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    Dave's Hot Chicken

    Food Service
    Founded: 2017
    Rating: 4.1

    Company Information

    Address

    8522 National Blvd, Culver City, CA 90232

    Website

    www.daveshotchicken.com

    Email Address

    franchising@daveshotchicken.com

    Phone

    Quick Stats

    Total Units850
    Franchise Units820
    Company Units30
    Royalty Fee5%
    Ad Fee3%

    Background on the Corporate History

    Dave's Hot Chicken was founded in 2017 by Arman Oganesyan, a chef who wanted to create the perfect Nashville-style hot chicken. Starting as a single location in East Hollywood, the concept quickly gained a cult following for its tender, juicy chicken and signature spice blends ranging from "No Spice" to "Reaper" (the hottest level). The brand has since expanded rapidly across California and nationwide, attracting celebrity investors and franchisees. Dave's Hot Chicken is known for its simple menu focusing on quality ingredients, with chicken tenders and sliders served with housemade ranch, coleslaw, mac & cheese, and signature kale slaw. The franchise system emphasizes operational excellence, brand consistency, and delivering an exceptional customer experience at every location.

    System Development

    YearUnits at StartUnits OpenedUnits TerminatedNon-RenewalsRe-AcquiredCeased OperationsUnits at End
    20236502005230850
    20224002503110650
    20211802202020400
    2020501301010180
    20191535000050

    Summary of Investment Costs

    Upfront Franchise Fees

    $45,000 - $60,000

    Initial franchise fee for a single restaurant location with protected territory rights.

    Total Investment Costs

    $450,000 - $850,000

    Liquid Capital Required

    $300,000

    Franchise Disclosure Documents

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    News & Press

    Latest news and press coverage about Dave's Hot Chicken

    Business
    Jan 15, 2024
    Restaurant Business

    Dave's Hot Chicken Announces Major Expansion Plans for 2024

    The popular chicken franchise reveals ambitious growth strategy with plans to open 200+ new locations across the United States this year.

    Investment
    Jan 10, 2024
    Forbes

    Celebrity Investors Back Dave's Hot Chicken in Latest Funding Round

    A-list celebrities continue to show confidence in the hot chicken concept as the brand raises additional capital for expansion.

    Product
    Jan 8, 2024
    QSR Magazine

    Dave's Hot Chicken Launches New Menu Items in Select Markets

    The franchise introduces innovative new offerings including Nashville-style hot chicken sandwiches and seasonal sides.

    Franchise
    Jan 5, 2024
    Franchise Times

    Franchisee Success Story: How One Operator Built a Dave's Hot Chicken Empire

    Multi-unit franchisee shares insights on building a successful business with the fast-growing chicken concept.

    Franchat Analysis

    Is Dave's Hot Chicken a Smart Franchise Pick in 2026?

    Dave's Hot Chicken is the breakout QSR story of the decade — from a 2017 parking-lot pop-up to 400+ open units and a $1B+ valuation. The brand is white-hot, but that comes with a price tag and a queue: territory is scarce, and the build-out is firmly in the premium-QSR bracket.

    Where it shines

    • Average Unit Volume (AUV) reportedly $3M+ — one of the highest in the chicken category, well ahead of most QSR concepts
    • Massive cultural momentum: celebrity backing (Drake, Samuel L. Jackson), Gen Z TikTok virality
    • Tight menu = simpler ops, lower food waste, faster ticket times than burger or pizza concepts
    • Strong international interest — Saudi, UK, Canada expansion already underway

    What to watch

    • Total investment can exceed $2M for prime locations — far above typical QSR entry
    • Most prime US territories already awarded; new candidates often need multi-unit commitments
    • Spicy-chicken category is saturating — Raising Cane's, Jollibee, and regional players all expanding
    • 5% royalty + marketing fees are standard but compress margin against the high build cost

    Best fit for: Experienced multi-unit restaurant operators with $1M+ liquid capital who can commit to a 3–5 unit area development agreement.

    Why AUV is the number that matters most

    Most franchise conversations get stuck on the franchise fee or royalty. With Dave's, the math only works because the top line is enormous — reported AUVs of $3M–$4M put even high build costs into perspective. A $1.8M investment generating $3M/year in revenue at typical QSR margins still hits payback in a competitive timeframe. Compare that to a concept with a $400K build and a $900K AUV — the percentage returns can actually be lower despite the smaller check.

    How to actually get awarded a Dave's franchise

    Dave's is no longer accepting single-unit candidates in most US markets. The realistic path in 2026 is either (1) an area development agreement for 3+ units in a secondary market, (2) an international master franchise, or (3) acquiring an existing operator looking to exit. We help candidates assess territory availability and structure competitive applications — most rejections happen on capital, not concept fit.