Dosa Franchise Business in India - Check Cost & Requirements

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India is known for its multicultural diversity. Language and food also follow this diverse pattern from South India to states in the north, east and west parts of the country. An average Indian loves his/her food, especially items generally set apart for breakfast and snacks.  The initial craze for western fast food chains is now matched by the Indian fast food chains and retail outlets. Traditional south Indian food like Dosa, Idli, Vada, Kesari bhath, and Khara bhath is ruling the roost in these food plazas.  Dosa is one of the easiest and simplest taste buds with mild flavour fulfilling hunger in a complete manner. Let us go through some important facts on Dosa franchise business. 

Did you know ? Indian QSR is valued around 188 billion in the year 2020. Globally, Quick Service Restaurant (QSR) sector was valued at ₹ 348 billion in FY 20-21, with a projected growth of ₹ 500 billion by 2025  as per Indian Market Value. 

Dosa and its historical origin

South Indian food varies across the four states. However, Dosa and Idli are food/snack items common to all south Indian states, although with a specific and unique flavour.  Dosa originated in south India, although its exact birthplace has been a conjecture. Historian Thankappan Nair said Dosa originated from the Udipi town of Karnataka, while historian Acharya cites literature to say that Dosa was first used in Tamil Nadu. Interestingly, Dosa is the anglicized name for the original dish. It’s called Dose in Karnataka, Dosai in Tamil Nadu, and Dosa In Andhra and Kerala.

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Simplest Way To Make Dosa

Dosa is made from a mixture of rice and black (or green gram) in the ratio of 3:1 or 4:1. The mixture is soaked in water for 5-6 hours before grinding to form a delicate batter- some regions add a few soaked fenugreek seeds. The batter is allowed to ferment overnight and mixed with water to get the desired consistency. The batter is then spread out with a spoon or bowl base onto a hot Tava greased with oil or ghee, heated well to give hot steaming Dosa.

Dosa Franchise in India:

South Indian food and snacks are essential to the food services industry’s growth story. Masala dosa, Paper dosa, Set dosa, and Mysore dosa are popular snacks not just in Karnataka or South India but across the country and internationally. Dosa Franchise is an Indian food restaurant chain that started operations in 1997. It cashed in on this potential to chart its hugely successful journey. The first Dosa Plaza, Prem Ganapathy Dosa Plaza, opened in Vashi, Navi Mumbai. Prem Ganapathy is the owner of Dosa Plaza. What began as a “Rags to Riches” story of Prem Ganapathy has grown phenomenally over the last 25 years. Today Dosa Plaza has a footprint across 12 states of India and New Zealand, Australia, Oman, and UAE. 

Dosa Plaza offers its customers a wide range of 104 yummy Dosas. This diverse range of Dosa/food items is one of the company's USPs (Unique Selling Proposition), attracting clientele young and old and people from foreign countries. The company has patented 27 types of Dosa from the 104 dosa varieties that it makes. Using the franchising model, the company has set an ambitious expansion target of 10-15 new Dosa Plazas. Today, Dosa Plaza is considered one of the country's best restaurant chains.

Why Dosa Franchise Business?

The fast-growing Quick Service Restaurants sector, with an annual growth rate of 25-30%, offers a food-loving Entrepreneur an excellent business opportunity. Even for a venture in a popular snack like Dosa, an Entrepreneur should weigh the pros and cons of starting on their own or considering taking up a franchise

 Some of the key benefits are:

• Build on the brand awareness of Dosa Plaza to quickly expand the customer base in the new planned location. Successful food chains have built their brand on years of serving quality food and snacks. Dosa Plaza, with its wide range of 104 types of Dosas, has built a reputation and customer base- both in India and overseas. 
• Cash in on the sales potential that the patented 27 varieties of Dosas can offer
• Cope with potential competition from the food service industry in the planned region by leveraging the credibility and reputation of Dosa plaza.
• Choosing the franchise business model most appropriate and strategically utilizing the training, supply chain, and management support available from the company.

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Dosa franchise business models, requirements, and cost

Dosa plaza stipulates certain franchise requirements, a standard requirement in the quick service restaurant industry. The company offers two types of franchise models with distinct requirements.

1) Food court express franchise model:    

The total area of around 400 square feet – sufficient area for personnel to walk freely in performing duties and keep the equipment. The suggested floor area is 300 square feet for the kitchen and 100 square feet for the counter.

• Menu: 104 varieties of Dosa, types of Idli and Vade, South Indian meals, Pav Bhaji, and filter coffee
• Expected Investment: ₹ 25-30 lakhs; Running and Operational costs as per location and staff employed
• Franchise fees:₹ 8 lakhs
• Royalty Fees: 8% of annual sales

2) Dining Restaurant franchise model

• The total area of around 1300-2200 square feet; adequately spacious for dining area, for personnel to move freely in performing their duties, 400-600 square feet Kitchen area for cooking and keeping the equipment; 800-1000 square feet for Counter and Stores; and 200 square feet for dining area
• Menu: 104 varieties of Dosa, types of Idli and Vade, South Indian meals, Pav Bhaji, Punjabi and Chinese cuisine, fresh fruit juices, and filtered coffee
• Expected Investment: ₹ 55-60 lakhs; Separate Running and Operational costs - as per location and staff employed.
• Franchise fees:₹ 12 lakhs
• Royalty Fees: 8% of annual sales

3) Profit margin:

The company says that a Dosa Plaza franchise can make decent profits on their investment. The projected profit margin is approximately 20-30%. Depending upon the drive and sales, a franchisee can expect to recover investment in 2-3 years.

4) Contact details:

Those planning to venture into an Idli-Dosa franchise business with Dosa plaza can contact them at:

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Conclusion:

Changing lifestyles, especially the younger generation, has led people to eat out frequently.  The food service industry has responded to this trend through its innovatively designed and attractively themed restaurant chains and Quick Service Restaurant format. Food Aggregators like Swiggy and Zomato have leveraged technology to offer people the convenience of home delivery of food throughout the day. These fast-changing developments offer excellent business opportunities to Foodies and Entrepreneurs to invest and make good dosa business profit. The highly successful Dosa plaza franchise, which has made a name for itself in India and overseas, offers an excellent business proposition. 

Depending on their dosa business plan, investment budget, and business growth vision, one can consider either of the two franchise models – Food court express or Dining Restaurant. Entering into a franchise agreement is easy and can be initiated online, or the concerned company’s Franchise Manager can be contacted for the next steps. The dosa franchise offers attractive profit margins and returns on investment. 

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