When you bite into a crispy Zaxby’s chicken sandwich or savor the signature wingz and z fries, you might not give much thought to who actually owns the brand serving up your favorite Southern-inspired comfort food. But if you’re curious about the business behind the bold flavors, you’re in the right place. Zaxby’s may seem like just another fast-casual restaurant, but its ownership structure, growth journey, and regional influence tell a story of entrepreneurial grit, family values, and strategic expansion.
In this comprehensive deep dive, we’ll answer the pivotal question: Who owns Zaxby’s? From its humble beginnings in Georgia to its presence across nearly two dozen states today, we’ll explore the founders, the current ownership, the private equity players involved, and how Zaxby’s has maintained a unique position in the competitive fast-food landscape.
The Founders: The Birth of a Southern Fast-Casual Icon
Every major brand begins with a vision—and Zaxby’s is no exception. The story of Zaxby’s ownership starts not with a corporate giant, but with two college friends from Georgia who turned their love of chicken into a multimillion-dollar empire.
The Zax and By’s Behind the Name
Zaxby’s was founded in 1990 by Zach McLeroy and Anthony “Tony” Townley. The name “Zaxby’s” cleverly derives from a fusion of their names—Zach and Bys (a nod to Tony’s nickname “Tony B”). The duo met while studying at Georgia’s Southern Polytechnic State University (now part of Kennesaw State University), where their shared passion for food and business sparked the idea for a new kind of chicken-focused fast-casual restaurant.
The first Zaxby’s opened in Gainesville, Georgia, in 1990. It was a modest 44-seat location with a focus on fresh, hand-breaded chicken, house-made sauces, and a friendly, upbeat atmosphere. At a time when fried chicken chains were dominated by national giants like KFC and Popeyes, Zaxby’s carved out a niche by emphasizing Southern cooking techniques, bold flavors, and a menu that rotated seasonally with innovative items.
Building a Chicken Empire on Grit and Growth
The early years of Zaxby’s were marked by slow, steady growth. The founders followed a grassroots approach—expanding one franchise at a time, with an emphasis on quality control and operational consistency. Their strategy paid off. By the mid-1990s, Zaxby’s began attracting franchisees, particularly in the Southeast, where the brand resonated with regional palates and preferences.
Zach McLeroy remained deeply involved in day-to-day operations, driving menu innovation and brand culture. Townley took a more behind-the-scenes role, focusing on strategic growth and financial management. Together, they laid the foundation for a brand that would become a Southern staple.
Private Ownership: Zaxby’s Is Not Publicly Traded
Unlike many major restaurant chains such as McDonald’s, Chick-fil-A, or Wendy’s, Zaxby’s is not a publicly traded company. That means you won’t find its stock on the New York Stock Exchange or NASDAQ. Instead, Zaxby’s operates as a privately held company, which grants it greater flexibility in decision-making but also means ownership details are less transparent than with public companies.
To truly understand who owns Zaxby’s today, we must trace the evolution of its ownership structure—from its founder-led beginnings to its current mix of private investors and franchise operators.
Founders’ Initial Control and Leadership Transition
For the first two decades, Zach McLeroy and Tony Townley were the primary owners of Zaxby’s. They retained majority control of the parent corporation, Zaxby’s Franchising, LLC, even as the franchise model expanded and hundreds of independent restaurant owners opened Zaxby’s locations across the South.
However, as the chain grew and required more capital for growth, expansion, and technology upgrades, the founders began exploring strategic investment. This marked the beginning of a shift from founder-led to investor-supported ownership.
The Role of Franchisees in the Zaxby’s Ecosystem
It’s critical to clarify what “ownership” means in the Zaxby’s model. While there is a central parent corporation that oversees branding, supply chain, and standards, the vast majority of Zaxby’s locations are operated by independent franchise owners.
This means that while the brand and core IP (like recipes and trademarks) are owned by Zaxby’s corporate, each restaurant is typically owned and managed by a franchisee. These franchisees pay fees and royalties to the parent company but retain operational control over their individual stores.
- As of 2024, Zaxby’s has over 900 locations across 20 states.
- More than 95% of Zaxby’s restaurants are franchise-owned.
- The average franchise investment ranges from $400,000 to $1.2 million, depending on location and build-out costs.
This franchise-heavy model emphasizes decentralization—making Zaxby’s a network of independently run restaurants unified under a shared brand.
Current Ownership Structure: The Role of Sun Capital Partners
So, who currently owns Zaxby’s? As of the past decade, the answer involves private equity—specifically, Sun Capital Partners, a well-known Florida-based investment firm.
