25 Oct
25Oct

Tea is more than a beverage in India — it’s part of everyday life. With over a billion cups served daily, tea has become one of the most popular and profitable business opportunities in the country. If you’re planning to become an entrepreneur, starting a tea franchise business in India is a smart and rewarding choice.This guide explains how to start a tea franchise, the investment required, and why it’s one of the fastest-growing segments in the Indian food and beverage industry.

1. Research the Market and Choose the Right Brand

Before investing, research the tea market and identify a franchise brand with a strong reputation, established customer trust, and a proven business model. Look for brands that offer:

  • Authentic Indian tea blends
  • Affordable franchise investment
  • Training and operational support
  • Free branding and marketing assistance

Popular brands like Desi Chai are offering excellent franchise opportunities across India.

2. Select the Location

The success of a tea outlet depends heavily on location. Choose areas with high footfall, such as:

  • Colleges or universities
  • IT parks and office zones
  • Malls and shopping streets
  • Bus stands and metro stations

Visibility and easy accessibility are key to building a loyal customer base.

3. Plan Your Investment

A typical tea franchise investment in India ranges between ₹10 – ₹15 lakhs, depending on the outlet size and brand.

This usually includes:

  • Franchise fee
  • Interiors and setup
  • Equipment and supplies
  • Training and licensing
  • Initial stock and marketing

Look for brands that provide branding support at no extra cost, as it reduces your initial expense.

4. Understand Profit and ROI

Tea businesses have a high-profit margin with minimal waste. A well-located outlet can generate:

  • Monthly revenue: ₹2 – ₹4 Lakhs
  • Profit margin: 30% – 45%
  • Return on investment: Within 12 to 18 months

Maintaining consistent quality and service can ensure long-term profits.

5. Complete Legal and Licensing Formalities

Before opening your outlet, ensure you have all necessary approvals:

  • FSSAI license
  • GST registration
  • Shop and establishment certificate
  • Local municipal permits

These steps help you operate legally and build customer trust.

6. Get Franchise Training and Support

Reputed tea franchise brands offer training programs to help franchise partners learn about:

  • Product preparation and service
  • Inventory and staff management
  • Hygiene and customer handling
  • Marketing and promotions

Training ensures consistent taste and customer experience across all outlets.

7. Launch and Promote Your Outlet

Once your setup is complete, focus on promotions through:

An attractive opening event can also create a strong first impression in your area.


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