Alfamart Franchise: How to Register, Terms and Estimated Benefits

Who doesn't know Alfamart? This franchise is quite easy to find everywhere. Alfamart is much liked because of its competitive price, spread in various regions, ease of transaction, and being able to meet people's daily needs.

Alfamart's success is inseparable from the business systems they implement, one of which is the Alfamart franchise. This franchise is a form of partnership that can be owned by individuals based on the agreements and agreements of PT Sumber Alfaria Trijaya Tbk (AMRT).

So, for those of you who are interested in starting this business, the BFI Finance team has managed to summarize a variety of interesting information regarding the Alfamart franchise in this one article. Come on, let's take a good look!

Advantages of Alfamart Franchise

Franchising or franchising is a suitable business model to choose for those of you who don't have much experience in doing business but want a decent profit.

Through this business model, you can learn how a business can run and make a lot of profit. Here are some of the advantages of the Alfamart franchise and why this business is worthy of your consideration.

**1. Known by the Public (Strong Brand Recognition)**

Alfamart is known by the wider community for the availability of a variety of products and attractive promotions. This of course can benefit you in selling many products and reaping the maximum possible profit.

**2. Have a Wide Market Share (Buying Power)**

Alfamart targets consumers from various circles. Starting from the lower middle class to the upper middle class, so it won't be difficult for you to get customers. And thanks to its well-known name, wherever this franchise is located, it certainly has its own customers.

**3. Support in Starting a Minimarket Business (Business Assistance)**

Alfamart provides full support in building a minimarket business, so you don't need to be afraid of failure or feel confused about managing it.

Everything has been based on surveys and careful planning. The existing business will be managed by PT. Sumber Alfaria Trijaya Tbk.

4. Tested and Trusted

Retail businesses such as Alfamart have been tested and trusted for their operations and management. This includes the procurement of employees, operations, monthly and annual financial reports, procurement of logistics, reliable inventory management, and information technology.

Alfamart has more than 100,000 employees, more than 400 suppliers, partners with more than 3,600, and more than 10,200,000 loyal customers. In other words, you will only receive the results or profits.

5. Allows To Obtain Additional Income

You have the opportunity to get additional benefits by renting a location or displaying products in front of your franchise.

Also Read: 10 Easy and Profitable FnB Franchise Business Ideas

Requirements for Registering an Alfamart Franchise

To be able to start a minimarket business such as an Alfamart franchise, you must meet the following requirements.

1. Indonesian Citizen (WNI)

2. Have an Interest in the Minimarket Industry

3. Has a Strategic Franchise Location (with a total land area of approximately 150 m2 to 250 m2.)

4. Complete licensing requirements such as neighbor permits, domicile permits, SIUP, NIB, NPWP, NPPKP, STPW, and IUTM (depending on each region)

5. Setting up Investment Funds (Business Capital)

6. Committed to Following Applicable Systems and Procedures (Company SOPs)

If you have met the requirements above, then you are one step closer to being able to own an Alfamart franchise.

Alfamart Franchise Types

Quoted directly from the official Alfamart franchise offer proposal, there are 3 types of franchises that you can choose according to your budget and wishes. The details are as follows.

Franchise Alfamart

Image Source: Freepik/rawpixel.com

1. New Store Franchise

The first type of Alfamart franchise is a new outlet. As the name implies, a new outlet is a type of franchise that is built from scratch in an approved location.

For the amount of capital, this type of franchise requires capital of around Rp. 300 - Rp. 500 million. This value can change at any time following the applicable policies and of course outside of the cost of renting the property or place.

Cost Estimation of New Alfamart Franchise Outlets

Store Type	Number of Products	Area Luas	Investment
9 Shelf	1200	30 m²	Rp 300 Million
18 Shelf	1600	60 m²	Rp 350 Million
36 Shelf	3800	80 m²	Rp 450 Million
45 Shelf	4500	120 m²	Rp 500 Million

The cost estimate above includes the following benefits.

