
Investment
Investing your hard earned savings in a franchised restaurant can be a big commitment. Many franchisees want to know what the overall investment is going to be before starting the franchise. This can prove to be a difficult task for anyone as there are many variables that affect how much the investment may be. For example
- Are you in a developed or un-developed country
- Rental Costs
- Term of lease
- Is your location stand alone
- mall or retail complex
- Food court
- What does the landlord provide
- Air conditioning and M&E
- Shell site only
- What are the labour costs for employees
- Cost to Build in your Area
These are just a few of the things that make each investment location different
| For example a Mango Tree could be buile for approximately | |
| Un-Developed Country | Developed Country |
| $350,000 to $450,000 USD | $1,000,000 to $1,500,000 USD |
| You may say why such a difference. For one in a devolped country cost of labour is twice the cost, therefore affecting over constuction costs and operational labour costs.
That siad however it is all relative : What we mean by that is the price that you can charge for the food and beverages served. |
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| Un-Developed Country | Developed Country |
| $10 - $20 USD per person | $25 - $50USD per person |
| Return on Investment (ROI)
In our experiences a realistic ROI is anywhere from 18-36 months. Again, many variables can affect this: economy of your territory, popularity of the food, class A or class B location, how effectively you follow the system and marketing plan. Always before starting any project we conduct a feasibility study to assess this for you! |
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