Restaurants, typically not exceeding a 3-mile radius around the restaurant. The size is variable and based on factors like population density and drive times. Express Restaurants in non-traditional sites do not receive territorial protection. While the franchisor will not place competing System restaurants within a Limited Protected Territory, it reserves the right to operate or franchise other business models, sell products through alternative channels (like the internet), distribute products through retail stores, and establish national accounts within the territory.

Staffing Notes

Huey Magoo's Chicken Tenders requires franchisees to maintain a competent staff, including a minimum of 3 managers for Express or Inline Restaurants, or 4 managers for Drive-Thru/Pick-Up Restaurants. These managers must successfully complete the franchisor's Initial Training Program. If the owner (Designated Representative) is not actively involved full-time (40 hours/week) in the restaurant's day-to-day operations, an additional full-time manager is required. Additionally, 1 to 2 shift managers or team leaders must pass a short certification test prior to opening. Staffing levels are generally based on anticipated sales, with a guideline of 1 employee per $1,000 in weekly sales, not including managers. All restaurants must have a ServSafe® certified manager on-site during all operating hours. The franchisor emphasizes that hiring, disciplining, supervising, promoting employees, and setting salaries are the sole responsibility of the franchisee.