How To Get Junkyard Cafe Franchise: Cost & Profit

Junkyard Cafe Franchise is a great club franchise in India. We will discuss Junkyard Cafe Franchise Cost, Profit, and How to get the franchise.

It is a Homely cafe with Indian, Lebanese, Italian, Mexican, Lebanese & Thai staples on the menu. Junkyard Cafe Franchise currently has 10+ outlets PAN India.

The USP of the Junkyard Cafe Franchise is its great theme with an amazing cafe experience. The Junkyard Cafe theme is made of everything best out of waste.

You can directly enroll for the Junkyard Cafe Franchise by filling up the Google Form.

Junkyard Cafe Franchise Cost

Junkyard Cafe Franchise Cost ₹2,50,00,000 Rupees as an initial investment according to the business model. The Franchise Fee is ₹50,00,000 Rupees+GST. The minimum area required is 5000 Square Feets. The Royalty charged will be 7%+GST on Sales.

The bifurcation of the Cost is given below-

Particulars	Amount (Express Model)
Franchise Fee	50,00,000 Rupees
18% GST on Franchise Fee	9,00,000 Rupees
Machinery and Equipment Cost	30,00,000 Rupees
Interior, Civil Cost, and Furniture (depending upon outlet Size 3000 Rupees per Square Feet)	1,00,00,000 Rupees
Service Equipments	10,00,000 Rupees
Branding and Fixtures	50,00,000 Rupees
Marketing and Opening Ceremony	1,00,000 Rupees
Other Expenditure	10,00,000 Rupees
Total Investment	2,50,00,000 Rupees

The franchisor will provide all the operational expertise but all cost for Implementation & running will be borne by the Franchisee.
The franchisor will provide all the marketing & branding support but all cost for Implementation & running will be borne by the Franchisee.
The concept of the restaurant & design will be taken care of by the franchisee but the contractual work & implantation on site will be taken care of by the franchisee.
Breakeven of the F & B business of First fiddle would be minimum of 1 Year.

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Junkyard Cafe Franchise Profit

We will analyze the Junkyard 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 12,00,000 Rupees i.e. 40,000 Rupees per day approximately.

Particulars	Amount
Gross Sales (after GST)	12,00,000 Rupees
Cost of Material @30%	(3,60,000) Rupees
Rent	(1,10,000) Rupees
Electricity and Water Supply	(40,000) Rupees
Salary of Workers and their Expenses	(1,00,000) Rupees
Royalty @7%+GST	(94,000) Rupees
Aggregator Commission @20% (Dineout, Nearby, Zomato, Swiggy) (for 2,50,000 Rupees Sales)	(50,000) Rupees
Marketing and Events	(70,000) Rupees
Other expenses (Admin, Maintainance and Misc)	(76,000) Rupees
Net Profit	3,00,000 Rupees

We can conclude that the Profit Margin of the Junkyard Cafe Franchise is 25% for the Sales of 12,00,000 Rupees. The outlet may have less profits in the initial days but Clubs have great demand in the market.

After good Local Marketing and Branding, the Sales will increase to 15 Lakh Rupees per month and the profit margin will be 30% on Sales or 4,50,000 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 go to Clubs.