American pizza franchiser Papa John's has announced a chartered franchise in China, saying that investors can run a Papa John's store with RMB2.5 million initiation fee.
Papa John's promises that it will try to guarantee the investors' return on investment and will consider buying back those stores that are poorly run.
Papa John's has more than 3000 stores around the world, and four-fifths of them are franchised stores.
Chu Liansheng, general manager of Papa John's Shanghai Company, says that Papa John's has 30 company-owned restaurants in China. It plans to open at least two new stores each month, making its total stores reach 200 by 2013 with franchised stores limited to about 100.