How To Start A Quick Service Restaurant (QSR) In Just Under Rs 5 Lakhs

How to Start a Quick Service Restaurant (QSR)

The Quick Service Restaurant, more commonly known as the Fast-food Restaurant is a specific kind of restaurant format that serves fast food cuisines like Pizza, Burger and requires minimal table service. Major fast food chains in India includes KFC, Dominos, Starbucks & Pizza Hut. It is one the most lucrative restaurant formats among all and thus has also become the most popular choice of food business among the restaurateurs. The Takeaway or QSR format seems to be the most practical format, as the return on investment is high. You can charge the price of a casual dining menu, but not incur cost the same as you save upon the area, furniture, air-conditioning, crockery, etc. However, you still need 100-150 orders to make it viable in the long run.

To be successful in QSR space, you need to come up with a unique idea and deliver a superior customer service in terms of food variety, quality, Delivery time & ambience.

Here we have shown the break-up of Rs 5 lakh, which we will explain in the points below.

How to start a quick service restaurant: Cost Breakdown

Steps To Open A Quick Service Restaurant In India 

Follow the below-mentioned steps that will help you open a Quick Service Restaurant.

  • Choose the location of the Quick Service Restaurant
  • Get all the licenses required to make your QSR legal
  • Get on board the required number of staff
  • Arrange for the kitchen equipment and the raw materials needed
  • Market your QSR well
  • Install a POS or a billing software To smoothen your operations
  • Decide on the staff uniform
  • Get all the other miscellaneous works done

Considering that you are going to start this dream project of yours, you might want to know the details or the step by step guide on how you can start a quick service restaurant in India. Don’t you worry! We will dive in deeper, to provide you with all the necessary information that will make your execution seem like a cakewalk.

1. Choosing The Location Of The Quick Service Restaurant

The location is the one the most critical factors which determine the success or failure of any restaurant. The takeaway should ideally be in a densely populated area, keeping the target audience in mind. Accessibility and visibility of the area are also essential to attract customers. Ground floor shops, located at the front are preferred for QSRs and Takeaways.

The store shop should be at least 450 sq ft in size to build a good kitchen. The counter and the serving area should not exceed 100 sq feet. Thus, for 450 sq feet, the rent should not exceed Rs 40-45k. So, out of the 5 lakh investment, Rs 1,20,000 goes to the landlord, who gets two-month rent, a one month rent in advance.

You also need to make sure that the building has a proper water supply and drainage facility. You must also obtain a No Objection Certificate (NOC) from the owner that he has no problem subletting his space for a food business, and also from the neighbors. The NOC is required in obtaining the Local Municipal License, and Food license.

2. Licenses Required For Opening A Quick Service Restaurant

A QSR primarily requires five licenses, namely: Food License from FSSAI, GST registration, Local Municipal Corporation Health License, Police Eating House license, and fire license. Out of all, Food license, GST registration, and Local Municipal Corporation Health License are the most important ones to have for starting of the outlet. Fire license and the likes can be acquired once you commence restaurant operations; however, it is recommended to have all the permits in place before opening the outlet to keep yourself away from the legalities and small hiccups which come due to unavailability of these licenses.

The three licenses have to be applied separately. For Food License, you can apply through its website This can also be facilitated through various agencies which charge around Rs 5,000 for the complete paperwork and license fee. Any Charted Accountant can assist you with the GST registration. Lastly, for Municipal Corporation health license, you have to contact the local health inspector, and they will guide you through the process of acquiring the license. The license fee is nominal and will cost around Rs 3,000. Police Eating House and Fire license can be obtained once you have Municipal Corporation health license. This can be done in the first two-three months of the operations.

3. Staff Needed For Running A Quick Service Restaurant

The secret to a successful quick service restaurant is often a great team behind the counter and in the kitchen. The Chef is probably the most important person on your team, as they not only cook, and design the menu; they also lead and guide the rest of the kitchen staff. The attrition rate is extremely high in the restaurant industry, especially at the junior level. Learn how to hire better for your restaurant here.

In a takeaway kitchen, minimum of 5-6 employees is required in the kitchen. Out of them, two chefs are required who have a fair knowledge of every department of the kitchen. The salary of the chefs and helpers depends on upon their experience. The average salary of the chef at Commis level 1 is Rs 14000-Rs 15000 while the helpers and other staff salary range between Rs 6000- Rs 8000 based on their work. Apart from the kitchen employees, two delivery boys are required and one at the counter for taking the order. Find out how to create a Human Resource Structure for your restaurant here.

