This restaurant Sagar Gaire is one of the famous Fast food joints in India that has a good brand image and is ideal for investment for anyone who is interested in buying franchises or setting up his own restaurant business. Especially the Indo-Chinese and North Indian cuisine, this restaurant is particularly famous among young people and families in central India due to the taste and reasonable price of the food offered there. In this guide, potential industry investors will learn various aspects of the Sagar Gaire franchise including the costs of the franchise, the industry’s application process, and profit margin among other factors.
Table of Contents
About Sagar Gaire
| Brand | Sagar Gaire |
| Buisness Sector | Fast Food |
| Established Year | 1980 |
| Founded By | Sagar Jain |
| Headquarter | Gwalior, Madhya Pradesh, India |
| Menu Specialties | Indo-Chinese food, food gras, kababs, meals, North India cuisine, sandwiches, soups, etc. |
| Brand Value | Indo-Chinese food, food gras, kababs, meals, North Indian cuisine, sandwiches, soups, etc. |
| Revenue Growth in 2023 | 58.44% increase |
| Number of Outlets | 25 locations in 6 cities |
| Official Website | sagargairefastfoodcorner.com |
In the growing food processing sector in India, Sagar Gaire has differentiated itself well in a fast-food segment that enjoys customer preference. Originally as a mobile food kiosk established in the late 1980s by Sagar Jain in Bhopal the state of Madhya Pradesh, the brand soon opened up a store offering fast foods at relatively cheap and quality tastes to different clients. In many years, because of the tasteful menu and moral to quality, the Sagar Gaire group advanced to becoming a flourishing business that is among the most familiar regional fast food nations in India. For investors interested in a good and easily manageable Sagar Gaire franchise outlet in the exciting fast-food business then this is a good opportunity.
The concept, which makes Sagar Gaire unique is that it offers Indo-Chinese as well as North Indian cuisines much to the liking of the local populace with easy-going dishes like fried rice, soups, sandwiches, curries, etc. Unlike most Indian copycat fast-food joints imitating International brands, Sagar Gaire has positioned itself to make mouth-watering Indian food delightful to students, families, and anyone who loves appreciating delicious foods at unimaginable lowest prices. It is famous for using the taste of Indian food with the fast-food services business, which synchronizes with the hectic life of a customer in the urban area of India.
These local bases and an insight into the Indian palette have put Sagar Gaire at the doorstep of the fast-food cities where it operates. In a world where most players in the food industry hail from large, multinational companies, Gaire shows that local players with some cultural appeal and massive consumer loyalty can open factories in India to produce and sell food. Despite remaining spatially entrenched largely within Madhya Pradesh and neighboring areas, the chain has demonstrated the capability for expanding to other zones as demand for inexpensive and indigenous nationality fast food increases persists.
For people who are thinking of investing in businesses or for businessmen, Sagar Gaire provides an easier deal with comparatively low operation costs in comparison to the international franchise whose costs and standards of the international chains are very high. This means that when an investor decides to invest in a Sagar Gaire franchise will benefit from a brand that has already been established in the market and will be given all the support that they need to make their business thrive in this country because the franchising model has been developed to fit the Indian market.
And Sagar Gaire has a special place on the part of many Indian food lovers. Although it was started in, Bhopal, MP, the company has gradually built its reputation over the years offering delicious fast foods and Indian cuisine. Beginning as a simple food cart business, the brand has expanded over time and has turned into one of the enticing businesses for franchising with relatively high profitability in the fast-food business.
Humble and affordable prices, offer a versatile choice of dishes, Sagar Gaire targets and is suitable for the average guest. Sagar Gaire’s success story complements the rising trend of India seeking convenience and taste in food, which will be useful to the franchisees who are interested in doubling up in the fast food sector in India.
Key Details of Sagar Gaire Franchise
| Brand Name: Sagar Gaire |
| Founding Year: 1080 |
| Franchise Cost: Between 25 to 40 lakhs |
| Franchise Fees: 2 to 5 lakhs |
| Royalty Fees: 5% on Gross revenue |
| Required Space: 800 to 1500 sq ft |
| Profit per Month: Between 3 to 7 lakhs |
| ROI Period: 2 to 3 years |
| Official Website: sagargairefastfoodcorner.com |
What is the Sagar Gaire Franchise Price in India?
