Are you looking to start your business in the fast-food industry? Have you ever thought about starting your business with a well-known brand? Look no further. Burger Singh is offering franchise opportunities for aspiring entrepreneurs in Four different models. Burger Singh Franchise: Cost vs Profit, Is It the Right Investment for You? In this, we will discuss Burger Singh: what is the required investment to start a franchise, how much profit can you make, what are the requirements, how to get a franchise, and whether a Burger Singh franchise is the right investment for you.
Table of Contents
About Burger Singh
Burger Singh, an Indian fast-food brand, was started by friends Kabir Jeet Singh and Nitin Rana in 2014 in Gurgaon, Haryana, India. While studying at the University of Birmingham, Kabir Jeet Singh worked part-time at a burger joint. He thought the burgers were boring, so he decided to make them more exciting by trying out Indian flavors in his patties. His flavorful creations became popular among his friends, leading to him being nicknamed “Burger Singh.
The first Burger Singh restaurant opened at Suncity Business Towers in Gurgaon. Within a year, two more outlets popped up in Gurgaon. From there, the brand expanded its presence to Delhi, NCR, and eventually to North and West India.
Burger Singh’s founders aimed to offer affordable yet substantial burgers infused with Indian spices and flavors. Burger Singh has more than 175+ outlets in over 60 cities across India, including Haryana, Gurgaon, Delhi, Uttar Pradesh, Maharashtra, and Pune. The Indian burger chain plans to open 250 new outlets in 2024, including 20 in south India and 30 in the north and center of the country.
Key Details of Burger Singh Franchise
- Brand Name: Burger Singh
- Industry: Fast Food
- Number of Outlets: 175+ over 60 cities
- Franchise cost: between 15 to 64 lakhs
- Net Profit Margin: 18 to 25%
- Space required: 100 to 1000 Sq ft
- Royalty Fees: 2 to 6%
- Franchise Agreement: 5 years
Burger Singh Franchise: How much does it cost?
Burger Singh franchise investment depends on which franchise model you choose. Burger Singh offers four franchise models. Those are Express, Food Court, Dine-In, and Drive-Thru.
Franchise Fee: The franchise fee is the initial amount you pay to become a franchisee. For Burger Singh. It’s essential to purchase the rights to open a franchise store and your ticket to join the franchise network and benefit from its brand recognition, operational support, and established business model.
Estimated Setup Cost: The cost of setting up the franchise outlet varies based on which franchise model you choose. This includes various expenses like interior design, equipment, furniture, signage, and other essentials.
Royalty Fee: Franchisees need to pay a royalty fee of 2 to 6% of the total revenue to the brand. This fee is for marketing, advertising, and brand development support from the brand.
Administration fees: As a franchisee of Burger Singh, you also need to pay administration fees to the brand to provide ongoing support and services to franchisees.
Working Capital: The franchisee must allocate a certain amount as working capital to cover day-to-day operational expenses to manage inventory, pay staff, and handle other immediate costs as your business operates.
Franchise Agreement: The franchise agreement outlines the terms and conditions of your partnership with Burger Singh. The agreement’s duration is up to 5 years with a renewable option. During this period, you’ll operate under their brand, follow their guidelines, and benefit from their support.
Total Investment: The total Burger Singh franchise cost from setting up the franchise outlet until you start making a profit from it. This includes the franchise fee, setup cost, working capital, initial investment, and other expenses.
Burger Singh Express Franchise Model
The Burger Singh Express franchise model offers an exciting opportunity for aspiring entrepreneurs. The low investment of 13 to 15 lakhs includes a franchisee fee of 3 lakhs to purchase the rights to open a Burger Singh franchise. Setting up the franchise requires 10.3 lakhs. As a franchisee, you need to pay monthly 2% royalty fees to the brand.
| Franchise Fee | 3 lakh |
| Estimated setup cost | 10.3 lakh |
| Royalty Fee | 2% |
| Working Capital | 2 lakh |
| Franchise Agreement | 5 years |
| Total Investment | 13 to 15 lakh |
Burger Singh Food Court Franchise Model
Burger Singh Food Court Franchise Model requires a total investment of 36 lakhs. To acquire the franchise rights to start your food business, you need to pay 8 lakh as a franchisee fee to the brand. Setting up the franchise outlet requires 28.5 lakhs. Burger Singh charges monthly 6% royalty fees for marketing, advertising, etc.
