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How to Start A Tim Hortons Franchise in India – Cost, Fee, & Profit

Are you looking for a Multinational Coffee house and restaurant chain? Then, here is good news for you. You can grab an opportunity to start a Tim Hortons franchise in India and kick-start your entrepreneurial journey.

In this article, we’ll dive deep into the Tim Hortons with capital requirements, fee, profit, and step-by-step guidelines to get this franchise – and answer some common questions about the chain.

  • Initial Franchise Fee: Rs. 20 lacs – Rs. 40 lacs
  • Floor area: 1500 – 10000 sq. ft.
  • Royalty Fee: 4.5-6%
  • Ad royalty Fee: 4%
  • Profit Margin: 12-15%
  • Net Worth: Rs. 12 Cr – Rs. 80 Cr
  • Available Liquidity: Rs. 4 Cr – Rs. 32 Cr
  • Total Initial Investment : Rs. 70 lacsRs. 17 Crore

Overview of Tim Hortons Franchise in India

Tim Hortons franchise in India

Founded in 1964 Hamilton by Canadian hockey player Tim Horton – is one of the renowned and fastest growing coffeehouse and restaurant chains. Tim Hortons is also commonly known as – Tim’s or Timmie’s is well-known for serving freshly brewed coffee, donuts, cookies, burgers, and other fast-food items.

It is Canada’s largest quick-service restaurant chain, with over 5,352 restaurants in 15 countries and more to add in the future would create an exception opportunity for the interested applicants to join in the ever-growing profitable business.

With its strong foundation, accelerating growth, best-in-class marketing strategies, culinary innovation, and a range of affordable menu range, has helped Tim Hortons to acquire a significant market in Food and beverage industry. It also allowed the chain to offer consistently staggering growth for its investors and franchisee.

Tim Hortons Growth Prospects

Please continue reading if you are passionate about the Coffeehouse and restaurant franchises & this little snippet about the Tim Hortons chain excites you.

We will offer comprehensive and well-researched information regarding the Tim Hortons chain, along with its price, fees, profit margin, and—most importantly—the reason “Why” you need it.

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Tim Hortons – The Journey

The journey started by setting up its first outlet in Ontario to serve lip-smacking hamburgers and a range of fast-food items to making it a chain of more than 5500 restaurant outlets and over US 3.34 billion dollar revenue(Till 2021) generating chain is amazing.

Later in August 2014, Tim Hortons merged with Burger King for an US$11.4 billion purchase, and they became subsidiaries of the Canadian-American holding company Restaurant Brands International.

Key facts on Tim Hortons

Sr No.TypePrivate
1Trade NameTim Hortons
2IndustryCoffeehouse &
Food and Beverages
4Founders Or Parent CompanyTim Hortons,
Restaurant Brands International
5Corporate HeadquartersToronto, Ontario, Canada
6Number of locationsOver 5500 locations
7Area servedMultiple locations across the globe
8ModelGrab-N-Go, Dine-in, and Drive-thru
9Services offeringFreshly brewed coffee, Hamburgers, Salads,
Small plates, Drink & Shakes, and Desserts
10RevenueUS$3.34 billion

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Why Consider Owning a Tim Hortons Franchise?

There could be multiple reasons to own a Tim Hortons outlet. But why only Tim Hortons, when we have several local chains like Chai Sutta Bar, MBA Chai Wala, and many others. No worries! We would try to clear all your queries and list a few prominent reasons to own it;