In today’s tech-time, there are a lot of third-party delivery services with whom you can tie-up for work on per order basis. They charge somewhere around Rs 30 for the first five km and Rs 10 for every extra km. It is highly recommended to have at least one delivery boy full time and part-time, even if you have partnered with a Third Party for deliveries, as a backup. These third parties will help you save the cost of the bike for delivery.

4. Kitchen Equipment And Raw Material Needed In A QSR

Kitchen equipment is a significant expense for the restaurants, and the same is the case in a quick service restaurant. A small working table for four sqft can cost somewhere around Rs 6-7k. But, it is not always necessary to have everything new in the kitchen; most of the kitchen equipment can be bought old and used. It would roughly save around Rs 1 lakh. While working table, refrigerator, store racks, and cupboards can be reused, burners, Tandoor, and gas pipeline should be new to avoid the added cost of repairs and gas leakages that are bound to happen. Other than the aforementioned kitchen equipment, Mixer, fry-pans, knives, cutting boards, and other utensils should be bought new.

About Rs 2,30,000  is invested in the setting up the kitchen. Lastly, raw materials such as groceries, packaging, dairy, and poultry will cost you Rs 20,000 for the first five days of the operations, depending upon the sale you make in the first five days.

Delia Smith gives insight on kitchen equipments needed for Quick Service Restaurant

5. Marketing Of The Quick Service Restaurant

The tried and tested method of marketing and also one of the cheapest, is the pamphlets. You also need to spend some money on menu designing and logo designing, which should not cost more than Rs 2000.  For the first two months, 30k pamphlets are good enough to market your restaurant. These 30k pamphlets of good paper quality will cost you somewhere around Rs 25,000. However, you can change the quality and quantity of the pamphlets as per your budget. Find out how distributing pamphlets and flyers can boost your restaurant sales.

Apart from pamphlets, invest some money in an excellent billboard to attract an audience. An average billboard costs around Rs 10,000. You can also spend on an online advertisement on Social Media and Google Adwords. Read how you can do the right digital marketing for your QSR Restaurant.

6. POS And Billing Software Needed for the QSR

POS is the most critical and integral part of a successful operation and management of any restaurant or food outlet. Choose a niche POS that is customized to suit the requirements of a Quick Service Restaurant. Read a detailed guide on how to choose the perfect POS for your restaurant here.

The one we recommend is POSist, which is hardware independent and entirely browser-based. You can use any web-enabled device such as a computer, laptop, tablet or even your mobile to generate the bills. The cost for this should not exceed more than 25000.

POS and Billing softwares needed for Quick Service restaurants

7. Staff Uniform For The QSR Employees

Staff uniforms are a critical aspect of a restaurant venture that is often ignored. It is essential that all the staff members look good, hygienic and well dressed. You can choose from different types of dresses such as chef coats, smart shirts and t-shirts, and an apron. At the initial stage of operations, it’s ideal to have a low-cost uniform which will save the additional cost. We recommend good t-shirts which will cost around Rs 150 per piece and if they ordered in bulk they would cost no more than Rs 120 per t-shirt. So, you can allocate an amount of Rs 6000-7000 for staff uniform which gives a nice feel to your restaurant brand.

8. Counter Design Of The QSR

It would be best to procure the raw materials and design your counter based on your need with the help of a carpenter. Go for a good standee and menu board at the front-end to give an overall feel of the brand. The counter and front-end will cost you somewhere around Rs 20-25k based on the design of the counter. This article will tell you how to do the branding for your restaurant.

9. Other Things Needed To Open A QSR

A Takeaway and Home Delivery outlet require one landline and at least two mobile phones. You can get a Cloud Telephony subscription that forwards the call to another designated number in case the first number is busy. You can also record the call for training purposes. It should not cost you more than 10k.
You further need to spend around Rs 8000 on electricity fitting and plumber work. Apart from that, you would require a good calculator, Fire-extinguisher, daily account books, attendance register, etc.

The quick service restaurant industry in India is expanding on a massive scale. While the investments are low, when compared with the other formats, if you can start it well, it can help you the reap rewards. Hence, follow the steps mentioned as your go-to guide and implement them effectively, and watch how that dream quick-service restaurant of yours blossoms!

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    • Hi Debi,

      It depends upon the serving area. Is 500 square feet is the space or less. Also, the cost of furniture depends upon the theme you want to create which is very subjective. We would request you if you could share more information on this we would be able to share more insights on the same. Regards

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      Helped & helping many in opening cafes / restaurants / delivery kitchens / gym based cafes / hotels etc

      Thank you kindly & culinary regards,

      Chef Suksham Mehra
      +91-9560608851 / 8826763805

      Good day

      • I would like to start a QSR in Delhi NCR with an Investment of 10-12 lac.
        I need help in finding chefs and setting a menu with them. can you suggest ??
        if yes, please contact me at 9811623000.

