Madani Mart: Entrepreneurs Need Up To RM420,000 To Open An Outlet, No Govt Funding
Yayasan Madani has clarified that the retail network is fully private and not a rebrand of the former Kedai Rakyat 1Malaysia (KR1M).
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Madani Mart outlets are not government-funded, and entrepreneurs who want to run one may need to invest up to RM420,000, Yayasan Madani has confirmed
The foundation clarified that the retail network operates on a public-private-social partnership (PPSP) model, providing branding, concept, and business framework, but no capital.
Each outlet is fully owned and managed by individual entrepreneurs.
Its manager, Lutfi Mohd Ariffin, said this ensures that "every Madani Mart is a locally owned business, not owned by the government or the foundation".
What do entrepreneurs get?
While no government funding is involved, the foundation offers a support ecosystem to help the business succeed.
According to the foundation, applicants can expect support in several areas:
- Competitive Pricing: Access to quality goods at competitive market rates.
- Setup & Tech: Assistance with renovations, equipment, point-of-sale (POS) systems, and CCTV installation.
- Training: Full staff training and marketing assistance.
- National Initiatives: Participation in strategic government schemes like Jualan Rahmah, Sumbangan Asas Rahmah (SARA), and Sumbangan Tunai Rahmah (STR).

Prime Minister Datuk Seri Anwar Ibrahim (left) purchasing basic necessities under the Rahmah scheme during the launch of the first Madani Mart at the Indera Mahkota 8 (Semambu constituency) in Kuantan.
Image via Muhammad Delima Atan/New Straits TimesThe foundation also clarified that Madani Mart is not a rebrand of the old Kedai Rakyat 1Malaysia (KR1M) model
The model differs fundamentally, receiving no government funding for capital or operations.
"Madani Mart is fully driven by entrepreneurs based on market mechanisms and private ownership," Lutfi said.
The foundation also maintains oversight of social responsibility elements, ensuring affordability and compliance with standards, while governance is handled by a professional team and the Board of Trustees, who hold no personal interest in operations.
All foundation transactions are recorded, audited, and comply with regulations.
Service fees paid by entrepreneurs support ecosystem development, including ongoing training, operational systems, supply chain access, and performance monitoring.
The foundation is reviewing applications from existing retail businesses and community entities such as cooperatives to join the Madani Mart network.

A Madani Mart outlet.
Image via New Straits Times
