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What is the Cost of a Delhi Public International School Franchise?

The Delhi Public International School (DPIS) franchise is an attractive opportunity for those looking to invest in the education sector. This article provides a detailed overview of the costs involved in acquiring and running a DPIS franchise.

Franchise Agreement Overview

Franchise Fee: The franchise fee for a DPIS franchise is INR 40,00,000 (Rupees Forty Lakh only). This fee is payable in eight equal quarterly installments starting from August 2019. The initial franchise fee of INR 5,00,000 (Rupees Five Lakh only) is paid at the time of executing the agreement, with the remaining installments paid quarterly from February 2020 to May 2021.

Renewal Fee: The franchise agreement is valid for a lifetime but must be renewed every five years. The renewal fee is 10% of the franchise fee from the date of execution of the agreement.

Royalty Fee: The franchisee agrees to pay a royalty fee of 8% on the total annual tuition fee collected. The royalty is exempted for the first year (financial year 2020-2021) and is payable from April 2021 onwards.

Initial Setup and Operational Costs

Premises and Location:

• The franchisee must lease suitable premises approved by the franchisor, considering factors like commercial viability and accessibility.
• The premises should be a minimum of 1.5 acres in size.

Interior Design and Furnishing:

• The franchisee is responsible for furnishing and equipping the school as per the franchisor's specifications. This includes maintaining the interior décor to match the style and standards of other DPIS branches.

Training and Staff:

• The franchisor provides training to the franchisee's staff before the school opens. The franchisee bears the travel and living expenses for this training.
• Ongoing training for new and existing staff is also provided, with costs covered by the franchisee.

Licenses and Registrations:

• The franchisee must obtain necessary licenses and registrations from competent authorities to operate the school.

Financial Obligations

Initial Investment: The initial investment includes the franchise fee and additional costs for premises, interior design, furnishing, and obtaining necessary licenses. The franchisee must ensure all financial obligations are met to maintain the franchise agreement.

Running Costs: Operational costs include salaries for staff, maintenance of the school premises, and adherence to health, safety, and educational standards as specified by the franchisor.

Benefits and Support from the Franchisor

The franchisor assists in the following areas:

• Establishing and operating the school efficiently.
• Providing guidelines and maintaining requisite standards.
• Offering continuous assistance and advice for the school's efficient functioning.
• Supplying teaching aids, resources, and other necessary materials.

Conclusion

Acquiring a Delhi Public International School franchise involves a significant initial investment and ongoing financial commitments. However, with the support and reputation of the DPIS brand, franchisees can establish a successful educational institution that adheres to high standards of quality and excellence in education.