  1. Hi
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    • Greetings for the moment, surely I can help you in this & making a great successful hit among across

      I am sending brief about me on your no, please get in touch

      Helped & helping many in opening cafes / restaurants / delivery kitchens / gym based cafes / hotels etc

      Thank you kindly & culinary regards,

      Chef Suksham Mehra
      +91-9560608851 / 8826763805

      Good day

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  9. Hello everyone, i would like to start a QSR in MUmbai with an Investment of 10-12 lac.
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  10. Hello, I would like to open QSR in Mumbai on partnership.My investment is around 5 lacs.Area would be central suburbs.Contact on 9702287151.

  11. Hi, I’m opening a cafe/fine dining in south Moti bagh and looking for a team of head chef and junior chef specialising in continental. Interested peeps can respond here.

  12. I am keen to start a QSR Chain – NonVeg in Mumbai, looking for a passionate and experienced team to join me in my dream project. People with passion for food and service to create, grow and sustain a QSR brand may write me back on

  13. I wanted to open small restaurant with budget of 5 lacs. if any one having shop in good location and interested to join me please send me number and details on email:
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    Venue: Kausa-Mumbra. Dist Thane.

  14. HI I’m looking to start with either a QSR or a cloud kitchen in bangalore …investment of Rs. 20 lakh. …consultants n chefs can reach out to me on my mobile
    9962911754/ 9962911744.

  15. Hi, I am looking to open a QSR or Coffee Shop in Mumbai Central Suburbs.
    please help me to understand its viability and the cost involved and more ideas on the menu which can attract the public. Thanks.

  16. Hlo..
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  17. Need an experienced chef for a QSR cafe in Delhi, can work on profit sharing basis also. Call me on +919677719086

  18. I have a fantastic and unique concept for opening European Pizza outlet with entire team and all necessary expertise, project, cost estimation report with plan to start with minimum 4 outlets around Mumbai. Any investor who can invest around 2.5 CR against 20% permanent shares in project please contact me at 9920356719. We have a very strong and experienced backhand team for digital marketing and promotion of online sales, takeaway and within two years from the time of establishment we see ourselves a minimum 25 million U$D and further extend operations all over India under a unique brand. Thank you.

  19. I am from San Francisco, California. I want to open a QSR in Bangalore similar to the self-serve Sagar restaurants. 5 Laksh budget initially is ideal. Could be a cubby hole in the wall serving only a few dishes
    is ok but would like to expand to include fusion cuisine north-south, east-west, and chinese.

    Any suggestions or potential partners please contact kris @

  20. Hai, this is RamaKrishnaRaju. Am planning to open a restaurant under 10lakhs. I have a space around 600sqft, shortlisted menu items starters n biryani, amount Rs. 5 Lakhs n many attractive ideas to implement. Only problem is confused with what step should I take first. Can you help me out in this, please ???!!! Hoping for the best n helpful response from you. Thank you.

  21. Hiiiiii I want to open a waffles pancake and shakes small restaurant in Mumbai i have place need a guidance how to setup this restaurant need good professional chef and good quality equipment for kitchen can some one guide me please Thanks
    any suggestions please contact on +91 88500-65066

  22. Hello I am from Nagpur, I want to open a QSR in Nagpur, I can cook both veg and Non Veg but i need assistance for setting up the QSR. Please contact me on this number 7028046707

  23. I need team/ partners for opening a qsr in Delhi or ncr. Someone with prior experience may contact as well. Also, someone with their own property willing to start would be of great help. Contact Shivang- 9818706314 . Drop a whatsapp text. Thanks.

  24. hello,
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    Contact : 9999732448

  25. I want to open a qsr(specially mobile food outlets) in nagpur city or can join someone there already running one ….dear all pl share your ideas or proposal what type of qsr and investment required at my email

  26. Hi my name is Ivor Pereira and based out of Mumbai, I own 02 commercial outtlets in a prime location
    1. Marol (Mumbai) adjacent to the metro station – Area 410 Sq Ft.
    2. Mira Road (Next to School and Happening Place) – Area 330 Sq Ft.
    I am looking out to set up a small coffee shop. Looking for a partner, if anyone interested please send an email to

  27. HI,
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  28. Hello,
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  29. hello,
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  30. Hi,

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    Ping me on +919930195512.


