Do you want to open a Patel Brothers grocery store and are wondering how much the franchise costs? Here is what you should know before making any investment plans.
Patel Brothers has grown into one of the best-known Indian grocery chains in the United States.
Its stores sell Indian and South Asian groceries, spices, rice, lentils, fresh produce, frozen foods, snacks, household products and prepared foods.
That naturally makes the company attractive to entrepreneurs who see the growth of South Asian communities in the United States and want to open a similar supermarket.
There is just one important problem:
Patel Brothers does not currently advertise a public franchise opportunity.
So you cannot simply pay a published franchise fee, meet a minimum net-worth requirement and open your own Patel Brothers store in the same way you might buy a conventional retail or restaurant franchise.
Does Patel Brothers Offer Franchises?
Patel Brothers does not publicly advertise a conventional franchise program for outside investors. The company does not publish:
- A franchise fee
- A minimum investment
- A royalty percentage
- An advertising fee
- A minimum net-worth requirement
- A liquid-capital requirement
- A public franchise application
Its current corporate materials instead continue to describe Patel Brothers as a family business.
The company’s history says that five generations of family members have participated in building the business and that the Patel family continues to carry the company forward.
That is very different from an ordinary franchise system designed to sell territories to outside entrepreneurs.
How Much Does a Patel Brothers Franchise Cost?
There is currently no verified Patel Brothers franchise cost available to the public.
You may find websites quoting estimated franchise fees or startup costs, but unless those numbers come directly from Patel Brothers or an official Franchise Disclosure Document, you should not treat them as genuine franchise requirements.
A legitimate U.S. franchise offering would normally involve a Franchise Disclosure Document containing detailed information about the business opportunity.
That document would typically disclose matters such as:
- Initial franchise fees
- Estimated startup investment
- Royalty fees
- Advertising contributions
- Franchisor and franchisee obligations
- Existing and former franchise locations
- Territory arrangements
- Financial information
So there is no responsible way to tell you that a Patel Brothers franchise costs $100,000, $500,000, $1 million or any other amount. There is no published franchise price to quote.
How Many Patel Brothers Stores Are There?
Patel Brothers currently says it has grown from its original 900-square-foot Chicago store into a nationwide operation with approximately 52 stores.
The company’s stores are spread across numerous U.S. states and serve customers looking for Indian and broader South Asian groceries.
Newer locations can include fresh produce, packaged groceries, spices, household products and Patel’s Fresh Kitchen, where certain stores sell freshly prepared products such as roti, bread, samosas and other foods.
The business is considerably larger than the 51-store operation described in older versions of this article.
Who Owns Patel Brothers?
Patel Brothers was founded by brothers Mafat Patel and Tulsi Patel. The first store opened on Devon Avenue in Chicago in 1974 after Mafat recognized how difficult it was for Indian immigrants to find many of the ingredients they had grown up eating.
What began as one small store expanded as members of the extended Patel family joined the business.
Today, Patel Brothers continues to identify itself as a multigenerational family operation.
This is one reason you should be cautious when an unrelated person claims that they can sell you a Patel Brothers franchise.
Before paying anyone, confirm the opportunity directly with the company.
Is Patel Brothers an Indian Franchise?
This is another point where older information can become confusing. Patel Brothers in the United States is an Indian-American grocery business founded in Chicago.
It should not be confused with unrelated or separately owned businesses using the Patel Brothers name in countries such as Australia or the United Kingdom.
For example, there is a separate Australian-Indian business group using the Patel Brothers name and involved in several industries.
That does not mean the Australian company owns, franchises or operates the U.S. Patel Brothers supermarket chain.
Can You Contact Patel Brothers About Opening a Store?
You can certainly contact the company if you have a serious business proposal.
For example, you might own an attractive commercial property, represent a shopping center or know of a market that could support a Patel Brothers location.
But contacting the company with a location proposal is not the same as applying to become a franchisee.
Unless Patel Brothers itself confirms that it is offering you a franchise or another authorized ownership arrangement, you should assume that the ordinary public franchise route is unavailable.