How Much is a Chai Sutta Bar Franchise Cost, Profit Margin & How to apply for CSB Franchise?
CHAI SUTTA BAR FRANCHISE: Everyone knows, Tea Is Heart of Indian Drinks. Indian People drink this tea almost twice and thrice a day. And this number of consumption helps people to get a good profit margin in this business. Here in this article, we will learn how to start your own ‘chai café’ with Brand Name Chai Sutta Bar Franchise (CSB Franchise).
We all know how famous Chai Sutta Bar has become in today's world. People enjoy drinking tea along with a cigarette. We do not recommend you to do that as cigarette is injurious to health. Now, Chai Sutta Bar is running quite efficiently in today's world. Interestingly, Chai Sutta Bar is India's Most Profitable Tea venture.
Before starting this lets me clear that chai sutta bar, it’s not about smoking or any related stuff. This business is 100% pure chai café business.
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What Are Chai Business ideas in India
In Chai Business, India is the no #1 Consumer market. Over 80% of the total chai production is consumed by the Indian people. Almost every Indian craves chai after waking up, after lunch. The demand for tea never goes down in any session, like summer or winter, that is why you would see the tea booth every 1 km of the area.
Our Young Indian minds had seen this tea business as a big opportunity in India as well as the international market. This thought makes Chai sutta bar Franchise expand to more than 48+ franchises all over India.
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What Is Chai Sutta Bar India?
Chai Sutta Bar is one of the fast-growing café chains in India after its existence in early 2016.
Initially, the founder established their first seeds of Chai Cafe in Indore, Madhya Pradesh, and now with j curvy growth, they have established their brand all over India with their high-quality 48+ franchises office.
Here is the most interesting fact about Chai Sutta Bar café. In the Initial days of Chai Sutta Bar café, they sold around 4000-5000 Kulhads every day and now they are selling with the great milestone of 80,000+ sales per day.
Chai Sutta Bar with its CSB franchise business model, wants to expand its business not only in India but across the world.
Their vision is to make CSB an international Chai Sutta Bar brand that describes the goodness of Indian tradition and is served on the bar table by providing high-quality hygienic beverages in Kulhad at affordable prices.
Chai Sutta Bar Want to expand Chai Sutta Bar Franchise all over India by opening at least 200+ outlets to fulfill the market demand for hygienic tea which would not only motivate youth to reduce cigarette consumption but also it will uplift the people who work with us.
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Why Chai Sutta Bar Franchise?
A Chai Sutta Bar franchise is a good option as it boasts a lower CAPEX and higher returns. Additionally, there is complete brand operational and marketing assistance. Followed by a thorough supply chain eco-system that supports vendors, sales, tech, logistics, and personnel.
Reliability. And lastly, greater profitability (low overheads, growth reassurance, higher ROI, affordable infrastructure, different investment models for a better geographical reach.)
Furthemore a thoughtful pricing strategy that is affordable for everyone makes the franchise a great opportunity.
Who is the owner of Chai Sutta bar?
- Mr. Anand Nayak (DIRECTOR & Co-Founder)
- Mr. Anubhav Dubey (DIRECTOR & Co-Founder)
- Mr. Rahul Gothi (Managing Director)
Chai Sutta Bar Franchise Menu & Top Selling Items Pricing/Profit
- Tea
- Chocolate Tea
- Ginger Tea
- Eliachi Tea
- Rose Tea
- Masala Tea
- Pan Tea
Apart from tea, Chai Sutta Bar has a variety of coffee, milkshakes, snadwiches, etc. Chai Sutta Bar is known for its most go-to beverage, which is its varied varieties of ‘Chai.’
Chai Sutta Bar Franchise Details
The following are the requirements for a Franchise of Chai Sutta Bar Cafe.
What is the cost of Chai sutta bar franchise?
Chai Sutta Bar has two types of franchise models and they are FOFO (Franchise Owned Franchise Operated) and COCO (Company Owned and Company Operated). Now, in the FOFO model, the company just rents out the brand name to the franchisee for a non-refundable amount. The franchisee will need to pay a certain amount of money as a brand fee. On the other hand, the COCO model is where an outlet is owned by the company and operated by them. From setting up the store to running it, everything is done by Chai Sutta Bar.
If you are willing to open a franchise then we are sure you will be choosing the FOFO model. To open a FOFO model, you not only have to pay some non-refundable amount for brand recognition but, for a franchise fee as well. Chai Sutta Bar has three types of franchise outlets they are Kiosk, Medium, and Mega. The Chai Sutta Bar franchise can cost up to Rs 6-8 lakhs. This is just the average franchise cost for any Chai Sutta Bar outlet.
