1. What makes Chilli Peppers Texas a unique business?
Chilli Peppers Texas differentiates itself from the others by providing proprietary & delicious tastes, at value pricing in a family-friendly environment. Customers are loyal because this differentiation and due to the high efficiency of our restaurants. This business model allows the franchise owner to be profitable after the normal start-up period, live a balanced lifestyle, and command respect within the community

2. How can I become a Franchise owner (Franchisee) ?
First we will provide you with requested information based on your submission of this filled-out FAQ document. Then we will invite you to visit our flagship store in Frisco, Texas to better understand the opportunity. This soft sell is designed to help you gather facts, and not apply pressure. This is an important decision for you and us. Going forward, we will provide you with any information which you request that is within guidelines established by U.S. Federal Trade Commission and your respective State government

3. While Chilli Peppers Texas does not currently deliver, are there plans to offer delivery ?
Yes, for special events like the upcoming NFL "Super Bowl XXXVII" we will deliver within a three (3) mile radius of each store. Depending on customer response and our cost factors, we will make a decision in the summer of 2003 whether to extend this service to some or all stores for a particular radius. As well, some stores will be equipped with drive-through windows (which requires special staging areas in the stores to minimize wait time for each order)

4. What is on the Chilli Peppers Texas menu ?
First of all of, each Chilli Peppers Texas' food item is freshly made in each restaurant and cooked to order. We offer "Naked" Chicken Wings; Savory chicken, corn, or potato & peas Samosas, Chicken Tenders, Side orders of Potato Salad, French Fries; Kids Meals, Beverages. As well, Chilli Peppers Texas Restaurants also has a separate catering menu with larger portions and special flavors

5. How does Chilli Peppers Texas' maintain unique flavors for its' wings and other food items ?
Chilli Peppers Texas imports its' proprietary spices and sauces from South Africa, then blends and tests at our Central Commissary in Fort Worth, Texas, for distribution to each sites. Currently, these spices and sauces are only available at our Chilli Peppers Texas locations. In the future, and depending on market acceptance, we have plans to commercialize these proprietary spices and sauces in national food retailers

6. Does Chilli Peppers Texas make money from supplying the proprietary spices and sauces ?
Yes, we derive a small margin to cover the cost of labor, materials, and shipping. Our central commissary then sells respective supplies to each store at this base cost so that franchised Chilli Peppers Texas stores will pay the least possible cost for our proprietary taste. The Central Commissary is expected to simply break-even with respect sales to our Chilli Peppers Texas stores.

7. Where is an ideal Chilli Peppers Texas location ?
We want to locate Chilli Peppers Texas middle to higher income neighborhood strip shopping areas, within three (3) miles of our target population (demographic). Such shopping areas normally provide a high convenience to our customers to simply drive-up then get in-n-out within ten (10) minutes. As well, they are generally are less expensive to lease compared to enclosed malls, airports, or other shopping areas.

8. What is the format of a typical Chilli Peppers Texas ?
The typical Chilli Peppers Texas store is 1800 square feet. The interior and exterior design guidelines are provided, along with details on equipment, electrical, plumbing, etc. after the UFOC is co-signed.

9. What is a UFOC ?
The Uniform Franchise Offering Circular (UFOC) is a document co-authored and governed by the U.S. Federal Trade Commission as "UFOC(1993) guidelines". This UFOC(1993) document requires franchisors like Chilli Peppers Texas to prepare offering circulars that are readable and accessible to prospective franchisees in regard to all categories of the Chilli Peppers Texas franchise opportunity. For example using UFOC (1993) guidelines, Chilli Peppers Texas must provide sufficient disclosure to allow you (the prospective franchisee) to understand your possible economic commitments by developing a business plan if you become a franchisee. More specifically, Items 5, 6, 7, and 8 of UFOC(1993) require disclosure of anticipated minimum and maximum franchisee costs. To this regard, the franchisor (Chilli Peppers Texas ) is expected to provide reasonably available information to allow you (the prospective franchisee) to forecast costs and future charges, including those paid to persons who are independent of the franchisor. These and other details will be made available to you once you complete and submit this FAQ document, and we have our face-to-face discussion.

10. How much will I need to invest to open a Chilli Peppers Texas store ?
Our up-front franchise fee is $35K per store (in general), $50K for equipment, $35K for interior finish, $10K for initial perishable and non-perishable supplies, and $5K/Mo for rent and utilities. Exceptions may be made on the per store franchise fee when a candidate Franchisee is interested and capable of acquiring Franchise rights for a particular geographic region. Depending on individual credit history and requirements of a particular lender, in most cases this investment can be financed. In fact, Chilli Peppers Texas has a special relationship with the Small Business Administration (SBA) to decrease the paperwork and time required to qualify and possibly obtain an SBA loan. Such exceptions and discussion are for face to face meetings following the stage after this FAQ document is completed.

11. What do I get for my money ?
Investment range covers all fees, construction costs, starting inventory, decor, equipment, and even includes working capital. Essentially, these numbers represent everything you need to open and operate a Chilli Peppers Texas. It is also what the banks sometimes call the "total project cost".

12. What fees are directly to Chilli Peppers Texas ?
Our up-front franchise fee ($35K per store in general; see comments in FAQ 10), a Royalty of 5% of gross monthly sales (paid the first week of the following month), and 2% of gross monthly sales for the Chilli Peppers Texas pooled advertising (some of which may be rebated to a particular store if respective quarterly sale volume targets are achieved). Such discussion are for face to face meetings following the stage after this FAQ document is completed.

13. How much profit can I expect to make in the first year, and following years after opening my Chilli Peppers Texas site ?
At this stage of your due diligence process, we are not allowed or authorized to provide any information regarding potential revenues or profits, per the Federal Trade Commission's rule on Franchising. At a later stage, we will connect you with current Chilli Peppers Texas franchisees who may choose to share this data with you after you receive our UFOC. As well, Item of our UFOC contains actual financials FY 2002.

14. Can you send me a Chilli Peppers Texas UFOC for my review today ?
We choose to provide our UFOC to franchise candidates WHEN OUR DIRECTOR OF FRANCHISE DEVELOPMENT COMPLETES OUR DUE DILIGENCE PROCESS AND DETERMINES YOUR SUITABILITY TO BE A Chilli Peppers Texas FRANCHISEE.

15. When can we have a face-to-face meeting, what should I bring to be prepared, and how much time is required ?
After this FAQ document is completed and submitted, we can arrange for you to come to our corporate office in Dallas, Texas. Typically, these meetings begin at 2:00PM. If all is going well our discussions, we target spending from 3:30-5:30PM our flagship Chilli Peppers Texas site in Frisco, Texas, to that you can experience dinner prep, and dinner service. For this meeting you would bring your resume of experience and education, personal and/or business financial statements, and any up to two members of your franchise team.

16. How much time is needed from "start to finish" before I can open my Chilli Peppers Texas store ?
The process can takes as little as six (6) months, and usually not more than nine (9) months. The factors that have this timing is your ability to finance the project directly or via second sources (SBA loan, etc.), as well as your ability to locate and secure the right store location per our demographic guidelines.

17. Who is my main contact going forward ?
Our Director of Franchise Operations, Riyaaz Tayob, at our Corporate office may be contacted at franchise Email Upon contact, he will provide you more detailed contact information as is required to respond to your questions and inputs.