# Franchise or independent: which is right for you?

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

Source: https://fizibi.com/en/guides/franchise-mi-kendi-markam-mi
Updated: 2026-09-06

## 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.

## What does building your own brand give you?

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

| | Independent | Franchise |
|---|---|---|
| Entry fee | 0 | ₺1.5m |
| Opening ramp | 12 months | 6-7 months |
| Royalty + marketing | 0 | 8% of sales |
| Supply cost | negotiated | mandated, +5-10% |
| Year-2 EBITDA margin | ~18-22% | ~12-16% |
| Payback | 24-30 months | 26-34 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.

## What should you ask 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?

## What are the red flags in a franchise 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.

## Franchise or your own brand: which fits you?

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 FIZIBI as two feasibilities (franchise on/off); let the numbers decide.