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How much does it cost to join KFC?

It will probably cost between Rs. 5 million and Rs. 6 million.

First, at the beginning of a franchise to pay 37,600 U.S. dollars in franchise initial fee, which is a one-time fee, and will be adjusted according to the U.S. price index for the year, at the same time, each franchisee in the development of a new store, you have to pay this fee.

Second, the transfer fee for each restaurant is in the range of 8 million yuan (as low as 2 million yuan for second- and third-tier cities). The business area of a KFC restaurant ranges from 350 to 400 square meters. This 8 million yuan is a reference price for purchasing a KFC restaurant based on some comprehensive indices, and the actual transfer fee will depend on the sales and profit situation of the target restaurant. The franchisee pays this fee to take over an operating KFC restaurant, including all decorations, equipment and facilities, and trained restaurant staff, and including future cash flow and profits generated during the course of the operation. It does not include the cost of leasing the property.

Third, ongoing operating expenses include a royalty of 6% of sales and an advertising share of 5% of sales. These rates and fees are set on an existing basis and remain unchanged for ten years after the signing of the franchise contract.

Reference:

Baidu Encyclopedia-KFC