Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
During the Term, you agree to provide us with all financial statements and copies of tax returns we may request.
From the filings
HQ-led decisions
CHESTER'S
Quick service restaurantChester's runs a 918-unit, fully franchised quick-service system out of Alabama. The FDD gives Chester's corporate office control over when franchisees must upgrade their point-of-sale system, and Item 8 routes nearly all purchasing through an approved-supplier list, so software and equipment decisions flow through HQ rather than the largely single-unit operator base.
For software vendors selling into US franchise brands.
Live signals
Total units
918
918 franchised
Franchised outlet growth
-7.553%
Item 20, last two year-ends
AUV
—
Item 19
Royalty
Complete royalty terms unconfirmed
percentage component
Ad fund
0%
percentage component
Initial fee
—
per unit
Investment range
$28K–$307K
all-in, Item 7
Procurement
Approved supplier
from the filing
Non-compete
20 years
from the filing
Item 19
No claims
from the filing
Ordinary royalty terms
Complete royalty terms unconfirmed
Complete royalty terms are not confirmed for the selected filing.
Franchisor behaviours
What the franchisor requires
14 requirements the franchisor states in this filing, each in its own words; 9 explicit no's; 11 questions the text does not settle, which is not a no.
Accounting
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesItem 8
We also currently are an approved (but not the only) supplier of marketing materials.
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
We have the right to revoke our approval of particular products or suppliers when we determine that those products or suppliers no longer meet our standards.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
27256380Item 8
During 2025, we received a total of $27,256,380 from franchisee purchases of certain equipment and proprietary food products and from purchases by unaffiliated suppliers and grocery wholesalers to whom we sold certain equipment and proprietary food products for resale to our franchisees.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
We and our affiliates have the right to receive payments from suppliers on account of their actual or prospective dealings with you and other franchisees and to use all amounts received without restriction for any purposes we deem appropriate (unless we and our affiliates agree otherwise with the suppliers).
Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?
20Item 8
approximately 20% to 30% of the total annual cost to operate, your Chester’s Restaurant.
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesItem 11
You must upgrade the POS System, and/or obtain service and support, as we require or when necessary because of technological developments, including complying with PCI Data Security Standards.
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesItem 11
Periodically inspect the Chester’s Restaurant.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 11
We must accept all sites before you have the right to sign any lease, sublease, or other document for the site.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesItem 11
You cannot without our prior written approval develop, maintain, or authorize any website that mentions the Marks.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
depending on your type of Chester’s Restaurant you must purchase the Proprietary Goods from one or more of our designated distributors.
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 15
However, if they do not do so, you must employ a manager to participate in the Chester’s Restaurant’s day-to-day operations.
Point of sale
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
We will have independent, unlimited access to the information the system generates, although not to employee- or employment-related information for your Chester’s Restaurant’s employees.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
If we provide other additional training or refresher training courses upon your request, we reserve the right to charge you an additional training charge based on the nature of such additional training, and you are responsible for expenses incurred in attending additional training or refresher training that is not…
The filing answers no to 9 questions
- Must the franchisee use an accounting or bookkeeping system designated or approved by the franchisor?Item 11
- Is there a franchisee advisory council, association or committee?Item 20
- Does the franchisor charge a fee to evaluate a proposed supplier?Item 8
- Can a franchisee propose a new supplier for the franchisor's approval?Item 8
- Is a minimum grand opening advertising spend required?Item 11
- Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?Item 11
- Must the franchisee participate in a regional advertising cooperative when one exists?Item 11
- Must equipment be purchased from designated or approved suppliers?Item 8
- Must the franchisee use a CRM system designated or approved by the franchisor?Item 11
The vendor opportunity at Chester's
Chester's is an 918-unit, fully franchised quick-service system headquartered in Alabama, running a 5-year initial term for its Store-in-Store/Non-Trad restaurants. Item 19 of the filing makes no financial performance representation. Franchised outlets fell about 7.6% year over year, which makes retention and renewal timing a live signal for any vendor mapping this system.
Who controls software purchasing
The mapped operator base is heavily single-unit: 389 of 397 operators run just one location, with only 8 running more than one and none in the 10-24 or 25-plus bands. The largest concentrations sit in Arkansas, Texas, Iowa, Illinois and Missouri. That fragmentation, combined with the franchisor's control over upgrade timing, puts the software decision at HQ. CEO and Managing Director Wynn Giles and COO and General Manager Alexis Lobodocky lead that office.
Tech named in the FDD, and what is actually required
Item 11 gives Chester's the authority to require franchisees to upgrade the POS system and obtain service and support whenever Chester's requires it, including to comply with PCI Data Security Standards. That upgrade timing sits entirely with the franchisor.
Procurement, renewals, and timing
Item 8 requires franchisees to buy food items, ingredients, equipment, furnishings, supplies and materials only from suppliers that meet Chester's then-current standards and specifications, and Chester's can limit trade-secret and proprietary branded items to itself, its affiliates or other specified exclusive sources. For a Store-in-Store or Non-Trad format, purchases from designated or approved suppliers run to roughly 70-95% of setup cost and 20-30% of annual operating cost. Chester's will not consider requests to buy from a then-unapproved supplier. The initial term is 5 years for Store-in-Store/Non-Trad restaurants and 3 years for Chester's Supermarket and Express Restaurant formats, which can renew for up to two additional one-year periods if the franchisee is otherwise in compliance.
How to read the Chester's FDD
The embedded PDF viewer below is Chester's 2026 Franchise Disclosure Document. Item 11 covers the technology and training requirements, Item 8 the supplier restrictions, Item 17 the renewal terms, and Item 19 the financial performance representation. Talk to FranCloud for a ranked list of similar targets.
Ordinary royalty terms
Complete royalty terms are not confirmed.
Questions vendors ask
CHESTER'S, answered from the filing
CEO and Managing Director Wynn Giles and COO Alexis Lobodocky run the corporate team that sets Chester's POS upgrade requirements; with 389 of 397 mapped operators running a single unit, HQ carries the purchasing decision.
Item 11 of the FDD sets Chester's technology requirements: franchisees must upgrade their POS system, and obtain service and support, whenever Chester's requires it or when needed to comply with PCI Data Security Standards.
918 total units, all franchised, in the quick-service segment. Franchised outlets fell about 7.6% year over year, with the largest mapped operator counts in Arkansas, Texas, Iowa, Illinois and Missouri.
Item 8 runs an approved-supplier list covering food, ingredients, equipment and supplies, with Chester's able to limit trade-secret and branded items to itself, its affiliates or exclusive third-party sources. Chester's will not consider requests to buy from a then-unapproved supplier.
The initial term is 5 years for Store-in-Store/Non-Trad restaurants and 3 years for Supermarket and Express restaurants. Chester's Supermarket and Express restaurant formats get up to two one-year auto-renewal periods for franchisees otherwise in compliance — a recurring, near-term point to revisit vendor contracts.
The embedded PDF viewer below holds Chester's 2026 Franchise Disclosure Document in full — read Items 8, 11, 17 and 19 directly for the sourcing, technology, renewal and financial-performance terms.
Source
Read the filing itself
Read the original document for the filing figures and their terms, page by page. Buy the original PDF to download, search, and annotate it.
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Operator footprint
Who runs the locations
397 operators run 417 mapped locations. 8 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Single-unit389
2–9 units8
Top states by locations
| AR | 51 |
|---|---|
| TX | 28 |
| IA | 27 |
| IL | 26 |
| MO | 22 |
Related Quick service restaurant brands
Primary franchise filings · updated September 2026. Read the original filing for definitions, conditions, and qualifications.