How To Get Smoke House Deli Franchise: Cost, Profit

Smoke House Deli Franchise is a great European Casual Dine-in Cafe franchise in India. We will discuss the Smoke House Deli Franchise Cost, Profit, and How to get the franchise.

Smoke House Deli Franchise currently has 12+ outlets in PAN India. Most of the outlets are in Bangalore, Mumbai, and Delhi NCR.

The founder of the Smoke House Deli Cafe is Riyaaz Amlani who built many amazing Restaurant brands like Mocha Cafe, Social Offline, and Boss Burger. You can directly enroll for the Smoke House Deli Franchise by filling up the Google Form.

The USP of the Smoke House Deli Franchise is its amazing European Theme. The place is known for its delicious food, especially its Burgers, Grilled items and desserts.

My personal recommendation for location is to go with a Tier 1 city or a location in Tier 2 city where people have high spending power.

Smoke House Deli Franchise Cost

Smoke House Deli Franchise Cost ₹2,40,00,000 Rupees as an initial investment according to the business model. The Franchise Fee is ₹60,00,000 Rupees+GST. The minimum area required is 2000 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	60,00,000 Rupees
18% GST on Franchise Fee	10,80,000 Rupees
Machinery and Equipment Cost	35,00,000 Rupees
Interior, Civil Cost, and Furniture (depending upon outlet Size 3000 Rupees per Square Feet)	70,00,000 Rupees
Service Equipments	20,00,000 Rupees
Branding and Fixtures	30,00,000 Rupees
Marketing and Opening Ceremony	3,00,000 Rupees
Other Expenditure	11,20,000 Rupees
Total Investment	2,40,00,000 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 premium cafes would be a minimum of 1 Year.

Smoke House Deli Franchise Profit

We will analyze the Smoke House Deli Franchise Profit Margin with the help of an example. We will deduct all the expenses from the Gross Sales. We are assuming Sales of 18,00,000 Rupees i.e. 60,000 Rupees per day approximately.

Particulars	Amount
Gross Sales (after GST)	18,00,000 Rupees
Cost of Material @33%	(5,94,000) Rupees
Rent	(1,20,000) Rupees
Electricity and Water Supply	(30,000) Rupees
Salary of Workers and their Expenses	(1,20,000) Rupees
Royalty @7%+GST	(1,26,000) Rupees
Aggregator Commission @20% (Dineout, Nearby, Zomato, Swiggy) (for 3,00,000 Rupees Sales)	(60,000) Rupees
Marketing and Events	(40,000) Rupees
Other expenses (Admin, Maintainance and Misc)	(44,000) Rupees
Net Profit	6,66,000 Rupees

We can conclude that the Profit Margin of the Smoke House Deli Franchise is 37% for the Sales of 18,00,000 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 24 Lakh Rupees per month and the profit margin will be 43% on Sales or 10,32,000 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 near colleges, corporations, or any place where young people love to go to European Theme Restaurants.