Fried Chicken Shop Business Plan

What Is a Fried Chicken Restaurant Business Plan?

Across many cultures, fried chicken is quite popular. Stepping into the world of a successful chicken shop requires some smart planning. That’s where a well-crafted fried chicken restaurant business plan comes into play. 

A solid business plan, like the food delivery service business plan, should clearly define your ideal customers and highlight what makes your business uniquely appealing compared to competitors.

But that’s not all – with this plan, you can lay out your financial predictions to catch the eye of potential investors and lenders. So, if you’re aiming to create a thriving chicken hotspot, a rock-solid business plan is your secret ingredient.

Why Do You Need a Fried Chicken Store Business Plan?

A solid fried chicken shop business plan is critical for several reasons:

• Defines your vision, mission, and goals for the chicken shop.
• Analyzes your target market and customer needs.
• Evaluates competitors and your positioning.
• Plans efficient operations and resource allocation.
• Mitigates risks and challenges.
• Attracts investors by demonstrating viability and profitability.
• Secures funding with financial projections and assumptions.

In short, a strong business plan is key to launching and running a successful chicken shop.

How To Write a Fried Chicken Fast Food Restaurant Business Plan?

Writing a solid chicken shop business plan from scratch is extremely challenging, especially if you’re a beginner entrepreneur. Doing thorough industry research, defining your strategy, and creating detailed financial projections require significant time and business expertise.

Trying to put together all these complex components into a coherent plan can be overwhelming. This is why it’s highly recommended to use a fried chicken business plan example, template or sample.

Templates and samples provide structure, content examples and important questions to guide you. They save you time and effort while ensuring you cover all key sections properly. If you need more hands-on help, hiring franchise business plan consultants is a wise decision. They have the experience to craft a customized plan that secures funding and sets your chicken shop up for success.

Fried Chicken Shop Business Plan Sample

Here are the key elements that every fried chicken business plan should cover explained using a business template of Fried Chicken Express:

1. Executive Summary

Fried Chicken Express is a modern fast casual restaurant focused on serving fresh, crispy fried chicken and sides at reasonable prices. Our mission? To be the go-to spot for high-quality fried chicken in the neighborhood.

On the menu: wings, tenders, nuggets, sandwiches, wraps, salads, sides, sauces, drinks and desserts. We use premium ingredients and time-tested recipes to craft each item. The food comes packaged in eco-friendly containers to keep it tasting great.

Our target customer? Folks looking for a quick, satisfying chicken fix. We aim to appeal to young professionals, students and families who live or work nearby. Out-of-town visitors are also welcome. We offer value, quality, variety, convenience and rewards to bring customers back.

As highlighted in our feasibility study for restaurant, the fried chicken market is highly competitive with major brands like KFC, Popeyes. and Chick-fil-A. But we have some key advantages:

• Our fresh, crispy chicken at affordable prices
• Prime location with lots of foot traffic
• Modern, inviting store
• Friendly, efficient staff
• Savvy social media and word-of-mouth marketing

We need $200,000 to get up and running. This covers costs like leasing, renovations, equipment, inventory, staff, licenses and marketing. We expect to break even within 12 months and earn $50,000 profit in year one. Steady 15% annual growth is projected over the next five years.

Fried Chicken Express has big potential. For investors interested in supporting a promising new food venture, this is an opportunity with excellent returns. We aim to become the top local fried chicken brand with your partnership.

2. Company Analysis

Mission

At Fried Chicken Express, our mission is simple: serve fresh, crispy, craveable fried chicken in a clean and comfortable setting with friendly service. We aim to satisfy our customers’ fried chicken cravings with high-quality food, convenience and a positive experience every visit. Our goal is to create happy and loyal customers who feel appreciated.

3. Structure and Background

Fried Chicken Express is a sole proprietorship owned by Alan E. Greenberg, an experienced entrepreneur and chef. With over 10 years in the restaurant industry, Alan has developed extensive expertise in food preparation, menu development, kitchen management and marketing.

