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Investment Required to Start a Kirana Store or Supermarket in India

Updated: Aug 3, 2023



Investment Required to Start a Kirana Store or Supermarket in India | Kirana Friends

Are you planning to start a Kirana Store? Generally, the investment required to start a Kirana store in India can vary depending on factors like the location, size of the store, and design and layout of the store. To show you how to create an estimated investment for your store, we’re sharing below the cost to create a modern kirana store or supermarket.

The costs mentioned below don’t take into account the following costs :


1. The rent of the store -

Typically, the rent of the store shouldn’t be more than 3% of the sales of the store. So for eg. you’re estimating to open a store with sales of INR 30 Lakhs a month. The rent for such a store shouldn’t be more than INR 90,000


2. Initial stocks for the store -

Typically, you should only keep stocks to cover sales of 2 weeks in the store since dealers and distributors will replenish products every week. For eg. If you’re estimating sales of 7 Lakhs a month then you should not keep stocks of more than 14 Lakh in total value


3. Licences and Permissions -

To run a store in India you need to have licences and permissions from the local authorities and government. The cost for the same can range from state to state and city to city, hence it’s important to consult a local authority/lawyer. To know the licences and permissions needed to run a Kirana store, you can check out the compliance corner on the Kirana Friends Application.


4. Operating Expenses -

To run a store you need to have staff, need to pay electricity bill and other such recurring expenses. This will be based on the store size, locality and design of the store.


If you need the team at Kirana Friends to help you create an estimation for your new or old Kirana store or Supermarket, you can write to us at 8010442222

Cost Head

Amount (in INR)

Furniture and Fixtures - Basic furniture and fixtures like racks, shelves, and a billing counter would be required.


1,25,000


​Fixtures Back Office

​15,000

Fans and Air Conditioning

​1,00,000

Equipment

12,500


Electricals

75,000

​Chillers and Freezers


​80,000

​Security and Loss Prevention

17,500

​IT Equipment

​1,25,000

Signages

​1,00,000

Total


6,50,000


So, the total investment required to start a 500 sqft Kirana store in India can start from Rs.6,50,000. If you need to calculate your own store’s renovation cost or open a new Kirana store you can open the Store Renovation Calculator on the Kirana Friends App or reach out to us at 8010442222.



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