Building Brands For Tomorrow
ENQUIRE

Tag: Foodfranchise

Categories
Industry Story

Why Franchising is the Fastest Way to Scale a Business?

The Franchise Boom in Indian F&B

The Indian food and beverage (F&B) industry is one of the fastest-growing sectors, expected to reach USD 66 billion by 2025 (Source: FICCI-PwC Report 2022). Within this, the franchise model has emerged as a dominant force, contributing over 30% of the organized F&B market (Source: National Restaurant Association of India – NRAI Report 2023). This success stands in stark contrast to the 50-60% failure rate (Source: India Food Services Report 2022, NRAI) of independent restaurants within their first three years. The challenges of running an independent F&B business—ranging from operational inefficiencies to regulatory complexities—are particularly pronounced for entrepreneurs from non-F&B backgrounds. Franchising, however, provides a structured, scalable solution that minimizes risks and maximizes growth opportunities.

How Franchising Accelerates Scaling and Mitigates Risks

Franchising eliminates the guesswork associated with launching a restaurant. Established brands provide standardized operating procedures, comprehensive staff training, and a well-structured supply chain. Franchisees benefit from tried-and-tested business models that optimize kitchen workflows, reduce food wastage, and enhance service quality. This structured approach minimizes inefficiencies, ensuring quicker scalability. Franchisees also receive extensive training and operational support, ensuring staff efficiency and service excellence from day one. Standardized processes streamline kitchen operations, inventory management, and customer service, significantly reducing costly mistakes.

Data-Driven Decisions and Market Insights

Franchisors leverage advanced analytics to offer franchisees data-driven insights on menu optimization, customer preferences, and peak business hours. In India, where consumer preferences vary across regions, access to such data allows franchisees to make informed decisions on product localization and pricing strategies. Franchisors also use predictive analytics to guide location selection, ensuring high footfall and revenue potential. This data-driven approach helps franchisees avoid financial miscalculations and operational blind spots that often lead to failure.

Shared Risk, Branding, and Marketing Support

Marketing is a major challenge for independent restaurant owners, requiring significant investment in brand building and customer acquisition. Franchising mitigates this risk through collective marketing funds, where franchisees contribute to national and regional advertising campaigns managed by the franchisor. A recognized brand name brings immediate customer trust and footfall, eliminating the struggle of brand-building. Franchisees benefit from national advertising campaigns, professional marketing strategies, and social media promotions, enhancing visibility and customer engagement.

Robust Supply Chain and Cost Control

Sourcing quality ingredients at competitive prices is a significant challenge, especially for independent restaurateurs. Franchisees benefit from bulk procurement deals, reducing costs and ensuring supply chain reliability. Franchisors maintain strong relationships with suppliers, ensuring quality consistency and cost-effectiveness. Centralized procurement allows franchisees to access high-quality ingredients at reduced rates, eliminating supplier-related disruptions.

Faster Market Penetration with Local Partners and Regulatory Compliance

Franchising enables rapid expansion by leveraging local entrepreneurs who understand their market demographics. This local expertise is crucial in India, where consumer behavior, taste preferences, and cultural norms vary significantly between states and even cities. By partnering with local franchisees, brands can customize offerings while maintaining operational consistency, allowing for faster and more effective market penetration. Additionally, franchisors assist in obtaining necessary licenses and adhering to health and safety regulations, reducing the administrative burden on franchisees. Regular audits and compliance support further mitigate legal risks, ensuring smooth operations.

Financial Stability and Predictability

Franchisors provide clear financial frameworks, including investment breakdowns, expected ROI, and operational cost projections. This transparency helps franchisees plan better, reducing financial risks and ensuring a realistic path to profitability. Unlike independent restaurateurs who often underestimate costs and overestimate revenue, franchisees have access to well-documented financial models, minimizing the risk of business failure.

The Pitfalls of Independent F&B Ventures

Operational Blind Spots

Running an independent restaurant involves managing inventory, labor costs, and customer service. Without experience, entrepreneurs often struggle with excessive food wastage, inefficient staffing, and poor service standards. In India, where food costs and rental expenses are rising, such inefficiencies can quickly erode profitability.

Regulatory Hurdles

India’s F&B sector is highly regulated, with multiple licenses required, including FSSAI certification, health and fire safety approvals, and state-specific liquor licenses. Navigating these regulatory requirements can be daunting for newcomers, leading to compliance failures, fines, or even business shutdowns.

Branding and Consumer Trust

Brand recognition plays a crucial role in attracting customers. Independent restaurants must build their brand from scratch, often requiring years of investment in marketing, customer engagement, and reputation management. Many fail to establish a strong identity, resulting in inconsistent customer footfall and low brand recall.

Supply Chain Challenges

Sourcing quality ingredients at competitive prices is a significant challenge, especially for independent restaurateurs. Franchisees, on the other hand, benefit from bulk procurement deals, reducing costs and ensuring supply chain reliability. In India, where supplier inconsistencies and logistical delays are common, having a structured supply chain network is a game-changer.

Financial Miscalculations

Underestimating costs and overestimating revenue potential are common pitfalls for first-time restaurant owners. Many entrepreneurs miscalculate break-even timelines, leading to cash flow issues. Hidden costs, such as licensing fees, unexpected repairs, and seasonal sales fluctuations, further strain budgets, increasing the risk of business failure.

Case Study: How Franchising Transformed an Entrepreneur’s Journey?

The Struggle of an Independent Café

Rohit, a passionate entrepreneur with no prior experience in the F&B industry, dreamed of running a high-end coffee café in Bengaluru. Investing INR 80 lakh, he leased a prime location, hired staff, and launched his brand. However, he soon realized that running a restaurant required more than just a passion for coffee. Vendor inconsistencies led to fluctuating ingredient costs, marketing efforts failed to attract repeat customers, and managing day-to-day operations became overwhelming. Despite pouring his savings into the venture, Rohit struggled with high rental costs and operational inefficiencies. After two years of mounting losses, he was forced to shut down, losing his investment.

