Zaxbys Targets Non-Traditional Growth With First Military Base Franchise Deal

Zaxbys is preparing to expand beyond its traditional restaurant model after signing its first non-traditional franchise agreement for a military base location.

The US chicken chain confirmed that a franchisee has signed an agreement to open a Zaxbys restaurant at a military base, although the exact location and opening date had not yet been confirmed at the time of reporting. The move is part of a broader strategy to explore high-traffic locations such as universities, travel centres and airports.

For Zaxbys, non-traditional sites could become an important part of its next growth phase. The brand has historically operated through larger drive-thru restaurants, often around 3,000 square feet. However, it has been developing more flexible formats, including drive-thru-only locations, smaller restaurants with limited dining rooms, inline stores and off-premise-focused units.

That flexibility matters in modern franchising. Real estate costs remain high, and not every market can support a full-sized restaurant. Smaller formats may allow franchisees to enter locations that would otherwise be too expensive, too constrained or too operationally complex.

Zaxbys is also expanding beyond its traditional Southeast base. The company has been growing into new states and aims to move from being a regional favourite to a broader national brand. It opened its first Phoenix location in 2025, expanded into Nevada, and has signed multi-unit deals in markets including Maryland, New Jersey and Pennsylvania.

The military base deal could also complement the brand's international ambitions. Non-traditional restaurants are often useful for brands wanting to prove they can operate in controlled, high-volume environments where speed, consistency and format efficiency matter.

Zaxbys expects to open its 1,000th restaurant, and the brand has reported strong franchise interest. Its leadership has said flexible formats allow the business to scale more strategically and respond to different market opportunities.

The move also reflects the wider growth of chicken franchises in the US. Zaxbys is competing in a crowded and fast-growing category alongside brands such as Bojangles, Dave's Hot Chicken, Layne's Chicken Fingers and other chicken-focused quick-service operators.

For franchisees, the appeal of non-traditional formats is clear. They may offer access to captured audiences, smaller footprints and high-traffic environments. But they also require strong operational discipline, because locations like military bases, airports and universities often come with unique rules, hours and service expectations.

"The first military base agreement is not just a single-store announcement. It is a signal that the brand wants more ways to grow."