What
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Where
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At a glance
2 Lakhs - 5 Lakhs
Investment Range
101 - 250
Franchise Count
101 - 500 sq.ft
Area Required
18 - 24 months
Payback Period
6
Years in Franchising

Chai Club Franchise

Franchise Quick Facts

Brand Name Chai Club
Industry / Business Category Tea & Coffee / Café
Founded Year 2018
Franchise Started Year 2019
Total Franchise Outlets 100 to 200
Estimated Investment INR 2 Lakh – 5 Lakh
Franchise Fee INR 1,50,000
Royalty Fee Not specified
Space Requirement 100 – 200 sq.ft
Staff Requirement Dependent on outlet size and operations
Expected Payback Period 1–2 years

1. What is Chai Club?

Chai Club is a café brand operating in India’s tea and coffee sector, offering a variety of traditional chai beverages and complementary snacks. It serves urban and semi-urban consumers seeking authentic Indian tea experiences in a modern, hygienic café environment, combining cultural flavors with quick-service efficiency.

2. How the Business Works

Customers engage with Chai Club through dine-in or takeaway outlets. Beverages and food items are prepared using standardized recipes and operational workflows to maintain consistency. Daily operations include order processing, beverage preparation, inventory management, and customer service. Revenue is generated through beverage and snack sales, supported by high repeat visits and accessible pricing.

3. Products or Services Offered

Chai Beverages Masala chai, cutting chai, ginger chai, elaichi chai, and iced variants
Complementary Snacks Bun maska, biscuits, pakoras, sandwiches, and light café foods
Specialty Drinks Herbal and fusion teas for a modern palate
Quick-Service Format Designed for high-frequency consumption and fast service

4. How the Franchise Model Works

Franchise partners operate individual Chai Club outlets under a standardized system. Responsibilities include staff management, beverage and snack preparation, customer service, and operational oversight. The franchisor provides training, operational guidance, supply chain access, and branding support to ensure consistency across locations.

5. Franchise Cost and Investment Overview

Estimated Investment INR 2 Lakh – 5 Lakh
Franchise Fee INR 1,50,000

Investment covers outlet setup, equipment, initial inventory, branding, and interior requirements. Additional costs include staff salaries, utilities, and local marketing. The model emphasizes low setup costs, minimal wastage, and fast-moving inventory to support profitability.

6. Space and Infrastructure Requirements

Area 100 – 200 sq.ft
Preferred Locations Shopping malls, commercial streets, colleges, corporate parks, and transit hubs
Infrastructure Needs Beverage preparation counters, storage, seating (optional), and basic utilities
Staff Requirements Small operational team based on outlet size and service workflow

7. Training and Franchise Support

Operational Training Comprehensive hands-on training for beverage preparation and service processes
Setup Assistance Guidance on outlet design, equipment installation, and operational launch
Marketing Support Local and digital marketing strategies to build visibility and customer engagement
Supply Chain Support Centralized sourcing of ingredients, disposables, and food items
Ongoing Assistance Operational monitoring, workflow optimization, and performance guidance

8. Revenue Model and ROI Factors

Revenue is generated primarily through beverage and snack sales. The model benefits from high-frequency daily consumption, repeat visits, and minimal inventory wastage. Operational efficiency, pricing, and location performance affect profitability. The expected payback period is 1–2 years.

9. Brand History and Expansion

Founded 2018
Franchise Commenced 2019
Franchise Outlets 100 to 200

Chai Club has expanded across metro cities and smaller towns, aiming to establish a nationwide network of modern tea cafés while offering a scalable franchise model for entrepreneurs.

10. Key Advantages of the Franchise

  • Consistent demand for traditional and modern chai beverages
  • Low initial investment with fast-moving inventory
  • Scalable outlet formats suitable for various locations
  • Standardized operational processes and supply chain support
  • High repeat customer potential due to daily tea consumption

11. Who Should Consider This Franchise

  • First-time business owners entering the food and beverage sector
  • Entrepreneurs interested in tea café or QSR models
  • Investors seeking low-to-moderate investment opportunities with short payback
  • Operators targeting urban and semi-urban high-footfall locations

Similar Franchise Opportunities

  • Chai Point
  • Chaayos
  • Tea Time
  • Cafe Coffee Day
  • Barista
Food & Beverage Tea and Coffee Chain B2C Owner-Operated Individual/Family
Investment and financials
Cost overview
Investment range 2 Lakhs - 5 Lakhs
Franchise / Brand fee ₹1.5 Lakhs
Royalty / Commission On Inquiry
Investment tier Low-Mid
Area required 101 - 500 sq.ft
Staff required 2 - 6
Setup complexity Simple
Business term 5 Years
Renewal available Yes
Returns outlook
Expected monthly revenue
₹60K – 2L
Revenue model Low
Business model B2C
Break-even
Capital payback 18 - 24 months
Capital sensitivity High
Investor fit profile
Operations
Operation mode Owner-Operated
Location type Mall/High Street/Kiosk
Property required Mall/High Street/Kiosk
Home-based possible No
Can run part-time No
Primary customer Individual/Family
Market characteristics
Seasonality Medium
Recession resistance High
Digital integration High
Years in franchising 6 Years
Avg units / year 25
Ideal for
First-time business owner Young professional Family-backed investor
Franchise support
Provided by brand
Not provided by brand
Data not available
Tax System Inclusion
Franchise Manuals
Head Office Support
Field Assistance
Agreement Template
Marketing Co-op Fund
Training and agreement details
Training location
Information Not Available
Business term
5 Years
Renewal available
Yes
Brand strength
6 Years
Years Franchising
25
Avg Units / Year
2018
Founded
A
Brand Tier
A
Tier A — Mature brand with strong market presence
A+Established AMature BGrowing CStartup
Established
Forefind rank history
Current rank
#28
Food & Beverage category
2025
Moved up 37 places since 2020
Based on Forefind scoring model
Licences and compliance
Required licences and registrations for operating this franchise in India. Requirements may vary by state and city tier.
FSSAI License
Setup complexity:
Simple

Frequently asked questions
Q What is the investment required for Chai Club franchise?

The estimated investment ranges from INR 2 Lakh to 5 Lakh, including setup, equipment, and initial operational costs.

Q How does the Chai Club franchise business work?

Franchisees operate Chai Club outlets offering tea, coffee, and snacks using standardized recipes and operational workflows, while managing daily operations and customer service.

Q What space is required for the franchise?

A space of 100–200 sq.ft is required, ideally located in high-footfall commercial areas such as malls, corporate parks, or college campuses.

Q How long does it take to recover the investment?

The expected payback period is 1–2 years, depending on sales performance and operational efficiency.

Q How can investors apply for the franchise?

Prospective franchisees can connect with Chai Club to explore opportunities, complete training, and access operational support. ### Similar Franchise Opportunities

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