Franchise Program - Q&A

Q: What is my initial investment and how much capital do I typical need?

A: MasalaWok^® franchises are available for the total initial turn-key investment of US$327,500 – US$452,000, includes an initial franchise fee of $20,000.

The MasalaWok^® Franchise Program offers opportunities for single unit franchises in designated markets across the U.S. There are exceptional opportunities available for multi-unit developers in some of the most highly ranked markets in the U.S. Major metropolitan areas require that multi-unit developers develop a minimum of three stores over a stipulated timeframe.

We require that single-unit operators have a minimum net worth of $250,000 of which $150,000 must be liquid capital. Multi-unit developers must have liquidity totaling $150,000 per store that they are seeking to develop.

Single-unit developers must live in the market they are seeking to develop.

Multi-unit developers must either live or operate existing businesses in the market they are seeking to develop.

Multi-unit developers must have restaurant operational or development experience.

Q: What does the US$327,500 - US$452,000 investment include?

A: The investment range covers all fees, construction costs, starting inventory, décor, equipment, and even includes working capital. Essentially, these numbers represent everything you need to open and operate a MasalaWok^®. Your investment could be higher depending on what area of the country you are interested in.

Q: Are there any continuing or ongoing fees after I pay the initial franchise fee?

A: Yes, you pay an ongoing royalty fee of 5% of weekly sales. Advertising expenses include reserving 2% of your weekly gross sales to be spent by you on local marketing. An additional advertising expense of up to 2%, currently 0.5%, of weekly gross sales may be required to be paid into the MasalaWok^® Marketing Fund.

Q: How much money can I make from a Masala Wok® investment?

A: Since the actual results of individual franchises are based on factors that are not within control of MasalaWok^®, we do not provide estimates of profits or revenues.

Q: What types of locations are suited for Masala Wok®?

A: MasalaWok^® locations are generally about 2500 square feet. They are usually located in neighborhood and community strip centers, power centers and business district locations. The optional area is typically densely populated, has significant traffic count, and is highly visible and located near numerous traffic generators.

Q: Does Masala Wok® make money on any products or suppliers distributed to the store?

A: No, MasalaWok^® doesn’t markup any goods, items, or supplies distributed to the store. We believe that by helping our franchisees reduce their cost, they will in turn be more profitable and open more stores.

Q: Do I have to run the store?

A: You are not required to run the store, but successful stores are those operated by the owner(s), an operating partner or a seasoned manager.

Q: Can you send me a UFOC for my review?

A: The Application must be completed and returned to the MasalaWok^® for review. We then evaluate each applicant’s qualifications and ascertain a candidate’s financial ability to successfully open and operate a MasalaWok^® Restaurant. Once an applicants qualifications are approved and matched with available opportunities candidates will be issued a Uniform Franchise Offering Circular (UFOC).