30 Sep, 2026

How Much Does It Cost to Open a Food Franchise?


There's no single number here and anyone who gives you one without asking about the brand, city, or format is skipping the real answer. Food franchise costs in India span a wide range, and the Brands and Branches portfolio itself illustrates just how much that range can vary.

       Investment Tier                      Example Brands        Range
Accessible Entry   Caha   ₹1.25 – 1.5 Cr
Mid Range Dining   Qavalli, Themis Barbecue House    ~₹3 Cr
Premium Lounge/Nightlife   Romeo Lane, Baardos La Citta, Bohca, Chica    ₹4 – 4.5 Cr
Large Format Nightclub   Room XO Bar    ₹4.75 – 5 Cr+

The Real Spread: ₹1.25 Crore to ₹5 Crore+
At the accessible end, a concept like Caha requires just ₹1.25 to ₹1.5 Crore and 1,500–2,000 sq.ft a genuinely low barrier to entry. Mid range fine dining and casual formats like Qavalli and Themis Barbecue House sit around ₹3 Crore. Premium lounge, bar, and nightlife concepts Romeo Lane, Baardos La Citta, Bohca, Chica, Studio XO Bar typically land between ₹4 and ₹4.5 Crore. And large format nightclub concepts like Room XO Bar can run ₹4.75 to ₹5 Crore or more.

What That Investment Actually Covers
Regardless of brand, the number is never just a franchise fee. It includes property security deposit, interior design and civil work, kitchen and bar equipment, licensing and statutory approvals, initial inventory, staff recruitment and training, pre launch marketing, and working capital typically 3 to 6 months of operating expenses to sustain the outlet before it becomes self-sufficient.

Space Requirement Drives Cost More Than People Expect
Area requirements across the portfolio range from 1,500 sq.ft for smaller-format brands to 7,000+ sq.ft for large nightlife concepts and since interiors and rent scale with square footage, space size is often the single biggest lever on total investment.

Royalty and Agreement Terms Are Fairly Consistent
Across most Brands and Branches concepts, monthly royalty typically falls between 7% and 8%, with a standard 9 year agreement term a structure that stays consistent whether you're investing ₹1.25 Crore or ₹5 Crore.

How Much Does It Cost to Open a Food Franchise? Related blog image

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