About Neehee's Restaurant Franchise
Neehee's is a fast-casual restaurant franchise specializing in authentic Indian vegetarian cuisine.
Franchisees operate counter-service restaurants that feature on-premises dining and carry out with a wide variety of menu items including various chaats, dosas, sandwiches, meals, Indo-Chinese dishes, pakodas, ice creams, ice cream-related beverages, fresh fruit juices and sodas.
The restaurants serve the general public, targeting customers seeking tasty and healthy vegetarian Indian meals in a casual dining atmosphere, using fresh and locally sourced ingredients prepared according to proprietary recipes and specified standards.
Neehee's Restaurant Franchise Cost & Fees
Minimum Investment
$920K
Average Investment
$1.2M
Maximum Investment
$1.5M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $50,000 | One-time payment upon signing |
| Royalty Fee | 5% of Net Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 3% of Net Sales | National brand fund |
| Total Investment Range | $919,500 – $1,470,000 | Includes build-out, inventory, working capital |
The investment range of $920K–$1.5M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Net Sales) and marketing fee (3% of Net Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $50,000 | $50,000 |
| Training Expenses | $2,500 | $25,000 |
| Rent | $0 | $30,000 |
| Building Improvements | $500,000 | $700,000 |
| Furniture, Fixtures, Equipment, Audio Visual and Small Wares | $225,000 | $400,000 |
| Point of Sale System (Electronic Cash Register) | $3,000 | $10,000 |
| Insurance | $1,500 | $3,000 |
| Opening Inventory | $10,000 | $10,000 |
| Signage | $10,000 | $20,000 |
| Professional Fees | $50,000 | $100,000 |
| Uniforms | $2,500 | $5,000 |
| Grand Opening Advertising | $10,000 | $15,000 |
| System Performance Review Program | $0 | $2,000 |
| Additional Funds (initial period - 3 Months) | $50,000 | $100,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 75% of then-current Initial Franchise Fee (new franchisee); 40% (existing franchisee) |
| Renewal Fee | $10,000 |
| Audit Fee | Cost of audit plus Royalty and Marketing Fees due on understatement plus interest at highest legal rate not to exceed 1.5% per month |
| Local Advertising | Minimum of 1% of Net Sales |
| Additional Training | $100 to $1,000 per person per day, plus expenses |
| Additional Assistance | $100 to $1,000 per person per day, plus expenses |
| Remodeling and Renovation | Not more than 2% of Net Sales cumulative over previous five-year period |
| Proprietary Merchandise and/or Food Products | $5,000 |
| Alternate Product/Supplier Approval | Up to $5,000 |
| Mystery Shopping/Quality Assurance Program | Up to $2,000 initial and up to $250 per month |
| Interest | 18% per annum or highest maximum rate allowed by law |
| Web-based Marketing Program | Currently $0 |
| Liquidated Damages | Greater of 2 years of Royalty and Marketing Fee payments or $240,000 |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 7 days classroom (56 hours) plus approximately 12 weeks on-the-job training for management; approximately 14 days for staff training |
| Classroom Training | Approximately 56 hours |
| On-the-Job Training | Approximately 12 weeks |
| Training Location | Canton, Michigan and Westland, Michigan (principal office at 6321 Commerce Drive, Westland, MI 48185) |
| Additional Training | Management personnel hired after opening must complete Management Training at franchisee's cost. Refresher courses and additional training may be required at $100-$1,000 per person per day plus expenses. Staff training of approximately 14 days at franchisee's restaurant (7 days before and 7 days after opening). |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected with significant exceptions |
| Exclusive Territory | No |
| Territory Size | Minimum area of zero (limited to restaurant property) to a maximum area of three miles |
| Description | Designated Area typically ranges from zero to three miles. Enclosed malls, institutions, airports, parks, casinos, and sports arenas are excluded from the Designated Area. Franchisor retains rights to operate or franchise under different trademarks inside the territory, sell through dissimilar channels (grocery stores, internet) inside the territory, and grant franchises outside the territory regardless of proximity. Territory may be modified upon renewal or transfer. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years (one renewal term) |
| Renewal Fee | $10,000 |
| Renewal Conditions | Not in default; fully complied with Operations Manual and Franchise Agreement; satisfy then-current financial requirements; right to maintain possession of approved location; made capital expenditures for remodeling/renovation; satisfied all monetary obligations; paid renewal fee of $10,000; given timely written notice (no later than 1 year but no earlier than 3 years before expiration); sign then-current Franchise Agreement (terms may differ substantially); satisfy then-current training and certification requirements; sign general release. |
