Zudio Franchise Cost, Profit and How to Start in 2024

Are you looking for a retail fashion, clothing, and footwear franchise? That offers moderate investment and has a high potential for success. Look no further than the Zudio franchise. One of the fashion brands from Tata Trent Ltd. Explorer Zudio Franchise Cost, Profit and How to Start in 2024 for complete information to be part of the TATA Industry. 

About Zudio: A Fashion Retail Brand

Zudio is a part of the TATA Group, which was founded in 1998. Zudio is a fashion brand that offers a wide selection of clothes and accessories in the newest designs at reasonable costs. It made fashion accessible to everyone. For men, women, and children, the Zudio collection offers sportswear as well as casual and formal clothing. It has something for everyone. Now Zudio earns 13% of the revenue of Tata Trent Ltd. It has the vision to spread rapidly throughout India. Faster store opening with the goal of expanding to more people and providing the newest fashion every week.

Overview of Zudio Franchise

In Bangalore, the first Zudio location, approximately 8000 square feet, opened for business in September 2016. There are currently 545 outlets in 164 Cities in India. throughout India. Products from the Zudio franchise are available in the following categories: loungewear, footwear, kids’ clothing, men’s clothing, women’s clothing, and beauty items.

Zudio Franchise Model

Zuido operates on FOCO, short for Franchise Owned, Company Operated, which is a particular kind of franchise agreement in which the franchisor keeps ownership of the business while letting a franchisee handle day-to-day operations. While the corporation supports and manages the franchisee’s business on their behalf, the franchisee invests it. 

Key Details of Zudio Franchise

• Company Name: Zudio
• Established Year: 2016
• Number of Zudio Outlets: 545 Stores
• Franchise Model: FOCO
• Franchise Fee: 10 lakh
• Security Deposit: 29 lakh
• Royalty Fees: 10%
• Profit Margin: 15 to 20%
• Zudio Franchise Cost: 2 to 3 crore
• Required Space: 6,000 to 8,000 sq ft
• Franchise Agreement Period: 7 years
• Official Website: https://www.zudio.com/

How Much Does Zudio Franchise Cost?

Franchise Fee: It is an initial fee required to acquire the franchise rights for Zudio, which requires 10 lakhs. To operate under the Zudio brand and utilize its business model.

Security Deposit: A security deposit equivalent to 6 months’ expenses, totaling Rs. 29 lakhs, is required.

Stamp Duty Registration: The legal validity of the franchise agreement requires stamp duty registration. This requires a cost of Rs. 20 lakhs, which is necessary for the documentation of the franchise contract.

Space and Outlet Setup: To lease property, set up an outlet, and purchase equipment according to the Zudio franchise model requires a 1 crore investment.

Consultancy Fee: For legal compliance, marketing strategies, and operational efficiency. Needs a 2 lakh investment.

Royalty fee: As a franchisee of Zudio, you need to pay 10% of your sales turnover to the brand. This is for ongoing support, brand name, and others.

Total Investment Range: The total Zudio franchise cost required to establish a franchise is Rs. 2 to 3 crore. This investment covers the initial setup costs, ongoing operational expenses, and payments.

Zudio franchise costs may vary based on the location of the franchise and the size of the outlet. To know the exact investment required to start a Zudio franchise based on location, contact Zudio.

How Profitable is the Zudio Franchise?

• Total Investment: The initial investment required to start a Zudio franchise is 2 to 3 crore. This includes the franchise fee, initial inventory, working capital, outlet setup, and others.   
• Profit Margin: As a franchisee of Zudio, you can expect a profit margin of 15% to 20% of total revenue.
• Revenue Share to Franchisee: Franchisees receive a revenue share of 16% of their outlet’s total revenue.
• Monthly Sales Range: The franchise’s average monthly sales fall between 70 lakh and 1 crore.
• Franchise Agreement Period: The franchise agreement between you and the brand is valid for 7 years. You can renew this if you want for more years.
• Return on Investment (ROI): Within 2 to 3 years, you can recover the initial investment with a profit margin of 16%.

