The country’s well-known dairy giant Amul has made a declaration about a new chance for those wished to start a business. With this, capitalists can acquire Amul franchise for making a decent sum on a monthly basis that may increase to Rs 10 lakh per month. Interestingly, the Amul franchisee will not have to make the payment of any royalties or even share the revenues with the dairy giant.
What franchisee should bear -
On its website, Amul stated, “The franchisee will have a prebuilt shop/space in a good location either owned or rented. The franchisee is expected to bear the entire cost (viz. interiors and equipment, excluding property cost) of setting up the store which is expected to be in the range of Rs. 1.50 lakh to Rs. 6.00 lacs depending upon the format.”
Amul clarified that wholesale traders will deliver stocks at the parlour and the franchisee will get the benefit of retail margin that will vary from item to item.
Working capital required
Amul has revealed two different kinds of formats, each having diverse working capital requirements plus margins.
Amul favored Outlet/Amul Railway Parlour/Amul booth
For this kind, the franchisee will have to make an investment of around Rs 2 lakh, with Rs 25,000 going in the direction of non-refundable brand security; Rs 1,00,000 in the direction of reformation and Rs 70,000 (approximately) for equipment and other incidental expenditures. Amul has determined diverse margins from the diverse products. As per the details accessible on the internet site, the commission from sale stays at 2.5 per cent for Pouch Milk, Milk Products – 10 per cent and Ice Cream at 20 per cent.
Amul Ice-Cream Scooping Parlour
In this format, the minimum needed space is just 300 square feet. The franchisee possessor will have to make an investment of Rs 6 lakh, with Rs 50,000 for non-refundable brand safety; Rs 4,00,000 towards restoration and Rs 1,50,000 going in the direction of needed tools and incidental expenditures.