The Success of an NBC ( Nothing Before Coffee) Franchise

On the other hand, Akshat, a former tech professional with no prior experience in F&B, was looking for a business opportunity that would allow her to transition into entrepreneurship with lower risk. HE chose to invest INR 60 Lakh in NBC’s franchise, leveraging the brand’s established reputation, structured operational model, and comprehensive training program. With support from the franchisor, he secured a strategic location in Koramangala, ensuring a steady flow of customers.

From the start, Akshat benefited from a centralized supply chain, which meant consistent ingredient quality and cost-effective bulk purchasing. Unlike Rohit, he did not have to navigate supplier negotiations or worry about fluctuating raw material costs. The franchisor also provided a well-structured marketing strategy, including digital campaigns on Swiggy and Zomato, which helped drive online and offline traffic to her café.

Within a year, Akshat was at an ROI of 45%.

Conclusion: Is Franchising the Right Path for You?

For entrepreneurs looking to enter the F&B industry in India, franchising offers a scalable, low-risk business model with structured support and brand recognition. While independent ventures demand extensive industry expertise and high capital risk, franchising provides a well-defined pathway to profitability.

If you’re considering investing in an F&B franchise, the next steps include researching top-performing franchises, consulting industry experts, and evaluating financial commitments. Attending franchise expos and reviewing Franchise Agreement can provide valuable insights before making a decision.

Categories
Industry Story

The Hidden Costs of Franchising: What Every F&B Investor Must Know

More Than Just the Setup—Why Smart Investors Should Look Beyond the Surface

Franchising is often celebrated as one of the most reliable ways to enter the ever-growing food and beverage (F&B) industry. The appeal is clear: you step into a business backed by an established brand, a proven model, and operational support designed to minimize the risks that come with starting from scratch.

But what many first-time investors overlook is that the initial setup cost is only part of the story. Beyond the visible investment lies a series of ongoing and often underestimated expenses that directly impact profitability. Recognizing and planning for these hidden costs can be the difference between long-term success and constant financial strain.

To paint a clearer picture, here’s a deep dive into the real costs behind launching and running a franchise.

The Franchise Fee: Securing the Brand Advantage

Every franchise journey begins with the franchise fee—a one-time payment for the right to operate under a recognized brand. This fee typically falls between ₹10 lakh and ₹20 lakh, depending on the brand’s market presence, outlet format (whether it’s QSR, café, or fine dining), and location.

This fee grants access to far more than just a name. It covers:

  • Operational frameworks
  • Standardized recipes and sourcing partnerships
  • Staff training protocols
  • Marketing support

In short, it fast-tracks your entry into a market with an existing customer base, allowing you to bypass the costly trial-and-error period that independent ventures face.

Marketing Costs: Driving Local Visibility

A strong brand name might get customers through the door once—but it’s local marketing that keeps them coming back. Many investors are surprised to learn that national-level branding doesn’t replace the need for targeted, ongoing marketing at the outlet level.

Typically, a franchise requires a contribution of 2–5% of monthly revenue towards a central marketing fund. For an outlet generating ₹15 lakh per month, this amounts to ₹30,000–₹75,000 monthly.

Alongside this, additional local marketing is essential to capture attention in a crowded market:

  • Swiggy/Zomato promotions: ₹20,000–₹50,000 per month
  • Social media ads and influencer tie-ups: ₹50,000–₹1 lakh annually

These costs are critical for boosting footfall, increasing repeat business, and building community engagement around your outlet.

Taxes: Protecting Margins with Smart Planning

Taxation is another area where hidden costs quietly chip away at profits.

For most F&B outlets, the common tax structure includes 5% GST on sales without Input Tax Credit, meaning setup costs like raw materials, rent, and interiors don’t benefit from tax refunds.

Additionally, franchise fees and royalties attract 18% GST. So, if your franchise fee is ₹20 lakh, expect an additional ₹3.6 lakh in GST, bringing your total payment to ₹23.6 lakh.

Ignoring these obligations during financial planning can leave businesses scrambling to cover shortfalls, so accounting for them early is vital.

Licenses and Compliance: The Price of Legitimacy

Legal compliance is non-negotiable in the F&B industry, and securing the right licenses upfront prevents disruptions and penalties down the line.

Here’s what most outlets require:

  • FSSAI License: ₹15,000–₹25,000
  • GST Registration: ₹5,000–₹10,000
  • Fire Safety License: ₹30,000–₹50,000
  • Shop & Establishment License: ₹10,000–₹20,000
  • Municipality and Health Permits: ₹30,000–₹60,000

These licenses safeguard operations and build consumer trust. Skimping on compliance is never worth the risk.

Real Estate Costs: The High Price of Footfall

Ask any franchise owner, and they’ll tell you location is everything. But securing prime real estate comes with hefty upfront costs beyond monthly rent.

For a location with ₹1.5 lakh monthly rent, landlords commonly expect:

  • Security deposit: ₹4.5- 9 lakh (3-6 months of rent)
  • Advance rent: ₹1.5- 3 lakh (1-2 months upfront)

That’s nearly ₹10-12 lakh committed before even opening your doors. Still, these locations often justify the investment with higher traffic, better visibility, and stronger long-term returns.

Technology and Delivery Costs: Running a Modern Operation

With online orders contributing 30–50% of total sales in many concepts today, efficient technology is no longer optional.

Regular tech costs to factor in include:

  • Aggregator commissions: 15–30% per order on platforms like Swiggy and Zomato
  • POS and CRM systems: ₹5,000–₹15,000 per month

A smooth tech stack keeps operations efficient, enhances customer experience, and reduces errors—all crucial to sustaining repeat business in a digital-first market.

Long-Term Success Starts with Full Financial Clarity

Franchising continues to be one of the most rewarding ways to enter the F&B industry, but only for those who prepare with eyes wide open. These hidden costs may seem secondary at first glance, but they play a defining role in operational stability, customer retention, and profit margins.

