Kedai Ayamas eatery operator Kara Holdings is looking to establish 100 outlets within four years through its new franchising program, predominantly within peninsular Malaysia.

The move into franchising should elevate the company’s finances by 10 per cent this year to about RM40 million (US$9.85 million). Nine franchises have opened so far, with 20 more targeted within the year.

“As Johor Corp’s wholly owned subsidiary, we complement the KFC business in terms of maximising the use and distribution of poultry products at the farm,” said Kara’s executive director Abd Rahman Md Dawi. “The poultry-relating business has always been a high-demand market for the food and beverage sector in Malaysia.

“Last year, we registered a revenue of RM35 million [$8.6 million]”, he added. “With the additional franchise business, hopefully, it will amplify our revenue this year, coupled with Kara’s technological adoption of food delivery services such as Foodpanda and Grab-Food.”

According to Dawi, the company is open to franchisee acquisition of Kara’s 40 corporate outlets. Six of the nine new franchises were acquired from the firm.
“There are certain criteria that will be considered for us to sell our own shops, but we encourage the newcomers to open a new shop,” he said.

Kara’s franchising program costs between RM100,000 and RM400,000 ($24,600–98,450), and includes management and operational training sessions.