Third Wave Coffee Franchise – Cost, Investment & Profit
“Nothing tastes better than freshly roasted coffee. The quality of the beans lies primarily in the hands of the roaster,” said Sushant Goel one of the founders of the Third Wave Coffee. The Third Wave Coffee which was launched in 2016 is an Indian company (Bengaluru-based) that has outlets in major states of India like Hyderabad, Coonoor, Mumbai, Delhi, Chandigarh, and Pune.
The founders of Third Wave Coffee are Sushant Geol, Ayush Bathwal, and Anirudh Sharma. Third Wave Coffee emphasizes serving fresh, delicious coffee that has been sourced ethically and with sustainability.
Is Third Wave Coffee a good investment?
In the present scenario, people are becoming more and more healthy and self-conscious. Third Wave Coffee emphasizes quality. Also, the fact that for any company the profitability depends on the environment, expenses, location, season, customer preference, and emergency expenses which may vary from 15-20%. Supposedly you’ve started the franchise in a well- favour environment then the return on investment will be high.
For example, let's consider
| Average monthly sell | Rs. 5 lacs |
| Materials cost | (Rs 2 lacs) |
| Gross profit | Rs 3 lacs |
| Royalty fees | (Rs 23,100) |
| Shop Rent | (Rs 60000) |
| Chef & waiters | (Rs 30000) |
| Misc Expenses | (Rs 37000) |
| Net Profit | Rs 149,900 |
Considering this investment the Third Wave Coffee brand is a profitable investment.
Benefits of owning a franchise on Third Wave Coffee Company
Third Wave Coffee is a distributor and manufacturer of easy coffee bags. The benefit of owning a franchise in such a profitable company is that Third Wave Coffee entirely serves 100% Arabica coffee beans (obtained from 14 different estates of Bengaluru) which is the highest grade of coffee.
The franchise provides a) a lifetime arrangement of resources b) raw materials c) technical support on billing d) personal training of the staff.
Setting up of Third Wave Coffee Franchise
The setting up of the franchise and the cost will entirely depend upon the place, location, and the chances of renovation in the upcoming future. Generally, it takes around 500sq of area to over 1000sq to set up the franchise.
To become a part of or to partner up with the franchise one would at least require to come up with an initial payment of min 25 lacs to 50 lacs.
| Franchise Fees | 5 lacs + 18% GST |
| Royalty fees | 5% |
| Floor area | Min 500-1000 sq. ft |
| Interiors | Rs 5 lacs |
| IT support and customer service | Rs 1 lacs |
| Kitchen equipment | Rs 5-7 lacs |
| Agreement period | Approx 5 years renewable |
| Total Initial Investment | Rs. 25- 50 lacs |
The percentage of the royalty fees will be 5% calculated on the annual turnover of the franchise of the company.
How to get a Third Wave coffee franchise?
The overall requirement to get a franchise in third-wave coffee is listed as:
- Initial Investment: An amount to be paid as an initial investment of around 25lacs to 50 lacs
- Labour Force: The staff must possess qualitative and leadership qualities and must have a keen interest in the field of cafes
- Area: A minimum of 500 sq ft- 1000 sq ft(more the better) is preferable. Also, to ensure the potential for future renovations.
- Location: A city center spot, across the highway is the preferred location.
- Interest: The interested candidate must follow Third Wave coffee standards and must be able to live up to the company policies.
- Training: Interested candidates must undergo the necessary training, which will be offered by the franchisor.
- Research: Candidates are advised to do the proper marketing and site research which will educate the candidate and boost his morale.
One can easily get the application form for applying to the franchise by visiting the link provided below:
| Franchise form | https://www.thirdwavecoffeeroasters.com/pages/contact-us |
The Franchise will contact you a week or two after the completion of the application form.