What are KFC franchise royalty fees?

KFC charges a 9.5% royalty fee on gross sales.

What is the KFC franchise fee?

The initial franchise fee for KFC is $22,500.

How many KFC franchise locations are there?

There are approximately 30 KFC franchise locations as of 2023.

How much profit does a KFC franchise make?

The median revenue for a KFC franchise is $873K, with a cash-on-cash return of 6.0%, according to FDD Item 19 data.

What is the SBA loan default rate for KFC?

KFC has an SBA loan default rate of 0.0% based on SBA 7(a) loan data.

Is a KFC franchise worth it?

Whether a KFC franchise is worth it depends on total startup cost, royalty burden, FDD Item 19 economics, SBA loan performance, and local operator execution. FDDIQ compares these signals against similar franchises so buyers can screen the opportunity before paying for diligence.

Scorecard Worth It?History Database Compare Distress Signals

OtherRevenue OnlyItem 19: ✓ DisclosedHigh Confidence · 100/100

KFC Franchise Cost and Profit

FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for KFC.

Based on 2025 FDD · 7 filings in corpus

FranchiseIQ Score

Moderate Risk

Composite score from 3 risk dimensions. Click for breakdown ↓

Health Score

C+

66/100

6/7 metrics · High confidence

Cost and profit at a glance

How much does a KFC franchise cost and make?

Based on FDDIQ's FDD corpus, a KFC franchise shows an estimated initial investment of $303K – $1.4M. Reported owner economics show $52K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.

Startup Cost

$303K – $1.4M

Total initial investment

Profit / Revenue

$52K

FDD Item 19 signal

Payback Signal

16.6 years

Modeled return metric

SBA Default Rate

0.0%

Loan repayment history

Compare franchise costs →Estimate franchise ROI →Check SBA default rates →Browse Other franchises →Compare similar franchises →

Quick fee read: $23K franchise fee · 14% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.

10-brand free summary pilot · report unlocked

KFC is in the free pilot, so the buyer-grade evidence is visible on this page.

Use this as a source-document screening summary: FDD investment range, royalty/ad burden, Item 19 economics, SBA repayment outcomes, unit movement, and comparable-brand context. Treat missing or low-confidence fields as diligence flags — not as blanks to ignore.

FDD-derived fieldsSBA matched where availableItem 19 labeledUnit movement checkedHigh confidence

What is unlocked

• Risk Engine rationale and sub-scores• Growth Forecast table when forecast data exists• Fee, cost, SBA, and comparable-brand context

Need another brand? Unlock the 10-report pack →Compare against the sample report

Total Investment Range$303K – $1.4M

MinMid: $868KMax

Key Metrics

Franchise Fee

$23K

Royalty Rate

9.5%

Ad Fund Rate

4.5%

Total Burden

14.0%

Royalty + ad fund

Units (2023)

-1 vs prior yr

Net Unit Growth

↓ -3.3%

Year over year

Net Closure Rate

3.2%

From FDD Item 20

Financial Analysis

Cash-on-Cash Return

6.0%

Annual estimated return

Payback Period

16.6 yrs

Break-even timeline

SBA Default Rate

0.0%

vs ~7.2% industry avg

Median Revenue

$873K

Item 19 disclosed

Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.

KFC vs. Other Average

MetricKFCOther Avg

SBA Default Rate0.0%▲7.2%

Cash-on-Cash Return6.0%▼15.5%

Total Investment$868K$250K

Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.

SBA Loan Performance

Real lending data from SBA 7(a) loans (2013-2024). 46 loans across 18 states.

Default Rate

0.0%

Low Risk

Total SBA Loans

18 states

Total Loan Volume

$49.4M

SBA 7(a) approved

Avg Loan Size

$1.1M

Per franchisee

Loan Status Breakdown

Paid in Full (65%)

Currently Active

Charged Off

Total Charged Off ($)

● Paid● Active● Charged Off

Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.

Compare

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Multi-Brand Operators · Who Runs This Brand

Harman Group

View Hub

Taylorsville, UT· 400+ locations

310 locations of this brand