The fast food business in India is one of the most promising and flourishing sectors. In India, an increase in disposable income has, in turn, increased the frequency of dining out. According to another report, the Indian fast food market might grow at a compound annual growth rate (CAGR) of 18 percent by 2020 due to changing consumer behavior and demography, which indicates that India is also sailing in the same boat as that of US.
In the current busy world where leisure time has become more critical, the less time spent working and preparing to eat allows more available time to pursue leisure activities. People who cannot cook at home now only have to click on the Internet to find any local restaurant or fast food retailer that will be more than joyful to serve or deliver the freshly prepared hot meal ready to eat straight to with minimum fuss. Apart from quenching the thirst of so many food lovers across the Nation, these food chains contribute significantly to India’s economy. The positive side of fast food business in India is that it avails job opportunities to millions of people.
A fast food business in India is known as a quick-service spot offering dine out or online food services. The reason behind choosing fast food as the business venture is that the fast-food industry is growing tremendously due to innovation and many multinational chains like KFC, Mc. Donald, etc. International chains are considerably expensive, and people prefer them over local chains because they are considered glamorous. Due to this aspect, there is a sudden increase in India’s fast-food chains and worldwide. The demand for fast food in India is popular amongst all ages as it offers a quick bite and is also pocket friendly. Running a fast food business from an entrepreneur is highly feasible and rewarding. The demand for fast food shall never reach the saturation point, and it requires low-cost investment to start the fast-food business in India. The essential edge given to India’s fast-food industry is that it a recession-free business. So if any significant or necessary changes occur in the country’s financial situation or economic policy, then there is no way it will affect the fast-food business in India.
Given below are the essential steps in establishing a fast food business in India-
Firstly all you need is to analyze the market of fast food business in India and study the customers’ preference for any particular area where you want to set your business up. An entrepreneur must try to opt for a fast-food chain different from existing fast-food chains in the area. A variety of products will keep you afloat in the competition and be a significant point of attraction for your customers. After a thorough study, make a business plan for your reference and check on the work as it progresses. A proper business plan will also fetch your investors and build trust in the projects to provide you the loan.
The fast-food business in India requires a full-fledged business plan PPT that shows a pathway of your long term business strategies, goals, visions, etc. It does not need a vast sum to invest in your fast food business plan. The entrepreneurs are not required to go out of the way to establish the business. They need to make a business plan that enrolls all essential factors like running the business, total expenses, source of finances, acquiring necessary licenses and registrations, working on staff, marketing, branding, etc. In short, all you need to ponder upon is providing quick service, a decent environment, and quality food. You are also required to lay down your business’s vision or mission to treat it as a milestone.
The fast-food restaurant location must be in an area that is quite populated and often visited by the people. If the fast-food site is a place far off from the city’s hustle-bustle, your restaurant won’t receive much recognition and popularity. Keeping the target audience in mind, one must try to be close to it. A restaurant’s location should be on the ground floor or lower. A space of about 500 square feet is preferred to accommodate the kitchen and counter with no congestion. One must check for proper electricity, gas, security and safety, water, and ventilation in the place.
The fast-food business in India runs successfully with a low-cost investment. Before setting up a proper business plan for the fast-food industry, one must look into the various sources to efficiently avail the finances. Though the funds utilized here are meager, adequate finance management is necessary to ensure proper business operations. Hence, before initiating, one must look into all possible sources of income one can dig.
A few essential sources of finances upon which a business entrepreneur can rely are the following:
To acquire a legal entity for the fast-food restaurant, one must give heed on what form of the company he wants to establish. An entrepreneur can get their restaurants registered as a sole proprietorship, a partnership, a limited liability company, or corporation—the type of corporation you choose to play a significant role in availing the successful business operation benefits.
Insurance acts as a safety valve for India’s fast-food business and protects it from uncertainties that might come from its day-to-day operations. Insurance is a savior for any unseen casualty that might arise at any unexpected moment.
There are multiple licenses and permissions that one might require before establishing a fast food business in India. There are numerous registrations and permits in our country if you are willing to establish a small or big fast-food chain. Nowadays, applying for an online license is more of a cakewalk with the least complications. A business entrepreneur might require getting in touch with various local authorities for acquiring specific permits to carry on business smoothly.
We shall state a few essential licenses mandatory for the cause:
In setting up any fast food business in India, the amount or cost of business will depend on the approach you want to undertake. If you intend to rent a business place, you would need an ample amount of capital as you would need to assure that your workers are taken care of. The tools and equipment used are nearly the same cost everywhere, and any difference in prices would be least.
The detailed cost analysis for establishing a fast food business in India is as follows:
Selecting the right brand name is an essential part of establishing a fast food business in India. Good brand names can significantly act as a successive point for a product or a company. Before having a grand opening of fast food business chain, market about your restaurant through social media platforms. It is advisable to invite any celebrity or known face for the inauguration so that the opening will be grand to let the people notice you and attract a significant customer set. Distributing pamphlets to the nearby locality houses and between newspaper pages, where you can offer the first 50 or 100 or so customers some gift voucher or discount or things to attract customers, is an efficient trick.
Considering these essential points, one can confidently align to kick start the fast food business in India with no second thought. The government is also favoring small business entrepreneurs through jaw-dropping schemes and benefits. As an Aatmnirbhar Sena, we are also at the forefront to aid and assist the curious entrepreneurs who are willing to take up fast food business in India as their new venture.