The cost of owning a Sagar Gaire franchise can vary based on location, setup, and initial inventory needs. Below is a breakdown of the financial requirements involved:
Initial Franchise Fee: This one-time franchise fee of approximately 2 to 5 lakhs is paid to secure the rights to open a Sagar Gaire outlet. It grants the franchisee access to the brand’s recipes, operational guidance, and marketing support. This fee is crucial for building brand consistency across franchise locations.
Setup Costs: Setting up a Sagar Gaire franchise requires around 10 to 20 lakhs including expenses related to site selection, interior design, and necessary renovations to meet brand standards. The size of the location and additional decor will determine how high setup costs can go. Ideally, a franchise location needs at least 800-1500 square feet to allow for a comfortable dining experience.
Components of Setup Costs
| Site Selection and Rental: A location in a high-footfall area can attract more customers. |
| Renovation and Construction: Design interiors that reflect the Sagar Gaire brand and provide a comfortable dining space. |
| Interior Furnishings: Set up tables, chairs, lighting, and decor that enhance the dining atmosphere. |
Equipment Costs: To cover all kitchen essentials, from stovetops and ovens to refrigerators and display units. Ensuring high-quality equipment is vital to maintaining food standards and efficiency in the kitchen. Requires 3 to 4 lakhs investment.
Common Equipment Needed:
| Kitchen Appliances: Grills, ovens, tandoors, fryers |
| Refrigeration Units: Required for storing perishables and prepared items |
| Point-of-Sale (POS) Systems: Essential for handling transactions and managing orders |
Initial Inventory: The initial inventory requires around 3 to 5 lakhs consists of food ingredients, packaging materials, and other essential items. Having a well-stocked inventory ensures smooth operations from day one and helps maintain consistency in food quality.
Marketing and Promotion: It requires 2 to 4 lakhs to attract customers, especially during the first few months, marketing is essential. Sagar Gaire supports franchisees with promotional materials and strategies to build brand awareness.
Typical Marketing Activities:
Local Advertising: Ads in newspapers, social media, and local listings
Promotional Materials: Flyers, posters, and in-store branding
Grand Opening Events: Events to draw in customers during the launch phase
Working Capital: Working capital of 5 lakhs is essential for managing daily expenses like staff salaries, utility bills, and other running costs. It acts as a cushion while the business builds up a stable customer base.
Royalty Fee: The royalty fee of approximately 5% of gross monthly revenue is a percentage of monthly sales that franchisees pay to Sagar Gaire. It covers ongoing support, brand maintenance, and access to the company’s proprietary recipes.
| Expense | Cost Range |
| Franchise Fee | Approx 2 to 5 lakhs |
| Setup Cost | 10 to 20 lakhs |
| Equipment Investment | 3 to 4 lakhs |
| Initial Inventory | 3 to 5 lakhs |
| Marketing Fee | 2 to 4 lakhs |
| Working Capital | 5 lakhs |
| Royalty Fee | Approx 5% on gross monthly sales |
| Total Investment | Between 25 to 40 lakhs |
What is the Profit Potential of Sagar Gaire Franchise?
The Sagar Gaire franchises are highly profitable joints with a relatively fast turnaround in terms of investment.
Monthly Profit range is between ₹3 lakhs – ₹7 lakhs. This profits depends on the location, customer traffic, and possible optimization of the functioning. Those in the major trade zones seem to generate better revenues; all things under proper management are considered.
Revenue Generation
Food and Beverage Sales: The major source of funds is through the sales of products in the outlet.
Bulk Orders and Catering: Sagar Gaire outlets also offer catering services This compliments its revenue.
Promotional Offers: Promotion offers such as discount offers and combination offers bring in extra sales.
Profit Margins
Gross Profit Margin: The average contribution of cost of goods sold to total sales is about 20 to 25%
Profit margins mainly depend on the control costs and high turnover.
