How to start KFC Franchise in India [Complete Information, Cost, & Setup Guide 2021]

Fortune Franchise April 29, 2021

KFC (Kentucky Fried Chicken) restaurant is named one of the top restaurant franchises in the world. With its delicious chicken food products and its usage of the impeccable mix of herbs and spices in their food products had helped KFC in gaining popularity all over the world & also in India.

Are you planning to start a KFC Franchise in India? If yes, this article is covered with complete information on the procedure, process, cost, and application to start a franchisee.

About KFC Company

KFC is a global chicken restaurant brand with a rich, decades-long history of success and innovation. It all started with one cook, Colonel Harland Sanders, who created a finger-lickin’ good recipe more than 75 years ago—a list of 11 secret herbs and spices scratched out on the back of his kitchen door. Today, we still follow his formula for success, with real cooks breading and freshly preparing our delicious chicken by hand in more than 23,000 restaurants in over 135 countries and territories around the world.

History of KFC

Harland Sanders learned to cook in his mother’s kitchen but it was years before the future “Colonel” Sanders would perfect his secret recipe of 11 herbs & spices. Soon he was serving family meals out of his Corbin, Kentucky restaurant and by 1952 Colonel Sanders was helping friends open their own Kentucky Fried Chicken locations.

The Colonel saw the potential of restaurant franchising early on, and it became a big part of KFC history. In fact, it was our first franchisee who named us “Kentucky Fried Chicken,” invented the famous “bucket” of chicken, and even coined the phrase, “Finger Lickin’ Good!” It’s no wonder we treasure our franchisee relationships like no other.

Now, 75 years later, KFC and thousands of franchisees are still cooking up opportunities for success.

KFC Company & Franchise in India

In India, KFC is owned by YUM Brands and distributed an additional 13 restaurants to Devyani International, its largest franchise partner, which is promoted by Ravi Jaipuria’s RJ Corp. KFC has a strong presence in India, in 1995 June, KFC opened its first store in India which was a two-story outlet on Brigade Road in the city of Bangalore.

KFC India operates 380 stores across all parts of India, of which 20% are company-owned and 80% of the stores are split between Devyani International and Sapphire Foods. DIL runs franchises for Pizza hut and KFC besides in-house business including Cream Bell. DIL has acquired KFC restaurants in Kerala and Goa.

KFC Franchise Cost of Investment in India

• Location: Metropolitan City
• Space Required: 2000 Sq. ft.
• Net worth: $1.5 Million = Rs. 10.50 Crores (50% – Rs. 5 crores)
• Liquid Asset: $7,50,000 = 5,55,57,637.50 (50% – Rs.2.5 Crores)
• Initial Franchise Term : 20 Years
• Financial Assistance: up to 25% ( Minority Groups)
• Franchise Fees: 5 % of the entire earnings as Royalty and 5% as promotional fee.

How to Apply For a KFC Franchise in India

• Go to company official website (https://www.kfc.com/about/franchising) and click on that https://online.kfc.co.in/contact-us
• Select the Franchise option and fill the application form and proceed further by entering and submitting the mandatory information and details.
• The form is reviewed by KFC support staff. Once the application got selected, the company will contact the candidate for further process.

KFC Franchisee Process

• Contact Yum Brands in Gurgaon or DIL Group, for a detailed KFC Franchise process.
• Application Fee: Rs. 20000
• Document verification of all liquid assets and cash will take time duration of 30-45 days.
• Once the application is reviewed, the candidate will be asked for a direct interview process which is 2 Levels
• Once the candidate got selected, ready to buy and go for complete training.

Why KFC Franchise Business?

Benefits of KFC Franchise Business:

• Well-established and globally recognized brand.
• Zero Marketing.
• Long-term profitable.
• You’ll get complete training from KFC Company.
• KFC keeps promoting its brand by itself.
• You can connect with established and experienced people that help to grow your business skill and profit margin.

KFC Franchise Income and Expenditure

Income:

• After opening the franchise, you can earn 3X profit within 1 year* ( Based on locations & market areas)
• Income will be from 1 Lakh to 5 Lakhs

Expenses:

• Royalty Fee is around 4% to 5%
• Staff maintenance salary
• Yearly renewal will take around Rs. 3 Lakhs to Rs.5 Lakhs

KFC Franchise Training Overview

• As per KFC terms and conditions, once the candidate over with the interview and selection process, invited to attend the initial training program “How to operate KFC franchise Outlet” and must satisfy the franchisor.
• Training programs of KFC franchise includes both onsite training (various outlets) and online training sessions (CBTP)
• The person who completed the Key Operator Restaurant Training program provided by KFC will train other employees at their Outlet.

KFC Franchise business is admittedly the most profitable and significantly growing rapidly in India. If you see the data, the market share of KFC in India is approx 25%, and the company’s total market value around 1,500 crore rupees in India. Important to note, that KFC offers its franchisees people who are strong both financially and mentally. Before stepping in, just analyze your skills, knowledge, and experience also, analyze the market extensively, and consult franchise consultant experts for a clear point of view.

At fortune franchise, have a team of highly skilled franchise consultant experts who will direct you right path starts from scratch to grow& support your franchise business.