  31. Hello ,
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    Anybody with a good desire to excel in life kindly connect on and will be glad to discuss further in detail on the subject …
    Sincerely ,
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  32. Hi
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  33. Hi..
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  34. Hello,
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  35. HI,
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    If anyone interested please let me know. Also i am ready to partner in such QSR format in Thane if anyone interested.

    Arvind Dixit
    M:- +91 9920464696

  36. Hi I am himank and from the last few months I am gathering information about the basic details and knowledge in starting a full fledged food delivery kitchen( no dining) anywhere in Delhi.. and have been seeing locations as well.. I am searching for a partner.. if anyone interested.. call .. 9953640042.. I have gathered almost most of the knowledge needed for a startup.. we can talk about it if you are interested.. only serious people call..

    • Hi Everyone
      I am Datta Kulkarni from Nerul Navi Mumbai .
      I am planning to start QSR (Burger and Pizza ) in Navi Mumbai .I have innovative concept which I feel will attract and retain customers .
      I am looking for the partner who has hands on experience in QSR (Burger and Pizza ) .
      If interested do call me on 8356935045
      Note : I am trying to post my query as comment, but not getting through …took up the matter with Posist team , meanwhile using this route as it is little urgent

  37. Hi Everyone
    This is Datta Kulkarni from Nerul -Navi Mumbai .
    I have innovative concept in QSR (Burger and Pizza ) which I feel will attract and retain customers .
    I am planning to start QSR in Navi Mumbai and looking for the partner who has hands on experience in running QSR (Burger and Pizza) .
    Please call if interested on my number 8356935045

  38. Hello everyone
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  39. Hi everyone…
    Planning to start a QSR in Banglore…looking for someone who can invest 3 lakhs for a fixed share of Rs.12500 per month(that is 150,000 per annum =50% returns) .
    Please contact me on mail,if interested@

  40. Hi I am from Kolkata and planning to open a QSR in Kolkata and I am looking for a partner who has good experience in QSR. We can have partnership. Anyone interested please call me at 9831313000

  41. Hi, I want have an open terrace of 5000 sq.ft on 11th floor at Andheri near Opo metro line. I want an investor and a person with previous experience who can invest and manage the cafe/restaurant. I would provide the place with parking and also handle the marketing and promotions. Interested people may whatsapp me. Aditya @9699969691

  42. Hi
    I am having a 6000sq feet Ground floor near to School in Dindigul, I planned for rental purpose or ready to work out QSR in our Dindigul Town, please give your valuable suggestions…

    Further Contact

  43. The relatively low initial investment required to open a QSR in India, coupled with this the relatively high rush of customers, makes QSRs garner a high-profit margin, which approximately amounts to 15-25%. This has made the QSR business flourish in India. This article is extremely helpful for all those who are planning to open a QSR in India! Thank you! 🙂

  44. Hi
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  45. I am surprised by the fact that it is possible to start a QSR with a limited budget. I always thought it would require a hefty investment. This is an encouraging article for anyone looking to sink their roots in the restaurant industry.

  46. I want to open a restaurant and bar, but the cost of opening a bar in india is very high. Getting the liquor license is also very difficult.

  47. [27/11, 5:52 pm] Saifee Dohadwala: The undersigned is the owner of property located at a high net worth residential area at Walkeshwar Teen Baati. 930 sq feet carpet 20 feet wide glass frontage with health license. Many big brand has been housed on this property earlier ie
    Birdys by Taj
    Oven Fresh
    Gkb optolab
    The mobile store and currently Cafe Coffee Day
    If interested pls get in touch with me.
    Saifee Dohadwala
    [29/11, 5:23 pm] Saifee Dohadwala: Malabar Hill
    Mumbai, Maharashtra

  48. I am interested in opening a QSR along with one of my friends in Kolkata. We are looking for a location in the Chinar Park area of Kolkata? Can anyone please guide us about how to proceed with this project? You can contact me on this number Joydeep Banerjee 9051555373

  49. hey – I am looking for consulting company or consultant to support & give better idea to open QSR.
    Location – Bhubhneshwar (Orissa )
    Call me : 7397439456
    Email :
    Budget: 10 to 15 lakh

    looking forward for response as soon as possible.

  50. I have a 1000 sft places in lowerparel south mumbai and looking for experience hotelier to start a qsr in milkshakes and ice-cream section. Any partner or investor welcome

  51. Hi Iam sandheer and Already we are running a bakery for past 26 years now we are planing to start a combination of QSR with Bakery.please help to set up kitchen, For finding staff,promotional activities I am looking for consulting company will do all setup of QSR. Iam writing this behalf of my father sreekumaran.
    Location is at Trivandrum, Kerala
    Please contact 9388010790 (K sreekumaran)


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