Food Adda Franchise is a great cafe franchise in India. We will discuss Food Adda Franchise Cost, Profit, and How to get the franchise.
Food Adda Franchise currently has 55+ outlets PAN India. The USP of the Food Adda Franchise is its great bread and Chutneys. The franchise offers more than 125+ products under one roof.
Food Adda Franchise Cost
Food Adda Franchise Cost ₹15,00,000 Rupees as an initial investment according to the business model. The Franchise Fee is ₹4,00,000 Rupees+GST. The minimum area required is 250 Square Feets. The Royalty charged will be 7%+GST on Sales.
The bifurcation of the Cost is given below-
|Particulars||Amount (Cafe Model)|
|Franchise Fee |
(includes setup cost)
|18% GST on Franchise Fee||72,000 Rupees|
|Machinery and Kitchen Equipment Cost||4,00,000 Rupees|
|Furniture and Interior||3,00,000 Rupees|
|Branding and Signage||1,00,000 Rupees|
|Marketing and Opening Ceremony||1,00,000 Rupees|
|Advance Raw Material||1,00,000 Rupees|
|Other Expenditure||28,000 Rupees|
|Total Investment||15,00,000 Rupees|
- The Agreement will be for 5 years which will be renewed on the basis of future terms
- Training staff will be provided by the franchisor
- Raw material will be supplied at the Doorstep
- Social Media Publicity, Logistic Support and POS Support will be provided
Food Adda Franchise Profit
We will analyze the Food Adda Franchise Profit Margin with the help of an example. We will deduct all the expenses from the Gross Sales. We are assuming Sales of 3,00,000 Rupees i.e. 12,000 Rupees per day approximately.
|Gross Sales||3,60,000 Rupees|
|Cost of Material @35%||(1,26,000) Rupees|
|Electricity and Water Supply||(10,000) Rupees|
|Salary of Workers and their Expenses||(60,000) Rupees|
|Royalty @7%||(35,000) Rupees|
|Aggregator Commission @20% |
(for Sales of 1,00,000 Rupees)
|Other expenses |
(Marketing and Misc)
|Net Profit||50,000 Rupees|
We can conclude that the Profit Margin of the Food Adda Franchise is 14% for the Sales of 3,60,000 Rupees. The outlet may have less profits in the initial days but Italian food have great demand in the market.
After good Local Marketing and Branding, the Sales will increase to 5 Lakh Rupees per month and the profit margin will be 30% on Sales or 1,50,000 Rupees as Profit.
Location plays a very crucial factor in determining the success rate of a franchise along with food quality and service.
The location should have a very high footfall. It should be in the main market of that area. You can open the outlet nearby colleges, corporates, or any place where young people love to have Food.
How to get Food Adda Franchise?
To get the Food Adda Franchise, you have to fill out the Google form below then we will allot you a franchise specialist who will guide you the best.
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