KFC US LLC vs Burger King Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of KFC US LLC vs Burger King including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
Investment |
$1,008,550 - $2,771,500 | $333,100 - $3,398,600 |
Franchise Fee |
$45,000 | $50,000 |
Royalty Fee |
4-5% | 4.5% |
Advertising Fee |
5% | 4% |
Year Founded |
1930 | 1954 |
Year Franchised |
1952 | 1961 |
Term Of Agreement |
20 years | 20 years |
Term Of Agreement |
20 years | 20 years |
Renewal Fee |
$4.9K | $50K |
Business Experience Requirements |
Experience |
Industry experience General business experience Marketing skills | Industry experience General business experience Marketing skills |
Financing Options |
|
In-House/3rd Party | In-House/3rd Party |
Franchise Fees |
No/Yes | No/No |
Start-up Costs |
No/Yes | No/No |
Equipment |
No/Yes | No/No |
Inventory |
No/Yes | No/No |
Receivables |
No/Yes | No/No |
Payroll |
No/Yes | No/No |
Training & Support |
Training |
On-The-Job Training: 6 weeks
Classroom Training: 2 days
| Before the opening of the Restaurant, franchisees must successfully complete the franchisor's training program. The training program is held in Miami, Florida or other locations specified by the franchisor. In-Restaurant Training will be held in various Restaurant locations that have been authorized as Training Restaurants. The franchisor may require additional training programs for individual Owner/Operators or Managing Directors to implement current operations, standards, and procedures and to facilitate the growth and changes of the franchisee. The franchisor also makes available and sometimes requires periodic workshops and seminars for managers, which include management courses and updating of operational skills. The franchisor will provide Pre-opening and Restaurant opening assistance as it deems appropriate. The franchisor also provides continuing operations training programs, which franchisees (as an Operating Partner, Managing Director, Director of Operations, or Managing Owner, as applicable) may be required to attend. For certain training courses, franchisees must pay a course or materials fee to the franchisor or third parties. The franchisor may make changes and revisions to the training program, locations or materials at any time. |
Support |
Purchasing Co-ops
Newsletter
Meetings/Conventions
Toll-Free Line
Grand Opening
Online Support
Security/Safety Procedures
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
| Meetings, Toll-free phone line, Grand opening, Security/safety procedures, Field operations/evaluations |
Marketing |
National Media
Social media
SEO
| Co-op advertising, National media, Regional advertising |
Operations |
Franchisees required to buy multiple units/master licenses
Absentee ownership of franchise is NOT allowed. | - |
Expansion Plans |
US Expansion |
Yes | - |
Canada Expansion |
No | No |
International Expansion |
Yes | Yes |
Company Overviews
About KFC US LLC
His recipe is still a secret, but more than 2 billion of Colonel Harland Sanders' 'finger lickin' good' chicken dinners are served annually in more than 82 countries around the world. Nearly 50 years ago, Colonel Sanders set out to sell complete meals to time-strapped families, calling his home meal replacements 'Sunday Dinner, Seven Days a Week.' Acquired by PepsiCo in 1986, KFC is now a part of Yum! Brands Inc., which includes A&W, Long John Silver's, Taco Bell and Pizza Hut.
The total investment necessary to begin operation of a newly constructed
KFC outlet ranges from $1,442,600 to $2,771,550. This includes $45,000
to $50,000 that must be paid to KFCLLC or its affiliates.
The total
investment necessary to begin operation of a reopened or remodeled
former KFC outlet, or converted KFC outlet ranges from $1,008,600 to
$2,221,550. This includes $45,000 to $50,000 that must be paid to KFCLLC
or its affiliates.
KFCLLC also offers multi-unit development opportunities. The total
investment necessary to begin exercising development rights is estimated
to be $135,000 to $540,000 (based on the expectation that you will
develop 3 to 12 outlets during the term of the development agreement),
determined by multiplying the number of new outlets you agree to develop
by $45,000, all of which must be paid to KFCLLC.
The total investment necessary to begin operation of a KFC
non-traditional outlet ranges from $241,100 to $996,000. This includes
$12,100 to $17,100 that must be paid to the licensor or its affiliates.
#13 in Canada's Top franchises.
#26 on Franchise Rankings.com
#24 in Franchise 500 for 2020.
#25 in Franchise 500 for 2021.
About Burger King
In 1954, James McLamore and David Edgerton opened the first Burger King restaurant in Miami; selling 18 cent broiled hamburgers and milkshakes. Three years later, the company's signature Whopper was introduced, selling for 37 cents a piece. Today Burger King restaurants serve chicken nuggets, salads, a breakfast menu and kids meals. In 1998, the company opened its 10,000th location in Sydney, Australia.
The franchise granted can be operated at one of three locations and facility types:
- Institutional
Locations: “Institutional locations” include government buildings and
facilities, medical facilities, airports, train and bus stations, sports
facilities, factories, corporate campuses, turnpikes, limited access
toll roads, theme parks, zoos and educational facilities.
- Traditional
Burger King Restaurant Facility: A self-contained, full size Burger
King Restaurant which is located and operated on a site as a
freestanding building or within another building structure such as a
shopping mall. A Traditional Burger King Restaurant does not share any
common areas with any other businesses and serves the standard approved
menu for Burger King Restaurants.
- Non-Traditional Burger King Facility: A Burger King Restaurant may be located at a site which
includes other businesses, such as retail, food service, gas stations,
convenience stores, other franchised businesses or restaurants or other
similar facilities.
#37 in Canada's top franchises.