“Lassi Day Cafe” Franchise Cost in India: Franchise Model, ROI, Eligibility Criteria & Steps to Apply

If you’re exploring a low-investment franchise in the F&B (food & beverage) space, especially centred around beverages like lassi and mocktails, then “Lassi Day Cafe” presents an interesting opportunity. In this post, we’ll dig into the brand’s franchise model, cost structure, expected ROI, eligibility criteria and application steps — including additional insights you might not always find in the standard franchise brochures. As always — treat the numbers as indicative, and conduct your own due diligence.

About Lassi Day Cafe & the Business Concept

Lassi Day Cafe is a relatively newer Indian café/quick-service brand that focuses primarily on lassi (the traditional Indian yogurt-based drink) and mocktails / fresh beverages, along with some snacks. According to their official website, the concept is about “fresh, healthy, affordable” drinks, a modern café ambience, and the appeal of a traditional drink in a contemporary format.
The brand is positioned to appeal broadly — families, youth, casual diners — and is expanding via franchise partnerships. For example, declarative listings state that they are operational in several cities in South India and are looking to expand.
This kind of F&B concept may suit entrepreneurs who want a manageable food business with moderate scale, rather than a full-scale restaurant.

Franchise Model: How Lassi Day Cafe works

Format & space

• The typical store/café size is fairly modest: some sources say 150-200 sq ft for kiosks/compact formats.
• Other more built-up café formats may require up to 250-500 sq ft, according to some listings.
• The brand mentions different models: café, container (pop-up) and kiosk formats. For example, one listing shows 150-500 sq ft for café vs container vs kiosk.

Investment structure & fees

• Franchise fee (one-time) is reported as ₹2.85 lakh to ₹3 lakh for many single-unit formats.
• Setup cost (interior + equipment + initial inventory + working capital) is reported around ₹4 lakh–₹6 lakh for smaller units.
• Total investment (including all cost components) is cited to be ₹7 lakh–₹10 lakh for many franchisees.
• Some sources provide a wider range, e.g. ₹5–10 lakh.
• Importantly: royalty fees are reported as zero for Lassi Day Cafe in many sources — i.e. the franchisee does not pay ongoing royalty (though some terms may vary by location).

Agreement & brand support

• Agreement tenure: Many sources list a 5-year franchise agreement for single units.
• Brand support: Training, menu support, raw material supply and marketing support are mentioned in the franchise-opportunity descriptions.
• The brand lists “FOFO” (Franchisee Owned, Franchisee Operated) model for many formats.

Franchise Cost Breakdown & Practical Numbers

Here’s a more detailed breakdown of what you should budget for (based on available data):

• Franchise fee: ~ ₹2.85-3 lakh (one-time)
• Setup/interior/equipment: perhaps ₹4-6 lakh (depending upon location, size, finish)
• Initial inventory + raw materials: ~ ₹1-2 lakh
• Working capital for first few months (staff salaries, utilities, rent cushion): ~ ₹1-2 lakh
• Miscellaneous (licenses/permits/marketing launch): ~ ₹0.5-1 lakh
• Total estimated investment: ~ ₹7-10 lakh for a smaller kiosk/café size (150-200 sq ft) format in a moderate location.

If you go for a larger footprint (say 300-500 sq ft) or a premium shopping mall location, expect the cost to creep up.

Also note: the location’s rent, local labour cost, utilities and local marketing need to be built into your business plan (these are recurring costs).

ROI and Profitability Expectations

Profit margin

• One source states that profit margin for franchisees is around 35%-50% of turnover.
• Another listing suggests “50% profit margin” for the café model.
• Of course, these are gross margins; net profitability will depend on rent, utilities, staff, local competition, and how well operations are managed.

Payback / ROI timeline

• Many reports indicate ROI (payback of initial investment) in the 18-24 months range.
• Some more optimistic sources suggest payback in 6-12 months for very good locations.
• As with all retail/franchise models, success heavily depends on location (footfall), rent cost, and operational efficiency.

Example scenario

Suppose you open a kiosk with investment ₹8 lakh. If you achieve monthly sales of ₹3 lakh, and your net profit margin (after cost of goods, staff, utilities, rent) comes to ~₹70,000 a month (~28% margin) then you could recover investment in ~11-12 months. But if sales are slower (say ₹1.5 lakh monthly) and margin is 25%, then payback will stretch 24+ months. Always model worst case too.

