Interested in Owning Your Own Alfamart? Here Are the Costs and Break-Even Point for 2026
Jakarta, CNBC Indonesia - The minimarket business is quite enticing as it sells various household necessities, especially if the minimarket has a name familiar to the public, such as Alfamart, which has a very wide distribution across Indonesia. It turns out that anyone can own one because Alfamart is a franchise business. If you want to become an Alfamart entrepreneur, read the following information. There are at least three types of Alfamart franchise cooperation, as reported on the company’s official website. 1. New Outlet Franchise: This cooperation involves opening a new Alfamart based on a location proposed by the prospective franchisee. The stages include an initial presentation, location evaluation and approval, proposal presentation, cooperation agreement, and store opening. Alfamart also provides rack type options adjusted to the capital amount and building size owned by the prospective franchisee. The investment costs are: Rp300 million for a 9-rack outlet (30 m2), Rp350 million for an 18-rack outlet (60 m2), Rp450 million for a 36-rack outlet (80 m2), and Rp500 million for a 45-rack outlet (100 m2). This capital includes a franchise fee of Rp45 million for five years, electrical installation, outlet equipment and air conditioner, cash register and retail information system, shop sign and pole sign, outlet permits, and promotion and preparation for the outlet opening. It should be noted that this estimated investment value excludes property investment and may change according to conditions during the outlet opening process. 2. New Outlet Franchise - Conversion: This cooperation offers a franchise to owners of local minimarkets or grocery stores who want to grow their business. Alfamart provides two conveniences for store owners taking this programme: recognition of the local minimarket or grocery store’s merchandise as stock for the opening of the franchise outlet, and the store’s racks can be used and recognised as a reduction in investment costs, provided the rack criteria meet Alfamart’s standards. The stages in this cooperation begin with an initial presentation, first stock opname, cooperation agreement, second stock opname, and conversion store opening. 3. Take Over Outlet Franchise: The final type of cooperation is purchasing an already operating Alfamart outlet at a predetermined package price. The capital amount for this type of franchise varies, starting from Rp800 million. This capital includes a franchise fee of Rp45 million for five years, location rent for five years, outlet equipment and air conditioner, cash register and retail information system, shop sign and pole sign, outlet agreement, and goodwill. The stages in this cooperation are initial presentation, purchase agreement, permit transfer, cooperation agreement, and take over. Alfamart Royalty Fees: Partners who open an Alfamart outlet will be charged a royalty fee. This fee is calculated progressively from the net sales of the respective outlet and is exclusive of tax. The rates are: 0% for net sales of Rp0 to Rp150,000,000; 1% for net sales of Rp150,000,001 to Rp175,000,000; 2% for net sales of Rp175,000,001 to Rp200,000,000; 3% for net sales of Rp200,000,001 to Rp250,000,000; and 4% for net sales above Rp250,000,001. Requirements for Opening an Alfamart Outlet: Anyone can open an Alfamart outlet through franchise cooperation, but several requirements must be met: 1. Have an interest in the minimarket industry. 2. Be an Indonesian citizen with a business entity (CV, PT, Cooperative, or Foundation). 3. Already have or will have a business location with a sales area of at least 100 m2, excluding warehouse and administrative space, with a total land area of approximately 150 m2 to 250 m2. 4. Fulfil licensing requirements such as Neighbour Permit, Domicile Permit, SIUP, TDP/NIB, NPWP, NPPKP, STPW, and IUTM, which vary by region. 5. Be willing to follow the systems and procedures applicable at Alfamart.