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Franchise or independent: which is right for you?

Entry fee, royalty, mandated suppliers and the economics of both paths on the same 100 m².

7 min read · Updated 2026-09-05

What a franchise gives and takes

Gives: a tested menu and processes, supply chain, brand awareness, a fast opening ramp, training. Takes: an entry fee of ₺1-3 million, 5-8% of sales as royalty plus 1-3% marketing fund, mandated suppliers (often expensive), a fit-out standard (sometimes with their contractor), limited control over menu and prices.

Your own brand

Freedom, full margin, your own suppliers; in return a learning curve, time to be discovered (a 12-month ramp) and all the risk on you. Most first-time founders in Turkey open independently; hiring a good chef or manager covers most of the "system" assurance a franchise offers.

Two economics for the same 100 m²

IndependentFranchise
Entry fee0₺1.5m
Opening ramp12 months6-7 months
Royalty + marketing08% of sales
Supply costnegotiatedmandated, +5-10%
Year-2 EBITDA margin~18-22%~12-16%
Payback24-30 months26-34 months

The franchise's fast ramp shrinks the first-year cash trough; the royalty leaves profit every year. Over five years the independent model usually earns more, but carries more risk.

Questions for the franchisor

  • Is the trademark registered (TÜRKPATENT)?
  • Real P&Ls of three comparable units and reference phone numbers?
  • Supply price list and scope of mandatory purchases?
  • Territory protection, term, renewal fee?
  • Termination conditions, penalties, non-compete duration?
  • Who pays the stamp duty on the contract?

Red flags in the contract

Growth based only on entry fees, refusal to share real unit data, no revenue reporting system, fit-out twice as expensive through the mandatory contractor, social media accounts owned by the brand, clauses banning transfer.

Decision matrix

No industry experience, sufficient budget and a need for speed: franchise. Margin, differentiation, long-term value and the ability to build an experienced team: independent. Model the same venue in FIZIB as two feasibilities (franchise on/off); let the numbers decide.

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