About Desi District Franchise Group Franchise
Desi District is a restaurant and grocery franchise concept that celebrates South Asian cuisine and culture.
The brand brings authentic Indian and Pakistani food, spices, and specialty groceries to American communities through a combined dining and retail format.
Desi District began franchising in 2024.
Desi District Franchise Group Franchise Cost & Fees
Minimum Investment
$669K
Average Investment
$1.6M
Maximum Investment
$2.6M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $30,000 - $40,000 | One-time payment upon signing |
| Royalty Fee | 4% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Up to 5% of Gross Sales (Market Cooperative, currently none) plus up to 2% of Gross Sales (Local Marketing) | National brand fund |
| Total Investment Range | $669,200 – $2,628,000 | Includes build-out, inventory, working capital |
The investment range of $669K–$2.6M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (4% of Gross Sales) and marketing fee (Up to 5% of Gross Sales (Market Cooperative, currently none) plus up to 2% of Gross Sales (Local Marketing)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial franchise fee | $30,000 | $40,000 |
| Rent and Lease Security Deposit | $5,000 | $75,000 |
| Utilities | $1,000 | $5,000 |
| Leasehold Improvements | $390,000 | $1,500,000 |
| Market Introduction Program | $5,000 | $15,000 |
| Furniture, Fixtures, and Equipment | $120,000 | $350,000 |
| Computer Systems | $7,000 | $15,000 |
| Insurance | $2,000 | $10,000 |
| Signage | $8,000 | $20,000 |
| Office Expenses | $500 | $2,000 |
| Inventory | $20,000 | $200,000 |
| Licenses and Permits | $1,000 | $5,000 |
| Dues and Subscriptions | $200 | $1,000 |
| Professional Fees (lawyer, accountant, etc.) | $1,500 | $5,000 |
| Travel, lodging and meals for initial training | $3,000 | $10,000 |
| Additional funds (for first 3 months) | $75,000 | $250,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 plus any broker fees and other out-of-pocket costs we incur |
| Technology Fee | $900 - $2,100 per month |
| Audit Fee | Our actual cost (if franchisee fails to submit reports, is non-compliant, or under-reports gross sales by >3%) |
| Replacement / Additional Training fee | $350 per day |
| Third party vendors | Pass-through of costs, plus reasonable administrative charge. Currently, none. |
| Non-compliance fee | $500 (initial), $250 per week (thereafter) |
| Reimbursement | Amount that we spend on your behalf, plus 10% |
| Late fee | $100 plus interest on the unpaid amount at a rate equal to 18% per year (or, if such payment exceeds the maximum allowed by law, then interest at the highest rate allowed by law) |
| Insufficient funds fee | $30 (or, if such amount exceeds the maximum allowed by law, then the maximum allowed by law) |
| Costs of collection | Our actual costs |
| Special support fee | Currently, $600 per day, plus our expenses |
| Customer complaint resolution | Our expenses |
| Special inspection fee | Currently $600, plus our out-of-pocket costs |
| Non-compliance cure costs and fee | Our out-of-pocket costs and internal cost allocation, plus 10% |
| Liquidated damages | An amount equal to royalty fees for the lesser of (i) 2 years or (ii) the remaining weeks of the franchise term |
| Indemnity | Our costs and losses from any legal action related to the operation of your franchise |
| Prevailing party’s legal costs | Our attorney fees, court costs, and other expenses of a legal proceeding, if we are the prevailing party |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Initial training program consists of 75 hours of classroom training and 52 hours of on-the-job training, plus up to two weeks of on-site opening support. |
| Classroom Training | 75 hours |
| On-the-Job Training | 52 hours |
| Training Location | Frisco, TX or Your Location |
| Additional Training | Franchisor may require additional training programs or refresher courses. A fee of $350 per day may be charged for sending a new general manager or other employee to training after opening. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Exclusive |
| Exclusive Territory | Yes |
| Territory Size | Approximately 50,000 people within a 5-mile radius for the Eatery model, and approximately 100,000 people within a 10-mile radius for the Grocery Market model. |
| Description | Your territory will usually be specified as a radius around your location; however, we may use other boundaries (such as county lines or other political boundaries, streets, geographical features, or trade area). |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | Up to 3 additional 5-year terms |
| Renewal Conditions | Give advance notice (90-180 days prior); be in compliance with all contractual obligations; renovate to then-current standards (including Remodel if applicable); sign then-current form of franchise agreement and related documents (including personal guaranty); sign general release (unless prohibited by applicable law). |