The total average investment required to open a Chai Sutta Bar franchise is between Rs 16-18 lakhs. Now, this total investment depends on the outlet that you are choosing. The bigger you open the more will be your investment. Other costs are the following:-
- Equipment- Rs 3 lakhs
- Raw material- Rs 2 lakhs
- Furniture- Rs 5 lakhs
- Rent (if needed)- Rs 50-80k per month
- Requirements for Chai Sutta Bar Franchise
Some of the important requirement needed to open a Chai Sutta Bar franchise is given above. But, opening a franchise requires other parameters as well. The requirements to open a Chai Sutta Bar franchise are given below:-
- Space needed- 300-400 square feet
- Royalty fee- 2%
- Business registration- needed for Sole proprietorship or Partnership
- License- FSSAI License and Trade License
- Registrations- Shop agreement and registration papers
- Photographs needed
- Furniture required- table chairs, counter desk, billing desk, and printing machine
- Signage license
- GST registration and GSTIN Number
These are some of the requirements that are needed to open a Chai Sutta Bar franchise. Additionally, some of these might change as per the business model you choose.
Chai Sutta Bar Franchise required a Solid Financial backup capable of investing. Here is the break-up of Chai Sutta Bar Franchise Cost.
| Particulars | Investment |
| Commercial space | 300 to 400 sq. ft minimum |
| Equipment and machinery | ₹ 3 lakh |
| Furniture and décor of interiors | ₹ 5 lakh |
| Raw materials initial investment | ₹ 2 lakh |
| Franchise Fee | ₹ 6 lakh |
| Total investment | ₹ 16 lakh |
| ROI | 108% |
| Payback period | 14 to 18 months |
| Royalty fee | 2% of turnover |
| Term of agreement | 5 years |
EXPERIENCE
Anyone can start with a chai sutta bar café if they have Considerable experience in the food service industry.
The company also provides training and support to enhance the business.
Also, the person or company should be able to look after the day-to-day operations of the business
CSB Franchise Location:
Starting with any business in the food and beverage section, You must have a good location where you can get the maximum possible footfall. This will boost the sales of your business.
Read More: List of best tea franchises in India
How to Get Chai Sutta Bar Franchise ?
Several places are offering the Chai Sutta Bar Franchise. The franchiser estimates a rapid 15-month payback period for an initial investment of 16 lakh and monthly average returns of 90,000 pm. That is a clever strategy that elevates common tea to a globally recognised brand, promotes Indian artisans (approximately 5 million kulhads are required daily), reduces plastic use, and highlights Indian culture.
| Model | Cafe |
| Space | 300 - 400 Sq.ft. |
| Machinery & Equipment | 03 Lakhs |
| Interior & Furniture | 05 Lakhs |
| Initial Raw Materials | 02 Lakhs |
| Franchise Fee | 06 Lakhs |
| Total Investment | 16 Lakhs |
| ROI | 14-18 Months |
| Royalty | 2% |
How to apply for Chai Sutta Bar Franchise?
The products and services sold by this tea venture are just amazing. Opening a Chai Sutta Bar franchise is easier than you can think. The business wants to expand its business through franchises so they do not reject any offer coming to them. Following are the steps to open a Chai Sutta Bar franchise:-
- The first step to opening a Chai Sutta Bar franchise is to visit the official webpage of the company. This https://www.chaisuttabarindia.com/franchise/ is the official link to apply for Chai Sutta Bar franchise. Additionally, we would highly recommend you not visit any third-party websites to fill out any franchise form for any business.
- After you have visited the official website or the link mentioned above then you will see an informational page opened for you. The page will include some details such as name, contact number, email ID, area in which you want to open the CSB outlet, and address. Fill out all this information correctly.
- After you have filled out all the information asked on the official franchise page, do not forget to double-check them. This is because if you are eligible then the concerned team or individual will use that information to contact you.
- The last step here is to click on the 'send' button that is just below all the information asked by the official franchise page.
Some Facts & Figures About Chai Sutta Bar Franchise
| ROI | 108% |
| Payback Period | 14 to 18 Months |
| Royalty Fee | 2% of Turnover |
| Term of Agreement | 5 Years |
| Official Website | https://chaisuttabarindia.com/?page_id=673 |
| Contact Details | Tel no: 91-6262300031 Email: [email protected] [email protected] |
- Chai Sutta Bar has 325+ locations in 175+ cities, giving it a global presence.
