If you’re looking to invest in the retail sector, a New Shop Franchise might be the perfect fit. As a 24/7 convenience store brand rapidly gaining traction across India, New Shop offers a unique opportunity for entrepreneurs interested in the convenience store space. With a focus on quality products and customer satisfaction, it provides a great way for investors to enter a growing and profitable sector.
In this article, we’ll cover:
- Franchise setup cost
- Profit expectations
- How to apply and start your own New Shop franchise
Let’s dive into the details!
Table of Contents
Why You Should Consider a New Shop Franchise
New Shop is more than just another convenience store—it’s a proven business model that has already established itself in several cities across India. The growing demand for easy-to-access goods at all hours of the day makes a New Shop franchise a wise investment. Here’s why it stands out:
Benefits of Owning a New Shop Franchise:
- Proven Business Framework – With an already successful and scalable model, New Shop ensures that franchisees can follow a tested system to grow their business.
- Rising Demand for Convenience – More consumers are choosing the ease of 24/7 stores, providing a strong market for New Shop’s offerings.
- Quick Return on Investment – Franchisees can expect to break even within a few months, making it a fast-track investment opportunity.
- End-to-End Support – From site selection and store setup to ongoing operational guidance, New Shop supports franchisees at every step.
New Shop Franchise Cost Breakdown
The cost of opening a New Shop franchise varies depending on the location and size of the store. Below is an estimated breakdown of the investment required:
Investment Requirements:
- Store Setup: ₹20 lakhs (including GST)
This covers essential equipment like store fixtures, air conditioning, signage, kitchen appliances, and the franchise fee.
Additional Costs:
• Franchise Fee: Included in the total setup investment
• Inventory Costs: Varies based on product selection and initial stocking
• Marketing & Advertising: Initial promotional costs depending on the region
• Ongoing Operational Costs:
- Rent: ₹40,000 to ₹1,00,000/month (depends on location)
- Staff Salaries: ₹1-2 lakhs/month (based on staff size)
- Utilities: ₹10,000 to ₹30,000/month
New Shop Franchise Profit Potential
The profitability of a New Shop franchise will largely depend on factors such as location and customer foot traffic. Here’s an estimated breakdown of potential revenue:
Revenue Streams & Estimated Monthly Earnings:
• Product Sales: ₹2-5 lakhs
• Food and Beverage Sales: ₹50,000 to ₹1 lakh
• Seasonal Promotions: ₹1-2 lakhs
Profit Estimation:
• Gross Profit Margin: 30-40%
• Net Profit Margin: 15-20% (after covering operational costs)
• Break-even Period: Typically 3-6 months (location-dependent)
Example Calculation:
- Initial Investment: ₹20,00,000
- Estimated Monthly Revenue: ₹4,00,000
- Operating Expenses: ₹2,50,000
- Annual Profit: ₹1,50,000 × 12 = ₹18,00,000
- ROI: Approximately 90% per year
ROI Calculator
Your ROI will be displayed here.
How to Apply for a New Shop Franchise
Starting your own New Shop franchise is a straightforward process. Here’s how you can begin:
Steps to Launch Your New Shop Franchise:
- Submit an Online Inquiry – Head to the New Shop website and fill out the inquiry form to express interest.
- Initial Consultation – A representative from New Shop will contact you to explain the details and discuss the opportunity further.
- Location Review – New Shop will review your chosen location to ensure it aligns with the brand’s standards.
- Sign the Agreement & Payment – After approval, you’ll sign the franchise agreement and proceed with the payment.
- Store Setup & Training – New Shop will assist with store setup and provide all necessary training for smooth operations.
- Grand Opening – Once everything is ready, you’ll officially open your store and start catering to customers.
Pros and Cons of Owning a New Shop Franchise
Pros:
- Growing consumer demand for 24/7 access to convenience goods.
- Scalable business model with support from an established brand.
- Faster return on investment compared to other franchise opportunities.
- Comprehensive training and support provided at every stage.
Cons:
- Higher initial costs – The ₹20 lakh investment might be a consideration for some.
- Competition – Other convenience stores in your area could impact foot traffic.
- Location-dependent success – The success of your store will rely heavily on its location.
Frequently Asked Questions (FAQs)
How much does it cost to start a New Shop franchise?
The total cost is around ₹20 lakhs, which includes the franchise fee, store setup, and initial inventory.
What are the earnings from a New Shop franchise?
Franchisees can expect monthly earnings in the range of ₹2-5 lakhs, with net profit margins of 15-20%. It usually takes 3-6 months to break even.
Do I need retail experience to operate a New Shop franchise?
No, New Shop provides complete training to ensure you are well-prepared to run your store, regardless of prior experience.
What products are sold at New Shop?
New Shop offers a variety of convenience items, including snacks, beverages, daily essentials, and ready-to-eat meals, designed to meet everyday customer needs.
Conclusion: Is New Shop Franchise a Good Investment?
If you’re looking to invest in the convenience retail sector, a New Shop franchise offers a great opportunity. With relatively low startup costs, fast profitability, and strong support from the brand, it provides a solid foundation for entrepreneurial success.
If you’re ready to get started, visit the New Shop franchise page to begin your application process today!
