CFC to open 60 outlets this year

CFC to open 60 outlets this year

JAKARTA (JP): California Fried Chicken (CFC), a local fast
food chain owned by PT Putra Sejahtera Pioneerindo (PSP Group),
plans to open about 60 outlets this year with small
entrepreneurs.

PSP's franchise division vice president, Amir Karamoy, said
yesterday the partnership was part of a retail expansion
strategy.

"The partnership program will give opportunities to small
entrepreneurs to flourish in the country's growing franchise
business," Karamoy said.

PSP, which will cooperate with the Ministry of Cooperatives
and Small Enterprises in the partnership program, will require
entrepreneurs to invest about Rp 350 million (US$144,500) to set
up a franchise, he said.

The investment requirement was low compared to foreign fast
food franchises, he said.

He said franchises like McDonald's required an initial
investment of about Rp 2 billion.

Amir said with a Rp 300 million initial investment, a CFC
franchisee could break even in between one-and-a-half years and
three years.

Amir said he was optimistic that partnerships with small
entrepreneurs would make the company more competitive, especially
during the free trade era.

PSP operates several restaurant chains including California
Donat, California Pizza, Isabento, Bang Slamet and Sapo Oriental
and 221 California Fried Chicken outlets.

Amir said CFC was also expanding its operations in Malaysia,
India, and the Middle East.

"We will start CFC outlets in those countries by next year,"
he said. (02)