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Showing posts from August, 2019

How to Hire a Chef ?

Whether you own a restaurant or a small cafe, your chef is arguably the most important part of your business. Even if you are hiring a chef for a special event, you will still need to take care in your vetting process. Hiring a chef entails more than just finding someone who “can cook”. As the central figure in the kitchen, the chef will need to prepare food, manage staff, maintain inventory and much more — all while remaining calm under intense pressure. What Kind of Chef Do You Need There are several kinds of chefs and cooks in most kitchens. Before you hire a chef, make sure you are familiar with the right position for which to hire. Executive Chef An executive chef, also known as a chef de cuisine, is the big boss of the kitchen. You will typically hire an executive chef for a large restaurant or a chain of restaurants. An executive chef will have formal culinary training. Instead of spending much time in the kitchen, an executive chef is more of a manager role. An exe

It’s Never Too Late to Start a Franchisee

You know that franchisors want successful owners to help grow their company. They look for entrepreneurial individuals who believe in themselves and will want to use their talents and skills. These people all look very different, with abilities and business acumen across a wide spectrum. With so many capable prospects, franchising is a good match for young, energetic individuals, and it is also a perfect option for older entrepreneurs whose experience and knowledge contributes to successful ventures. The franchise models for older operators’ preferences are numerous, and it is never too late to start a second (or third or fourth) career as a franchisee. You Know More Than the Younger Folks They may label you ‘old-fashioned’ or ‘old-school’ (who else still uses “folks?”) and think you are not spry enough to compete with them, but the younger generations simply do not have the same level of experience as you do. Every year of your life, no matter the career, contribute

How to Safeguard Franchise Fraud

The case of buying, owning, and operating a franchise can seem quite compelling: You, at least in a sense, own your own business, but you are not alone during the operation. The product or service has already been fully developed; it's simply up to you to offer the product or service on your own terms. There are people out there offering fraudulent opportunities; and while you may think that it could never happen to you, fraudsters are getting more sophisticated in their methods of deception. What is Franchise Fraud? Common forms of franchise fraud include misleading and fraudulent sales practices used to entice prospective franchisees to purchase and invest in a franchise. Misleading sales tactics can come in many forms. One of the more common forms of fraud in the franchise arena is the making of false or misleading statements about projected financial performance. It is, in fact, unlawful for a franchiser to provide any representations of potential or actual financ

How does a food franchise work?

Starting a food business is one step. But building a recognizable brand name that attracts customers everywhere takes years of work. If you are looking to enter into the restaurant industry, franchising might be a logical option for you to start with. It fast tracks your journey by attaching a well-known brand name. Confused with where to start? In this blog post, we are answering all questions related to food franchising in India. So that you are equipped with all the knowledge to start your journey. Let’s begin! Is taking food franchise profitable in India? According to Restaurant India, the Indian franchising industry is estimated at $24 billion with an expectation to reach $35 billion by 2020. How does a food franchise work? The basic franchising terminology: Franchisee: The entity that purchases the rights to the business and runs its day-to-day operations. Franchiser: The entity that owns the intellectual property. Franchise: Granting rights for another entity t

Most Profitable Franchises

Even though there is not a single way to determine the profitable franchise, the most profitable franchises do have a few things common. The most profitable franchises typically Have strong, efficient processes and produces that can be replicated across all of its locations so customers have an idea of what to expect. Have a product or service that is adaptable for different customer profile. Have a product or service that is adaptable to changes in customer trends over time. Have a system in place that can support its franchises adequately. Have an established rapport with customers that can be learned on when downturns happen. While not a complete list, the presence of the factors listed above is a good indication that a franchise has the foundation to be profitable. Profitable Franchise Industry Any franchise can be profitable if the area it’s located in has enough of a potential customer base and demand. However it’s good to think about certain industries that h

Different Types of Franchise Models

FOCO In FOCO the franchiser gains more profit than the investor. Basically, every business model should be above the rate of investment forecast or above it. For franchiser, who is investing Brand name in models other than FOCO is always on a stake as a franchise can practice unethical and unprincipled act. The Standard operating procedure and values which any company wants to retain can be ignored by the franchise for minimal profit. It is a risk-free model. We at choose the best model which would the investor and the franchiser is looking for. FOFO This model is adopted by companies for faster expansion of business/brand presence and to penetrate completely new markets with the help of local businessmen. In this model the training of staff, initial store setup is done by the Company and handed over to the Franchise to oversee the operations and maintain standards-based on SOPs set by the Company. Then on the operations are independently managed by the franch

Joint Venture

A joint venture is a business entity created by two or more parties, which is shared by ownership and shared governance. A joint venture can be brought about in the following major ways: 1. Foreign investors buying an interest in a local company. 2. Local firms acquiring an interest in an existing foreign firm. 3. Both the foreign and local entrepreneurs jointly forming a new enterprise. Sometimes it is difficult to get good parties so there are Joint venture brokers who act as a mediator between two companies and make an agreement to work together on a particular job. Joint venture broker : A joint venture broker is people who connected business joint venture partners together for profit-making projects. The joint venture brokers will earn a pre-negotiated percentage of the profits earned from the joint venture that they helped put together. A joint venture broker must tread lightly and be aware not to put direct competitors together as partners, but they find indirect