A Strategic Investment in 2018
In 2018, Zaxby’s announced a significant investment from Sun Capital Partners, Inc.. While the exact financial terms were not disclosed, the deal was structured as a partial acquisition or strategic minority stake, allowing the founders and existing leadership to retain a meaningful ownership interest while leveraging Sun Capital’s resources for national expansion.
This partnership was not a full buyout. The McLeroy family, including Zach McLeroy, continues to maintain ownership and executive influence in the company.
Why Sun Capital?
Sun Capital Partners has a strong track record in revitalizing and scaling mid-sized restaurant brands. They’ve invested in companies like Johnny Rockets, Bakers Square, and Ponderosa Steakhouse. Their involvement typically brings:
- Capital for new franchise development
- Operational expertise and systems optimization
- National supply chain improvements
- Technology enhancements (e.g., digital ordering, apps, loyalty programs)
For Zaxby’s, partnering with Sun Capital marked a pivotal step toward aggressive growth beyond its Southern base.
Leadership Amid Transition
Even after Sun Capital’s entry, Zaxby’s preserved its legacy leadership. Bo Belcher, who had served in various executive roles since 2013, became CEO in 2016. Under his leadership—and with Sun Capital’s backing—the company accelerated its footprint, launching in new markets such as Colorado, Illinois, and Michigan.
Zach McLeroy remains actively involved, particularly in menu innovation and brand authenticity. He is frequently cited in press releases and brand events, reinforcing Zaxby’s connection to its Southern roots and entrepreneurial beginnings.
Franchise Ownership: The Backbone of Zaxby’s Growth
While Sun Capital and the McLeroy family hold the majority of corporate equity, the broader Zaxby’s network thrives on its franchisees. Understanding their role is essential to grasping the full picture of ownership.
Franchise Model and Business Opportunity
Zaxby’s franchise model is built on support, scalability, and brand consistency. Prospective franchisees go through a rigorous vetting process, including financial assessments, interviews, and training programs before opening a location.
The company provides:
- Comprehensive site selection and real estate support
- National marketing campaigns
- Operations training and ongoing coaching
- Supply chain access through approved vendors
This support system reduces risk and boosts success rates, making Zaxby’s an attractive opportunity for aspiring restaurant entrepreneurs.
Who Are the Franchise Owners?
Zaxby’s franchisees come from diverse backgrounds—some are first-time business owners, while others are multi-unit operators with experience in the food and beverage industry. Many are drawn to the brand’s strong regional loyalty and its potential for growth in underpenetrated markets.
For example, after Zaxby’s expanded into Ohio in the early 2010s, local entrepreneurs like Chuck Leonard of Leonard Hospitality Group became major franchise players, opening multiple locations across the state.
Franchise Growth by the Numbers (2010–2024)
| Year | Number of Zaxby’s Locations | Key Expansion States |
|---|---|---|
| 2010 | 450 | Georgia, Alabama, Tennessee |
| 2015 | 620 | Mississippi, Louisiana, Kentucky |
| 2020 | 780 | Illinois, Indiana, Ohio |
| 2024 | 910+ | Colorado, Michigan, Pennsylvania |
The data shows a clear upward trajectory in both scale and geographic diversity—fueled almost entirely by franchisee investment.
Misconceptions About Zaxby’s Ownership
Because Zaxby’s operates similarly to both chain restaurants and fast-food giants, many consumers assume it’s owned by much larger parent companies. Let’s clarify some common myths.
Is Zaxby’s Owned by Chick-fil-A or Dine Brands?
No. Despite both being Southern-born chicken chains with a stronghold in Georgia, Zaxby’s has no corporate ties to Chick-fil-A. Chick-fil-A operates as a wholly company-owned chain (with individual franchise operators running each store under strict rules), but it is not linked to Zaxby’s in any way.
Similarly, Zaxby’s is not related to Dine Brands Global (parent company of Applebee’s and IHOP), nor is it owned by Yum! Brands (KFC, Taco Bell, Pizza Hut).
Does Berkshire Hathaway Own Zaxby’s?
Another common rumor involves Warren Buffett’s Berkshire Hathaway. While Buffett has invested in several large restaurant chains (like Restaurant Brands International, owner of Burger King and Tim Hortons), he has no stake in Zaxby’s. The brand remains outside the scope of his investment portfolio.
Is Zaxby’s a Subsidiary of McDonald’s or Wendy’s?
Absolutely not. Zaxby’s is a completely independent national brand. Its operations, marketing, and supply chain are internally managed or contracted through its own network. While competition exists in the fast-casual space, Zaxby’s operates with full autonomy.