| Transfer Fee | $10,000 plus any broker fees and other out-of-pocket costs we incur |
| Transfer Conditions | Pay transfer fee; buyer meets franchisor's standards; buyer is not a competitor; buyer and its owners sign then-current franchise agreement and related documents (including personal guaranty); franchisee has made all payments and is in compliance; buyer completes training program; franchisee signs a general release; business complies with then-current system specifications (including remodel, if applicable). |
| Termination for Cause | Non-payment (10 days to cure); other breaches (30 days to cure); operate in a manner dangerous to health or safety (48 hours to cure). Without cure period: misrepresentation, false reports, bankruptcy, lose possession of location, violation of law/confidentiality/non-compete/transfer restrictions, slander/libel, refusal to cooperate with inspection, cease operations for >5 days, three defaults in 12 months, cross-termination, felony charge/conviction, acts materially affecting brand, other non-curable breaches. |
| Non-Compete Period | During term and 2 years post-term |
| Non-Compete Details | During the term, Restricted Parties (Franchisee, Owner, spouse of Owner) cannot have ownership interest in, lend money to, provide services to, or be employed by any Competitor. Post-term, for two years, Restricted Parties cannot engage in similar activities with any Competitor within five miles of former territory or any other Desi District business operating on termination date. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | You are not required to participate personally in the direct operation of your business. However, a 'Principal Executive' must be designated, own at least 10% of the business, complete initial training, and make reasonable efforts to attend all required meetings. The business must be under the on-site supervision of the Principal Executive or a general manager who has completed the training program. |
| Required Suppliers | Our affiliate, TAR Distributors, Inc. for merchandise, apparel, food product and goods; and other approved vendors. |
| Supply Restrictions | Franchisor has the right to require franchisees to purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items either from franchisor/designee, approved suppliers, or according to franchisor's specifications. |
| Franchisor Revenue from Suppliers | Franchisor will derive revenue from required purchases and leases by franchisees. This includes referral fees from attorneys for lease/contract negotiations, kitchen/grocery equipment purchases, and architect services for building design and development. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligations. |
Desi District Franchise Group Franchise Earnings — Item 19
Average Revenue
$3.9M
Median Revenue
$2.6M
Revenue Range
$546K – $7.5M
Sample Size
5 units
Past financial performance does not guarantee future results. Individual results will vary.
Desi District Franchise Group Litigation & Risk Flags
Clean Litigation RecordDesi District Franchise Group has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Desi District Franchise Group System Growth
Total Units
5
Franchised
0
Company-Owned
5
Desi District Franchise Group currently operates 0 franchised locations and 5 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 2 | 0 | 3 |
| 2022 | 2 | 0 | 5 |
| 2023 | 0 | 0 | 5 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 15 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
0
Total Assets
$100K
Desi District Franchise Group Franchise — FAQ
The total investment to open a Desi District Franchise Group franchise ranges from $669,200 to $2,628,000, per their Franchise Disclosure Document. This includes the initial franchise fee of $30,000 - $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Desi District Franchise Group charges a royalty fee of 4% of Gross Sales of gross sales, plus a Up to 5% of Gross Sales (Market Cooperative, currently none) plus up to 2% of Gross Sales (Local Marketing) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Desi District Franchise Group Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Desi District Franchise Group to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Desi District Franchise Group franchise owners report average revenue of $3.9M and median revenue of $2.6M. This is based on a sample of 5 units. Past performance does not guarantee future results.
Desi District Franchise Group has been franchising since 2024. The FDD shows an investment range of $669,200-$2,628,000, a 4% of Gross Sales royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $30,000 - $40,000 and the total investment ranges from $669,200 to $2,628,000 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Desi District Franchise Group and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Desi District Franchise Group or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com