- It originates from Madhya Pradesh's business metropolis and is renowned for both its distinctiveness and top-notch service.
- Chai Sutta Bar was founded by Mr. Anubhav Dubey
Documents Required for Chai Sutta Bar Franchise
| Business Registration- Sole Proprietorship/LLP/Private Limited |
| FSSAI Licence |
| Trade Licence |
| Shop and Establishment Registration |
| GST Registration |
| NOC from the Local Fire Department |
| Certificate of Environmental Clearance |
| Signage License from Municipality |
Area Required for Chai Sutta Bar Franchise
For Opening the Franchise of Chai sutta bar, you must have an area of 80- 2000sq. ft. at any High Street, Educational, near Railways, bus stations or Commercial Place
FRANCHISE FEE
The franchise Fee of Chai Sutta Bar Cafe in India is 6 Lac Indian Rupees.
TOTAL INVESTMENT
Total Cost may vary in Many conditions but on Average cost of the Chai Sutta Bar Franchise is INR 16 LAKH
Investment
| Investment | Amount |
| Equipment and Machinery | Rs 3 lakhs |
| Furniture and Decor of Interiors | Rs 5 lakhs |
| Raw Material Initial Investment | Rs 2 lakhs |
| Franchise Fee | Rs 6 lakhs |
| Total Investment | Rs 16 lakhs |
Is Chai Sutta Bar Franchise Profitable?
Any tea franchise or business in India is highly profitable. Indians are huge consumers of tea, coffee, and water. Now, if you are willing to do business with these products then you will have a booming business.
The profit margin and ROI of the Chai Sutta Bar franchise result that it is a highly profitable business. Yes, the Chai Sutta Bar franchise is a highly profitable business. Additionally, if your store is located in a highly demanded area then there is no looking back to your annual profit it will keep on increasing.
PAYBACK TIME
As per the Current Running of the Franchise, the Payback Time is 1 YEAR 3 MONTHS
AVERAGE ROI
108 %
AGREEMENT TERM
5 YEAR
How to Apply for Chai Sutta Bar (CSB) Franchise In India?
To apply for CSB Franchise, you have to visit the official website of Chai Sutta Bar as details are given below.
| Official Website | Chai Sutta Bar India |
| Contact Details: | Tel no: 91-6262300031Email: [email protected] or [email protected] |
| Address of Communication | 406, Janjeerwala Square, Silver Arc Plaza, New Palasia, Indore, Madhya Pradesh -452001, India. |
Job Opportunities at CSB - Chai Sutta Bar is Hiring Apply Now!
As of December 2022 when all the companies were doing Mass Layoffs, chai sutta bar opened their doors of opportunities for job seekers.
Chai Sutta Bar Franchise is hiring & they have posted a post on their official Instagram account.
Other information Related To CSB Franchise
- Food Cost is 32 to 35%
- Working Capital – 1.5 to 2 lakhs
- Profit Margin 35 to 40%
- Important Raw Materials will be provided by the brand.
- Marketing & sales increasing strategy Support.
- Online delivery partners tie-up.
- Manpower Requirement: 3 to 4 Staff
So if you are willing to start a quick-serve restaurant in the range of 15 Lakhs then Chai Sutta Bar is a Good Option to opt.
The people interested in buying the franchise of this store can contact the official website
Should I get Chai Sutta Bar Franchise? | Conclusion
Consumers refer to "Chai Sutta Bar" as "CSB." They have provided the unexpected in the shape of a chai-focused brand dominating the market, with the original notion of providing everyone with a comfortable environment.
In addition to giving customers an amazing atmosphere and a fragrant taste, the Kulhad Chai has served as a source of joy for customers.
Frequently Asked Questions
How many outlets are there in Chai Sutta bar?
When was the Chai Sutta bar started?
Can we smoke in Chai Sutta Bar?
How many Chai Sutta bars are there in India?
What is the turnover of Chai Sutta Bar?
What is the net worth of Chai Sutta bar?
EBITDA : 811.55 %
Networth: 100.32 %
Debt/Equity Ratio: 3.59
Total Assets: 58.36 %
Fixed Assets: 79.80 %
Current Assets: 44.39 %
Current Liabilities: 81.29 %
Trade Payables: 128.28 %
Current Ratio: 0.95
How Much 1 Chai Sutta Bar Outlat can earn?
This means a single outlet of Chai sutta bar earns approximately Rs.90,000 Per month.
How much is Chai Sutta Bar Franchise?
Profit Margin: 35-40%
Working Capital: INR 1.5-2 Lakh
Payback Time: 1.3 Years