Why should one prefer Mumbai Chai franchisee over other choices ?

Why Us ?

A franchise model business like MCC offers a unique business opportunity. Entrepreneurs who want to start their own businesses can consider this opportunity because there is a very low investment and a high return on investment. As a result, the investment will pay off in a short period of time, making it a highly lucrative opportunity.

There are 130+ items on the MCC menu, priced between rupees ten and hundred, which are aimed at people from the middle class.

As a result of MCC’s hub & spoke operational model coupled with 360 degree support from the brand, franchisee outlets are least expensive and therefore highly profitable.

Top 5 Reasons why aspiring entrepreneurs shall consider MCC franchisee

  1. Low start-up  capital
  2. Low operational expenses
  3. High Margin & ROI
  4. Low payback period
  5. End to end brand support & training to staff

What is the Franchisee Fee?

The Franchisee shall pay a non-refundable one time sum of ₹ 3 lacs + GST as Franchisee Fee.  

What does the Franchisee Fee include?

The Franchisee fee includes getting associated with the brand and using the brand’s name as a franchisee.

What will be the validity of the Franchisee Agreement?

The agreement will be valid for 5 years,  renewable  after completion of the term. The company will charge ₹
100,000/- as renewable fee after the completion of 5 years.

How much does the store set-up costs?

For a 200 sq. ft. carpet outlet, the approximate setup cost will be ₹ 5 lacs.

What is the total investment for setting up a Mumbai Chai outlet ?

Approximate sett up cost for a 200 sq.ft. outlet is  ₹ 500,000/- .  Franchisee fee is ₹300,000/- +GST. Besides these two major costs, provision for a security deposit towards the  rented property for opening the outlet and a working capital, have to be accounted for.

What will be the profit margin on sale ?

There is a gross margin of an average 50% from sales revenue.

Does the brand charge a royalty?

No Royalty is charged by the brand.

How much time does it take to find good property? Will you assist in finding it?

After signing of the Term Sheet with a token amount of ₹25,000, it will take around 15 days to find a suitable property. Yes, we also will assist in finding the best location.

"I have my own property." Can a Mumbai Chai Cafe be opened in that property ?

Yes. The brand has a team that gives approvals after assessing the proposed location. There is a list of parameters that need to be fulfilled.

Will you give another franchisee near my location?

Generally we keep a distance of around 2km between two outlets. However subzones are decided & accordingly the stores will be placed

Are franchisees expected to actively work in store?

Yes. This is an important factor in the success of our stores.

Will I get help from Franchisor to run my business?

We will assist and guide you to run the business.

How many staff members are needed to manage the store? What are their salaries?

4 semi skilled staff will be needed. We DONT require any chef or cook. Salary ranges from ₹ 8000 to ₹ 12000.

What is the training process for a Franchisee?

The brand conducts trainings for staff and Franchisees too. Detailed training is imparted on  preparation of food and beverages. There are Standard Operating procedures laid out by the brand and the staff gets trained to run the outlet smoothly. The duration of the training usually is 5 days. Besides, franchisor provides unlimited training for staff to refresh, on new products etc. during the tenure period.

What kind of promotion or marketing activity is done at store level?

Various activities including posters, table tops, standees are kept for promotion at the store.

How does a Franchisee manage day to day procurement of raw materials to run the outlet?

3 kinds of supplies are required to run the outlet seamlessly.

1. Monthly supplies of items like teas, food items, branded items are received from the company warehouse.
2. Supplies from authorized vendors, like sauces, milk are to be procured these identified vendors.
3. Supplies from local vendors for items like vegetables and breads will be procured as per requirement.

You will have to keep one month inventory for type 1 & 2 supplies

Is the franchisee allowed to include food or beverage items other than the menu suggested by the Franchiser?

Franchisee  will need prior approval from the Company through an approval process. Unauthorized/ unapproved products will strictly not be allowed to be sold at the store. It is the Company’s discretion to approve or reject the request.

Does the company provide loan?

We don’t provide any loan. However, there are many schemes run by Public Sector banks as well as Pvt. banks. You shall directly approach them for these loan schemes.

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