How To Get The Tea Factory Franchise (Cost and Profit)

The Tea Factory Franchise is one of the best tea cafe franchises in India. We will discuss The Tea Factory Franchise Cost, Profit, and How to get the franchise.

The Tea Factory Franchise currently has 100+ outlets PAN India. You can directly enroll for the Tea Factory Franchise by filling up the Google Form or on Whatsapp.

Table of Contents

The Tea Factory Franchise Cost

The Tea Factory Franchise Cost ₹10,50,000 Rupees as an initial investment. The Franchise Fee is ₹2,00,000 Rupees+GST. The minimum area required is 350 Square Feets. No Royalty will be charged on Sales.

The bifurcation of the Franchise Price (Cost) is given below-

Particulars	Amount
Franchise Fee	2,00,000 Rupees
18% GST on Franchise Fee	36,000 Rupees
Machinery, Kitchen Equipments and Setup Cost	2,50,000 Rupees
Interior, Furniture, Branding (depending upon outlet Size)	2,50,000 Rupees
Advance Raw Material and Starter Kit	2,00,000 Rupees
Marketing and Opening Ceremony	30,000 Rupees
Other Expenditure (POS, Licenses, Misc)	84,000 Rupees
Total Investment	10,50,000 Rupees

The franchise agreement will be of 5 Years
Initially, 3-4 staff will be required
Staff will be provided by the brand
The franchisor will provide the Raw materials
Food, GST, and Shop License is required.
Return on Investment is around 12 months to cover the cost

The Tea Factory Franchise Profit

We will analyze The Tea Factory Franchise Profit Margin with the help of an example. We will deduct all the expenses from the Gross Sales. We are assuming Sales of 3,00,000 Rupees i.e. 10,000 Rupees per day.

Particulars	Amount (Cafe Model)
Gross Sales	3,00,000 Rupees
Cost of Material @45%	(1,35,000) Rupees
Rent	(45,000) Rupees
Electricity and Water Supply	(10,000) Rupees
Salary of Workers and their Expenses	(50,000) Rupees
Other expenses (Marketing, Aggregator, Misc)	(15,000) Rupees
Net Profit	45,000 Rupees

We can conclude that the Profit Margin of The Tea Factory Franchise is 15% for the Sales of 3,00,000 Rupees. The outlet may have less profits in the initial days but Tea has great demand in the market.

After good Local Marketing and Branding, the Sales will increase to 4 Lakh Rupees per month and the profit margin will be 23% on Sales or 92,000 Rupees as Profit.

Location plays a very crucial factor in determining the success rate of a franchise along with food quality and service.

The location should have a very high footfall. It should be in the main market of that area. You can open the outlet nearby colleges, corporates, Highways, Malls or any place where young people love to have Tea.

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