How to Start Frullato Franchise Investment Details, Royalty Fee In 2025

Introduction
Frullato is a contemporary food and beverage brand with a focus on thick shakes, iced coffees, sweet treats and the like. It has made its place in the market of health-conscious and youth-oriented food that is rapidly spreading, thus making it a possible franchising opportunity for those entrepreneurs who are in search of a small-scale food service business model.

Investment Details (2025)

Frullato’s initial investment to start one outlet differs according to the model (kiosk or café), the location, and the size. The subsequent presentation qualitatively illustrates a common cost distribution:

Franchise cost (non-recurrent): Around ₹5 lakhs for the purchase of the brand and the rights of the business license.

Infrastructure and setup costs: About ₹4-5 lakhs, including interiors, decoration, and minor construction.

Furniture, electronics, POS systems: Close to ₹2 lakhs..

Equipment and kitchen supplies (including blenders, display units, and fridges): Roughly ₹1-2 lakhs.

Other expenses such as inventory, marketing, and initial month staff salaries: Approximately ₹2 lakhs.

Combining everything, the total investment usually falls between ₹10 lakhs and ₹15 lakhs for smaller setups in non-prime locations. In metro or high-rent cities, this amount could be slightly higher (₹12-18 lakhs) because of the increase in rent and raw-material costs.
Well-managed outlet profit margins are estimated to be 30% to 40% of revenue, and the typical return on investment (ROI) is 12-24 months, depending on location and execution.

Royalty & Ongoing Fees

Based on the franchise agreement, the franchiser gets royalties on a monthly basis, calculated from either the gross or net sales:

The royalty fee that a Franchisee pays can vary from 5% to 8% on the total gross sales in a month.

This amount not only supports the brand but also covers the marketing materials, training, R&D, and maintaining the outlet’s brand standards.

The franchisee may also have to incur expenses like regular marketing contributions, local advertising, rent, utilities, wages for workers, and increased costs for raw materials.

Location & Space Requirements

Kiosk model: About 150 - 200 sq ft to be set up in a place where many people pass (like a mall, high street, or college area).

Café style: where stools are, a counter and a place for storage take around 250-300 sq ft.

The most important thing is where to place the outlet. Well-accessed, visible, crowded with people, and near the youth/food-lifestyle areas—these are the factors that will surely increase the success of the outlet.

Application & Selection Process

Send an inquiry along with your business profile, investment capacity, and preferred location.

The brand team assesses the space, the population, the lease document, and the financial credentials.

After getting approval, sign the franchise agreement, pay the franchise fee, get trained, set up the outlet according to the brand standards and finally open.

Frullato will assist in the training related to operations, recipes, equipment use, and the service standards, besides providing ongoing brand support.

Pros & Considerations
Advantages: A smaller, less cash-intensive investment than that of full-service restaurants, easy to sell products (shakes/desserts) with good prices, catering to the young audience, and an available brand. Issues: The location will be crucial for the success, product quality has to be consistent, controlling costs (for rent and raw materials), attracting and keeping foot traffic, and adapting to local tastes. The franchiser's payment and other recurring expenses must be taken into account when determining net profit.

Conclusion
Frullato can be a good choice in 2025 if you want to invest moderately and get into the F&B franchise area. The investment might be around ₹10-18 lakh, and along with a 5-8% royalty on sales, the potential ROI will be in 12 to 24 months at the earliest. The success of the model will be determined by the location you choose and the quality of your operation management. However, this will be true for all franchises; hence, the outcomes would vary according to the market conditions, locations, and operations - thus, it is better to be cautious on the matter, consulting the present franchisees, and analysing local demand before you make your decision.