Noticing a lack of affordable yet delicious fried chicken options locally, Alan decided to leverage his passion for fried chicken and start Fried Chicken Express. Located at 1364 Cameron Road in Buffalo, NY, the 1,000 square foot restaurant can seat 40 guests in a modern, inviting dining space.

Fried Chicken Express is open daily from 10am-10pm and staffed by Alan as owner/manager along with 2 chefs, 4 servers, 2 cashiers and a cleaner. Alan personally trains staff to uphold the restaurant’s standards for fresh, hand-breaded fried chicken cooked to crispy perfection.

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4. Market (industry) Analysis

Valued at $759.9 billion globally in 2022, the fast food market is forecast to grow steadily at 4.9% CAGR through 2028 (Source – Expert Market Research). Key factors driving the growth of the fast food industry include:

• High demand for convenient meal options from time-pressed consumers
• Proliferation of fast food outlets across locations and channels
• Menu innovation and diversification catering to diverse tastes
• Rising online ordering, delivery and drive-thru for added convenience
• Growing preference for fresh, high-quality options among health-conscious diners

The take-out fried chicken market is projected to grow from $6.85 billion in 2023 to $10.52 billion by 2032, a 5.5% CAGR (Source – Market Research Future). Key factors driving the growth of the fried chicken industry include:

• Chicken’s widespread popularity as an affordable, versatile protein source
• Abundant, low-cost chicken supply in the U.S.
• Diverse flavors and preparations meeting various consumer preferences
• Strong brand recognition and loyalty for established chains
• Rising demand for fresh, high-quality customized chicken products

With chicken a staple ingredient and product innovation aligned to changing consumer tastes, the outlook for fried chicken remains positive. Established brands enjoy an advantage, but there are opportunities for new entrants focused on quality, flavorful fare.

5. Competitor Analysis

Fried Chicken Express faces fierce competition in New York from major chains and local restaurants offering their own styles of fried chicken. The top competitors are:

1. Chick-fil-A

Overview

• Largest U.S. fried chicken chain with over 2,600 locations nationally
• 23 NYC locations, including 12 in Manhattan

Signature Menu Offering

• Breaded chicken sandwich: boneless breast, pickles, buttered bun

Product Range

• Expansive: nuggets, strips, salads, wraps, sides, sauces
• Varieties: grilled, spicy, deluxe

Strengths

• Strong brand image and loyal customer base
• Wide product selection
• Consistent food quality
• Excellent customer service

Weaknesses

• High prices compared to competitors
• Limited customization options
• Conservative corporate values
• Closed on Sundays

Competitive Position

• Major player in NYC’s fried chicken market
• Quality and service hard for new entrants to rival
• Widespread locations and devoted fans pose significant challenge

2. KFC

Overview

• Second largest U.S. fried chicken chain with over 4,000 locations
• 64 NYC locations including 25 in Manhattan

Signature Menu Offering

• Original Recipe chicken made with 11 secret herbs and spices

Product Range

• Buckets, meals, sandwiches, wraps, bowls, salads, sides
• Flavors: Original Recipe, Extra Crispy, Grilled

Strengths

• Strong global brand recognition
• Large existing customer base
• Diverse menu and low prices
• Innovative marketing campaigns

Weaknesses

• Perceptions of poor food quality
• Unhealthy product image
• Lack of differentiation from competitors
• Social and environmental issues

Competitive Position

• Major national player with significant NYC presence
• Brand awareness helps attract customers
• But food quality concerns persist

3. Popeyes

Overview

• Third largest U.S. fried chicken chain with over 3,000 locations
• 42 NYC locations including 14 in Manhattan

Signature Menu Offering

• Kanto-style fried chicken marinated in Cajun spices

Product Range

• Fried chicken pieces, tenders, nuggets, sandwiches, wraps, bowls, salads, sides
• Flavors: Mild, Spicy, Blackened, Cajun Sparkle

Strengths

• Unique New Orleans-inspired flavor profile
• Loyal customer base
• Broad menu and good value

Weaknesses

• Relatively high prices
• Limited customization options
• Inconsistent customer service
• Supply chain challenges

Competitive Position

• Established brand with significant NYC presence
• Louisiana-style chicken attracts fans
• But operational issues like service inconsistencies need improvement

