| Franchise FAQs | More: Franchise Info | Franchise Application |
I have no restaurant or business experience, how will I operate my Chinese Mirch franchise?
We're there at every step to make it easy. You will be working with passionate, experienced professionals who will assist you all the way from site selection, product development to marketing efforts. You will be provided with a complete recipe manual with standardized ingredients, measures and portions Comprehensive training for 3 weeks in all aspects of the Chinese Mirch franchise will be provided to management at the company location. On-site training will typically takes place when the franchisee commences operations. An experienced trainer from Chinese Mirch will provide on-site training for a period of five to ten days to assist you in the commencement of operations.
Will Chinese Mirch find me a site?
As the old industry adage says, "There are three important keys to success - location, location, location!" Through our collective experience, the staff at Chinese Mirch has located hundreds of successful restaurant sites. Combine that with the specific knowledge of what site and market characteristics make a great Chinese Mirch, and you have a formula for success. We are committed to the success of our franchise owners and will make our expertise available to you as you search for your own location. Although the final decision is yours, we will be there to assist you at every step of the process.
What is the initial franchise fee?
For a Chinese Mirch restaurant, you must pay a $28,000 lump sum franchise fee when you sign the Franchise Agreement. You will pay a $21,000 lump sum franchise fee when you sign the Franchise Agreement for a second and subsequent franchise. You will pay a $15,000 lump sum franchise fee if you are an employee, family member or friend of ours. Otherwise, the franchise fee is uniform.
For a Chinese Mirch Express, a quick service concept for malls and business districts, the franchise fee is lower. Please contact us for additional details.
How much is the royalty fee?
The continuing services or “royalty fee” is 5% of your gross sales and is paid weekly. This fee entitles you to use the “Chinese Mirchâ” service mark, use of distinctive system, marketing assistance, ongoing business development and counseling and other benefits that come with being a Chinese Mirch franchisee.
How much is the marketing fee?
Franchisees are required to contribute up to one percent of gross sales to a corporate marketing fund. These contributions will be paid concurrently with the royalty payments, but will be deposited into a separate account dedicated to the corporate marketing fund. All company-owned units will make a similar contribution.
Generally, the fund will be used to cover the development of advertising programs, materials, and creative work. All funds will be spent by, and at the discretion of Chinese Mirch in order to benefit all franchisees.
How much is the initial investment?
The table below estimates projected costs for a Chinese Mirch restaurant. The high estimate is for New York City. These figures could vary based on site location and size of the unit.
| DESCRIPTION | LOW | HIGH | PAYMENTS MADE TO |
| Franchise Fee | $28,000 | $28,000 | Us |
| Real Estate/Rent | $10,000 | $100,000 | Lessor (includes deposit) |
| Utility Deposits | $1,000 | $5,000 | Utilities |
| Leasehold Improvements | $70,000 | $180,000 | Contractor/Suppliers |
| Furniture, Fixtures, & Equipment | $24,000 | $65,000 | Suppliers |
| Initial Inventory | $3,000 | $25,000 | Approved Suppliers |
| Insurance | $6,000 | $15,000 | Insurance Company |
| Signage | $4,000 | $10,000 | Supplier |
| Vehicle | $300 | $2,500 | Supplier |
| Office Equipment & Supply | $1,000 | $3,000 | Supplier |
| Computer Equipment (Hardware/Software) | $7,500 | $20,000 | Approved Supplier |
| Grand Opening (First 3 Months) | $2,000 | $5,000 | Advertising Suppliers |
| Licenses & Permits | $6,000 | $10,000 | Licensing Authorities |
| Legal & Accounting & Architect Fees | $7,000 | $15,000 | Attorney, Accountant, Architect |
| Security System, Menus, Etc. | $5,000 | $10,000 | Suppliers |
| Design Fees | $500 | $5,000 | Designated Design Firm |
| Additional Funds (3 Months) | $45,000 | $150,000 | Employees, Utilities, Suppliers |
| Training (Up to 4 Trainees) | $5,000 | $7,500 | Airlines, Hotels & Restaurants |
| TOTAL BEFORE FRANCHISE COSTS |
$225,300 | $656,000 | |
| AVERAGE | $440,650 |
These costs are lower for Chinese Mirch Express concept; please contact us for more information on the costs.
How do I finance the business?
The Company does not offer direct financing. However, there are financing programs available to qualified applicants through leading North American Banks and other lending institutions.
How much profit can I earn?
Profit varies from store to store for both company and franchise locations. There is no single answer that would be correct for all stores and most importantly, for your store. The size and location of your restaurant as well as your commitment, reputation with customers, management and many other factors make it impossible to predict numbers. For these reasons, Chinese Mirch does not project profits of new or existing franchise restaurants. We can provide any information we gather on a specific market or location in order for you to make an estimate that might be helpful. However, the final estimates will have to be made by you.
Does Chinese Mirch make any financial representations?