A successful franchise isn’t just about the setup—it’s about the strategy behind sustaining it. When you budget thoughtfully and plan comprehensively, the path to scale becomes clearer, smoother, and far more profitable.

Categories
BBFT Success Story Franchise stories

ATE x BBFT|| Where Coffee Meets Creativity|| A Franchise Opportunity Like No Other

ATE—Altogether Experimental—isn’t just a café; it’s a movement. Founded by visionary duo Vicky Mandal, a turnkey restaurant consultant and pastry maestro Anukriti Anand, ATE blends Australian brunch vibes with global flavors, inventive desserts, and specialty coffee. Now, partnering with BBFT, a leading F&B franchise aggregator, ATE is set to bring its unique “community-first” experience to cities nationwide.

A Vision Birthed by Culinary and Creative Expertise

Vicky, a turnkey restaurant consultant , envisioned a space where coffee experimentation and design thinking come together. His co-founder, Anukriti, honed her skills at IHM Pusa and The Oberoi’s pastry kitchen, developing a flair for innovative desserts and seasonal dishes. Together, they’ve cultivated ATE as a place that is “more than just a café,” in Vicky’s words, “but a hub where people can explore new flavors, find community, and experience creativity firsthand.”

Why ATE Stands Out: A Menu That Never Sleeps

Forget static menus in an industry increasingly reliant on frozen and proprietary food items. ATE sets itself apart by preparing the majority of its raw materials in-house, ensuring freshness and authenticity in every dish. Its offerings evolve every few months, with 20–30% of dishes rotating seasonally to keep the experience exciting. From the Choccy Chip Banana Bread Pancake layered with coffee mousseline to the Twice Baked Mushroom, Truffle & Cheese Croissant, ATE’s menu is a bold blend of global inspirations. Standout staples like the Mediterranean Millet Buddha Bowl and the Soba Noodle & Teriyaki Bowl satisfy health-conscious diners, while indulgent specialties such as the Butterscotch Latte and Hazelnut Praline Latte delight those with a sweet tooth. This unwavering commitment to culinary reinvention underscores ATE’s mission to remain future-proof and relevant in a fast-evolving food landscape.

The ATE Advantage: Premium, Rapid, and Transparent

ATE’s partnership with BBFT highlights a range of advantages that set the brand apart. With an average per-cover (APC) above INR 1000, franchise partners have the potential to achieve strong revenue streams in a relatively short span. Behind the scenes, a dedicated project management team ensures a quick turnaround from scouting locations to launching a fully operational café. Every store upholds standardized operations, supported by centralized human resources and a culture of transparency, allowing investors to confidently align with ATE’s values and quality standards.

Rohit Singh, Founder and CEO, BBFT added “You know your game is right when you have absolute clarity on your target audience. Altogether Experimental (ATE) resonates with the next generation, giving them a strong and enduring market position. As a new-age coffeehouse with a niche in artisanal baking and a devoted cult following, ATE is redefining the café experience. With BBFT’s expertise in scaling visionary F&B brands, this collaboration marks the beginning of a transformative journey in experiential coffee culture and artisanal baking.”

FICO Model: A Pathway to Financial Freedom

ATE’s growth hinges on its FICO (Franchise Invested, Company Operated) model, offering an investment range of INR 70–80 lakhs with an EBITDA of 20–25% and a payback period of about two to two and a half years. In this setup, the franchisor manages all daily operations—from staffing to menu engineering—relieving investors of the operational burdens typically associated with F&B ventures. It’s a streamlined route to profit and brand building, ensuring that each new outlet maintains the café’s signature atmosphere and service quality.

Future-Proofing Brunch Culture

ATE’s dedication to staying ahead of the curve is rooted in cutting-edge coffee techniques, modern architecture, and a global culinary outlook. By frequently updating its menu and collaborating with like-minded brands, the café cultivates an ever-evolving experience that resonates with Gen Z, families, and foodies alike. This approach not only drives steady footfall but also cements ATE’s position as a lifestyle destination rather than a mere dining spot.

Vicky sums it up best: “We’re not just expanding a business; we’re growing a community that thrives on experimentation, creativity, and genuine human connections. Partnering with BBFT allows us to bring this vision to more cities without compromising on quality or originality.”

The Road Ahead

With its forward-thinking menu, efficient franchise model, and unwavering commitment to transparency and standardization, ATE stands ready to reshape how people experience all-day brunch. Each new outlet promises the same eclectic menu, vibrant ambiance, and communal ethos that made ATE a beloved spot in New Delhi. For investors seeking a well-structured opportunity in the thriving F&B industry—and for diners craving an immersive café experience—ATE’s partnership with BBFT signals a bold new chapter in India’s brunch revolution.

Categories
BBFT Success Story Franchise stories

BBFT Accelerates Sheikh Chang Singh Expansion: 20+ Outlets Signed in 3 Months, 15 to Launch in the Next 6 Months

In a move set to redefine the quick-service restaurant (QSR) landscape, BBFT—Building Brands For Tomorrow—has taken a giant leap in expanding one of the most dynamic F&B brands in India. With a firm focus on innovation and strategic growth, BBFT has successfully signed over 20 franchise partners for Sheikh Chang Singh and is on track to launch nearly 15 additional outlets over the next three to six months.

A Brand Built on Vision and Resilience

Founded in 2020 by visionary entrepreneurs Akshay Sharma and Karan Chachra, Sheikh Chang Singh rapidly emerged as a game changer in the QSR space. What began as a modest 200 sq. ft. outlet in Hauz Khas, New Delhi, quickly transformed into a powerhouse brand known for its distinctive blend of flavors. The very name—Sheikh for shawarma and falafel, Chang for rolls and momos, and Singh for kebabs, curries, and biryani—captures the essence of an all-encompassing menu that caters to every palate.

Despite the challenges posed by the global pandemic, the brand’s robust operational model and centralized kitchen approach have ensured not only survival but remarkable success. By preparing food centrally, Sheikh Chang Singh guarantees consistency and quality across all outlets, setting a new benchmark for the industry.

