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Can You Afford a Yewale Amruttulya Franchise? How Profitable in 2024?

Yewale Amruttulya, a popular tea franchise known for its distinctive and flavorful tea offerings, presents an enticing business opportunity for aspiring entrepreneurs. If you are considering investing in a Yewale Amruttulya franchise, understanding the costs and potential profits is crucial. This blog will delve into the affordability of a Yewale Amruttulya franchise, the profit potential in 2024, and how Tradesworld can assist you throughout the process.

Cost of Opening a Yewale Amruttulya Franchise with Tradesworld

Opening a Yewale Amruttulya franchise involves several financial components. Here's a detailed breakdown of the costs associated with starting this franchise, enhanced by Tradesworld’s support:

Franchise Fee-3.55 lakh Plus GST

Estimated setup cost-10 to 13 lakhs

Initial stock-2 to 3 lakhs

Shop deposite-3 to 5 lakhs

Shop rent-50,000 per month

Marketing Fee-2 lakhs

Working Capital-3 to 5 lakhs

Royalty Fee-Zero

Franchise Agreement-5 years

Total Yewale Amruttulya Franchise cost-18 to 23 lakhs

Detailed Cost Explanation

  1. Franchise Fee: The initial fee paid to Yewale Amruttulya for the rights to operate a franchise, which includes initial training and support.
  2. Initial Setup and Equipment: Costs for tea brewing machines, furniture, fixtures, and other necessary equipment.
  3. Real Estate and Leasehold Improvements: Expenses related to securing a location and making necessary renovations to meet Yewale Amruttulya’s standards.
  4. Initial Inventory: The cost of the first stock of tea leaves, milk, sugar, and other supplies needed to begin operations.
  5. Marketing and Promotion: Initial marketing activities to create awareness and attract customers.
  6. Working Capital: Funds to cover operational expenses during the first few months of business.
  7. Tradesworld Service Fee: Additional cost for Tradesworld’s services, which include site selection, financing assistance, and project management.

Profit Potential in 2024

The profitability of a Yewale Amruttulya franchise can be highly rewarding, thanks to the brand’s strong market presence and customer loyalty. Here’s an overview of the potential financial performance:

Revenue Per Month-10 to 12 lakhs

Profit Margin-30% to 35%

Net Profit Margin-15% to 20%

Profit Per month-1 to 2 lakh

Return on Investment-12 to 18 months

Profit Calculation

  • Annual Revenue: Total sales generated by the franchise in a year.
  • Gross Profit Margin: Percentage of revenue remaining after deducting the cost of goods sold (COGS).
  • Net Profit Margin: Percentage of revenue remaining after all operating expenses, taxes, and interest are deducted.
  • Payback Period: Time it takes to recover the initial investment from the profits generated.

How Tradesworld Can Help

Tradesworld specializes in facilitating franchise setups, providing comprehensive support throughout the process. Here’s how Tradesworld can assist:

Site Selection

Tradesworld helps identify prime locations for your Yewale Amruttulya franchise, ensuring high foot traffic and visibility. Services include:

  • Market analysis
  • Demographic studies
  • Lease negotiations

Financing Assistance

Tradesworld offers support in securing financing through:

  • Bank Loans: Assistance with loan applications and negotiations.
  • Government Schemes: Guidance through the application process for various government funding schemes.
  • Investor Networks: Connecting franchisees with potential investors.

Project Management

Tradesworld manages the project from start to finish, ensuring timely and cost-effective completion. Services include:

  • Overseeing construction and renovations
  • Coordinating with vendors for equipment and inventory
  • Ensuring compliance with local regulations and Yewale Amruttulya’s standards

Frequently Asked Questions (FAQs)

How much does it cost to set up an Amruttulya franchise?

To open a franchise of Amruttulya requires an investment between 18 and 23 lakhs, including the franchise fee, setup cost, marketing fee, initial stock, working capital, and others.

Is the Amruttulya tea franchise profitable?

Each outlet of Amruttulya can make revenue of 10 to 12 lakhs per month. Franchisees can expect a net profit margin between 15 and 20%. On average, a franchise can earn between 1 and 2 lakhs per month.

What are the ongoing fees associated with a Yewale Amruttulya franchise?

Yewale Amruttulya franchisees typically need to pay ongoing royalty fees, which are a percentage of the monthly gross sales. These fees support the brand’s national marketing efforts and ongoing operational support.

What support does Yewale Amruttulya provide to franchisees?

Yewale Amruttulya offers comprehensive support to its franchisees, including initial training, marketing support, ongoing operational support, and access to a dedicated franchisee support team.

Can I own multiple Yewale Amruttulya franchises with Tradesworld’s help?

Yes, Tradesworld can assist in establishing multiple Yewale Amruttulya franchise locations, offering the same level of support and ensuring consistency across all outlets.

How long does it take to open a Yewale Amruttulya franchise with Tradesworld?

The timeline can vary, but typically it takes about 3 to 6 months from initial inquiry to the grand opening of the franchise outlet.

What are the ideal locations for a Yewale Amruttulya franchise?

Ideal locations include areas with high foot traffic such as shopping malls, commercial districts, and urban centers.

Conclusion

In conclusion, can you afford a Yewale Amruttulya franchise? How profitable in 2024?  Yewale Amruttulya franchise opportunity is a profitable business but a little bit costly compared to other brand franchises. Normal or middle-class people can’t afford this franchise opportunity. If you can afford this franchise, it gives you a high profit without the stress of running a business.

Trades World

Joined on 03, Jan 2024  

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