Bhc UsaFranchise Cost, Revenue & Review 2026
Formerly known as BHC Chicken
Data from FDD filing
FranchiseVerdict summary · 2026
A BHC USA franchise requires a total initial investment of $405K – $533K, including a $40K franchise fee and an ongoing 4.5% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: D. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $405K – $533K
- 73rd pct Service Resta…
- Avg gross sales
- N/A
- 59th pct Service Resta…
- Royalty
- 4.5%
- 12th pct Service Resta…
- Units
- 3
- 14th pct Service Resta…
- SBA default
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- Total investment $405K – $533K including a $40K franchise fee, 4.5% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict D (Below Average) with a risk score of 72/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- BHC USA LLC
- Parent company
- Dining Brands Group Co, Ltd. (formerly known as BHC F&B Co., Ltd.)
- Ultimate parent
- Dining Brands Group Co, Ltd. (South Korea)
- CEO title
- Chief Executive Officer
- David Hosup Song
- Incorporated in
- CA
- HQ
- 3435 Wilshire Blvd., Suite 460, Los Angeles, CA 90010
- Auditor
- CHI & NAM LLP
- Audited financials
- Franchisor revenue
- $302K
- vs $1.7M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
BHC USA operates a small franchise system with limited public information. Franchisees likely manage day-to-day operations within their protected territory, but specific operational details, service/product offerings, and business model remain unclear due to minimal disclosure.
- CEO
- David Hosup Song
- Headquarters
- CA
- Founded
- 2004
- FDD year
- 2025
- States available
- 1
FDD Item 7 · 2025 filing · 11 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| MF Development Feenot refundable | $200K | $200K | |
| Initial Deposit | $100K | $100K | |
| Office Equipment and Supplies | $0 | $5K | |
| Business Office | $0 | $15K | |
| Storage and Product Delivery Expenses | $0 | $5K | |
| Initial Training Feenot refundable | $8K | $8K | |
| Opening Inventory and Supplies, Uniforms for First Affiliate Franchised BHC Restaurant | $0 | $20K | |
| Insurance | $7K | $10K | |
| Utility Deposit, Business Licenses | $5K | $10K | |
| Professional Fees | $5K | $10K | |
| Additional Funds - 3 months | $60K | $150K | |
| Total initial investment | $385K | $533K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $405K – $533K
- Below avg, review vs category
- Liquid capital req'd
- $60K – $150K
- Below avg, review vs category
- Franchise fee
- $40K – $40K
- Below avg, review vs category
- Royalty
- 4.5%
- percentage_of_gross · typical 6–8%
- Ad fund
- 2.5%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 4.5% of gross sales |
| Marketing / ad fund | 2.5% of gross sales |
| Training fee | $8K |
| Transfer fee | $40K |
| Renewal fee | $40K |
| Total fee load | 7.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Quick-Service Restaurants averages
How Bhc Usa Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 3
- Opened
- 2
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 33%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 4
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 9 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
This is a microcap franchise with critical financial transparency gaps, going concern issues, and insufficient unit density to support franchisee success or system sustainability.
Litigation (Item 3)
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CHI & NAM LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 72 / 100 rating
- 01MINOROnly 3 units in system with unknown growth trajectory suggests minimal scale and viability
- 02MEDNo average revenue or net income disclosure (missing Item 19) prevents ROI validation and suggests weak unit economics
- 03HIGHGoing Concern = False indicates franchisor financial instability or restructuring risk
- 04MINORHigh initial investment ($405k-$533k) paired with tiny unit base creates outsized risk exposure
- 05MEDExtremely limited franchisee base (3 units) means minimal validation opportunities and peer support
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Development Area |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Los Angeles County, California |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 36 hrs
- On-the-job training
- 27 hrs
- Training location
- Franchisor Facility and Franchised BHC Restaurant
- Ongoing training
- Required
- Field support
- 27 hrs/yr
- On-site visits per year
- Time to open
- 4 mo
- From signing to launch
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
9 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
BHC USA · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a BHC USA franchise?
The total investment to open a BHC USA franchise ranges from $405K – $533K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do BHC USA franchise owners earn?
BHC USA does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is BHC USA's franchise failure rate?
SBA 7(a) loan charge-off data is not available for BHC USA (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many BHC USA franchise locations are there?
As of their most recent FDD filing, BHC USA has 3 total units in the United States, including 0 franchised units and 2 company-owned units. 2 new units were opened in the latest reporting year.
Is BHC USA a good franchise to buy?
FranchiseVerdict rates BHC USA as a D-grade franchise with a risk score of 72 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
If you represent BHC USA, you can request corrections or provide updated information.
Claim this brandOther Quick-Service Restaurants franchises
Compare similar franchise opportunities in the Quick-Service Restaurants category
Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.