| Transfer Fee | 75% of then-current Initial Franchise Fee (new franchisee); 40% (existing franchisee) |
| Transfer Conditions | No default; franchisor satisfied with character, experience and credit of transferee; all debts paid; transferee completes training; general release signed; transfer fee paid; transferee signs then-current Franchise Agreement; transferee repairs/renovates to then-current standards; franchisee guarantees transferee's transfer obligations. |
| Termination for Cause | Non-curable defaults include: failure to commence construction or open; failure to complete training; breach of representations; unapproved transfer; bankruptcy/insolvency; felony conviction; substance abuse/sexual harassment. Curable defaults (15-day cure period) include: failure to pay; failure to meet standards; understating royalty by 5%+; dishonest/unethical conduct; abandonment for 10+ days; failure to carry required insurance. |
| Non-Compete Period | 5 years |
| Non-Compete Details | For 5 years after termination or expiration, franchisee and owners are prohibited from owning or working for a Competing Business within 25 miles of the franchise location designated area or within 25 miles of any other Neehee's Restaurant designated area; or soliciting or influencing any customers or business associates. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | Franchisee is not required to personally supervise the Restaurant. However, a Franchisee Designate must directly supervise 'on premises' who has been approved by the franchisor, successfully completed the training program, and beneficially owns at least 10% of the Restaurant. |
| Required Suppliers | Franchisees must purchase proprietary dry ingredients and spice packets from Nihi Distributing, Inc. (affiliate Designated Supplier). All other equipment, supplies, and inventory must be purchased from Approved Suppliers. Designated suppliers exist for bread products, beverages, and loyalty/gift card programs. |
| Supply Restrictions | Approximately 90% of overall purchases for establishing and operating the Restaurant must come from designated or approved suppliers. Franchisees must pay up to $5,000 for testing and approval of any proposed alternative supplier or product. |
| Franchisor Revenue from Suppliers | Nihi Distributing, Inc. derived $1,082,575 in revenue from required purchases by franchisees in fiscal year ending December 31, 2022. No rebates currently received but franchisor reserves the right to receive rebates in the future. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Franchisor does not offer direct or indirect financing and does not guarantee notes, leases, or obligations. |
Neehee's Restaurant Franchise Earnings — Item 19
Average Revenue
$1.7M
Median Revenue
$2.0M
Revenue Range
$919K – $2.1M
Sample Size
3 units
Past financial performance does not guarantee future results. Individual results will vary.
Neehee's Restaurant Litigation & Risk Flags
Clean Litigation RecordNeehee's Restaurant 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.
Neehee's Restaurant System Growth
Total Units
4
Franchised
4
Company-Owned
0
Neehee's Restaurant currently operates 4 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 0 | 0 | 4 |
| 2021 | 0 | 0 | 4 |
| 2022 | 0 | 0 | 4 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 15 states: CA, CT, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Neehee's Restaurant Franchise — FAQ
The total investment to open a Neehee's Restaurant franchise ranges from $919,500 to $1,470,000, per their Franchise Disclosure Document. This includes the initial franchise fee of $50,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Neehee's Restaurant charges a royalty fee of 5% of Net Sales of gross sales, plus a 3% of Net Sales contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Neehee's Restaurant 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 Neehee's Restaurant to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Neehee's Restaurant franchise owners report average revenue of $1.7M and median revenue of $2.0M. This is based on a sample of 3 units. Past performance does not guarantee future results.
Neehee's Restaurant has been franchising since 2013. The FDD shows an investment range of $919,500-$1,470,000, a 5% of Net 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 $50,000 and the total investment ranges from $919,500 to $1,470,000 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
Similar Food & Beverage Franchises
Interested in Neehee's Restaurant?
Get free info on this franchise. We will send you a detailed FDD report by email.
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 Neehee's Restaurant and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Neehee's Restaurant or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com