Larissa: The Cost of Starting a Supermarket Franchise

How investment is divided between the chain and the franchisee is the focus of a Formedia report published on 2 November 2026 about small supermarkets in Larissa, Greece. The figures describe a model in which the company pays for the fit-out and equipment, while the franchisee is primarily responsible for the opening stock. For those considering a franchise, the key lies in the individual obligations, not just the advertised entry cost.

Who pays for the fit-out and equipment

Under the model presented, stores typically have a single sales area of 120–200 square metres, plus 50–80 square metres of storage space. This distinction matters when looking for premises, as the customer-facing area does not represent the full space required.

Fit-out costs are estimated at €90,000–€120,000, with equipment costing €140,000–€200,000. According to the description of the arrangement, the company covers these costs. The opening stock, by contrast, valued at €60,000–€70,000, is the franchisee’s responsibility.

This split reduces the categories of investment that the franchisee must fund directly. It does not, however, mean that opening a store requires only a modest entry payment: stock is a separate and substantial funding commitment. These figures relate to the model described and are not a standard price list across all chains.

Upfront outlay and the different charges

The report cites an initial investment of around €25,000, including a one-off payment of approximately €3,000. The latter covers the right to use the brand name, territorial exclusivity, initial training and the transfer of know-how.

At the same time, the franchisee’s total upfront outlay is estimated at €80,000–€90,000. These two figures do not describe the same thing. As the report explains, they relate to different cost categories, which need to be assessed against the terms of each agreement.

This distinction is crucial for a prospective franchisee comparing offers. The entry cost, stock purchase and total upfront outlay should be shown separately in the financial plan. Likewise, any advance payments required at successive stages need to be clarified: are they included in the overall figures or payable on top? Presenting them as a single, undifferentiated ‘opening cost’ does not help prospective franchisees assess the actual commitment.

A ten-year agreement and monthly rent

The stated terms include monthly rent of €2,500–€3,200 for use of the store and no royalties for the first ten years. The absence of ongoing royalties therefore does not mean there is no fixed monthly payment.

The agreement is described as typically lasting ten years, with the right to renew for a further ten years and territorial exclusivity. These terms define both the duration of the relationship and its geographical scope.

When assessing an offer, the term, renewal provisions and exclusivity need to be considered alongside the financial obligations. The figures quoted reflect specific costs and contractual provisions; they do not, on their own, establish expected profitability or a payback period. The company’s commitment to cover equipment costs is significant, but it is not enough to assess the investment as a whole.

From preliminary agreement to opening

The process begins with identifying the area of interest and signing a preliminary franchise agreement, at which point an advance payment of €5,000 is required. This is followed by a search for and assessment of premises, either proposed by the applicant or identified with the company’s help.

Preliminary checks and approval of the premises come before the lease agreements and the ten-year franchise agreement. A further deposit of €5,000 is stated for planning work and licensing. Design, construction, equipment installation and ordering the opening stock follow.

According to the description of the model, no previous retail experience is required. Support includes initial training for the franchisee and staff, operating manuals, and ongoing assistance from a franchise adviser and a visual merchandising trainer. Support also covers the first days of trading.

Practical takeaway: Before making any advance payment, a prospective franchisee should obtain a written breakdown of the upfront and monthly obligations, with each amount clearly linked to the relevant provisions of the franchise agreement.