Thread by @Tendaijoe

This is how much it costs to open a fast food franchise in South Africa

A Thread:

#Wimpy The estimated set-up costs for a @wimpy_sa franchise is R2.2 million and an initial franchise fee of R114,300 (excluding VAT). Franchisees are also expected to pay 7% of their turnover in management fees and 5% of their turnover in royalties.

#Steers states that you can expect to pay approx between R1.7 million – R2.5 million in set up costs when first starting up a franchise. They currently offer 3 different models with kiosk (R1.59 million), standard (R1.65 million) and drive-thru (R2.35 million) options available.

#Roman’s Pizza is R90,000, which the franchisors need as a form to confirm commitment. Roman’s estimates that establishment costs are approximately R2.3 million (92.17%) based on a 120m² store size.

@NandosSA estimates that you will need approximately R6,560,000 (plus VAT) for establishment costs when setting up your restaurant. Nando’s charges a franchise application fee of R25,000 (VAT inclusive) and a franchise fee of R230,000.

The Fish & Chip Co estimates that the average setup cost for a franchise is R699,000 including VAT. Franchisees are also expected to pay an initial joining fee of R140,000 – however, this is included in the setup fee.

The estimated set-up costs for a Debonair’s franchise is R1.4 million with owners also expected to pay an initial franchise fee of R130,000 (excluding VAT).

The estimated that the establishment costs for a @ChickenLickenSA restaurant is R4.8 million. You can expect to pay a minimum of R6.8 million for a ‘fly-thru’ store.

According to @AbsaSouthAfrica the asking price of a service station business can vary from R1 million to R35 million. In addition, the average working capital requirement of a service station can fluctuate between R1.2 million and R1.5 million

However, you want to develop a service station from the ground up, your physical set-up costs could range anywhere from R10 million to R100 million – with highway sites commanding the greatest capital spend.

OTHER FRANCHISES
Mochachos from R1.9 million
Alpha Pharm from R1.2 million
Cash Crusaders from R1.96 million
Steers from R1.7 million
3@1 Business Centre – from R695,000 (ex VAT)
H20 International – from R325,000 (excluding VAT)

According to the latest franchise data available from KFC, new franchise owners could expect to pay close to R6 million for a new franchise. KFC South Africa brand owner, Yum International, said that the company is not currently looking for new franchisees.

McDonald’s SA estimates the cost of a franchise to be anywhere between R4 million–R6 million, depending on the type of restaurant and other factors. Applicants are are also expected to have a minimum of 35% of the purchase price of a restaurant in unencumbered, non-borrowed cash.

#SPAR Start-up-costs for buying an existing store (40% unencumbered ) :

KWIKSPAR from R5 million
SPAR from R8 million
SUPERSPAR from R10 million

How much does it cost to open a #NkukhuBox Franchise shop?
You will operate a fully equipped, branded and stocked up store at a total investment of R 1 182 000 (excl. VAT) based at an average of 250 sqm open land. This cost also includes the Franchise Joining Fee of
R 150 000.00

#NonFastFood According to Sorbet, you can buy a 60 sqm nailbar for around R1 million, while a Sorbet salon and Candi franchise will cost you slightly more with a total cash requirement of between R1.6 million – R1.7 million.