Strategic Expansion Across Key Regions

BBFT’s latest milestone is a testament to its strategic vision. Over the past three months, the partnership has resulted in the signing of more than 20 franchise agreements, paving the way for a rapid rollout of new stores. These outlets will be strategically located in high-potential regions such as Delhi NCR, Jaipur in Rajasthan, and along key highway routes connecting Delhi to Punjab, Rajasthan, and Agra. This targeted expansion is designed to tap into bustling markets and drive sustained growth.

A Plug-and-Play Franchise Model That Delivers

At the heart of Sheikh Chang Singh’s success is its innovative plug-and-play model—a system that minimizes the time and effort required from franchise partners while maximizing operational efficiency. With investments ranging between 18-25 lakhs, franchisees benefit from a low-cost entry into the market, fast operational breakeven within 3-4 months, and meticulously defined processes and SOPs that simplify every aspect of day-to-day operations.

Moreover, the brand’s diverse menu of 85 food items—balanced between vegetarian and non-vegetarian options—ensures there is something for everyone, making it an attractive proposition for both food enthusiasts and investors.

Shourya, Head of Expansion at BBFT, explains:

“Sheikh Chang Singh is, without a doubt, the best QSR in the franchise industry today. Its all-inclusive menu, budget-friendly investment, and plug-and-play model set a new benchmark. With every process and SOP meticulously defined by the brand, our franchise partners can hit the ground running with minimal time investment. This streamlined, high-quality operational model makes Sheikh Chang Singh the ideal launchpad for anyone starting their franchise journey.”

The Road Ahead: Innovation and Consistency

As BBFT continues to drive this ambitious expansion, the future looks exceptionally promising. The centralized kitchen model ensures that every outlet delivers the same exceptional taste and quality, reinforcing the brand’s commitment to consistency and customer satisfaction. With strategic locations, a robust operational framework, and a visionary approach to franchising, Sheikh Chang Singh is poised to capture significant market share and become a household name in the Indian QSR industry.

For franchise investors, industry professionals, and F&B enthusiasts alike, this expansion represents a compelling opportunity to be part of a brand that is redefining the norms of quick-service dining. Stay tuned as BBFT and Sheikh Chang Singh set new standards of excellence and innovation in the franchise space.

Categories
Industry Story

Zepto Cafe: Quick Commerce’s Double-Edged Sword— Innovation, Exploitation, and the Road to Reform 

The Rise of Quick Commerce and Its Complex Costs

India’s quick-commerce boom is reshaping urban lifestyles and redefining food delivery. With projections from industry reports estimating the quick commerce market to grow from roughly $3.34 billion in 2024 to nearly $9.95 billion by 2029—and annual quick commerce sales already expected to exceed $6 billion—platforms like Zepto Café promise ultra-fast 15-minute deliveries. However, behind the sleek app interface and soaring valuations lie deep-rooted issues: from escalating worker exploitation and safety concerns to significant regulatory challenges and disruptions in traditional retail. Moreover, the gig economy in India, which employed about 7.7 million workers in 2020–21 and is projected to swell to 23.5 million by 2029–30, forms the backbone of this transformation.

Rider Realities: Racing Against Time and Safety

For delivery riders such as Rahul Sharma in Mumbai, every order is a race against time—and risk. Many riders report working 12-hour shifts to meet algorithm-driven deadlines while earning between ₹24 and ₹50 per delivery. Social media testimonials and public debates—sparked by voices like comedian Kunal Kamra, who demanded transparency on average wages, working hours, and safety records—highlight the severe pressures they face. These conditions have contributed to a surge in road accidents and heightened physical stress among gig workers, who make up a significant fraction of India’s informal labor force.

Restaurants in the Crossfire: Traditional Eateries Under Siege

Traditional restaurants are feeling the squeeze as quick commerce platforms bypass the conventional dining experience. With dark stores enabling platforms such as Zepto Café and Blinkit to deliver up to 125,000 orders daily, restaurants argue that the aggressive pricing and deep discounts—evidenced by a formal complaint from the All India Consumer Products Distributors Federation—undercut the artisanal value of their cuisine. This competitive pressure has forced many eateries to either innovate rapidly or risk losing their customer base entirely.

Consumer Health and Quality: The Price of Speed

The allure of a steaming cup of chai or a freshly baked pastry delivered in under 15 minutes often comes at a hidden cost. Accelerated food preparation can compromise hygiene and quality; surveys indicate that about 73% of online shoppers have encountered issues with the freshness of produce ordered through quick commerce apps, prompting some to return to local markets. Moreover, safety concerns extend beyond the food itself—FSSAI raids on Blink it warehouses have revealed serious food safety violations, raising public health concerns amidst a push for rapid delivery.

Navigating a Shifting Regulatory Landscape

Quick commerce’s meteoric rise has spurred calls for tighter regulation. Traditional retailers and consumer groups have accused platforms like Swiggy, Blinkit, and Zepto of predatory pricing practices that destabilize the market. At the same time, states like Rajasthan have begun pioneering measures—such as the Platform Based Gig Workers (Registration and Welfare) Bill, 2023—to secure social security benefits for gig workers. These initiatives are crucial as the gig workforce remains particularly vulnerable: women, who comprise only about 28% of India’s gig economy (versus 55% in the U.S.), and rural-to-urban migrants face heightened exploitation risks.

Corporate Strategic Shifts: Traditional Retail Fights Back

The disruption spurred by quick commerce has prompted traditional retail giants to adapt. For example, Reliance Retail is leveraging its 3,000 supermarkets in 1,150 cities to launch a quick delivery service—targeting a 10–30 minute window—to capture a share of the rapidly expanding market. Such strategic shifts underscore how established players are forced to innovate in response to the growing consumer demand for speed, even as they battle the challenges of rapid packaging, logistical inefficiencies, and higher delivery fees.