Corporate Culture and Brand Identity Under Current Ownership
Despite changes in investment and leadership, Zaxby’s has remained remarkably consistent in its brand voice and culture. This stability speaks volumes about who “owns” the brand beyond equity—its people, customers, and legacy.
Commitment to Fresh, Bold, Southern-Style Chicken
From the beginning, Zaxby’s has prided itself on using never-frozen chicken, house-made sauces, and a focus on bold, zesty flavors. The “Zax Sauce,” “Spicy Zen,” and “Nashville Hot” offerings have become hallmarks of the menu.
This commitment has not wavered under Sun Capital’s leadership. In fact, the investment helped standardize quality across franchises through upgraded kitchen equipment and training protocols.
The Zaxby’s Experience: Beyond Fast Food
While technically a fast-casual chain, Zaxby’s aims for a more engaging customer experience. Many locations feature eye-catching retro signage, vibrant interiors, and playful branding. The company also launched the “Zaxbassador” program, empowering team members to act as brand ambassadors at local events.
Community Engagement and Local Focus
Zaxby’s leverages its franchise model to emphasize local engagement. Franchisees often sponsor high school sports teams, participate in charity drives, and host community events. The brand’s “Wings for Warriors” program, which donates meals to military personnel, and “Zaxby’s Cares,” its philanthropic arm, reflect a broader mission beyond profits.
Future Outlook: Where Is Zaxby’s Headed?
With Sun Capital’s backing and a loyal customer base, Zaxby’s continues to expand into new regions. The future of ownership may involve additional investment rounds, potential IPO speculation, or deeper franchise buy-in.
Planned National Expansion
Zaxby’s has publicly stated ambitions to reach 1,500 locations in the next 5–7 years. Expansion plans focus on the Midwest and Northeast, with recent store openings in Pennsylvania, Michigan, and Wisconsin. Markets like New York and New Jersey are under exploration.
The franchise model will remain central to this growth, as rapid scaling through corporate-owned units would be cost-prohibitive and operationally challenging.
Technology and Innovation
To stay competitive, Zaxby’s has invested heavily in digital infrastructure. Features like mobile ordering, delivery partnerships with DoorDash and Uber Eats, and a robust loyalty program are now standard across most locations.
In 2022, the brand launched a redesigned app with enhanced personalization and rewards, showing a forward-thinking approach under current ownership.
Potential for Public Offering?
While Zaxby’s has not indicated plans for an IPO, it’s not unprecedented. Many private chains—such as Five Guys and Shake Shack—went public after years of private equity and franchise growth. If Zaxby’s continues its upward trajectory, an IPO could be on the horizon, especially as Sun Capital often exits investments through public listings or trade sales.
However, for now, the company appears committed to its private, franchise-driven model, prioritizing steady growth over rapid monetization.
Conclusion: Who Really Owns Zaxby’s?
So, who owns Zaxby’s? The answer is layered, reflecting the complexity of modern restaurant ownership.
– The brand is jointly owned by its founders (particularly the McLeroy family) and Sun Capital Partners, the private equity firm that holds a strategic investment.
– The daily operations and local presence are “owned” by franchisees—independent entrepreneurs who run over 900 locations across the U.S.
– The culture, voice, and southern spirit of Zaxby’s are still deeply rooted in its origins—a mom-and-pop dream turned national success.
While financial stakes may change over time, Zaxby’s unique identity—defined by bold flavors, community presence, and Southern charm—remains steadfast. Whether you’re a fan of the Boneless Zingers, Zalad, or classic wings, you’re not just eating chicken—you’re supporting a network of local owners, private investors, and a brand built on real passion.
In the end, ownership isn’t just about stock or equity—it’s about legacy. And in that sense, Zaxby’s is still very much owned by the vision of two college friends who believed in a better chicken sandwich.
Who currently owns Zaxby’s?
Zaxby’s is currently co-owned by Zach McLeroy and Tony Townley, the two founders who established the first location in Statesboro, Georgia, in 1990. While they began the company as a small regional venture, they have maintained significant control and ownership over the years, guiding the brand’s growth and strategic direction. The company operates under Zaxby’s Franchise Corporation, which supports both company-owned and franchised locations.
Over the years, despite interest from private equity firms and larger restaurant chains, McLeroy and Townley have chosen to retain majority ownership, emphasizing their commitment to preserving the brand’s culture and quality. While limited investment partnerships exist, the founders remain the principal decision-makers. This long-term ownership has enabled them to ensure consistency in menu offerings, store operations, and customer experience across the expanding chain.
