FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for KFC.
Based on 2025 FDD · 10 filings in corpus
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a KFC franchise shows an estimated initial investment of $1.1M – $3.8M. Reported owner economics show $135K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $45K franchise fee · 9.5% 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
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.
KFC requires a total initial investment of $1.1M to $3.8M (midpoint approximately $2.4M), with an initial franchise fee of $45K. The ongoing fee burden is 9.5% (5% royalty plus 4.5% advertising fund). This is below the industry average of approximately 15.5%, leaving more margin for the operator.
According to Item 19 of the 2025 FDD, the median revenue for KFC locations is $1.3M. The implied franchisee EBITDA is approximately $135K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 5.6% with a payback period of approximately 17.9 years.
KFC operates approximately 34 franchised units. The SBA 7(a) loan default rate of 0.0% is well below the industry average of approximately 7.2%, indicating strong franchisee financial outcomes.
Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.
Analysis based on 2025 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Real lending data from SBA 7(a) loans (2013-2024). 46 loans across 18 states.
Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.
KFC franchise costs $302,825-$1.4M to open with a $22,500 franchise fee. 10% royalties.
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