Why to Own a Tim Hortons Franchise
  1. Most loved restaurant brands in the world:
    • The chain has been in this industry for more than 60 years, and its expertise, varieties in the menu, and exceptional guest experience have helped them to grow extensively across multiple countries and made them the most loved restaurant chain in the world.
  2. Digital Innovation and leadership:
    • Tim Hortons offers a world-class digital innovation team and leaders that allows the chain to innovate and provide unique menus every time you visit.
  3. Global Expansion:
    • Through a franchise program, the franchise has already planned to expand its outlets across the globe in the future. They currently have over 5500 retail outlets in Canada, the United States, and other countries.
  4. Strong Foundation:
    • Tim Hortons is one such chain that has a strong foundation and has always worked on its basics. They have been upgrading their menus, building leading royalty programs constantly, and ultimately making the chain offers best-in-class food to its consumers.
  5. Marketing growth opportunities:
    • Franchise owners will not have to worry about brand advertising and marketing. After owning a Tim Hortons outlet, the franchise handles marketing and other channel support.
  6. Leverage on enormous customer base:
    • Tim Hortons has established itself as a trusted brand among its consumers by providing an authentic and delicious yet affordable food range. At present, Timmie’s has the Trust of more than a million loyal customers.
Tim Hortons franchise awards and recognition

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How much does a Tim Hortons Franchise Cost in India?

Tim Hortons has agreed and entered into an exclusive master franchise agreement with AG Cafe to open outlets across India. They are well in track to open and operate more than 120 outlets across multiple cities in India in next 36 months.

To start a Tim Hortons franchise, one would at least require an initial investment of Rs. 70 lacs to 17 Crores and a dedicated floor area of over 1200 square feet to set up a brick-and-mortar retail space.

This initial investment for Tim Hortons does cover the franchise fee, marketing fee, and other necessary expenses.

The above initial investment may vary depending on the chosen model, city, country, and there are other cost such as staff fee, electricity charges, and commercial space charges may affect the initial cost to setup one.

Tim Hortons Franchise Fee

Why to Own a Tim Hortons Franchise

The franchise fee for the Tim Hortons is between Rs. 20 lacs – Rs. 40 lacs(Depends on chosen model). Furthermore, to qualify financially, franchise candidates and their partners/investors must have minimum net worth of Rs. 12 Crores – Rs. 80 Crores with available liquidity of Rs. 4 Crore – 32 Crore.

Additional Cost for Tim Hortons

Typically, to run and maintain a Tim Hortons outlet, one must adhere to their standards and are liable to pay a few additional costs such as Royalty fee, advertisement fee, maintenance fee, and a few other investments.

The on-going royalty fee for Tim Hortons chain is 4.5-6% and ad royalty fee is 1.5-4% of gross sales with an agreement period for 20 Years.

Name of FeeLowHigh
Initial Franchise FeeRs. 20 lacsRs. 40 lacs
Floor area1500 sq. ft10000 sq. ft.
Royalty Fee4.5-6%4.5-6%
Ad royalty Fee4%4%
EquipmentRs. 16 lacsRs. 3 Crore
Planning and Development
and Design Costs
Rs. 10 lacsRs. 80 lacs
Initial InventoryRs. 2.8 lacsRs. 24 lacs
Additional FundsRs. 12 lacsRs. 48 lacs
Net WorthRs. 12 CroreRs. 80 Crore
Available LiquidityRs. 4 CroreRs. 32 Crore
Total Initial InvestmentRs. 70 lacsRs. 17 Crore

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Is Tim Hortons franchise franchise profitable

Tim Hortons is already an established brand that has become quite popular among its consumers for its varieties in offering, exceptional customer services. So, there is no doubt about its profitability.

Nonetheless, considering the Tim Hortons rapid expansion plans in India, brand presence & value, stable growth prospect, rising customer demand, robust outlet network with strong supply chain, and exception marketing support with new-age innovation would definitely help the franchisee owner to churn an impressive profit margin.

As per our estimate and food industry standards, one may anticipate to earn a net profit margin of 12-15% by becoming an owner of Tim Hortons outlet.

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What are the support offered by Tim Hortons?