Eligibility Criteria & Ideal Franchisee Profile

To succeed with a Lassi Day Cafe franchise you should aim to meet the following criteria (based on what the brand and franchise listings highlight):

• Financial capacity: ready capital to invest approx ₹7-10 lakh (for small format) plus buffer for working capital.
• Retail / F&B mindset: willingness to manage daily operations, ensure hygiene, quality of drinks and customer service. Even though brand handles training/support, you as franchisee must be hands-on or hire someone.
• Location sourcing: ability to identify/store a retail location with good footfall (shopping street, high street, mall, neighbourhood hub).
• Business acumen: Understand cost control (rent, staff, utilities), maintain inventory turn, moderate pricing.
• Brand alignment & quality compliance: adhere to brand guidelines for store design, menu, hygiene.
• Commitment to timeframe: be prepared for 18-24 months before full profits might stabilise.

Some listings mention minimum age (e.g., 24 years) and minimal educational criteria, but these are generic — the brand may not strictly enforce heavy academic qualification.

Steps to Apply for a Lassi Day Cafe Franchise

Here is a practical step-by-step process you can follow:

1. Initial research & self-assessment
   • Visit Lassi Day Cafe outlets, talk to existing franchisees if possible.
   • Check your own budget, local market (does your proposed city / town have the demand for lassi-&-beverage café?).
   • Evaluate possible locations: rent, competition, visibility, parking/footfall.
2. Contact brand/franchise team
   • Visit the official website and fill out the “Get Franchise”/enquiry form.
   • Provide your basic profile: name, contact, proposed location, investment capacity and any prior retail/F&B experience.
3. Receive Franchise brochure / detailed proposal
   • Brand should send you a detailed Franchise Information Memorandum (FIM) or franchise kit with cost details, terms, rights & obligations, territory rights, support provided etc.
   • Review the items: franchise fee, setup cost, working capital requirement, royalty (if any), term of agreement, renewal terms.
4. Site visit & approval
   • You propose one or more potential locations; the brand’s team will visit & assess (footfall, demographics, catchment area, rent viability).
   • Acceptable locations will be shortlisted & approved by brand.
5. Agreement signing & payment
   • Once location is approved, you sign the franchise agreement (usually 5 years for single unit as many sources show) and pay franchise fee + maybe initial deposit.
   • Confirm: brand obligations (training, store design specs, raw-material supply) and franchisee obligations (rent, staffing, local marketing).
6. Store setup & training
   • Build the store: interiors, equipment, signage in brand-approved format.
   • Brand provides training (owner + staff) on product preparation, service standards, operations, inventory.
   • Brand may assist with launch marketing (grand opening, local marketing blitz).
7. Grand opening & operational phase
   • Launch the outlet; drive local marketing, social media, walk-in promotions, maybe tie-ups with delivery platforms.
   • Monitor operations: sales daily, cost control (rent, utilities, labour), wastage, customer feedback.
   • Work with brand for ongoing support (updates, menu refreshes, supply chain).
8. Regular performance review & scaling
   • As business stabilises, monitor monthly performance. If successful, you may explore opening second unit or even sub-franchise/master-franchise territory (if brand allows).
   • Explore options for loyalty programmes, tie-ups, delivery, add-on snacks to boost turnover.

Additional Considerations & Tips before you invest

• Location is king: In F&B the difference between a high-footfall street/mall vs a tucked-away location can hugely impact sales. Make conservative estimates.
• Rent & utilities: These recurring costs often eat into margins. Don’t overpay for location just because it looks flashy; ROI should still work.
• Seasonality & local tastes: While lassi is popular, you’ll want to adapt to local taste preferences (flavours, snack add-ons) and maybe focus beyond just summer months (mocktails, shakes).
• Menu diversification & upselling: While the brand core is beverages, consider how you can upsell accompaniments (snacks, desserts) to increase average transaction value.
• Delivery & digital ordering: The café should ideally integrate with delivery platforms (Swiggy, Zomato) and have take-away/quick service options, especially in current times.
• Quality & hygiene: Beverage business demands high hygiene standards; a few bad reviews can hamper growth in local markets.
• Buffer for slower start: The first 3-6 months may be slower as awareness builds; ensure you have working capital to cover staff and fixed costs.
• Exit or renewal terms: Understand how the brand handles renewal of agreement, what happens if you want to exit, what are your obligations on store hand-back.
• Franchise support strength: Ensure brand is genuinely supporting you (not just collecting fee); ask existing franchisees about training, supply chain, reliability.

Conclusion

The Lassi Day Cafe franchise model presents a moderate investment (₹7-10 lakh or thereabouts for small format) opportunity with relatively attractive margin potential (30-50%), and the possibility of payback in 18-24 months in a good location. The fact that many sources list zero royalty (i.e., you keep most of profits after costs) is a compelling point.

However — as with any franchise opportunity: success will come down to location, operational discipline, cost control, and local market fit. Because the investment is not trivial (₹7 lakh+), you must evaluate carefully whether you can control the variables and commit to running the business.