| Franchise Fee | 8 lakh |
| Estimated setup cost | 28.5 lakh |
| Royalty Fee | 6% |
| Administration Fees | 2% |
| Working Capital | 5 lakh |
| Franchise Agreement | 5 years |
| Total Investment | 36.5 lakh |
Burger Singh Dine-In Franchise Model
The Burger Singh Dine-In Franchise Model requires a mid-range investment of Rs 44 lakhs compared to other models. This investment includes a franchisee fee of Rs 8 lakh and an estimated setup cost of Rs 36 lakh. Burger Singh brand charges a 6% royalty fee for the franchisee for marketing, branding, and local advertising.
| Franchise Fee | 8 lakh |
| Estimated setup cost | 36 lakh |
| Royalty Fee | 6% |
| Administration Fees | 2% |
| Working Capital | 5 lakh |
| Franchise Agreement | 5 years |
| Total Investment | 44 lakh |
Burger Singh Drive-Thru Franchise Model
The Burger Singh Drive-Thru Franchise Model requires the highest investment in Burger Singh franchise models. The total investment required to open a drive-through franchise model is 64 lakhs, including franchise fees of 8 lakhs and an estimated setup cost of 56 lakhs. Also, the brand charges 8% royalty fees for branding and marketing and 2% administration fees for ongoing support of the franchise.
| Franchise Fee | 8 lakh |
| Estimated setup cost | 56 lakh |
| Royalty Fee | 6% |
| Administration Fees | 2% |
| Working Capital | 1 to 2 lakh |
| Franchise Agreement | 5 years |
| Total Investment | 64 lakhs |
Is Investing in a Burger Singh Franchise the Smartest Move?
Burger Singh franchise profit margins vary based on the franchise models. Here are the main factors you need to consider before understanding profit:
Total Investment: The initial investment required to start a Burger Singh franchise Includes franchise fees, working capital, set-up costs, initial inventory, and others.
Net Profit Margin: Burger Singh outlets offer an average net profit margin of 18% to 25%, which is different for each franchise model. This means that after deducting all expenses, you can retain this much profit.
Monthly Earning Potential: As a franchisee of Burger Singh, you can earn 1.5 to 4.1 lakhs per month. It depends on which franchise model you have chosen. This figure reflects the revenue you can generate every month.
Annual Return: Burger Singh aims to provide a return on investment of up to 50% annually.
Return on Investment Period: Franchisees can recover their initial investment within 12 months. This is relatively short compared to other fast-food franchises.
Burger Singh Express Franchise Model Profit
| Total investment | 13 to 15 lakhs |
| Net profit margin | 18% |
| Monthly earning potential | 1.5 lakh |
| Annual Return | 45 to 50% |
| Return on Investment Period | 12 months |
Burger Singh Food Court Franchise Model Profit
| Total investment | 36.5 lakhs |
| Net profit margin | 22.3% |
| Monthly earning potential | 2 lakh |
| Annual Return | 26.9% |
| Return on Investment | 14 months |
Burger Singh Dine-In Franchise Model Profit
| Total investment | 44 lakh |
| Net profit margin | 23.2% |
| Monthly earning potential | 2.4 lakh |
| Annual Return | 27.2% |
| Return on Investment | 13 months |
Burger Singh Drive-Thru Franchise Model Profit
| Total investment | 64 lakhs |
| Net profit margin | 25.2% |
| Monthly earning potential | 4.1 lakh |
| Annual Return | 31% |
| Return on Investment | 12 months |
Investing in a Burger Singh franchise is the smartest move considering the exiting earnings per month of 1.5 lakh to 4.1 lakh, with an impressive net profit margin of up to 25%. As a franchisee, you can recover the initial investment within just 1 year, which is different from other fast-food franchises.
