Hello! Was looking at franchising a certain brand but when they sent the document for their costing. Gross profit margin just accounting for product costs alone is only at 25%. I have no experience but isn't this really bad for F&B? Can someone provide insights on this?

Example: 100 peso order only gives a gross profit of 25 pesos, not accounting for other expenses.

Tho the franchise allows you to choose whatever pricing you want, meaning I can double their srp but at that point, the product wouldnt be attractive to customers anymore.

Actual computation provided.

Miso ramen

Product cost 98

Package cost 10 (with uten)

Spring onion 2

Retail price 145

Margin:24%

Gyoza 3 pieces

Product cost 22

Packaging cost 5

Sauce 2

Retail 39

Margin: 23.3%

Just 2 product samples but the rest are similar. Thoughts?