Become a franchisee if you have a reasonable capital base and good business acumen, according to Amul. In order to earn a decent amount of income every month, one can take up a franchise of Amul.
Overview:
Amul (you will have heard about it) is a brand that has already placed its footprints amongst the top brands in the country and soon in the world. Get a franchise and run a business where you can sell one of the best quality dairy products. ‘The Taste of India’ being the slogan, Amul has always produced the best quality milk products in the dairy industry. Let us see a few Amul products below:
- Amul Milk
- Amul Butter Cookies
- Milk Bread
- Amul Butter
- Processed Cheese
- Amul Kool Cafe
- Amul Ice Creams
- Kool Milkshakes
- Amul Masti Dahi
- Amul Chocolate
- Pouch Buttermilk
And lots more…
Milkman of India:
Verghese Kurien is called the Milkman of India. He was born on November 26th, 1921 in Kerala. Unfortunately, he passed away on September 9th, 2012. He is also known as the ‘Father of the White Revolution’ in India. Mr.Kurien was a social entrepreneur since he brought in the world’s largest self-sustaining dairy industry. Through the most significant agricultural dairy developments, he earned the ‘billion-litre idea’ to the world. He changed a little in the sectors of education, health, nutrition, food products, empowerment of agriculturists, caste barriers, and lots more.
The best dairy company of India is the world’s largest milk producer and it increased the demand for milk and milk products.
How & Why Amul Franchise:
AMUL or Anand Milk Union Limited is a milk product cooperative dairy company based out of Anand district in the state of Gujarat. Amul encouraged India’s White Revolution, which made the country the world’s most massive milk and milk products producer.
Area Plan:
The franchise exclusively markets all Amul products. They are the outlets of the entity, with an area covering between 100 to 300 square feet. Moreover, it is located in markets, educational institutions, hospitals, railway stations, municipal gardens, etc. which are potential areas in the locality.
Investment:
The franchisee usually sets up the shop in the most demand area where public movements are more comparatively. In such cases, the space is set up in a very potential locality. Indeed, the financial aspects are quite reasonable for setting up the enterprise. Amul says that the franchise needs to handle the costs for the establishment of the entity. And so, the establishment costs would vary from ₹1,50,000 to ₹6,00,000. Additionally, the franchise should be handling all the operational costs as well. However, there is no profit-sharing or no royalty issued for the franchise. Therefore, the owner or the boss of the franchise could earn from ₹5,00,000 to ₹10,00,000 in revenue in a month, states Amul.
Product Delivery:
The wholesale agents of Amul will deliver the required products for the particular franchise entity. Therefore, the products delivered will be 100% produced/manufactured by the company. There are broad categories in Amul variants; namely dairy products, ice-creams, and pouch milk.
Margins:
The margin for each product in Amul varies accordingly. Therefore, the organisation has stipulated that the owner will profit with a margin of 2.5% on pouch milk, 20% on ice cream, 10% on milk products, and approximately 50% on recipe-based categories like ice cream scoops, baked pizza, sandwiches, hot chocolate drinks, etc.
Various Schemes Under the Establishment:
The ventures based on Amul franchise establishments vary according to the investment, deposit, products sold in the franchise, and so on. However, it is divided into four according to certain specifications.
