24 KFC Corp Franchise Review

Harland Sanders, father of 24 KFC Corp, began hiscase is 20 years after which it should be renewed to
journey in 1930. He started his business namedcontinue franchising. Besides these, the amount of net
Sanders Court & Cafe in Corbin, Kentucky, a roomworth, cash liquidity and experience in restaurant
which was in front of a gas station. The contributionsbusiness are other essential requirements. The
of Harland Sanders to the local cuisine made him therequirement for net worth to hold a KFC franchise is
honorary Kentucky Colonel in 1936. Harland started$1,000,000 and cash liquidity is $500,000. Regarding
franchising in 1952 to expand his company and tobusiness experience there are three important
increase the brand awareness. The first franchise wasaspects, skills of marketing, experience in industry and
received by Pete Harman in Salt Lake City. Accordingexperience in the general business.
to their agreement Sanders Court & Cafe wouldThe Financing System Of KFC
receive royalty of one nickel for each chicken sold byThere are different types of financing available for
Pete Harman.KFC. In case of In-house business there will be no
KFC Franchise All Over The Worldfranchise fee, startup costs, cost for equipment and
The delicious chicken preparation of KFC is famous allinventory. Furthermore, there will be no payroll and
over the world. However, the recipes of KFC remainaccounts receivable. In contrast for a third party
secret. The number of foreign franchises steadilybusiness all these costs should be incurred.
increased day by day. It was 5,316 in the year 2006How To Run A Successful KFC Franchise?
and became 7,482 in 2009. In the US, there is a littleThe concept of a franchise model is the backbone of
fluctuation in the number of franchises over the yearsa brand named restaurant. To be a successful
from 2006 to 2009. On the other hand, the Canadianfranchise of KFC you should be determined to owe at
franchisee remained at 773 since from 2006.least 5 KFC restaurants in the long term. The
Cost and Fees To Buy A Franchiserestaurant should be located in a busy area where
Being a KFC franchise is an excellent choice topeople have higher average earning. There must be
expand your restaurant business. The franchise feemultiple sources that are ready to finance your
for KFC is $45,000 and the amount of investment willbusiness in the long term. Buying a KFC franchise
range in between $1,379,900 to $2,422,500. The ownerprovides you the benefit of a well established brand. It
of the franchise is liable to pay an ongoing royalty ofalso benefits you with corporate support and wide
5% of the total revenue. Term of agreement in thismarket coverage.