4. Local NY Fried Chicken Restaurants

Overview

• Long standing local eateries like Sylvia’s, Pies ‘n’ Thighs, Charles’ Country Pan Fried Chicken, Peaches HotHouse
• Each has 1-3 locations, concentrated in specific neighborhoods

Offerings

• Varying fried chicken styles: Southern, Nashville, Brooklyn, Harlem
• Secret recipes, niche flavors

Strengths

• Cult followings of loyal neighborhood customers
• Lower prices than chains
• Customization and authenticity

Weaknesses

• Small scale limits brand awareness
• Inconsistent quality control
• Limited marketing budgets

Competitive Position

• Beloved community staples with devoted fans
• But small size and operational challenges limit competitiveness

To stand out, Fried Chicken Express must leverage quality, service and local brand-building with menu innovation and competitive pricing. Strong positioning is key against deep-pocketed chains and entrenched neighborhood favorites.

6. Products

Fried Chicken Express offers delicious fried chicken in a variety of styles to satisfy all cravings. Our core products:

• Wings – Crispy fried chicken wings in 4 flavors: Original, Spicy, Sweet, and Tangy. Sold in 6, 12 or 18 piece packs.
• Tenders – Juicy fried chicken breast strips in 2 flavors: Classic and Cheesy. Sold in 4 or 8 piece packs.
• Nuggets – Crunchy bite-sized fried chicken nuggets in Original and BBQ flavors. Sold in 10 or 20 piece packs.
• Sandwiches – Fried chicken filet sandwiches available in Regular and Deluxe styles. Served on bread or a sesame bun with fresh toppings. Sold individually or as combos.

We round out the meal with classic sides like fries and coleslaw, dipping sauces, cold drinks, and sweet treats. Our chicken starts with premium ingredients for maximum freshness and flavor. We use secret recipes and fry each order to order for the perfect crunch. Eco-friendly packaging seals in taste.

7. Sales and Marketing Plan

Sales Objectives

• Generate $1 million in revenue in the upcoming years
• Serve at least 100,000 customers, with $10 average order value
• Achieve 80%+ customer retention rate
• Gain 5%+ market share in NYC fried chicken segment

Marketing Objectives

• Build strong brand awareness and image in NYC
• Attract 50,000+ potential customers through marketing
• Convert 20% of potential to actual customers
• Create loyal customer base via quality, service, value

Sales Strategies

• Offer diverse chicken menu for all tastes and occasions
• Deliver fresh, delicious, high-quality fried chicken
• Price competitively to offer value for money
• Provide fast, friendly service
• Allow customization of flavors, sizes, combinations
• Use POS system to capture order details and payments

Marketing Strategies

• Develop distinctive brand logo, slogan, visual identity
• Launch user-friendly website, social media, online ordering
• Advertise on SEO, social, email, flyers, radio, local events
• Offer discounts, loyalty programs, referrals
• Solicit and utilize customer feedback and testimonials

In summary, our sales and marketing strategies will focus on product quality, affordable pricing, excellent service and multi-channel promotions to achieve revenue, customer and market share goals in New York City.

8. Operational Plan

Objectives

• Ensure efficiency, quality, safety, and legal compliance
• Use metrics like productivity, customer satisfaction, health inspections, and license compliance to track performance

Activities

• Purchasing – Buy high-quality ingredients, supplies, and equipment from reliable suppliers and vendors
• Inventory – Store, manage, and control items using secure storage, inventory system, and FIFO method
• Production – Prepare, cook, and package chicken products according to recipes
• Delivery – Transport and distribute products to customers via delivery vehicles or services
• Service – Take orders, serve food, collect payments, and provide customer service
• Maintenance – Clean, repair, and upgrade store, kitchen, and equipment

Resources

• Staff – Owner, managers, chefs, servers, cashiers, cleaner
• Equipment – Fryers, ovens, grills, utensils, appliances, furnishings
• Inventory – Chicken, ingredients, packaging, sides, sauces, drinks, desserts

Risks

• Quality control – Use high-quality ingredients, standard recipes, testing
• Health/Safety – Follow regulations, train staff, maintain hygiene
• Legal/Compliance – Acquire licenses, comply with laws and regulations

In summary, our operational plan utilizes best practices across purchasing, production, service, and maintenance to achieve objectives for quality, efficiency, safety, and legal compliance.