Requirements to Open Franchise

• A strong financial position and the capacity to afford Zudio franchise costs or make franchise investments are requirements for the application.
• The preference is for prior involvement in or prior experience in the retail industry. Have experience in the retail fashion sector.
• The candidate needs to have a genuine interest in the Zudio brand and a willingness to follow the standards and values of the organization.
• It needs to have a 6,000 to 8,000 square foot area to set up a franchise outlet. It can be leased or owned.
• The franchise location should be in high-traffic areas like the middle of the market, the mall, etc.
• As a franchisee, you need to hire 8 to 12 employees to run the store. Staff needs to undergo training given by Zudio.
• To determine whether the franchise store’s suggested site could be done and is likely to be successful, Zudio may assess it.

Required License and Documents

Required License for Zudio franchise

• GST Number
• Trade License
• EPF and ESIC Registration
• Insurance for outlet

Required documents

• Pan Card/ Aadhar card.
• Bank Passbook.
• Business’s GST Certificate.
• Franchise agreement.
• Passport-size photos.
• Address proof of site.
• NOC or Other requested documents.

Space Required to Open Franchise Store

A Zudio franchise normally needs between 6,000 and 8,000 square feet of area. This area is necessary to accommodate the layout of the business, which includes trial rooms, cashier counters, display places for various fashion collections, and storage facilities. Depending on the location, store layout, and selection of products. Customers are guaranteed a comfortable and enjoyable shopping experience thanks to the open layout, which also displays a wide variety of trendy clothing.

Which Location is best to start a Franchise?

• High Footfall Markets: To attract huge clients, choose locations with high foot traffic, such as well-known shopping regions and commercial hubs.
• Shopping Centers: Pick well-known shopping centers with a regular flow of customers for exposure to a captive audience.
• Prime Commercial Areas: Choose active commercial areas that are known for their retail activities since they give customers exposure and accessibility.
• Urban Centers: To increase your franchise’s chances of success, consider opening it in an urban area with a solid retail sector.

Pros and Cons of Zudio Franchise

 Pros:

• Brand Recognition: Zudio’s well-established brand. When customers walk through your doors, they’ll recognize the Zudio label, making it easy to attract footfall to the outlet.
• Affordable Price: Compared to other fashion brands, Zudio offers a relatively low starting cost. 
• Training and Support: Zudio provides comprehensive training and ongoing support. Whether it is product management or customer service, you are not alone. 
• Monthly sales: The Zudio franchise outlet’s average monthly sales are 70 lakh to 1 crore. 
• Profit margin: As a franchisee of Zudio, you can make a profit of 15 to 20% of the total revenue.
• Return on investment: within 2 to 3 years, you can recover your initial investment.

Cons:

• Competition: The clothing industry has huge competition. To be successful in your business requires creativity, strategic pricing, and unique offerings.
• Limited Product Range: Zudio offers a smaller variety of products compared to other franchises. Make sure you’re okay with the choices they have. You can’t sell other brands of clothes.

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Zudio Franchise Apply Online

• To get a franchise of Zudio. When you click on the Franchise Form, you will be directed to the Contact Form.(https://www.zudio.com/pages/zudio-franchise)
• Fill out this form with your contact details, business or work experience, and location information.
• Double-check the information you have filled out to ensure accuracy. 
• Submit the form and wait until you get a reply from Zudio.
• If you are eligible or your location is good to start a franchise, the brand will guide you further. 
• You Can Also Contact Zudio for Franchise inquiries through the Email ID: – Zudiohelp@trent-tata.com

Note: Due to larger demand for Zudio Franchise, Contact through the Phone Call for Franchise Queries is not possible. Brand perfer you to conatct through the franchise form and Email Id.

Conclusion

In conclusion, “Zudio Franchise Cost, Profit and How to Start in 2024“. The Zudio franchise is the best choice for people who want to start a retail fashion business. Through its established brand and proven business model, success is guaranteed. with a 15 to 20% profit margin, 16% revenue share for the franchisee, and a total investment of 2 to 3 crore. By considering the proper location, revenue share, royalty fees, return on initial investment, and monthly sales of the franchise.

FAQ