in 1952, Colonel Harland Sanders franchised his fast food chicken restaurant called Kentucky Fried Chicken. He was in his early 60's at the time, which has made his story synonymous with the idea that it's never too late to achieve greatness. Now, Kentucky Fried Chicken (KFC) (Also briefly referred to as
Kitchen Fresh Chicken
during a re-branding effort in 2010) is one of the most iconic franchises around.
They are currently ranked #13 on the QSR 50 - list of the top 50 fast food franchises in America. They are absolutely HUGE, with revenues exceeding $19 BILLION! That's a lot of chicken!
The brand is undeniably successful - but does that success guarantee that a franchisee will be able "have their chicken and eat it too"? Or, will owning a KFC franchise leave you with the same feelings of regret that you get from eating the Original Recipe? Read on to find out the truth about KFC and how it compares to Honest Abe Roofing.
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Startup Costs
KFC -
Acording to the 2018 KFC F.D.D., startup costs are some of the largest in the franchise world. The average franchisee will invest $2,000,000 just to get the doors open (which includes the $48,000 franchise fee).
HAR -
To open your Honest Abe Roofing, you should expect to invest less than $98,000 (for the first 3 months of operation). That's it. No build out, no deep fryers, no heat lamps.
Royalties & Brand Development
KFC -
5% Royalty & 4.5% Brand Development
HAR -
7% Royalty & 3% Brand Development
Revenues
KFC -
According to Item 19 of the KFC F.D.D., average revenues for franchised locations were $1.09 million. Which is higher than some of the other QSR Options. For example, the average Qdoba location generates $950,000 annually. And, The infamous Subway does $450,000. So, KFC is a step up from them, but we're not comparing QSR's.
HAR -
Item 19 in the Honest Abe Roofing F.D.D. shows revenues in 2017 of $8.1 MILLION. Or, in layman's terms - 8 TIMES more than KFC!
Lifestyle Differences
KFC -
The life of a KFC franchisee could be pretty good. They do allow you to be an absentee owner. There is also not a lot out there about unhappy franchisees. But, as with everything, the facts say a lot. What do the facts say about KFC? Well, according to their own F.D.D., over 103 locations have closed since 2015. You can read into that whatever you'd like.
HAR -
You will be overseeing the business, finding and retaining subcontractors to do the physical labor, working with your Honest Abe Roofing Marketing Team to make sure the leads are coming in, assembling a winning sales team, building wealth. Also, according to our F.D.D., no locations closed in 2015, 2016, or 2017!