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The KFC franchise cost in India typically ranges between u20b91 crore to u20b92 crore, depending on location and store format. This includes setup, equipment, marketing, and licensing fees. As a global fast-food giant, KFC offers strong brand recognition and a proven business model, making it a popular choice among franchise investors. However, securing a KFC franchise also requires meeting specific financial and operational criteria set by the parent company, Yum! Brands.
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KFC Franchise Cost in India: Investment, Profit, Requirements & How to Apply (2025 Guide) If you're planning to start a business in the food and beverage sector, owning a franchise of an established brand like KFC can be a game-changer. With its global presence, brand value, and love among Indian foodies, KFC (Kentucky Fried Chicken) o?ers a lucrative opportunity for entrepreneurs looking to tap into the QSR (Quick Service Restaurant) industry. But one of the most important questions every aspiring investor asks is: What is the KFC franchise cost in India? This blog will guide you through everything—from investment details to profit margins, eligibility, and how to apply in 2025. ? Why Choose a KFC Franchise? KFC is one of the top fast-food chains in the world, known for its crispy fried chicken, burgers, and unique flavors. In India, it has a huge customer base that spans metros, small towns, and even rural areas. Here’s why investing in a KFC outlet makes sense: ✅Brand recognition backed by Yum! Brands ✅ Proven business model ✅ Training & marketing support ✅ High customer demand
✅ Scalable and profitable QSR concept ? KFC Franchise Cost in India (2025 Breakdown) The franchise costdepends on the type, location, and size of the outlet. On average, here's a rough estimate of the investment required: Cost Component Amount (INR) Franchise Fee ₹36 Lakhs – ₹50 Lakhs Store Setup & Equipment ₹70 Lakhs – ₹1.2 Crore Inventory & Licenses ₹10 Lakhs – ₹15 Lakhs Marketing & Initial Operations ₹5 Lakhs – ₹10 Lakhs Total Estimated Investment ₹1.5 Crore – ₹2.5 Crore ?These numbers may vary depending on your location, outlet format, and agreement terms. ? Types of KFC Franchise Models in India KFC o?ers multiple formats, and the cost varies accordingly: 1. Traditional Restaurant High footfall areas like malls, highways, or commercial zones Highest setup cost Franchise cost: ₹2 Crore+ 2. Non-Traditional Outlet Airports, railway stations, food courts Compact model, medium investment Franchise cost: ₹1.5 – ₹2 Crore 3. Express/Delivery Outlets
Focused on delivery & takeaway Lower setup and operating cost Franchise cost: ₹1 – ₹1.5 Crore ? What’s the Profit Margin in a KFC Franchise? KFC outlets are known for high turnover, but the net profit depends on your location, operating costs, and management. Here's an estimate: Factor Approximate Value Monthly Sales ₹20 – ₹50 Lakhs Gross Profit Margin 40% – 50% Net Profit Margin 12% – 15% ROI Period 3 – 5 Years ? A well-managed outlet in a good location can earn ₹3 to ₹7 Lakhs/month as net profit. ? Requirements to Open a KFC Franchise in India To qualify for a KFC franchise, you need to meet some basic criteria: ✅ Financial Strength Minimum liquid capital of ₹1 Crore Net worth of ₹3 Crore or more ✅ Real Estate Commercial space of 1,000 to 1,500 sq. ft. In high footfall zones or major urban centers ✅ Business Experience Preferably experience in QSR, retail, or hospitality Good management and operational skills
✅ Commitment Full-time involvement in business operations Ability to maintain brand standards and hygiene ? Documents & Licenses Needed Starting a KFC franchise in India requires legal and operational compliance: GST Registration FSSAI Food License Shop & Establishment License Fire Safety Certificate Trade License Property Documents or Lease Agreement Business PAN and Aadhaar Card ? What Support Does KFC O?er? KFC, under Yum! Brands, provides comprehensive training and support to franchise partners. Here’s what you get: ?Training Program for sta? and owners ?Supply Chain Support (centralized procurement) ?Marketing & Promotion at regional/national level ?Store Design & Setup Assistance ?Technology & Billing Solutions ?Quality Checks & Regular Audits You’ll also receive a franchise operations manual with step-by-step guidance on running the outlet smoothly. ? How to Apply for a KFC Franchise in India? Follow these steps to express your interest in owning a KFC outlet:
Step 1: Visit Yum! Brands India Franchise Page Go to https://www.yum.com Navigate to the Franchise With Us section Step 2: Submit Your Franchise Application Fill in basic details: name, location, capital, experience Specify your city preference and outlet type Step 3: Screening & Interview The franchise team will evaluate your profile Shortlisted candidates are invited for discussion Step 4: Site Inspection & Financial Vetting If you have a property, it will be inspected KFC checks financial readiness before approval Step 5: Franchise Agreement & Training Sign the franchise agreement Start training and outlet setup ? Is the KFC Franchise Available in All Indian Cities? Not always. KFC primarily expands in: Metro cities (Delhi, Mumbai, Chennai, Bangalore) Tier-1 & Tier-2 cities with high urban population Highways and malls with guaranteed footfall They may not approve a location in rural areas or regions where the market is already saturated. ? Renewal and Agreement Duration Franchise agreements are usually valid for 5 – 10 years You may have to renew by paying a renewal fee
Continued support is provided through the agreement period ⚖ Pros and Cons of KFC Franchise in India Pros Cons Strong global brand High initial investment Full training & support Not suitable for small towns Fast ROI with proper management Profitability depends on footfall High demand for fast food Strict brand guidelines Related Reads:- mcdonald's franchise cost in india ? Who Currently Operates KFC in India? In India, KFC outlets are majorly operated by two master franchisees: Sapphire Foods India Ltd. Devyani International Ltd. These companies handle the expansion and operations of KFC stores across di?erent Indian regions. Individual franchise opportunities are limited, but partnering or becoming a sub-franchise under them is possible. ? Final Thoughts: Is the KFC Franchise Cost in India Worth It? If you're financially prepared and passionate about running a food business, then investing in a KFC franchise in India is absolutely worth it. The initial investment might seem high, but the brand’s massive appeal, operational support, and high customer retention ensure strong business potential. With a solid location and e?cient management, you can expect good profits and long-term growth. The KFC franchise cost in India is a gateway into a premium QSR business with global credibility and proven success.