- Amul Preferred Outlet
- Railway Parlour/Kiosk
- COE Parlour
- Ice-Cream Scooping Parlour
Amul Franchise Format:
| GCMMF (The Taste of India) | APO | SCOOPING PARLOUR | PARLOUR AT RAILWAY STATION | PARLOUR AT COE |
| Refundable Security Deposit | ₹25,000 | ₹50,000 | ₹1,00,000 | ₹50,000 |
| Area (Own/Rent) | 100 Sq.ft. – 150 Sq.ft. | 250 Sq.ft. – 400 Sq.ft. | – | – |
| Deposit | – | – | Stall deposit (Refundable) or Kiosk Installation | Stall deposit (Refundable) or Kiosk Installation |
| Renovation of Shop | As per standard design | As per standard design | – | – |
| Approx. cost | ₹80,000 | ₹3,00,000 | ₹2,50,000 – ₹4,00,000 | ₹2,50,000 – ₹4,00,000 |
| Equipment (Approx.) | ₹80,000 | ₹1,50,000 | ₹50,000 | ₹50,000 |
| Deep Freezer for Ice-cream | ✓ | ✓ | ||
| Visicooler for dairy products | ✓ | ✓ | ||
| Milk cooler for fresh products | ||||
| Pizza oven for frozen pizza | ✓ | |||
| Operator’s liability | – | – |
1. Payment of security deposit license fees 2. To railways on behalf of GCMMF 3. Payment of other operating expenses |
1. Payment of security deposit license fees 2. To respective organisation on behalf of GCMMF 3. Payment of other operating expenses |
| Other requirements | – |
1. Scooping cabinet with SS bowls 2. Mixer/Grinder 3. Waffle cone machine 4. cone holder/Topping tray for placing sauces 5. POS machine |
– | – |
Requirements to Set an Amul Store Franchise
To set up an Amul franchise, specific requirements and qualifications need to be met. Here’s a breakdown:
Equipment and Infrastructure Requirements:
- Deep Freezer: Required for storing bulk quantities of ice cream.
- Visicooler: To display and store chilled dairy products.
- Milk Cooler: Necessary for storing and maintaining the freshness of milk.
- Pizza Oven: For franchises offering pizzas.
- Other Equipment: Mixer, Cone Handler Machine, and any additional equipment as specified by Amul.
- POS Machine: Point of Sale machine for transactions.
Space Requirements:
-
Amul Preferred Outlet:
– Space Requirement: 100-150 sq ft
-
Ice Cream Scooping Parlour:
– Space Requirement: 250-400 sq ft
-
Amul Unit at Railway Stations:
– Space Requirement: 50-100 sq ft
-
Parlours at Centre of Excellence (COE):
– Space Requirement: 500-700 sq ft
Qualification Requirements: Documents Required for Amul Franchise
To qualify as an Amul franchise owner, certain documents are required:
- Aadhar Card: As a proof of identity.
- PAN Card: For taxation purposes.
- Bank Details: To facilitate financial transactions.
It’s essential to note that meeting these requirements and qualifications is a preliminary step. Additionally, potential franchisees may need to undergo a screening process by Amul, which could involve an assessment of business acumen, financial stability, and adherence to Amul’s standards.
| Prospective franchisees should also be prepared to follow Amul’s guidelines and standards for operations, branding and product quality to maintain consistency across the franchise network. Regular communication and cooperation with the franchisor will likely be expected to ensure the success of the franchise partnership. |
Amul Franchise Cost in India:
To set up an Amul franchise, the investment required varies depending on the type of franchise. Here’s a breakdown of the security deposit, approximate cost, and equipment expenses for each type:
-
Amul Preferred Outlet:
– Security Deposit: ₹25,000
– Approximate Cost: ₹80,000
– Equipment Expenses: ₹80,000
-
Ice Cream Scooping Parlour:
– Security Deposit: ₹50,000
– Approximate Cost: ₹3,00,000
– Equipment Expenses: ₹1,50,000
-
Amul Unit at Railway Stations:
– Security Deposit: ₹1,00,000
– Approximate Cost: ₹2.5-4 lakhs
– Equipment Expenses: ₹50,000
-
Parlours at Centre of Excellence (COE):
– Security Deposit: ₹50,000
– Approximate Cost: ₹2.5-4 lakhs
– Equipment Expenses: ₹50,000
| These figures provide a general overview, and actual costs may vary based on factors such as location, size, and specific requirements of individual franchises. Prospective franchisees are advised to contact Amul directly for detailed and up-to-date information on the Amul franchise product list, Amul franchise monthly income, Amul franchise cost and profit for the type of franchise they are interested in. |
Benefits of Owning Amul Franchise:
- No profit-sharing / no royalty
- Additional purchase discount
- Subsidy on all equipment and branding
- Good business platform
- Inauguration support
And lots more…
Conclusion
Vakilsearch experts will guide you in establishing your franchise business. Our lawyers will get your franchise agreement drafted.
Other Franchisees:
