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.
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-
|Franchise Fee||2,00,000 Rupees|
|18% GST on Franchise Fee||36,000 Rupees|
|Machinery, Kitchen Equipments|
and Setup Cost
|Interior, Furniture, Branding|
(depending upon outlet Size)
|Advance Raw Material and Starter Kit||2,00,000 Rupees|
|Marketing and Opening Ceremony||30,000 Rupees|
(POS, Licenses, Misc)
|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|
|Electricity and Water Supply||(10,000) Rupees|
|Salary of Workers and their Expenses||(50,000) Rupees|
|Other expenses |
(Marketing, Aggregator, Misc)
|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.
The Tea Factory Menu
How to Get The Tea Factory Franchise?
To get The Tea Factory Franchise, you have to fill out the Google form below then we will allot you a franchise specialist who will guide you the best.
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