Master Franchise in India

Taking Master Franchise in India can be extremely beneficial in terms of the Return On Investment, brand recognition and unmatched support provided by the parent company. Food & Beverage franchising is extremely beneficial in India, for both, the Franchise Owner and Brand owners. It helps in expanding to different regions where the Brand owner couldn’t have operated themselves. Franchisees also help in expanding at a much more rapid pace as compared to company-owned and operated stores. India is a vast country, for a brand to develop, franchising is one of the most Advisable methods. If the Franchising business is of interest to you, one such website  SelectDine  has some highly credible Food and Beverage brands which can make an agreement. Feel free to visit  and browse the brand opportunities and then can contact with our team. The team will get in touch with you to help you understand the brands and the investment required. Hope this helps. Cheers!

Different Franchise Models

When you decide to franchise your restaurant business, it is often confusing to choose from the different models available because of the necessity to be in favor of both you and your franchisee. This is one part of the  Franchise Agreement . Here are a few models that you can choose from based on your requirements. 1. Franchise Owned Company Operated (FOCO): In this type of model, the franchisee owns or invests in the restaurant but does not take part in the day-to-day operations of the restaurant. The company has to handle the operations/the smooth functioning of the restaurant. Franchisee just remains as the money provider, and hence as an owner. 2. Company Owned Franchise Operated (COFO): In a COFO model, the company invests majorly in the outlet and the franchisee takes care of the operations. The franchisees usually build the brand image in the area that they are responsible for. 3. Master Franchise: If the brand presence in another country or state or city, they usual

How To Get a Loan From a Bank To Start a Restaurant in India

In our  first post , where we talked about starting a restaurant from scratch, there was a mention of funding. Now you might have made many plans for your beautiful restaurant, but you need funding for it, that shouldn’t come off as a surprise to you. Having adequate amount of funding, you will have one thing less to worry about in pursuit of your  prosperous business . This article is about the conventional way of securing funding for your restaurant — taking a loan from the bank. There is a ‘ Credit Guarantee Fund Trust for Micro and Small Enterprises’ (CGTMSE) . This scheme covers up to 85% of the default amount based on the amount (there are different brackets for this). But getting a loan under this scheme often takes on a process, which we have highlighted below. Step 1: Register your business Before anything, you should register your business. There are multiple ways in which you can do it, you can register as a private limited or a sole partnership, among other choice

What to look for in a ‘Franchise Agreement’ ?

Due-Diligence: Franchise fees Duration of agreement Territorial rights Royalty Benefits from franchise In a  previous article , I had mentioned about choosing the right franchise. A step ahead, this article is about a ‘franchise agreement’ — you will have to sign this with the franchise to choose in order to have predetermined terms on paper. You should and must sign a franchise agreement with the franchise you choose in order to avoid problems in the future. You might be wondering what to look out for in a franchise agreement, so this article is all about that. Franchise Fees: You might have agreed to a pre-determined amount of a franchise fee, but you must have it in an agreement. Another thing to watch out for is whether taxes are applicable on the franchise fees or not. Taxes can significantly increase your costs, so you want to make sure that you are keeping track of it. Duration of Agreement: You should know the duration for which you can franchise, wheth

FSSAI Guidelines For Restaurants

If you are  starting a new restaurant , you will have to comply with certain regulations by the Food Safety and Standards Authority of India (FSSAI). This article will expand on the different types of regulations set by FSSAI. You might tend to feel overwhelmed with the amount of information in this article, or have some queries about some individual regulations. To accommodate that, I shall provide you a link which contains all the details you will need. Food Safety and Standards (Licensing and Registration of Food Businesses) Regulation, 2011 —  You have to register your restaurant business with FSSAI and fill out a form (Schedule II), which asks for your personal details (name of the brand, etc.) and business operations (source of supply of raw materials, etc. Food Safety and Standards (Food Products Standards and Food Additives) Regulation, 2011 —  This contains regulations for food product standards. For example, milk fat % in buffalo milk must be 6% in Uttar Pradesh. This

Interior Design Plans for Restaurant

Whether you are  starting a new restaurant  or planning to  take a franchise , part of what you have to do will be to come up with plans for the interiors (the complete guide on how to setup/start your restaurant can be viewed in  this article ). This includes electrical, water, lighting, kitchen, dining area, plans for the restaurant. If you are stuck with the nuances of what these plans are about, this article will clear your confusions. Generally, you will need these plans to setup a new restaurant: Electrical Plan: An electrical plan consists of technical drawings (shows information about power, plug point, wire setup etc.) made by an engineer for the workers to comprehend and install the electrical systems on the job. An electrical plan would look like this. Water Plan:  water plan highlights the piping and draining systems for the restaurant. Some plans also indicate cold and hot water supply in their plans. A water plan would look like this Lighting Plan: A