Franchise Fee of IDR 45 Million
Electricity
Shelf and Store Needs
Licensing
New Franchise Promotion Costs
Shop Sign & Poli Sign

2. Conversion Store Franchise

The second type of Alfamart franchise is a conversion outlet. This type of franchise transforms an old grocery store into a new Alfamart. This type tends to be more economical because you can use the stock and goods you already have for opening a new Alfamart. So, the initial capital that you have to spend is relatively smaller when compared to opening a new outlet from scratch.

3. Takeover Outlet Franchise

Lastly is the takeover type Alfamart franchise. By choosing this franchise, you will automatically take over an existing or ongoing business. For initial investment costs, you need at least IDR 800 million.

This fee includes a 5-year franchise fee, a 5-year location lease, equipment, and licensing. In short, this third type carries the "accept done" system. You will not have to mess around with promotional activities and other licensing matters.

Overall, the three types of existing franchises are equally profitable. All existing outlets have a uniform appearance and are equipped with operational support facilities such as inventory warehouses, air conditioning, parking lots, and skilled and trained sales assistants.

How to Register Alfamart Franchise

How? Is this where you start to be interested in registering for an Alfamart franchise? For those of you who want to register immediately or are even curious about how here's a brief explanation regarding how to register.

1. Visit the official franchise registration site here

2. Register by filling out the form provided

3. Click 'Register'

4. Submit a location (especially for those of you who choose a new franchise)

For an existing location proposal, you need to attach complete data in the form of a location pin on a map or Google Maps, a photo of the place (front and back).

5. Proposal and Approval

Next is submitting a proposal that includes a study of potential proposed locations, working drawings, budget plans, and financial projections for further consideration by Alfamart.

Considerations for applying for a franchise registration are determined by a team of surveyors who consider 5 things including population, the purchasing power of the nearest community, traffic of vehicles passing by, competition from other minimarkets, and supporting facilities on site.

6. Franchise Agreement

If the previous steps have been successfully completed and successfully approved, then you need to sign a franchise agreement. Make sure you carefully read the opportunity at hand.

The contents of this agreement cover various aspects and obligations of both parties before the store operates or is built at the agreed location.

7. Grand Opening

At this stage, your franchise is ready to operate and has received permits or legality from the authorities to operate in the location you have chosen.

Alfamart Franchise Profit Estimation

The following is a calculation of the estimated profit and capital of the Alfamart franchise quoted from advantage.net. The existing calculation example uses a new type of outlet with a choice of 45 rack outlet types.

Investment Cost

Franchise Cost IDR 500 Million (New Store Type 45 Shelves Size 120 m2)

Estimated Income Per Month

Sales (IDR 25,000,000 x 30 Days) = IDR 750,000,000

Assuming 10% gross profit margin = IDR 75,000,000

Estimated Spending Per Month

Employee wages for 5 people @ IDR 4,000,000 = IDR 20,000,000

Operational Cost (2% X Turnover) = IDR 15,000,000

Total Expenditures Per Month = IDR 35,000,000

Profit Per Month = Assumed Gross Margin Profit - Total Spending Per Month

Profit Per Month = IDR 75,000,000 - IDR 35,000,000 = IDR 40,000,000

Time of BEP / Payback: (Initial Capital: Net Profit per Month) = IDR 750,000,000 : IDR 40,000,000 = 18.75

From the results of existing calculations, it can be concluded that the investment capital you spend is predicted to return on investment within 19 months. This estimate is of course quite fast considering the capital spent is not small. Even so, the existing calculations are tentative or can change depending on the sales results you get each month.

Alfamart is a retail business that is never empty of customers. Running this franchise will certainly provide a lot of experience and benefits if you are really serious about it.

How? Are you interested in registering for an Alfamart franchise? If you are planning to open your own business but are hindered by capital, BFI Finance can be the right solution for your financial problems!

Simply by pledging the vehicle BPKB or house certificate, you can get the number of funds needed to support your business.

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