Return on Investment (ROI) Period is 2-3 years. A franchise of Sagar Gaire normally operationalizes the business within a few years and therefore, provides a quick return on investment if managed wisely.
Policies, Standards of Requirement
To become a Sagar Gaire franchise owner, there are specific requirements to meet, as outlined below:
Eligibility Requirements
Financial Requirements: Access to capital to support first investment and continuous running of the operations.
Location: With an occupancy area of not less than 800sq.ft for high traffic areas.
Experience: Job experience in the food industry is preferred but not necessary.
Infrastructure: A site that can fit the requisite for the kitchen and dining as mentioned by Sagar Gaire.
Application Process
Visit the Sagar Gaire Franchise Website: First, spend time and go through their franchise details over the Internet.
Contact the Franchise Team: Consult for further information for the application.
Submit Application: Return the completed franchise application form affiliated with financial statements.
Site Visit and Evaluation: The members of the Sagar Gaire team will have to look at the proposed location needed for the business.
Approval and Agreement: Once signed you can proceed with the process of establishment of the franchise.
The market assessment of the Sagar Gaire franchise is as follows:
Competitive Landscape
The market of fast food in India is equally constituted of both domestic and international brands. Nevertheless, more and more such popular coffee shops are mushrooming in Kathmandu, and with slow food items, Sagar Gaire’s unique carries out some specialties and reasonable price makes it superior to some extent to these contenders.
Consumer Preferences
Consumers in India like the taste, pocket-friendly prices, and the fast delivery of the food from Sagar Gaire. It enjoys great patronage from families and young adults and it is suitable mainly for urban and suburban customers.
Growth Potential
Thus, the role of fast Food will expand in the future with regards to the growing disposable incomes, and urbanization. Sagar Gaire sits well for further expansion given the company has a local manager and tastes indicate there’s immense room for expansion in India.
Challenges and Opportunities
Challenges
| High Competition: When targeting the established brands competition becomes very hard indeed. |
| Operational Costs: Budgeting is needed for many resources such as electricity, water usage, and even staff wages. |
Opportunities
| Market Expansion: The possibility of expansion of outlets in cities throughout India. |
| Menu Innovation: The need to promote variable offers in an attempt to attract customers more than once. |
Pros and Cons of Sagar Gaire Franchise
| Pros | Cons |
|---|---|
| Established Brand Recognition: Use the following followers and customer base of Sagar Gaire: | High Initial Investment: The total cost can act as a hurdle to some investors. |
| Support from Franchisor: Training, production/marketing, and infrastructural support. | Strict Operational Standards: Sagar Gaire ensures quality and standards in the products and services offered at the company. |
| Strong Customer Base: Frequent and cheap foods appeal to many. |
Explore: McDonalds Franchise Cost in India, Profit & How to Start 2024
Domino’s Franchise Cost, Profit & How to Start in India 2024
KFC Franchise Cost in India, Profit and How to Start in 2024?
Conclusion
Franchising with Sagar Gaire is a good start towards venturing into the Indian fast food sector. That will give a good brand image, they offer their products at a cheap price, and customers are always loyal, making it a stable business opportunity. However potential franchisees should take the following steps possible before going ahead because there may be so much investment initially. Through partnering with Sagar Gaire franchisees benefit from extra protection from association with a reputable brand that is already familiar with market players.
Regarding the details of investment as well as business opportunities in becoming a Sagar Gaire franchisee interested parties should contact the Sagar Gaire franchise department.
FAQs
What could be the approximate Price to establish Sagar Gaire Franchise in India?
The total Sagar Gaire Franchise Price varies from ₹25 lakhs to ₹40 lakhs, which includes franchise fees for the initial investment, interior and other equipment and furniture among other expenses.
Is prior experience in the food industry required?
Although experience is preferred, Sagar Gaire offers training to candidates, and experience is not necessary.
What is the time required to get the return on investment for Sagar Gaire’s franchise?
In general, the ROI of franchisees in terms of investment is obtained within two to three years depending on the place and organizational management.
Does Sagar Gaire get involved in any marketing support?
Yes, Sagar Gaire helps in creating marketing content media ads, and other promotional plans.