Conclusion

Charting a Path Toward Sustainable Quick Commerce
Zepto Café exemplifies both the transformative potential and the underlying challenges of India’s quick commerce revolution. While rapid deliveries cater to an urban appetite for convenience and drive impressive order volumes, they also expose delivery riders to perilous working conditions, strain traditional retail channels, and raise significant public health and regulatory concerns. Addressing these issues—through enhanced worker protections, improved quality assurance measures, and smarter regulatory policies—will be key to ensuring that the future of quick commerce is as sustainable and equitable as it is fast.

Categories
Industry Story

Franchising vs Starting from Scratch: Why Franchising is the Smarter Investment for F&B Brands

Introduction: The Million-Dollar Question

If you’ve ever dreamed of owning a restaurant or café, you’ve likely faced this dilemma: Should you build your brand from the ground up or invest in a franchise? The food & beverage (F&B) industry is lucrative but notoriously challenging, with around 60% of new restaurants failing within their first year and 80% shutting down within five years. 

One path leads to the tried-and-true world of franchising, where you can leverage an established brand to grow your business. The other path takes you into uncharted territory, where you build your F&B brand from the ground up.

Both routes invite success, but which one is the better investment? 

Let’s break it down with real data, industry insights, and expert opinions to help you make an informed choice.

Success Rate: The Cold, Hard Facts

The numbers don’t lie. Independent restaurants have a survival rate of only 20% within five years, while franchises have a survival rate of around 85% over the same period. This staggering difference is due to the proven systems and structured support that franchises provide.

According to a report by the International Franchise Association (IFA), franchised businesses grow at a rate of 1.5x faster than independent businesses, largely due to their access to training, marketing, and operational expertise.

Would you rather reinvent the wheel or drive a car that’s already been fine-tuned for success?

Known vs. Unknown: The Power of an Established Brand

When it comes to F&B, brand recognition is everything. Starting your own brand gives you creative freedom, but it also means building everything from scratch—from the menu and branding to customer acquisition and operational systems. On the other hand, franchising gives you access to a well-established brand name, proven business model, and loyal customer base from day one.

As franchise expert Mark Siebert puts it,

“A strong brand is half the battle won. Franchising allows you to stand on the shoulders of giants. You’re not just buying a business; you’re buying a proven system.”

Let’s take McDonald’s as an example:

When a franchisee opens a McDonald’s, they aren’t just selling burgers; they are leveraging decades of brand equity, global recognition, and trust. In contrast, an independent burger joint would need years and huge investments to build that level of credibility.

Marketing Muscle: Leveraging a Pre- Existing Audience

When starting from scratch, you’ll need to spend heavily on marketing just to get noticed—from digital ads and influencer partnerships to loyalty programs and PR campaigns. Building brand recognition takes several years and a substantial budget.

Franchisees, however, benefit from national and regional marketing efforts funded by the franchisor. Whether it’s a new menu launch, influencer collaborations, or high-budget ad campaigns, franchise brands already have an audience ready to engage.

Example: Starbucks spends over $400 million annually on advertising. A small independent coffee shop could never match that level of exposure. But a Starbucks franchisee? They automatically benefit from it.

Operational Edge: Expert Training and Supply Chain Synergy

One of the biggest advantages of franchising is the comprehensive training and ongoing support provided by the franchisor. Whether it’s standardized recipes, improving customer service, or troubleshooting operational challenges, franchisees benefit from an expert-driven roadmap.

Franchisors offer intensive staff training programs that cover everything from food prep to inventory management. Compare this to an independent owner who has to learn through trial and error—often at the cost of wasted time and money.

Running a restaurant also involves managing suppliers, negotiating deals, and handling logistics—infamously, one of the trickiest parts of the business. Independent owners must navigate these complexities alone, often paying higher prices for ingredients, equipment, and packaging. Franchises, however, leverage their bulk purchasing power to secure better deals.

“The biggest risk in F&B isn’t the idea, but execution,” says Jennifer Patel, a restaurant consultant. “Franchisees get a playbook, while new owners have to figure everything out on their own.”

The Creativity Myth: Franchising Doesn’t Mean Losing Your Spark

One common misconception about franchising is that it stifles creativity. While it’s true that franchisees must follow certain guidelines, there’s still plenty of room for innovation.

Many franchisees add local flavors to their menus or host community events to build customer loyalty.

Franchising gives you a framework, but it’s up to you to bring your personality and passion to the business. 

Franchising strikes the perfect balance between structure and creativity, allowing you to thrive without reinventing the wheel.

Funding & Expansion: The Growth Accelerator

Raising capital is one of the toughest hurdles for any entrepreneur. Banks and investors are often hesitant to fund standalone restaurants due to the industry’s high failure rate. However, franchises are seen as lower-risk investments, making it easier to secure financing.

According to a Franchise Business Review survey, franchise owners are 30% more likely to secure bank loans compared to independent businesses. This advantage extends to expansion as well—successful franchisees often reinvest and open multiple locations within a short time.

A franchisee of a popular coffee chain can expand to 3-4 locations within five years, while an independent restaurant owner might still be struggling with the first outlet.

The Verdict: Why Franchising Takes the Crown

So, which is the better investment? 

For most F&B brands, franchising is the clear winner. It offers lower risk, faster growth, and a proven system for success. That’s not to say starting from scratch doesn’t have its merits—it’s perfect for those who want complete creative control and are willing to take on the challenge.

But let’s face it: In the fast-paced world of F&B, time is money. Franchising gives you a head start, allowing you to focus on what really matters—delivering delicious food and unforgettable experiences.

Categories
BBFT Success Story Franchise stories

Inside Peter Rabbit & BBFT’s Plan to Revolutionize Punjab’s Café Culture with Freshness, Flavor, and Innovation

The coffee culture in Punjab is evolving, and with it comes a growing appetite for authentic dining experiences. Yet, a key problem has remained—most cafés relied on frozen, proprietary food, leaving customers wanting more in terms of freshness and transparency. 

Peter Rabbit Coffee Roasters, known for its specialty coffee and inhouse fresh production, has identified this gap and partnered with Building Brands for Tomorrow (BBFT) to expand across Punjab and Himachal Together, they aim to redefine the region’s café experience by combining premium coffee with a live kitchen—offering what the Punjab market has been missing.