9. Management Team

Alan E. Greenberg – Owner & Manager

• 10+ years experience in food industry as entrepreneur and chef
• Led restaurants, catering services, and food trucks
• Expertise in food preparation, menu development, kitchen management, customer service, marketing
• Oversees company’s overall direction, strategy, and operations
• Leads financial planning and analysis

Glenn A. Gonzalez – Chief Chef

• 8+ years experience as chef and fried chicken specialist
• Worked at KFC, Popeyes, Chick-fil-A
• Expertise in fried chicken recipes, techniques, and flavors
• Oversees production, quality control, and product innovation
• Trains and supervises other chefs

Dorothy B. Flores – Head Server

• 6+ years experience as server and cashier
• Worked at McDonald’s, Domino’s, Pizza Hut
• Expertise in customer service, order taking, payment processing, delivery
• Manages customer satisfaction, service, and loyalty
• Trains and supervises servers and cashiers

Ronald E. Carson – Marketing Manager

• 4+ years experience in food marketing and social media
• Worked for caterers, food trucks, online food platforms
• Expertise in marketing strategy, promotion, advertising, online presence
• Leads sales, marketing, and branding efforts
• Manages website, social media, online ordering

Our experienced management team works collaboratively to execute our business plan. Their specialized expertise across operations, production, service, and marketing gives Fried Chicken Express strong leadership.

10. Projection and Financial Planning

Key Financial Statements

• Income Statement: Shows revenue, expenses, and profit over time. Indicates if business is profitable.
• Cash Flow Statement: Shows cash inflows, outflows, and balance over time. Indicates cash availability.
• Balance Sheet: Shows assets, liabilities, and equity at a point in time. Indicates financial position.

Additional Analysis

• Break-Even Analysis: Shows fixed costs, contribution margin, and break-even point. Indicates sales needed to cover costs.
• Sensitivity Analysis: Shows best case, worst case, and expected scenarios based on assumptions. Indicates impact of uncertainties.
• ROI Analysis: Shows initial investment, net profit, and ROI ratio. Indicates return expected on investment.

The projections will help guide business decisions and provide benchmarks for performance. Continuous monitoring and updating of the projections will be key as actual results unfold.

The following are the projections and financial planning for our restaurant business plan sample based on the assumptions and estimates that we have made earlier:

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We deliver customized business plans that check every box to impress potential investors and partners. Here’s how we ensure your success:

• Thorough market research using globally recognized data sources
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You get a business plan tailored to your unique concept, needs and goals. We don’t use templates or cookie-cutter solutions. For example, check out our food truck start up business plan. Our customized approach, stellar research, sharp analysis and professional presentation make your plan stand out.

Let the experts at OGSCapital turn your chicken shop dreams into reality with a winning business plan. Contact us today to get started and set your business up for success!

All tables in PDF

Frequently Asked Questions

Q. Is the fried chicken business profitable?

The fried chicken business can be profitable if you have a good product, location, marketing, and management. The profit margin for a fried chicken business can range from 40% to 50%, depending on the cost of chicken, labor, selling price, and other expenses.

Q. How can I promote my fried chicken business?

Blend online marketing like SEO, social ads, and a branded website with traditional tactics like flyers, radio, and events plus offers like coupons and loyalty programs to attract and retain customers while soliciting feedback to improve.

Q. How much does it cost to open a chicken shop?

The cost of opening a chicken shop depends on various factors, such as the size, location, equipment, supplies, licenses, permits, staff, etc. The median cost to open a restaurant is around $275,000. However, this may vary depending on the type of restaurant and the market conditions.

Q. How much does it cost to open a fried chicken shop in the UK?

To open a fried chicken shop in the UK, expect to spend £50,000 to £100,000. This covers the franchise fee, rent, equipment, licenses, staff wages, and other startup costs. The exact amount depends on factors like location, shop size, and employees.