Click on one of the questions below to learn more.

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What are the minimum net worth requirements to qualify as a candidate?

Candidates must have $1.5 Million in total net worth and $750,000 in liquid assets (liquid assets are defined as cash or any asset that can be converted to cash within 10 business days). Requirements are commensurate with ownership level and may be significantly higher from minimum requirements based on the size of the transaction.

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How long does the Franchise Assessment Process take?

Initial review of the Franchise Assessment Process, including background checks and interviews, generally takes 8 - 12 weeks. If a franchisee candidate meets the initial review criteria and is found eligible to proceed, a transaction review and approval will be required for all transfers or new development opportunities.

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Are there Opportunities to acquire existing restaurants?

KFCC does not currently have company-operated restaurants for sale; however, existing franchisees may have their stores for sale. If franchisee stores are identified for sale, all negotiations will occur between the buyer and seller. All transfers (acquisitions of existing KFC franchised stores) must be reviewed by KFC through the Transaction Approval process prior to any approval of the transfer.

If buyer is new to the KFC system, they must successfully complete the KFC Franchise Assessment Process to be considered eligible to progress to the Transaction Approval Process.

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There’s already a KFC in my market, can I add another one?

Existing KFC operators have a protected territory of 1.5 miles or 30,000 people, whichever is smaller. Prior to allowing the establishment of any new franchised store, KFCC is obligated to give the closest franchisee 30 days prior written notice of the proposed new store. During the 30 day period, the franchisee may apply to KFCC for the right to build the store and KFCC shall negotiate in good faith with the franchisee, taking into consideration all relevant factors, including past and present operational performance and financial capabilities of the franchisee, etc. KFC

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Is KFC seeking new minority candidates?

Yes, KFC is committed to increasing the number of minority and women owned franchises.

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How much will I pay in royalties and advertising? What fees will I pay when I become a KFC franchisee?

Royalties = 5 percent (5%) of Gross Revenues

Advertising = 5 percent (5%) of Gross Revenues (Includes national and local contributions)

The above amounts do not include all fees that will be incurred by the franchisee. Please refer to Item 6 and Item 7 of the KFC Corporation (“KFCC”) Franchise Disclosure Document (FDD) for details pertaining to new franchise application fees, transfer fees, training expenses, initial franchise fees, constructing a new restaurant, grand opening expenses and opening inventory. In addition, the franchise will be required to pay other fees, including but not limited to, monthly MERIT fees for the back of house computer system.

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What will my sales be?

KFCC includes an Item 19 financial performance representation in the FDD. You will receive an FDD once you have submitted a completed franchise application package. Prospective franchisees are encouraged to conduct their own independent investigation to determine potential sales levels prior to signing any Franchise Agreement. Existing franchisees are a resource you can use for more KFC franchise information. A list of domestic franchise units, the franchisee's name and phone number are listed in the FDDs.

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How much money will I make? What will be my profit percentage? What are the profit margins of other franchisees? What kind of return on my investment may I expect?

KFC provides some key cost information in Item 19 in the FDD.. Existing franchisees are a resource you can use for more information. A list of domestic franchise units, the franchisee's name and phone number are listed in the FDD.

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What kind of training is required by KFC ?

Before you may begin operating your restaurant, you (or a principal), your manager and other employees identified on the tables in Item 11 of the FDD, must attend and complete, to KFCC’s satisfaction, the initial training program offered by KFCC on the operation of a KFC outlet. The training includes 1 week orientation, 2 weeks online training and 4 weeks in a certified restaurant for hands on training. All training costs incurred including travel and lodging of the management team are the responsibility of the franchisee. You may find more details regarding KFCC’s training in Item 11 - Training of the FDD.

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How do you monitor franchisee performance?

KFC monitors a franchisee’s performance using a Franchise 360 scorecard which assesses a variety of factors. One is a CFF (“Cleanliness, Friendliness, Food”) Standards Audit in store where feedback is given to a franchisee regarding various aspects of the franchisee’s business, including but not limited to, food preparation, cleanliness and the customer experience. Secondly, food safety audits (“FSCs”) are conducted by a third party service to ensure that food safety and other brand standards are met at the store level. Finally, the Voice of the Customer Program is a customer based evaluation where franchisees are provided feedback based on their customers’ store experience. Franchisees are required to meet KFCC’s brand standards with respect to the operation of their stores.

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Will I be required to use specific accounting service software at my restaurant?

KFC’s FDD describes the type of electronic cash register system and software requirements to be used in the restaurant. It is required that you use the KFC supported MERIT back-of-house operating platform. You must prepare and keep detailed records regarding all sales and other financial aspects of your restaurant operations. You may also be required to submit reports of product mix, hourly and day-part sales and other reports as may be determined by KFC.

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Is KFC listed in the Small Business Administration (SBA) Registry?

Yes, the franchise registry (www.franchiseregistry.com) is a national online listing of approved franchise systems whose franchisees will receive accelerated loan processing through the U.S. Small Business Administration (SBA). Through this process, small business owners are provided with higher levels of service and quicker loans. Franchise systems not listed on the site are not eligible for expedited loan processing through the SBA.

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I am interested in KFC Franchising in another country. What is the process to become an International Franchisee?

Please visit the YUM International Website at www.yrigfp.com to obtain information regarding active countries and the International franchise approval process.


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