Bringing Freshness and Flavor to Every Plate and Cup

Founded in 2023 in Chandigarh, Peter Rabbit was born with a mission to serve artisanal coffee and freshly prepared wholesome meals, setting itself apart in a cluttered F&B space. 95% of the café’s food is made in-house at the base kitchen—from breads and sauces to cookies and pastries—ensuring a fresh, high-quality experience.

“At Peter Rabbit, we are committed to serving authentic flavors that speak for themselves,” explains Rishab, co-founder of Peter Rabbit. “We make everything fresh, so what you taste isn’t frozen—it’s real food, prepared right in front of you. Our coffee is no different, sourced directly from the estates of Coorg and Chikmagalur and brewed with care.”

Must try Menu Items

The café has already become a favorite destination for breakfast lovers and small-plate enthusiasts, offering dishes like the Avocado Moong Cheela and Parsley Cream Paccheri Pasta, as well as specialty beverages such as the Tiramisu Iced Latte and Royal Rocher Shake. These offerings not only delight the senses but also reflect Peter Rabbit’s focus on transparency through a live kitchen model.

 With an impressive lineup of artisanal desserts and in-house bakery items as well, Peter Rabbit offers something for every palate. This concept invites customers to observe their meals being prepared, turning hygiene and craftsmanship into part of the dining experience.

A Café that Engages All the Senses

Every detail at Peter Rabbit is thoughtfully curated to elevate the customer experience, from the banana-leaf light installations to the hand-crafted rabbit motifs and selfie points. The café also integrates manual coffee brews like Pour Over, AeroPress, and Cold Brew, ensuring that artistry and craftsmanship go hand-in-hand with every cup served.

“We’re not just selling coffee or food,” Rishab emphasizes. “We’re creating an experience where every dish tells a story, and every cup connects with the customer on a personal level. That’s what makes Peter Rabbit different.”

The focus on continuous innovation keeps Peter Rabbit ahead of market trends. Menu updates, new additions, and active social media campaigns ensure strong engagement with customers, making it more than just a café—it’s a community hub where people come to connect and unwind.

Growth Strategy: Expanding the Peter Rabbit Experience

The partnership with BBFT marks the start of Peter Rabbit’s ambitious expansion plans. Together, they are set to roll out 8-10 new outlets across Punjab and Himachal Pradesh, bringing Peter Rabbit’s winning formula of coffee, food, and ambiance to a larger audience leveraging both COCO (Company-Owned, Company-Operated) and FOCO (Franchise-Owned, Company-Operated) models.

Each café will offer the same signature elements—fresh food, artisanal beverages, and a vibrant ambiance—to maintain consistency in the unique experience Peter Rabbit offers to the market. The investment required for a typical 1,000 sq ft outlet stands at INR 80 lakhs, with a Cap-Ex breakeven period of 22- 24 months.

BBFT and Peter Rabbit: A Collaboration Shaping Punjab’s Cafe Culture

With Punjab’s café scene growing at a rapid pace, BBFT recognized the opportunity to introduce a fresh, unique concept to the region.

“Today’s customers aren’t just looking for a place to sit and sip—they want an experience,” says Rohit, founder of BBFT. “The market was saturated with cafés offering pre-prepared meals, which didn’t meet the expectations of discerning customers. Peter Rabbit brings a much-needed change with its fresh, live kitchen model—delivering exactly what Punjab’s evolving café culture needs, at just the right time.”

This collaboration embodies BBFT’s mission to shape the future of F&B by leveraging innovative concepts that cater to modern market demands.

Meeting the Market at the Perfect Time: Performance and Positioning

Peter Rabbit’s business model has already shown strong performance, with an average ticket size of INR 1,200 for two and monthly sales of INR 15-18 lakhs and an expected ROI of 23%. The café’s focus on quality, authenticity, and community building has earned it the Times Food & Nightlife Award 2024 for the best coffee in the tri-city region, 2nd time in a row.

The specialty coffee market in India has seen significant growth, with consumers moving toward personalized dining and high-quality brews. Punjab, in particular, is ready for this change, and Peter Rabbit’s in-house food and live kitchen model offer the perfect solution to meet evolving demands.

“Punjab’s café scene was waiting for something new,” says Rohit. “And with Peter Rabbit, we’re not just following trends—we’re setting them.”

Conclusion: A Journey Built on Quality, Creativity, and Community

As Peter Rabbit expands across Punjab with BBFT, the focus remains on building lasting connections through authentic experiences. With artisanal coffee, fresh food, and immersive spaces, the brand promises to redefine the café experience across the region.

For both Peter Rabbit and BBFT, this journey is about more than growth—it’s about creating spaces where people feel connected. And as the first café in Punjab to offer a live kitchen model, Peter Rabbit is ready to set a new standard for quality and transparency in the F&B industry.

Categories
BBFT Success Story Franchise stories

Tan Coffee Opens Flagship Store in Connaught Place: A New Chapter in Delhi’s Speciality Coffee Scene

Tan Coffee continues to be a pioneer in India’s specialty coffee market, by announcing the launch of their flagship outlet in Connaught Place. This iconic location, alive with energy and steeped in history, serves as the perfect backdrop for the brand to share its passion for crafting exceptional brews and delicious food. Under the visionary leadership of founders Nishant Mittal and Shivank Verma, and in collaboration with BBFT (Building Brands For Tomorrow), Tan Coffee is making significant strides in its mission to redefine the Speciality coffee experience in India, showcasing impressive market positioning and strategic expansion.

A New Era of Flavor: Tan Coffee’s Signature Creations

With the launch of their flagship store, Tan Coffee is staying true to its core philosophy of continuous evolution and innovation, elevating the coffee experience by expanding their menu like never before.

Tan Coffee’s current menu boasts an impressive selection, ranging from specialty coffees, manual brews, specialty mocktails and a wide selection of innovative beverages like their Kerala Spiced Cappuccino, Tiramisu Latte, Pistachio Iced Latte, Strawberry Espresso Tonic, Basil Gimlets and many more, paired with 100+ gourmet fresh food options across cuisines like Italian, Mexican, Continental and American.