Eligibility Criteria to get Burger King Franchise
Minimum Age Requirement: Applicants must be at least 21 years old to apply for the Burger King franchise. This much age is required to get the maturity and responsibility to run the Burger Singh franchise.
Educational Qualification: The applicant must have a PUC or equivalent educational qualification. A basic educational background helps in understanding business operations and management.
Industry Experience: The applicant must have 2 to 3 years prior experience in the food or retail industry and should be familiar with industry practices, customer preferences, and operational challenges.
Financial Stability: The financial stability of the applicant is essential. Need to have a minimum of 15 lakhs investment to acquire one of the franchise models.
Entrepreneurial Skills: Franchisees need strong entrepreneurial skills like strategic thinking, decision-making, and effective customer relations.
Long-Term Commitment: Franchisees must have a long-term commitment to the success and growth of the franchise. Once you become a franchisee, it will take up to 5 years.
Requirements to Open Franchise
If you want to open a Burger Singh franchise in your area, you need to consider the below requirements.
- Financial Eligibility: The franchisee must be capable of investing at least Rs 20–30 lakhs to start the Burger Singh franchise. You have to ensure that you have the necessary capital to cover startup costs and operational expenses.
- Space Requirement: Franchisees need to have an area of 100 square feet (minimum) for a small franchise outlet. The franchise can be set up in a food court, Express, dine-in space, or drive-thru.
- Staffing: The franchisee should hire at least five staff members to run a small outlet. The hired staff needs to be trained under Burger Singh.
- Business Experience: The past 2 to 3 years of business experience would be advantageous. Familiarity with the food industry and customer service is beneficial.
- Training: Franchisees and staff are both required to undergo proper training provided by the Burger Singh team.
Required Documents
To open a Burger Singh franchise, you need the following documents:
- Food License: Franchisees need to obtain the necessary food licenses, like FSSAI and others.
- Pan Card or Aadhar Card of Owner: You need to submit government-issued personal documents for your identification purposes.
- Bank Passbook: You need to submit proof of financial stability and bank account details.
- GST Certificate: Registering for Goods and Services Tax (GST) is required to start any business.
- Franchise Agreement: The franchisee needs to sign the franchise agreement with Burger Singh.
- Passport-size photos: Provide recent passport-sized photos.
- Address Proof of Store: Documentation showing the location of your proposed franchise outlet.
- 360-degree view or video of the proposed location: a visual representation of the site.
- NOC or Other Requested Documents: Any additional documents requested by Burger Singh.
Suitable Location and Required Area
When considering a suitable location to open a Burger Singh franchise, these are factors you need to consider.
Heavy Footfall Area: The franchisee needs to choose a location with high footfall. High-visibility locations to attract people and drive more potential customers. Locations like high streets, malls, or commercial complexes are ideal.
Catering to More Than 30 People: The franchisee’s chosen location should be able to accommodate or gather more than 20 to 30 people at once.
Tier 2 and Tier 3 Cities: If you choose Tier 2 and Tier 3 cities, they are considered the perfect locations to open the Burger Singh franchise. These locations are often suitable for all franchise models. These cities always offer a balance between demand and operational costs.
Required Area To Open Burger Singh Franchise
Setting up a Burger Singh franchise requires a minimum of 100 sq ft and a maximum of 1000 sq ft of area.
| Franchise Models | Required Area |
|---|---|
| Express Model | 100 sq ft |
| Food Court Model | 200 sq ft |
| Dine-In Model | 800+ sq ft |
| Drive-Thru Model | 1000+ sq ft |
What kind of Support franchisee can expect from Burger Singh?
When you become a Burger Singh franchisee, you can expect comprehensive support from the brand. Here are the key areas where Burger Singh assists:
Pre-Opening Support:
Location Identification: Assistance in finding the right location for your franchise outlet.
Rental Lease Negotiations: Guidance during lease negotiations to secure a favorable rental agreement.
Project Onboarding: Support throughout the setup process, from planning to execution.
Licensing Support:
The Burger Singh team helps the franchisee obtain the necessary licenses and permits required to operate your franchise.
Marketing and Online Presence:
Social Media Management: The Burger Singh team oversees your online presence on platforms like social media, YouTube, and Google.