How did Zaxby’s start, and who were its founders?
Zaxby’s was founded in 1990 by childhood friends Zach McLeroy and Tony Townley in Statesboro, Georgia, near the campus of Georgia Southern University. The two friends combined their last names—Zach and Tony—to create the unconventional name “Zaxby’s,” which has since become synonymous with bold-tasting chicken and zesty sauces. Their initial goal was to offer a unique fast-casual dining experience focusing on high-quality, hand-breaded chicken served with fresh sides.
Starting with just one restaurant, McLeroy and Townley focused on word-of-mouth marketing and community engagement to expand their customer base. The chain quickly gained popularity among college students and locals due to its flavorful food and fun, energetic brand personality. Over the next decade, the duo aggressively franchised the concept, laying the foundation for the nationwide presence Zaxby’s enjoys today.
Has Zaxby’s ever been acquired by a larger corporation?
No, Zaxby’s has never been fully acquired by a larger restaurant corporation or private equity firm. Although the company has explored strategic partnerships and received outside investments over the years to support growth, ownership has largely remained in the hands of founders Zach McLeroy and Tony Townley. This independence has allowed the brand to grow at its own pace while staying true to its original vision.
In 2019, Zaxby’s did bring on a strategic investment partner, Advent International, a global private equity firm, to help accelerate national expansion and enhance operational infrastructure. However, this partnership did not result in a full acquisition. McLeroy and Townley retained significant ownership and leadership roles, ensuring that the company’s culture and core values remained intact while leveraging Advent’s resources for innovation and scalability.
What is the role of franchising in Zaxby’s ownership structure?
Franchising plays a crucial role in Zaxby’s ownership and expansion model. While the founders retain control over corporate strategy and brand standards, a large portion of Zaxby’s locations are owned and operated by independent franchisees. These franchisees invest in opening and managing locations under the Zaxby’s banner, adhering to strict operational guidelines to maintain consistency in food quality and customer experience.
The franchise model allows Zaxby’s to grow rapidly across the United States without bearing the full financial burden of new store development. As of recent data, the chain operates hundreds of franchised locations in over 20 states, primarily in the Southeast and Midwest. The corporate office provides training, marketing support, and supply chain management to help franchisees succeed, creating a collaborative ecosystem between the central leadership and local owners.
Are there any major investors in Zaxby’s besides the founders?
Yes, in 2019, global private equity firm Advent International became a significant investor in Zaxby’s to support the chain’s growth initiatives. This strategic investment was aimed at modernizing the brand’s infrastructure, enhancing digital capabilities, expanding into new markets, and improving operational efficiency. While Advent holds a substantial stake, the founders, Zach McLeroy and Tony Townley, retained majority control and key leadership positions.
Advent International’s involvement has brought financial expertise and industry connections, enabling Zaxby’s to pursue bold growth targets while maintaining its core identity. The partnership is designed to be collaborative rather than controlling, emphasizing long-term development over immediate returns. This balance allows Zaxby’s to benefit from outside capital without compromising its independent spirit or culinary authenticity.
How has ownership influenced Zaxby’s menu and brand identity?
The continued ownership by Zach McLeroy and Tony Townley has been instrumental in preserving Zaxby’s unique brand identity and culinary focus. Unlike chains that alter menus frequently to follow trends, Zaxby’s has maintained a consistent core offering centered around hand-breaded chicken, house-made sauces, and made-to-order sides. This consistency reflects the founders’ commitment to quality and customer loyalty.
Additionally, the brand’s playful, irreverent marketing—such as memorable ad campaigns featuring quirky slogans and humor—stems directly from the founders’ vision. Their hands-on involvement ensures that new menu items and seasonal promotions align with the brand’s character. This long-term ownership fosters trust among customers and franchisees, contributing to Zaxby’s enduring appeal in a competitive fast-casual landscape.
What are Zaxby’s future expansion plans under current ownership?
Under the current ownership structure, Zaxby’s is focused on aggressive but sustainable expansion, particularly targeting underserved markets across the United States. The leadership team, supported by Advent International’s investment, aims to open hundreds of new locations in the coming years, leveraging both company-owned and franchised models. Emphasis is placed on urban centers, college towns, and suburban areas with strong demand for high-quality quick-service meals.
Future plans also include enhancing digital ordering, drive-thru efficiency, and delivery partnerships to meet evolving consumer preferences. The company continues to innovate its menu with limited-time offerings while keeping its iconic core items. With founders still deeply involved and a strong financial partner backing growth, Zaxby’s is positioned to strengthen its national footprint while staying true to its Southern roots and distinctive food philosophy.