Tim Hortons franchise opportunities
  • Site analysis, research, and its future growth potential
  • Pre-opening and Franchisee associate trainings
  • Vendor Development, Supply Chain Management, Marketing
  • Periodical Customer Experience (CX) audits
  • Supply raw materials & packaging materials support
  • New menu development, design and procurement

Requirements to Own a Tim Hortons Outlet

Tim Hortons franchise requirements
  • Interested applicants are advised to dedicate themselves into the business and follow the company standards and maintain their legacy.
  • Interested candidates must meet the financial requirements of the franchise i.e. minimum net worth of Rs. 12 Crores – Rs. 80 Crores with available liquidity of Rs. 4 Cr – 32 Cr.
  • One should be ready to invest at least Rs.70 lacs to 17 Crores to set up a Tim Hortons outlet.
  • Interested franchisees should have passion to work in the restaurant industry and should possess the leadership and financial skills. It would be better if you have any prior experience in owning and operating a F&B Chain.
  • Tim Hortons requires its franchise owner to have an ambitious approach to scale and develop the outlet at fast pace.
  • One must have long-term vision to create a strong employee value proposition and support structure.

How to Get Tim Hortons Franchise?

Once you meet the Tim Hortons chain requirements, then getting this restaurant joint is moderately tough and it certainly requires patience & good chunk of investment. However, to get a Tim Hortons outlet, interested prospect has to visit its official website and fill in the required details in franchise form.

Fill in the required details such as Your region, Country, Name, Email ID, Phone Number, Preferred city, Investment range, and other necessary info.

To check out franchising opportunities – Canada & US and International.

What is the Approval process for Tim Hortons?

Below are steps involved to get a Tim Hortons outlet;

  1. Apply Online:
  2. Introductory call:
    • You would speak to franchise representative and get to know about its background and future growth prospects.
  3. Business plan review and diligence:
    • Discuss about the investment opportunity with their global development team and diligence process continues with background check.
  4. Discovery Day:
    • You would meet the Senior official of Tim Hortons, participate in outlet visits and product tastings.
  5. Final Process:
    • Signing the final documents, and legal papers, training completion, and store launch.

Final Takeaway

Considering its growth potential, unique, affordable, delicious & diverse menu range, proven business model of over 60 years, rapid expansion plan, extensive support system, brand recognition & awareness, opening a Tim Hortons outlet will prove profitable to the interested aspirants.

Furthermore, the franchise is seeking qualified candidates from across the globe with the financial and management resources to develop multiple locations and the passion to successfully operate a concept that has been proven over the past 60 years.

With an Initial investment of Rs.70 lacs to 17 Crores and a franchise fee of Rs. 20 lacs – Rs. 40 Lacs, Tim Hortons chain may offers an outstanding profit margin to its stake holders. One may anticipate a net profit margin of 12-15%.

The Bottom line – In case you are interested in the food and beverages industry and want to take advantage of the opportunity, then Tim Hortons is for you. With its sheer legacy and robust supply chain, one may experience a stable and steady growth for their entrepreneurial journey.

Good Luck!! Happy Franchising!!

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  1. How much does a Tim Hortons franchise cost?

    Ans: To open a Tim Hortons chain, one would at least require an initial investment of Rs. 70 lacs – 17 Crores. Here are the other costs involved
    Royalty Fee: 4.5-6%
    Ad royalty Fee: 4%
    Profit Margin: 12-15%
    Net Worth: Rs. 12 Cr – Rs. 80 Cr
    Available Liquidity: Rs. 4 Cr – Rs. 32 Cr
    Total Initial Investment : Rs. 70 lacsRs. 17 Crore

  2. How much does a Tim Hortons franchise make?

    Ans: The profitability of Tim Hortons may depend on outlets geographical locations and average customer footfall.

    Nevertheless, Considering the Tim Hortons experience of over six decade, exceptional guest experiences, rapid and sustainable growth plan, one may anticipate a profit margin of 12-15%.

  3. What is the Tim Hortons franchise waiting time?

    Ans: As mentioned earlier, Tim Hortons is already an established and prominent player in the industry, and they receive a lot of application everyday. However, the complete franchising process does take time and one might have to wait at least 35-60 days.

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