KFC US LLC vs Back Yard Burgers Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of KFC US LLC vs Back Yard Burgers 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 | $465,000 - $1,680,000 |
Franchise Fee |
$45,000 | $35,000 |
Royalty Fee |
4-5% | 5% |
Advertising Fee |
5% | 3% |
Year Founded |
1930 | 1986 |
Year Franchised |
1952 | 1988 |
Term Of Agreement |
20 years | 10 years |
Term Of Agreement |
20 years | 10 years |
Renewal Fee |
$4.9K | $1K |
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/Yes |
Start-up Costs |
No/Yes | No/Yes |
Equipment |
No/Yes | No/Yes |
Inventory |
No/Yes | No/Yes |
Receivables |
No/Yes | No/No |
Payroll |
No/Yes | No/No |
Training & Support |
Training |
On-The-Job Training: 6 weeks
Classroom Training: 2 days
| - |
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
| Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives |
Marketing |
National Media
Social media
SEO
| Co-op advertising, Ad slicks, National media, Regional advertising |
Operations |
Franchisees required to buy multiple units/master licenses
Absentee ownership of franchise is NOT allowed. |
60% of all franchisees own more than one unit Number of employees needed to run franchised unit: 35
Absentee ownership of franchise is NOT allowed. (90% of current franchisees are owner/operators) |
Expansion Plans |
US Expansion |
Yes | Yes |
Canada Expansion |
No | No |
International Expansion |
Yes | No |
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 Back Yard Burgers
What started as a premium quality burger sold in a grocery store in
Cleveland, Mississippi in 1987 quickly caught fire. Lattimore "Lattieā
Michael realized he had a recipe for success and thus opened the first Back Yard Burgers drive-thru restaurant. Customers flocked to it, eating
up the fresh-grilled burgers, great conversation and the neighborly
feel that reminded them of their backyard cookouts. A year later, Back
Yard Burgers opened up in Tennessee and Florida. And the rest is
delicious history.
WHY BE A BACK YARD BURGERS FRANCHISEE?
*Uniqueness - back yard flavor
*A proven brand with a solid operating system
*Growth free standing building
*Unique development opportunities
*Non universities, c-stores and professional sports
*Strong positioning
*Signature products
*Persuasive, professional marketing
*Operations support
*Exclusive Territories