Annual gross revenue figures for the corporate location are available upon request. You should not consider the information provided as the actual or potential annual gross revenue that you or any franchisee will realize for a Chinese Mirch franchise restaurant. We do not represent that you or any Chinese Mirch franchisee can expect to attain these annual gross revenue volumes. Newly opened units cannot be expected to immediately achieve annual gross revenue volumes similar to those of an established unit such as the Affiliate’s Restaurant operated by Chinese Mirch Lex, Inc.. You also may experience different results depending on your restaurant location, your personal business, marketing, management, judgment and other skills and your willingness to work hard as well as other factors.
How long does it take to open a Chinese Mirch Franchise?
We estimate that the typical length of time between the signing of the Franchise Agreement and the opening of the franchise is 180 days. Factors that may affect your beginning operations include ability to secure permits, zoning and local ordinances, weather conditions and delays in installation of equipment and fixtures. You are required to open your franchised restaurant and be operational within 270 days after signing the Franchise Agreement.
Can I develop and design the restaurant in accordance to my liking?
Chinese Mirch provides specific guidelines as to the interior and exterior design and layout, which may include specifications as to the fixtures, equipment, décor and signs to maintain a consistent brand design and image across locations. If there are some changes applicable to a specific site, Franchisee shall submit to Chinese Mirch for approval all mock ups and/or drawings for any and all signage as well as any changes and/or variances to Franchisor’s design plan.
Franchisee must purchase, furniture, fixtures, equipment, including computer equipment, inventory and signage under specifications in the Chinese Mirch Operations Manual. These specifications include standards and specifications for the appearance, quality, price, performance and functionality. We may also require that franchisee purchase their furniture, fixtures, equipment, including computer equipment, inventory and signage from our approved suppliers, which may include and/or be limited to us and/or our affiliates.
Do I have to buy my product from Chinese Mirch?
To ensure that high and uniform standards of quality and service are maintained, all Franchisees are required to operate their Chinese Mirch restaurant in strict conformity with our methods, standards, and specifications. In order to maintain these standards, certain purchases must be made from approved suppliers.
Do I have to be involved in the day to day operations?
The Franchisee does not have to personally operate the Chinese Mirch restaurants. However, there must be a full time Manager who has satisfactorily completed the training course provided by Chinese Mirch and is devoted to the operation of the restaurant. This designated Manager must be an individual holder of a legal interest in Franchisee who has at least ten percent (10%) of the equity in Franchisee In addition, it is important to note that to a large part the success of a Chinese Mirch franchise depends on the entrepreneurial skills, attitude, and financial stability of the Franchisee. Therefore Chinese Mirch strongly recommends that Franchisees be actively involved on a day-to-day basis in their restaurant.
What assistance and support does Chinese Mirch provide its franchisees?
Starting a new business from scratch involves a costly trial and error period. By using the established Chinese Mirch system, you may be able to reduce your risks. You will be the owner of a business with an exciting concept, with the support of experienced restaurateurs behind you for years to come. As part of the well respected Chinese Mirch brand you will have an advantage over your competition.
Before the franchised restaurant opens Chinese Mirch:
- Assists in site evaluation and selection, lease review and recommendations for site development including specifications for remodeling and equipping the approved location.
- Provides comprehensive training that prepares you in owning and operating a Chinese Mirch restaurant. Our extensive back of the house training in our recipes prepares your chefs for recreating from scratch the same product that is served in all our locations.
- Provides on-site assistance and guidance with any questions you may have in operating the franchised restaurant.
- Provides one copy of the Chinese Mirch Operations Manual; the approximate total number of pages in the Operations Manual is 235 all of which detail policies and required practices relative to the operation of a Chinese Mirch business. It is a convenient tool that helps you effectively implement our business system.
- Provides guidance in all aspects of starting and managing a business- access to a large network of vendors, purchase of supplies, equipment and food, hiring, training and retaining personnel, advertizing and promotion and control methods for running and efficient business.
After the opening of the franchised restaurant:
- We will advise you and offer general guidance to you by telephone, e-mail, facsimile, newsletters and other methods on a variety of business matters, including operational methods, accounting procedures, authorized products or services and marketing and sales strategies.
- We make periodic visits to the franchised restaurant to provide you with consultation, assistance and guidance in various aspects of the operation and management of the franchised restaurant. We may prepare written reports suggesting changes or improvements in the operations of the franchised restaurant and detailing deficiencies that become evident as a result of a visit.
- We make available to you operations assistance and ongoing training as we deem necessary.
- We assist with developing creative and targeted local marketing plans.
- Offer and approve forms of advertising materials you will use for point of purchase, local advertising, grand opening advertising and cooperative advertising.
This is not an offering. A prospectus, filed first with the Department of Law of the State of New York, can only make an offering. Such filing does not constitute approval by the Department of Law.
More: Franchise Info | Franchise Application