Zomato and Swiggy Management: They handle your presence on food delivery platforms.
Training and Operations:
Cooking Training: Training for food preparation and quality standards.
Food Presentation Training: Ensuring consistent and appealing food presentation.
Relationship Manager Support: A dedicated manager to assist with day-to-day operations.
Business Management Software: Access to tools and software for efficient business management.
How to get a Burger Singh franchise?
Step-by-step explanation: To apply for the Burger Singh franchise, follow these simple steps:
- Visit the official website: The first step an applicant needs to take is to visit the official website of Burger Singh and explore the information about the brand and its requirements on the website.
- Navigate to “Franchise”: Look for the “franchise” section on Burger Singh’s official website for the menu bar. Click on the franchise section and explore the detailed information regarding the franchise investment, profit, required area, and other details.
- Fill out the application form: After reading the franchise details, scroll down below and you will get the franchise application form. Fill out the franchise application form with your required personnel, business, and location details.
- Submit the form: You need to double-check the application form to check the accuracy of the filled-in details. Then submit the application form.
- Wait for a Response: After applying, Burger Singh’s franchise team may take a few days or a few weeks to review your application and get in touch with you. You need to wait patiently.
Burger Singh Franchise: Is It the Right Investment for You?
Pro’s
Established Brand: Burger Singh is a well-known brand with a unique positioning. It currently operates 175+ outlets in 60+ cities and has a loyal customer base.
Comprehensive Training: As a franchisee, you and your staff will receive thorough training and ongoing support from the franchisor.
Menu Innovation: Burger Singh offers a fusion concept with a differentiated menu based on the location and provides customers with a different experience.
Decent Profit Margin: Burger Singh offers a decent net profit margin of 18 to 25%.
Different Franchise Models: Burger King is offering four franchise models. Entrepreneurs are free to choose based on their interests, investments, location, and area.
Quick ROI: Whichever franchise model you choose within 12 months, the franchisee can return the initial investment you spent on starting the franchise.
Reasonable Royalty fees: Burger Singh does not charge a huge royalty fee for branding and support. The franchisee needs to pay 2–6% based on which franchise model they choose.
Cons
Initial Investment: To start Burger Singh, it requires a huge initial investment of between 15 lakh and 64 lakhs. Also provides a decent net profit margin.
Operational Challenges: Managing day-to-day operations, staffing, and quality control can be demanding.
Market Competition: The fast-food industry is competitive, and staying ahead requires continuous effort.
You May Like
How to Start Monginis Franchise? Cost, Profit & Apply in 2024
How Affordable is Opening a Haldiram Franchise in India? in 2024
Is Mio Amore Franchise the Right Choice? Cost, Profit in 2024
Hira Sweets Franchise Cost Breakdown & Profit Potential in 2024
Conclusion
In conclusion, Burger Singh Franchise: Cost vs. Profit: Is It the Right Investment for You? Burger Singh is the finest franchise opportunity for entrepreneurs, even though you need a huge investment. It also assures a decent profit margin, which balances cost vs. profit. Burger Singh offers franchise opportunities for everyone with different franchise models. To set up a franchise outlet, you need 100 to 1000 sq ft, and by working with Burger Singh, you can make a handsome profit of 1.5 to 4.1 lakhs per month. Before you make your decision, go through the pros and cons of the Burger Singh franchise.
FAQ
How much does it cost to open a Burger Singh Franchise?
The Open Burger Singh franchise costs between 15 lakhs and 64 lakhs, depending on which franchise model you choose. It offers four franchise models: Express, Food Court, Dine-In, and Drive-Thru.
The Express Franchise Model requires an investment of between 13 and 15 lakhs.
The Food Court franchise model requires 36 lakhs.
The dine-in franchise model requires 44 lakhs.
The Drive-Thru franchise model requires 64 lakhs.
Is the Burger Singh Franchise profitable?
Yes, Burger Singh franchise outlets are profitable, with an average net profit margin of 18 to 25% of the total monthly sales.
How long does it take to recover the investment (ROI)?
On average, franchisees can expect to recover their investment within 12 months of duration.
