Jumbo king is one of the largest chain of homegrown Quick Service restaurants in Western India. will discuss Jumbo King Franchise Cost, Profit, Review, and How to Start the Franchise.
Started in 2001, Jumbo King Franchise now has 115+ outlets in Mumbai, New Bombay, Thane, Delhi, Lucknow, and Hyderabad.
The USP of Jumbo King Franchise is their Huge and Delicious Burgers. Apart from Burgers, their menu consists of Fries, Shakes, Softy, and Soft Drinks.
You can directly enroll for the Jumbo King Franchise by filling up the Google Form.
Jumbo King Franchise Cost
Jumbo King Franchise cost 25,00,000-30,00,000 Rupees as an Initial Investment. The minimum area required is 250 Square Feets and the cost will vary according to the size of the store. The royalty charges are 10% on Sales.
The breakup of the cost is given below-
|Franchise Fee||3,00,000 Rupees|
|GST on Franchise Fee||54,000 Rupees|
|Complete Store Setup||20,00,000 Rupees|
|GST on Store Setup||1,80,000 Rupees|
|Royalty Deposit (Refundable after 90 days)||50,000 Rupees|
|Other Expenditure||26,000 Rupees|
|Total Investment||27,00,000 Rupees|
- The Franchise Agreement will be of 5 years. It will be renewed for 10,000 Rupees after every 5 years which is valid for 20 years.
- Complete Material will be provided including all raw materials, sauces, chutneys, raw vegetables, frozen vegetables, and all other food items whether in liquid or otherwise required to prepare beverages offered by Jumboking from time to time at your doorstep.
- The said Royalty shall be payable by the Franchisee on weekly basis as Thursday day. However, Franchisor has the option to change the date in future and the same will be communicated to the franchise.
- In the event of Franchisee failing to pay the Royalty in time as specified above, the Franchisor shall be entitled to charge interest @ 18% per annum.
- The Franchisor shall provide for initial training to the Franchise. The Franchisee or its representative shall, before opening the Outlet, successfully complete the training program. If the Franchisee or its representative fails to complete the program successfully at first, then he shall be entitled to a 2nd attempt to complete the training program successfully.
- Full Support will be provided by the company
Jumbo King Franchise Profit
We will analyze Jumbo King Franchise Profit Margin with the help of an example. We will deduct all the expenses from the Gross Sales. We are assuming Sales of 5,00,000 Rupees i.e. 20,000 Rupees per day.
|Particulars||Amount per Month|
|Gross Sales||6,00,000 Rupees|
|Cost of Material @40%||(2,40,000) Rupees|
|Salary of Workers||(60,000) Rupees|
|Electricity and Water Supply||(25,000) Rupees|
|Aggregator Commission||(60,000) Rupees|
|Royalty @11.8%||(70,000) Rupees|
|Other Expenses||(25,000) Rupees|
|Net Profit||0 (Break-Even)|
We can conclude that the Profit Margin of the Jumbo King Franchise is no profit for the Sales of 6 Lakh Rupees. The outlet may suffer losses in the initial days but the brand will recover it eventually after some time.
After good Local Marketing and Branding, the Sales will increase to 8 Lakh Rupees per month and the profit margin will be 10% on Sales.
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. A corner outlet is the most preferable option.
You can open the outlet nearby colleges, corporates, or any place where young people love to have Burgers.
Jumbo King Franchise Review
When it comes to Burger, People always think about Mcdonalds or Burger King. I personally liked Jumbo King more than Burger King in terms of Taste and Quantity.
The Franchise Fee is very affordable according to the brand name of the franchise. The company is very transparent regarding its Investments so there will be no troubles regarding hidden charges.
One of the major drawbacks of the Jumbo King Franchise is the royalty charges are extremely high, 10% of your income will direct go to Jumbo King. 5% is still acceptable but 10% is way too high. After GST, the Royalty will be almost 12%.
Jumbo King is one of the fastest-growing franchise chains and is highly recommended for high visibility Areas.
The POS System (Billing System) of Jumbo King is amazing-
You can see how properly the material is being manufactured-
How to Get Jumbo King Franchise?
To get the Jumbo King 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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