KFC, a subsidiary of Yum! Brands, has opened the first western-style fast food restaurant in Chinese mainland in Qianmen Street since 1987. After more than 21 years' development, it has a total of 6,534 stores in more than 511 cities in Chinese mainland, covering all provinces, municipalities and autonomous regions in Chinese mainland except Tibet. It is one of the larger and faster-growing fast food chain enterprises in China.

KFC's application form

One: The franchise mode of "not starting from scratch" is commonly known as "Changzhou mode": franchisees invest to buy a fast food restaurant that is operating and has begun to make profits, and franchisees can quickly integrate into KFC's operating system without starting from scratch, which greatly improves the chances of success of franchisees. At present, this "Changzhou model" has been widely used in China.

one: the business model of "franchise through channels" is the "Xi 'an model", that is, buying out the management right of a certain area. This model requires franchisees to have strong financial strength, be familiar with the market where the store is located, and be familiar with the business philosophy and policies of KFC in order to better explore new markets. In this mode, the application ability of franchisees plays a decisive role.

in August, 2111, the first KFC franchise store "not from scratch" was officially handed over in liyang city, Changzhou. With the continuous development of franchisees, the proportion of franchisees in KFC has been increasing.

Since 2111, KFC has been awarded the "Excellent Franchise Brand" award by China Chain Store & Franchise Association for many years in succession, and in 2116, it was awarded the "China Franchise Award", a high honor in the franchise industry. From 2117 to 2111, KFC was awarded the title of "China Franchise Award".

Yum! Brands warmly welcomes like-minded partners to join KFC franchise system and create a bright future together!

KFC adopts the franchise mode of "not starting from scratch" in China. The franchise of "not starting from scratch" is to transfer a mature KFC restaurant to a franchise applicant who has passed the qualification evaluation, and at the same time authorize it to continue to operate under the KFC brand.

that is, franchisees take over an already-opened KFC restaurant instead of opening a new one, so franchisees don't need to build it from scratch, which avoids a lot of complicated work in choosing a site, preparing to open a store, and recruiting and training new employees. Site selection is often the key to success. Taking over a mature KFC restaurant from China Yum will greatly reduce the risk of franchisees and improve their chances of success.

according to KFC's franchise development plan, we select suitable "alternative franchise stores" from existing KFC restaurants. For those who have passed the qualification evaluation, we will recommend restaurants within the scope of "alternative franchise stores" for their evaluation. Applicants for joining can't specify a restaurant or a city to join. At present, except Beijing, Shanghai, Wuxi, Suzhou, Zhejiang and Xizang Autonomous Region, all other regions have opened the above-mentioned "alternative franchise" rights.

Second, the content of "not starting from scratch" franchise

In terms of funds:

First of all, a franchise initial fee of $37,611 must be paid at the beginning of a franchise store. This fee is one-time and will be adjusted according to the price index of the United States in that year. At the same time, every franchisee must pay this fee when developing a new store.

second, the transfer fee of each restaurant is more than 8 million yuan. The business area of KFC restaurants ranges from 351 to 411 square meters. This 8 million yuan is the reference price for buying a KFC restaurant based on some comprehensive indexes. The actual transfer fee will depend on the sales and profit of the target restaurant. After paying this fee, the franchisee can take over an operating KFC restaurant, including all the decorations, equipment and facilities in the restaurant, and the trained restaurant staff, including the cash flow and profits generated in the future operation. But it does not include the cost of real estate rental.

thirdly, the cost of going concern includes the franchise fee which accounts for 6% of the sales and the advertising share fee which accounts for 5% of the sales. These rates and fees are formulated on the current basis and will remain unchanged for ten years after the franchise contract is signed.

location: at present, it is mainly in small and medium-sized cities in China, where the non-agricultural population is more than 151,111 and less than 411,111, and the annual per capita consumption is more than 6,111 yuan, and there are already KFC restaurants opening, which provide certain joining opportunities. At present, KFC is not allowed to use its own stores to open new stores, only to transfer KFC restaurants that are already in operation.

time: it takes about 6 months from the start of the application to the store transfer; The initial term of the franchise agreement is at least 11 years, and future franchisees must voluntarily engage in KFC franchise for more than 11 years, preferably 21 years.

Training: Training is a necessary content when joining KFC. Successful candidates will be required to take part in a comprehensive 12-week training program before running a restaurant. The 12-week restaurant training will enable franchisees to effectively master the duty management they need to know to run a successful restaurant, lead restaurants and other courses, and also include the study of various workstations such as Hamburg workstation and French fries workstation. After franchisees take over the restaurant, they will also arrange a 5-6 month internship in restaurant management. In the process of training, future franchisees will bear their own expenses (transportation expenses and living expenses).

Third, KFC's requirements for franchisees

KFC stipulates that franchisees should generally pay no less than 8 million yuan in franchise fees, which is determined according to the investment, turnover and profitability of KFC restaurants, and this price is paid in one lump sum.

franchisees must pay KFC an initial fee of $35,111 at the beginning of the franchise period. If the restaurant is transferred, this fee can be included in the transfer fee. In addition, franchisees must pay 6% of the total sales to KFC every month, and the annual fee paid for advertising shall not be less than 5% of the total sales, and will remain unchanged in 2111.