At present, KFC's joining mode is the transfer of mature restaurants, which means the transfer of an already operating KFC restaurant, rather than the franchisee's own site selection and decoration. KFC requires franchisees to have a transfer fee of 8 million yuan for mature restaurants, including restaurant equipment, decoration, profits, personnel, etc., but excluding the real estate rental fee of the restaurant, and pay it in one lump sum before transferring the restaurant. The general franchise agreement period is ten years. The location of the restaurant will be considered by KFC according to the development of the whole China

market and other factors. Therefore, only after the franchisees have been approved by the Committee can they choose restaurants in the areas provided by KFC in a limited range, that is to say, no one can choose at will. For the requirements of the applicant, the application is made by one person alone or by the main operator and partners, and the capital of the main operator must be greater than 31%. Partners also need to accept KFC's understanding and investigation, and get the approval of the joining Committee.

Southern Network News Shanghai has no chance to join KFC! In Changzhou, Xi 'an, Yangzhou and other 28 KFC stores have announced the authorization to hand over to become franchise stores. At the same time, Shanghainese sadly found that they could not be included in KFC's franchise schedule.

in China, KFC's joining is limited to a way of "restaurant transfer" in small and medium-sized cities, that is, "not starting from scratch". The transfer fee is at least 8 million yuan. KFC defines "small and medium-sized cities" as: 151,111 < non-agricultural population < 411,111, and the annual per capita consumption is more than 6,111 yuan. The resident population of Shanghai is 16.14 million, far exceeding the upper limit of 411,111. This is undoubtedly a fatal blow to the owners who expect to join KFC in Shanghai. In this regard, Xu Zhen, the public relations department of China Yum! Brands, replied that the competition in the fast food industry in most large and medium-sized cities in Chinese mainland, especially municipalities directly under the Central Government, is very fierce and cruel, and a slight difference in franchisees may lead to bad consequences. Therefore, in big cities, KFC insists on taking full control by itself. Another rule that keeps Shanghai out of the franchise is that the city where KFC "joint venture" enterprises are located will not join, and other ways, such as cooperation, are not restricted.

Shanghai KFC is a joint venture with Xinya Group as the joint venture partner. In addition, KFC in Wuxi, Suzhou, Hangzhou and other cities is also a joint venture. The relevant personnel of KFC explained this simply, saying that "the regulations are like this" and that the city where the KFC joint venture is located is originally a big city, which has jumped out of the scope of "small and medium-sized cities". These two regulations actually blocked the possibility of joining Shanghai and other cities.