How Does Restaurant Franchising Work? Here’s What You Need to Know

Ever wanted to open your own restaurant? You’re not alone. A lot of entrepreneurs dream of running a food spot that serves up their favorite dishes. For many aspiring restaurant owners, franchising is a practical option that offers structure, support, and a streamlined path to success.

So, how does franchising work? It’s simpler than you might think — especially when you have a brand like Bonchon backing you up. Here’s what you need to know to step into the world of food franchising.

What Exactly Is Franchising?

Franchising is a business model where you invest in a brand with a proven track record. In return, you get the tools, training, and support to open a location (or several!) of your own under the brand name.

In the restaurant industry, that means you don’t need to stress about building the perfect menu, designing your own logo, or figuring out your operations through trial and error. Instead, you benefit from a proven franchise system.

How Does Food Franchising Work?

You don’t need an MBA to understand how franchising works. Here’s what to expect when you decide to invest in a restaurant franchise like Bonchon.

Step 1: Do Your Research

Start by thinking about your goals. What kind of restaurant franchise is right for you? Taking time to ask yourself the right questions before investing in a franchise can help you find a brand that aligns with your vision. Our advice? Choose a franchise with strong brand recognition, franchisee support, and a menu that you genuinely love. No two Bonchon owners are exactly alike, but they all have one thing in common: they go crazy for our Korean fried chicken.

Step 2: Review the Franchise Disclosure Document (FDD)

The FDD lays out everything you need to know about going into business with your chosen franchise. From costs and royalties to franchisee support and training, it should answer many of your questions.

It’s important to find a franchise that is transparent about its process. At Bonchon, the path to ownership includes frequent touchpoints with our franchise development team — plus a dedicated review of the FDD to ensure your questions are answered.

Step 3: Figure Out Franchise Financing

Most people don’t pay for a franchise restaurant entirely out of pocket. That’s where SBA loans, traditional bank financing, or private investors come in. The right funding option will depend on your financial situation, credit history, and long-term business goals. Your franchisor can help connect you with financing partners and walk you through what the initial investment typically looks like.

Step 4: Secure Your Restaurant Real Estate

Once you’ve secured financing, it’s time to sign the franchise agreement and lock in your location. This is when you’ll really begin to see your restaurant business come to life.

At Bonchon, we work closely with every franchisee as they navigate the site selection process. We also offer multiple restaurant concepts, so you can choose the setup that matches your market and goals.

Step 5: Get Trained

It’s time to learn the ropes of running your own restaurant! Comprehensive franchise training will cover day-to-day operations, hiring, customer service, marketing, and more. Ask about the level of training and support offered by your chosen franchise early on — it helps to have a dedicated team that’s with you every step of the way.

Step 6: Open Your Doors

With training under your belt and your restaurant ready to launch, it’s time to open your doors. But just because your food franchise is up and running doesn’t mean you’re on your own. The best franchisors provide ongoing support when you need it. From day one, we offer hands-on guidance to help with local promotions, seasonal marketing, store operations, and more.

Restaurant Franchising FAQs

How profitable is a restaurant franchise?

There’s no magic number. The profitability of your food franchise will depend on the success of the brand, market demand, and how well you manage it. Luckily, franchise restaurants like Bonchon come with built-in demand, thanks to years of developing fan-favorite flavors.

The FDD should also provide insight into the earning potential of your chosen franchise. For example, Bonchon’s FDD reports an Average Unit Volume (AUV) of $2,462,634 for the highest-performing 25% of locations* — but your restaurant’s results can vary due to a variety of factors.

Do restaurant franchise owners earn a salary?

Most restaurant franchise owners don’t earn a traditional salary. Instead, your income will come through business profits. Once your expenses — that includes food and labor costs, rent, marketing costs, royalties, and other franchise fees — are covered, you can pay yourself from what remains.

Can you make a living owning a restaurant franchise?

Absolutely! And many people do. It all depends on your commitment to the business, demand in your market, and the strength of the franchise brand. Bonchon franchisees often operate multiple locations, scaling their business to build long-term income.

Do franchise owners have to work?

Like any successful business owner, you can expect to put a lot of work into your restaurant — especially early on. Bonchon is not a passive ownership model. From managing staff to ensuring exceptional customer service, our franchisees take an active role in the daily operations of their restaurant locations. But being hands-on doesn’t have to mean being bogged down. For those who enjoy the pace and purpose of running a restaurant, the day-to-day can feel incredibly rewarding.

Is it better to start my own restaurant or buy a franchise?

That depends on your risk tolerance. Starting from scratch gives you complete control over your business, but it also comes with risks. There’s no guarantee that the time and money you put in to building your own brand will pay off, and you’ll miss out on the head start that comes from inheriting a proven business model. When you invest in a restaurant franchise like Bonchon, you benefit from built-in brand recognition and support to help you grow faster.

A Restaurant Franchise That Works for You

You already love our restaurants. Now, imagine running one (or more!) of your own.

Bonchon isn’t just another fried chicken restaurant. It’s a global brand built on bold flavors, exceptional quality, and a commitment to stellar service. When you join our franchise family, you’re joining a system that’s already been fine-tuned for success.

How does franchising with us work? Here’s what you’ll get:

An iconic restaurant brand with loyal fans around the world
Proven recipes, systems, and day-to-day tools that work
Comprehensive training and onboarding resources
Marketing support and a scalable business model

We make it easy for new franchisees to get started. And we stay by your side as you grow. Ready to turn your favorite restaurant into your next business venture? Let’s talk.

*These figures reflect the average gross revenue performance (by quartile) for 123 of the 143 Bonchon franchised restaurants that were in operation from January 1, 2024, through December 31, 2024 (each, a “matured franchised restaurant”), as published in Item 19 of our Franchise Disclosure Document issued on March 5, 2025 (as amended March 13, 2025). The footnotes for each of the AUV figures appear at the bottom of this page. All of the footnotes for the AUV disclosure (including the one above) should appear at the bottom of this page.

As of December 31, 2024, 30 of the 123 matured franchised restaurants performed in the highest 25%. Of those, 13 (or 43%) met or exceeded the average annual gross revenues, with the highest annual gross revenues earned being $3,737,313 and the lowest being $1,818,731.
As of December 31, 2024, 31 of the 123 matured franchised restaurants performed in the second highest 25%. Of those, 13 (or 42%) met or exceeded the average annual gross revenues, with the highest annual gross revenues earned being $1,771,127 and the lowest being $1,374,960.
As of December 31, 2024, 31 of the 123 matured franchised restaurants performed in the third highest 25%. Of those, 16 (or 52%) met or exceeded the average annual gross revenues, with the highest annual gross revenues earned being $1,358,173 and the lowest being $1,049,155.
As of December 31, 2024, 31 of the 123 matured franchised restaurants performed in the lowest 25%. Of those, 18 (or 58%) met or exceeded the average annual gross revenues, with the highest annual gross revenues earned being $1,025,253 and the lowest being $308,574.