Haldiram’s is India’s one of the biggest fast food brands, and it has been in the scene for many decades now. Sure, the start after the establishment in 1937 was slow, but right now, Haldiram is giving tough competition to even many major foreign brands in the fast food industry right here in India. And if you always wanted to make an entry into this fast food scene, then joining the Haldiram franchise family would be a good way forward. That’s why today we will be talking about Haldiram franchise cost in India, space requirements, types of franchise models, and a few other things. Alright, here we go now.
Franchise Models Offered by Haldiram
If you know just a little bit about them, well, Haldiram puts forward three different models of franchises. According to your budget, space, and goals, you can choose the one that fits in:
- Kiosk Model: This is a small stall that can be set up in busy places like malls, airports, or popular shopping areas. A limited range of products is usually offered by it. For this one, only 150-200 square feet of space is required. The initial investment would be around ₹30-50 lakhs just so you know, and yes, it is an affordable option for those who want to start small. The whole setup is easy, you just need a small space and a few staff.
- Quick Service Restaurant (QSR) Model: The QSR model is designed to get food done quickly, you know? It is kinda like a fast-food restaurant in which people can either take the food home or eat it in a place that has limited seating. With the QSR format, around 1500 square feet of space are needed. On the investment side, it would mean a sum between ₹2 and 4 crores. The QSR is definitely a bigger setup than the Kiosk thus it can offer more items on the menu. It also tends to be better placed in high-traffic locations like shopping malls.
- Casual Dining Model: This is a full-scale restaurant where customers can sit comfortably and enjoy a variety of foods from Haldiram’s extensive menu. Specifying, we would have to say this is the biggest Haldiram outlet, so a space of around 4000 to 5000 square feet is needed. It would cost around ₹3 to 6 crores to build this model. This model caters to those who want to give clients a complete dining experience. More money needs to be put in, but if placed in the right area it generates good income, that’s for sure.
Cost Breakdown for Haldiram Franchise
The cost of launching a Haldiram franchise includes a range of different components, you know? But like what? Well, here are a few examples:
- Franchise Fee: The franchise fee is the amount you pay to use the Haldiram brand and the business model. It can be anywhere between ₹3 to 10 lakhs based on the type of Haldiram franchise model you choose.
- Total Investment: The total cost, including the operation of the outlet, acquisition of chairs and tables, equipment, inventory, and other things, may reach between ₹30 lakhs and ₹5 crores, according to your own choice.
- Royalty Fee: The royalty fee is equal to 2.5% of your annual total sales while working with Haldiram. This is for continuous organizational support, marketing, and the ongoing use of the brand name, you know? And sure, this Franchise agreement will last for a period of 9 years from the time that you sign the contract with Haldiram.
Profit Potential and Return on Investment
You see when you become a Haldiram franchise, you can anticipate making a profit of about 14% to 20% of your total sales, which means that your profit will be between ₹14 and ₹20 of every ₹100 earned from sales. Sure, though, the amount of profit could vary depending on the outlet location and how well it is run. Similarly, you may also see slightly fewer earnings if your outlet is in a less crowded area.
And just so you know, most franchise owners recover their initial investment within two to four years. The duration of getting back your money mainly depends on the number of customers that are going to purchase from your shop, the proportion of expenditure that was fully handled by you, and the popularity of the place. Making good use of the best business location and running it efficiently are the major keys to making the money flow steadily out of it.