Fast Food Restaurant Business Plan – How To Start, Profits & Opportunities in India


Fast Food Restaurant Business Plan It is a customer driven market and top startup business idea. The entry to the market is very liberal and thus, there are a lot of different kinds of competitors in the market. The customers change their mind very frequently and selling of fast food is very high, thus the market is very profitable if you play your cards right. The switching power of the customers is very high, thus, the chances that a company can go out of business if not customer friendly is 100%. This bakery industry which is responsible for fast food growth is growing 40% annually and there are many global players and local players in the market trying to gather as much market share as possible.

Everyone has heard people say how fast food is either great or horrible. As with everything people say, there is usually some truth to it. Later you will learn the advantages and disadvantages of fast food in this article.

Most people eat fast food. Some eat it more often than others, and some like it more than others. Our taste buds tend to be different, so our opinions will vary from person to person. In this article, we will explain Fast Food Restaurant Business Plan.

 For starting a food business in India you have to follow this business plan:

  • Starting up a franchise:

There are several companies and many local investors and each one has their different rules that would make you eligible to take up their franchise. In this case, for instance, you get the franchise of a leading pizza shop. You need to take up their name, use their terms and conditions in terms of menu, interior designing, style of business and so on. As per profit point of view, you can make it from your business. This is the best business ideas to make money

  • Capital and return on investment:

You would need a minimum of 400 square feet area for starting a medium scale fast food business. Let us consider that you would need a maximum of 8 people to cook, serve and maintain the business. Now as the above-stated requirements the minimum budgets for your business would be around 25 to 30 lakhs for medium sized business and 10-12 lakhs for small scale business. For small scale business like road side venture, you need less than one lakh. This is the unique business idea for earn more and more.

If you are planning to lease a place, you would need to deposit about 2 lakhs as a security deposit and the lease would be usually renewed every five years in the Indian market. With the consideration that your shop is exposed to 80% of the people who walk through it and about 20-30% of the people enter your shop to taste your food. Small startup company goal should be at 15% return on investment per month. For starting a home delivery service, it would cost an additional 25,000 per month for the vehicle lease and fuel charges. If you are planning to take up bank loan and pay through EMI scheme, your return on investment would be higher and faster.

  • License & other requirements:

If you want to start a business on small scale investment like small road side venture, there is no requirement for registering your fast food company. But, if you are planning to take up a large business plan, you have to register your business with License from FSSAI. It is a state level licensing and is valid for one year. You need to apply for the license for the establishment and also for service tax. The basic requirements are

  1. Space or a commercial area
  2. Utensils and other kitchenware items
  3. Human resource
  4. Tables, chairs
  5. Billing software (if needed)
  6. Interior designing
  7. Brochure or menu
  • Targeting your customers:


There are a lot of niches in fast food industry. You need to sell that kind of item which attracts the people in your locality would be interested in buying. Next, find a suitable resource which can produce these items from scratch. If you are planning to expand your business then you should open a franchise, then most of the start-up confusions would be reduced. The main audience for your fast food business will be college students, working people, children and so on and the charging scale.

  • Profit-Margin in fast food business:

When you going to start a fast food business the profit will be set from both food and beverages. Beverages receive more markup than food. For example, a glass of ice tea even with refills costs around 25 cents but sells for 10rs to 20rs. You have to estimate the gross margin for both food and beverages should be 50-60%. On whole the overall estimated cost of food and beverage, restaurant owners calculate the cost by the addition of each dish. By this way, the owner will know which items are making money and what items may have to have a price increase, an adjustment in ingredients or be taken off the menu.

  • Advantages& Disadvantages of fast food business
  • Advantages:
  • Fast is profitable because fast food tends to be cheaper than the alternatives.
  • In present scenario, we have many healthy fast food options now so no need to eat fat-filled burgers and fries.


  • Disadvantages:
  • Poor & low-quality foods that are usually caused by a large-scale production process.
  • More fattening foods can cause food poisoning.


Please enter your comment!
Please enter your name here