Frespresso Cafe Franchise is one of the best most affordable tea franchises in India. We will discuss the Frespresso Cafe Franchise Cost, Profit, and How to get the franchise.
Started in 2019, the Frespresso Cafe Franchise currently has 10+ outlets PAN India. You can directly enroll for the Frespresso Cafe Franchise by filling up the Google Form.
Table of Contents
Frespresso Cafe Franchise Cost
Frespresso Cafe Franchise Cost ₹5,00,000 Rupees as an initial investment. The Franchise Fee is ₹1,50,000 Rupees+GST. The minimum area required is 150 Square Feets. The Royalty charged will be 5% on Sales.
The bifurcation of the Cost is given below-
| Particulars | Amount (Premium Model) |
| Franchise Fee | 1,50,000 Rupees |
| 18% GST on Franchise Fee | 27,000 Rupees |
| Setup Cost | 1,50,000 Rupees |
| Interior, Furniture and Civil Work (depending upon outlet Size) | 1,00,000 Rupees |
| Advance Raw Material | 53,000 Rupees |
| Other Expenditure (POS, Licenses, Misc) | 20,000 Rupees |
| Total Investment | 5,00,000 Rupees |
- The franchise agreement will be for 5 Years. There will be no renewal charges.
- The franchisor provides training but recruitment should be done locally. 2 People will be required initially
- Atleast 15 Days will be needed to start the outlet after the Location is finalized and the Franchise Agreement is done
- Raw Material will be provided by the franchisor
- Food, GST, and Shop License is required.
- The ROI will be 1.5 Years
Frespresso Cafe Franchise Profit
We will analyze Frespresso Cafe 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. 10,000 Rupees per day.
| Particulars | Amount (Cafe Model) |
| Gross Sales | 3,00,000 Rupees |
| Cost of Material @40% | (1,20,000) Rupees |
| Rent | (45,000) Rupees |
| Electricity and Water Supply | (10,000) Rupees |
| Salary of Workers and their Expenses | (40,000) Rupees |
| Royalty @5% | (15,000) Rupees |
| Other expenses (Marketing, Aggregator, Misc) | (10,000) Rupees |
| Net Profit | 60,000 Rupees |
We can conclude that the Profit Margin of Frespresso Cafe Franchise is 20% for the Sales of 3,00,000 Rupees. The outlet may have less profits in the initial days but Cafe has great demand in the market.
After good Local Marketing and Branding, the Sales will increase to 4 Lakh Rupees per month and the profit margin will be 27% on Sales or 1,08,000 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, Highways, Malls or any place where young people love to have Cafe.
How to Get Frespresso Cafe Franchise?
To get the Frespresso Cafe Franchise, you have to fill out the Google form below then we will allot you a franchise specialist who will best guide you.
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