Archive for February 19, 2007

How much does it cost to start up a deli?

webman asks:

I am hoping to start up an eatery (almost like a deli) business and I am wondering how much money it would cost to start up this type of business. Also if posible, spread it out into categories. e.g. how much does it cost to rent the building? how much does it cost to get the minimum amount of equipment, etc…

Mr. BizPlan Answers:

I have worked with a lot of deli style franchises and typically they cost between $150,000-$270,000 depending on square footage (1500-2500 sq ft within those ranges). Subtract $25,000-$35,000 for the franchise fee and you should be in the ball park.

The breakdown of this investment is typically:
Fit up of leased space: 25%
Furniture & Fixtures: 20%
Equipment: 10%
Start-Up Expenses: 30%
Cash on Hand: 15%

But these vary depending on a number of factors.

If you are looking for more general information on starting and financing a business check here: http://www.diybizplan.com

Good Luck
Mr BizPlan

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