Drunken Monkey is a cafe chain that has gained popularity in India for its unique, quirky decor and its focus on sustainability. The company was founded in 2014 by Gaurav Jain and Atul Kumar, who were both passionate about coffee and wanted to create a cafe that would stand out in the crowded market. They opened their first cafe in South Delhi and quickly gained a loyal following with their delicious coffee and tea blends, smoothies, and snacks. Currently, the drunken monkey franchise has expanded all over India.
Since its founding, Drunken Monkey has expanded to multiple locations across India, including in Delhi, Mumbai, Bangalore, and Hyderabad. In addition to its cafes, the company also has a range of products available online and in retail stores, including coffee beans, coffee blends, and tea blends.
One of the things that set Drunken Monkey apart from other cafe chains is its focus on sustainability. The company has a goal of becoming a zero-waste cafe chain, and it has implemented a number of initiatives to reduce its environmental impact. For example, it uses biodegradable cups and cutlery, and it has installed water purifiers to reduce the number of plastic water bottles used in its cafes. The company also works with small farmers and sources its coffee and tea directly from them, helping to support local communities.
Overall, Drunken Monkey has established itself as a unique and innovative cafe chain that is committed to serving high-quality coffee and tea while also working to reduce its environmental impact.
Drunken Monkey Franchise Cost
The initial investment for a Drunken Monkey franchise is nearly ₹18,00,000 Rupees. The franchise fee is ₹7,00,000 Rupees+GST. The minimum required area for the franchise is 200 square feet. The royalty charged on gross sales will be 6%+GST.
Below are the details of the investment to start a drunken monkey franchise in India.
| Expenses | Amount (in Rupees) |
|---|---|
| Franchise Fee – 7 lakhs (+18% GST) | 8,26,000 |
| Machinery and Equipment | 5,00,000 |
| Advance Raw Material | 50,000 |
| Interior and Civil Cost | 3,50,000 |
| Other Expenses | 50,000 |
| Total Cost | 17,76,000 |
Facts about the Drunken Monkey Franchise
- The franchise agreement will be valid for a period of 5 years.
- Upon completion of the initial agreement period, the franchise can be renewed by paying an additional fee of 10% of the initial franchise fee.
- The franchisor will provide a majority of the necessary ingredients for the smoothies. It is not specified if there are any ingredients that the franchisee will be responsible for purchasing.
- A minimum of 3 workers will be required to operate the franchise. It is not specified if there is a maximum number of workers that can be employed.
- All smoothies offered by the Drunken Monkey franchise will be made with natural ingredients, with no added sugar or preservatives. It is not specified if any other products or menu items may contain artificial ingredients.
Drunken Monkey Franchise Profit Margin
We will analyze the profit of the Drunken Monkey Franchise in India, considering 3 sales scenarios of the stores to get better figures for the profit margin.
| Particulars | Best Case Sales (in Rupees) | Average Case Sales (in Rupees) | Worst Case Sales (in Rupees) |
|---|---|---|---|
| Monthly Gross Sales | 5,00,000 | 3,50,000 | 2,00,000 |
| Cost of Material 30% | -1,50,000 | -1,05,000 | -60,000 |
| Space Rent | -50,000 | -44,000 | -40,000 |
| Royalty 6% | -30,000 | -21,000 | -12,000 |
| Employee Salary | -50,000 | -45,000 | -40,000 |
| Electricity and Water Bills | -18,000 | -14,000 | -10,000 |
| Online Delivery Platforms | -15,000 | -11,000 | -8,000 |
| Other Expenses | -10,000 | -10,000 | -10,000 |
| Total Net Profit | 2,27,000 (45.4% of sales) | 1,00,000 (28.57% of sales) | 20,000 (10% of sales) |
The above calculation shows that the average net profit of the Drunken Monkey franchise considering all 3 scenarios(45.4%, 28.57%, 10%) is 28% of total monthly sales. Which is an excellent profit margin in this industry and makes Drunken Monkey a successful franchise.
Keep in mind that this is just an example, and your actual profit margin may be different depending on your specific circumstances. It is always a good idea to carefully track your costs and revenue to get a clear picture of your profit margin and make any necessary adjustments to improve your profitability.
Must Read: Barista Franchise Cost and Profit Details.
How to start Drunken Monkey Franchise?
- Research the company: Before you invest in a franchise, it’s important to thoroughly research the company and its franchise program. This can include visiting the company’s website, reading reviews and testimonials, and speaking with current franchisees. This will help you understand the company’s business model, its support and training programs, and its financial performance.
- Review the franchise agreement: Once you have decided that you want to pursue a Drunken Monkey franchise, it’s important to carefully review the franchise agreement. This document will outline the terms of your franchise relationship with the company, including the initial investment, the ongoing fees and royalties, and the duration of the agreement. Make sure you fully understand the terms and conditions of the agreement before signing.
- Obtain financing: In order to start a franchise, you will likely need to secure financing to cover the initial investment and other costs. This can involve obtaining a small business loan or using personal savings or investments. Be sure to carefully consider your financing options and choose the one that is best for your situation.
- Find a location: Once you have secured financing, you will need to find a suitable location for your franchise. This will involve identifying a location that meets the requirements of the franchise agreement and that is in a location that is likely to attract customers.
- Complete the training program: Most franchises require new franchisees to complete a training program before they can open their business. This will typically include both classroom-based training and on-the-job training at an existing franchise location. The purpose of the training program is to prepare you to run your franchise successfully.
- Open your franchise: Once you have completed the training program and found a suitable location, you can officially open your Drunken Monkey franchise. This will involve setting up the business, hiring staff, and launching marketing and advertising efforts to attract customers.
To make an inquiry, visit their website: https://www.thedrunkenmonkey.in/partner-with-the-monkey.php or mail them to [email protected].
FAQs
What is the profit margin of Drunken Monkey?
the Average Profit margin of Drunken Monkey is 28% with average case sales of rupees 3,50,000. The profit can be increased more upto 50% with increasing sales.
Who is the owner and Founder of Drunken Monkey?
Gaurav Jain and Atul Kumar are the founders and Owners of the Drunken Monkey.
How much does Drunken Monkey Franchise Cost in India?
The Drunken Monkey franchise will cost nearly ₹18,00,000 Rupees in India. This figure may change depending on several factors like location, equipments, interior and civil work, etc…