The New Addition

Staying true to their traditions while continuously evolving, Tan Coffee has also unveiled an array of new signature dishes. Their menu now boasts a Pan Asian section featuring comforting ramen bowls and flavorful Pad Thai noodles, perfectly complementing their popular Ema Datshi rice bowl. In the Italian section, alongside their signature wood-fired pizzas and pastas, they’ve added a delicious new lasagna to the lineup. For those with a sweet tooth, the signature in-house-made Lotus Biscoff cheesecake, is now paired beautifully with their latest creation—Flushed Croissants. Among these, the choco banana croissant stands out as a must-try.

Nishant Mittal, Co- founder, Tan Coffee added, “We’ve been dreaming of this day for a long time, and it’s finally here! Our flagship store is opening its doors, and we couldn’t be more excited. We’ve poured our hearts and souls into creating a space that’s both inviting and inspiring. Our new menu is a big deal — it’s more refined and diverse than ever. We can’t wait to share our love for coffee with Delhi

A Heritage Location

Connaught Place stands as Delhi’s most iconic and heritage-rich destination. Renowned for its stunning colonial architecture and lively atmosphere, this area is not just a shopping and dining hub; it’s a cultural landmark that attracts millions of visitors each year. With an impressive annual footfall exceeding 60 million, Connaught Place is a vibrant mix of both history and modernity, making it the ideal setting for Tan Coffee to establish its presence and connect with coffee enthusiasts across the city.The flagship outlet is strategically located in one of the busiest lanes of Connaught Place, directly across from the expansive 28,000 square-foot H&M outlet. This prime location witnesses a remarkable daily foot traffic of over 25,000 people, offering Tan Coffee a unique opportunity to engage with a diverse audience and cultivate a community of coffee lovers eager to experience what the brand has to offer. 

The Perfect Blend of Tradition and Modernity

As Tan Coffee opens its doors in the heart of Delhi, it artfully balances the charm of the area’s rich heritage with a fresh, contemporary twist on the coffee experience. 

At this flagship store, Tan Coffee combines a thoughtfully crafted ambiance—featuring warm, artisanal décor—with a focus on offering a coffee experience that delights both traditionalists and modern coffee enthusiasts. The interiors have been designed with a minimalistic and soothing approach, with an emphasis on subtle tones, while still maintaining a sense of aesthetic appeal. This careful balance creates a warm and cozy vibe, making it the perfect setting for customers to enjoy their coffee and food. The harmonious blend of ambiance and design ensures a welcoming atmosphere where guests can explore new flavors while soaking in the vibrance of the space.

An Investment with Strong Returns

Tan Coffee is not just about great coffee; it’s also an attractive business opportunity. With its unique positioning as an experiential specialty coffee and gourmet food brand, it offers an impressive payback period of around 20-24 months for investors with a net profit margin of 20-25%. With a capex investment of 60-70 lakhs, Tan Coffee provides a unique investment opportunity that blends passion with profitability. The flagship outlet in Connaught Place sets the stage for future growth and showcases the brand’s potential to deliver both a premium customer experience and robust financial returns. 

Rohit Singh, Founder and CEO of BBFT, highlights the brand’s strategic approach: “From day one, our focus has been on quality over quantity, ensuring that each new outlet delivers consistent returns and is a true representation of what Tan Coffee stands for. Launching in a landmark location like Connaught Place marks a significant opportunity for investors to partner with a brand that is not only poised for significant growth but also committed to setting new standards of excellence in the specialty coffee industry.

Conclusion

The launch of Tan Coffee’s flagship store in Connaught Place marks a pivotal moment for both the brand and the thriving coffee culture of Delhi. This flagship store will serve as a blueprint for future locations, embodying the brand’s core values of continuous evolution, exceptional coffee, and culinary delights—all while delivering an unparalleled customer experience against the backdrop of this historic location.


Categories
Industry Story

How Blue Tokai Coffee Roasters Revolutionized Coffee Culture in India

From Home Roasting to Coffee Roastery Success

In a country where chai has been the undisputed king, a new challenger emerged—a brand that dared to disrupt India’s tea-dominant culture. Enter Blue Tokai Coffee Roasters, a company that has become synonymous with specialty coffee in India.

Founded in 2013 by Matt Chitaranjan and Namrata Asthana, Blue Tokai set out to change the way Indians experience coffee. What began as a passion project soon evolved into a full-fledged mission to introduce premium, high-quality coffee to a nation still primarily brewing chai.

The Early Days: Crafting a Revolution, One Cup at a Time

Imagine a small 1 kg roasting machine in a home kitchen. Long nights were spent roasting beans, packing orders, and fulfilling the budding demand for something different—something that spoke of authenticity and quality. That’s how Blue Tokai began.

Matt and Namrata’s journey took a pivotal turn when they secured ₹3 crore in seed funding, enabling them to move from their humble kitchen to a warehouse in Saket. With a larger space came even greater ambitions. By 2013, the brand opened its first roastery in Delhi. Soon, Blue Tokai expanded into new cities, including Bombay, and even secured a kiosk at the Australian Embassy.

The early success wasn’t just about selling coffee—it was about educating a tea-loving nation on the nuances of coffee culture.

Cracking the Code: Blue Tokai’s Road to Success

1. Unwavering Focus on Quality

At the heart of Blue Tokai’s rapid rise lies its commitment to quality. Using pure Arabica beans, the brand ensures that each cup offers the same, consistent flavor profile across batches. Customers can taste the dedication to freshness with every sip—most deliveries in metro cities are fulfilled within 24 hours.

“At Blue Tokai, consistency isn’t just a goal—it’s our promise to our customers,” says co-founder Matt Chitaranjan.

2. Branding: More Than Just Coffee

Positioned as a premium coffee brand, Blue Tokai’s appeal extends far beyond its product. Their focus on branding and education resonates with a new generation of consumers. The company’s Instagram presence and website are built to create a community of coffee aficionados, guiding them through the intricate world of specialty coffee.

Blue Tokai’s commitment to sustainability and ethical sourcing also plays a central role in their brand story. By including the names of the farmers on each packet, they’re connecting consumers directly to the source.

3. Strategic Expansion: Growing One Café at a Time

Blue Tokai’s growth strategy is as refined as their coffee. Their cafes are strategically placed in high-footfall areas across Tier 1 metro cities and emerging Tier 2 cities. Over the past 12 months, they’ve doubled their presence, with 130 outlets now serving fresh brews across India.

“We didn’t just want to open cafes. We wanted to create experiences,” says Namrata.

4. Targeting India’s New Coffee Drinkers

With a focus on young professionals aged 25-45, Blue Tokai has successfully onboarded an entirely new demographic of coffee drinkers. Their multi-channel approach, comprising 20% direct-to-consumer (D2C), 10% business-to-business (B2B), and 70% café-driven revenue, highlights the versatility of their business model.

Financial Growth and Future Outlook

As India’s coffee culture continues to grow, Blue Tokai is poised to capitalize on this surge. The specialty coffee market is expanding at a rate of 10-15% annually, and Blue Tokai is at the forefront of this trend. With Series C funding of $35 million and plans to open 220 new stores in the next three years, the future looks promising.

Their expansion into B2B and D2C channels further diversifies their revenue streams, solidifying their position as a dominant player in India’s coffee industry.

Conclusion: Shaping the Future of Coffee in India

Blue Tokai Coffee Roasters has redefined what it means to enjoy coffee in India. Through their unrelenting focus on quality, strategic growth, and forward-thinking branding, they’ve shifted coffee from a mere commodity to an experience.

As they continue to grow, expand, and innovate, Blue Tokai is not just serving coffee—they are shaping the future of coffee in India, one cup at a time.

Categories
Industry Story

The Nightclub Business: Why Surviving the Night is So Tough

The nightclub industry shines brightly in the hospitality sector, drawing entrepreneurs with promises of excitement and profit. Yet beneath the dazzling surface lies a business fraught with challenges. The global nightclub market, valued at $23 billion in 2023, presents a tempting opportunity. However, the reality is sobering: about 30% of new nightclubs close within a year, and 60% don’t make it past five years.

Success in this industry demands more than just creating a lively atmosphere. It requires careful management of finances, operations, and complex regulations. “In the nightclub business, you’re only as good as your last party,” says veteran club owner Marcus Aurelius. “One misstep, and you’re yesterday’s news.

Indeed, industry statistics paint a grim picture: approximately 30% of new nightclubs shutter within their first year, with that number climbing to a daunting 60% by the five-year mark. These figures serve as a stark reminder that success in this realm requires more than just a flair for festivities—it demands a masterful grasp of financial acumen, operational finesse, and regulatory savvy.

The Marketing Maelstrom: Staying Relevant in a Fickle Market

In an era where social media reigns supreme, nightclubs find themselves locked in a perpetual battle for relevance. The digital arena has become the new frontline, with venues pouring up to 10% of their revenue into marketing budgets. From influencer partnerships to viral campaigns, the pressure to stay “buzzworthy” is relentless.

Priyank Sukhija, CEO of First Fiddle Restaurants, offers a seasoned perspective: “Customer’s thirst for the next new thing is the main reason behind the short shelf life of nightclubs. Guests love to explore, but can quickly jump to the next best thing once they’ve visited a venue 2-3 times. It’s why we change our menus every 6-8 months—to offer something new to guests who’ve tried and loved us before.”

This constant need for reinvention underscores a fundamental truth: in the nightlife industry, complacency is a death sentence.

The Financial Tightrope: Walking the Line Between Profit and Loss

The financial challenges of running a nightclub are daunting. Rent for prime locations can eat up to 30% of revenue. Staffing costs often account for another 20%. Add to this the expenses for utilities, including power-hungry light and sound systems, and profit margins quickly narrow. Revenue streams like drink sales, cover charges, and table reservations are highly unpredictable, swinging wildly between busy weekends and slow weeknights.
Add to this the rollercoaster of revenue streams—drink sales marked up by 300% on busy nights may plummet on slower evenings—and the challenge becomes clear. Success in this industry requires not just a head for hospitality, but the acumen of a seasoned financial strategist.

Regulatory Roulette: Navigating the Maze of Compliance

As if the financial challenges weren’t enough, nightclub owners must also contend with a labyrinth of regulations. From obtaining elusive liquor licenses to adhering to strict noise ordinances, the regulatory landscape is fraught with pitfalls. One misstep can result in hefty fines or, worse, closure.

“Compliance isn’t just about following rules,” notes legal expert Sarah Chen. “It’s about anticipating changes and adapting before they become problems. In this industry, being proactive isn’t just smart—it’s survival.”

The Path Forward: Thriving in the Night

Despite the challenges, the nightclub industry continues to attract bold entrepreneurs drawn by its energy and potential. For those brave enough to enter this high-stakes world, success lies in understanding that a great party is just the beginning. True triumph comes from mastering the delicate dance of financial management, marketing innovation, and regulatory compliance.
In the end, the nightclub business is not for the faint of heart. It’s a world where fortunes can be made and lost in the span of a weekend, where today’s hotspot can become tomorrow’s cautionary tale. Yet for those who can navigate its treacherous waters, the rewards—both financial and personal—can be extraordinary.

As the saying goes in the industry, “The night is young, but only the strong survive till dawn.”

Instagram Linkedin Twitter

Quick Contact Details

Address: 261, 3rd Floor, behind Crep Dog Crew(CDC, Lane number-5, Westend Marg, Saidulajab, Saket, New Delhi, Delhi, 110030

Phone: +91 9810033765
 
 
 

Company

Franchise Opportunities
Startup & Venture Capital
About us
Privacy Policy
Cookie Policy

© Copyright – 2024 | BBFT | All Rights Reserved

ENQUIRE