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Is it profitable to join KFC? What is the return and risk of making money by joining KFC?

Join KFC money? This question is not only want to join KFC investors is a very direct question, including all investment projects investors want to know the answer, today at ease to join the network to analyze and analyze the advantages of joining KFC and how the market outlook:

KFC KFC franchise application form

Precise joining the place to determine the decision of whether or not you make money:

Store The location of the location is very important, popularity is good, the location of the place, is the inevitable factors of the success of KFC, compared to his brand influence and technology we do not have to take into account among them, so the most important thing is still the choice of address and location. At present, KFC is mainly in some small and medium-sized cities in the country and already have KFC restaurant opened in the area to provide certain franchise opportunities, and in large and medium-sized cities, due to the fast-food industry is very competitive, if the franchisee makes a slight mistake will result in bad consequences, so in the big cities are in charge of the KFC itself.

After choosing the right address to join is a stable long-term return on investment:

If the annual turnover of a KFC restaurant is 10 million yuan, the franchisee's total initial investment of about 8.5 million yuan (including 8 million yuan in transfer fees, about 300,000 yuan of the franchise fee, and some of the renovation costs, etc.). The total operating cost of the operation is about 76% of the turnover, of which 45% is the cost of food ingredients, 10% is the cost of labor, 10% is depreciation, 5% is advertising, and 6% is royalties, so the gross profit margin is about 24%. Then from the gross profit deduct the initial investment of interest and taxes paid, the franchisee's annual rate of return of about 11% of total turnover, that is to say, the franchisee to make a profit, at least eight years. Therefore, this "not from scratch" franchise, is to lengthen the payback period to reduce business risks, therefore, to join KFC is a long-term investment, the franchisee must be able to operate for a long time.

Detailed analysis of return on investment: each KFC assumed five counters, two minutes can be completed a customer, at noon and night each two hours is full shift. That peak time period has 5 * 30 * 4 = 600 people. The other hours cumulatively, assuming that there are also only 600 people. Then 1200 people a day should be guaranteed. Each person is assumed to spend $25. (Although some people buy cheap, but he can not use 2 minutes, I am calculated in 2 minutes, 25 yuan is still a very low standard) 25 * 1200 = 30,000 yuan (one day turnover) a year is 30,000 * 365 nearly 11 million. 50% of its cost should be more than that. Being KFC pumped 6-8%, net profit remaining about 5 million. Employees are expected to 12-15, the average monthly salary of 2000, according to 15 people, 30,000 per month, 360,000 per year. Rent, KFC basically have 100 people seating, the area is probably more than 300, if it is 400, the mall rent, per square meter per day in about 10-20 yuan per square meter, at 15 yuan, a day will be 6000, a year will be nearly 2.2 million. (In fact, it is not possible to be this number, because the long-term rent, in addition to the brand advantage, can bring customers to the mall, so this value to be examined. Of course, except for prime locations)

This is the most expensive estimate, the annual surplus of more than 2.5 million. If the rent is not so expensive, and the profit is more than 50% (in fact, certainly more than), the remaining 4 million a year should be possible. If you invest 8 million to join, 2 million to operate into the material into the equipment decoration, about 2 years more must return to the capital.

Join KFC to make money return rate and risk how?

KFC joining advantages:

First, the success of KFC, lies in the entry of the Chinese market at different stages of development, the development of both organizational culture and strategic logic of the strategy. In the entry period, its main strategy for the introduction of Western-style, new fast-food service system and catering concepts, with its unified logo, uniform clothing, uniform distribution methods of the new chain business model, giving consumers a global unified dining experience. This is the main advantage of joining the KFC store, which relies on high-quality products, fast and friendly service, clean and hygienic catering environment, to establish the dominant position in the Chinese market, so that you can easily have a wide range of consumer masses, to enjoy the wealth of the source.

Second, KFC has a number of raw material logistics centers in China, responsible for all the franchise chain restaurant food raw materials procurement, processing and distribution, for the store to ensure the safety of food raw material purchases, to ensure food safety from the source, eliminating food quality hazards. Moreover, investors choose to join the KFC store, the company headquarters unified goods ordering, more stores to reduce costs, improve profit margins, so that franchisees can obtain a higher level of profitability.

Third, KFC "speed-based" fast food industry entrepreneurial spirit, so that it pays special attention to the team spirit, relying on its teamwork to achieve high efficiency, thus ensuring that the peak business services correct and rapid. Stores to avoid too many waiters, reduce store labor costs, improve profitability, and efficient and flexible, perfect and advanced management incentive mechanism, as well as teamwork and excellent management level, but also KFC based on the secret of the market.

KFC Official Website