What
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Where
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At a glance
10 Lakhs - 20 Lakhs
Investment Range
6 - 10
Franchise Count
101 - 500 sq.ft
Area Required
18 - 24 months
Break-Even Timeline
1
Years in Franchising

Bun Makkhan Chai Franchise

Franchise Quick Facts

Brand Name Bun Makkhan Chai (BMC)
Industry Food & Beverage
Business Category Quick Service Restaurant / Tea Café
Founded Year 2017
Franchise Started 2024
Total Franchise Outlets 1–10
Estimated Investment INR 10 Lakhs – 20 Lakhs
Franchise Fee INR 3 Lakhs
Royalty Fee 5%
Space Requirement 200 – 400 sq. ft.
Expected Payback Period 1–2 Years

1. What is Bun Makkhan Chai?

Bun Makkhan Chai is a tea café concept built around traditional Indian chai and snack combinations, delivered in a modern quick service format. It operates in the café and QSR segment, serving urban consumers looking for affordable beverages, light snacks, and casual hangout spaces.

2. How the Business Works

The business operates through compact café outlets designed for dine-in, takeaway, and social interaction.

Operational flow includes:

  • Customers visiting the café for beverages and snacks
  • Selection of chai variants and complementary food items
  • Preparation of drinks and quick-service snacks
  • Service through counter-based ordering and seating
  • Repeat visits driven by convenience and café experience

Revenue is generated through beverage sales, snack orders, and customer retention.

3. Products or Services Offered

Franchise outlets offer a structured menu focused on tea and light food:

Tea and Beverages

  • Masala chai and flavored tea variants
  • Herbal and specialty teas
  • Cold and iced tea options

Core Food Offering

  • Bun makkhan (buttered bread) as a signature item

Snacks and Light Meals

  • Samosas, pakoras, and toast-based items
  • Cookies and quick bites

The menu is designed for high-frequency consumption and quick service.

4. How the Franchise Model Works

The franchise operates as a standardized tea café outlet.

Franchisee Role

  • Set up and manage the café
  • Handle daily operations, staff, and service
  • Maintain product quality and customer experience
  • Execute local marketing and customer engagement

Franchisor Role

  • Provide menu structure and preparation processes
  • Offer training on operations and service delivery
  • Support branding and outlet setup
  • Provide operational guidance and systems

The model focuses on replicating a consistent café experience across locations.

5. Franchise Cost and Investment Overview

The franchise requires a moderate investment typical of small café formats.

Cost Structure

  • Total investment: INR 10 Lakhs – 20 Lakhs
  • Franchise fee: INR 3 Lakhs
  • Royalty: 5%

Investment components typically include:

  • Interior setup and seating arrangements
  • Kitchen and beverage equipment
  • Initial inventory and supplies
  • Staffing and operational costs
  • Marketing and launch expenses

6. Space and Infrastructure Requirements

The franchise is designed for compact café spaces.

Requirements

  • Area: 200 – 400 sq. ft.
  • Location: High footfall areas such as markets, college zones, or commercial streets
  • Infrastructure:
  • Beverage preparation counter
  • Seating arrangement for customers
  • Storage and billing area
  • Staffing:
  • Small team for service and preparation

The setup supports both quick service and casual seating.

7. Training and Franchise Support

Franchise partners receive operational and business support.

Support Includes

  • Training on beverage preparation and café operations
  • Guidance on outlet setup and design
  • Marketing and branding assistance
  • Ongoing operational support

These systems help maintain product consistency and service standards.

8. Revenue Model and ROI Factors

Revenue is generated through daily café sales.

Key Revenue Drivers

  • High consumption frequency of tea beverages
  • Low-ticket pricing encouraging repeat visits
  • Add-on snack sales increasing average order value
  • Location-driven customer footfall

ROI Indicators

  • Expected payback period: 1–2 years

Profitability depends on customer volume, pricing strategy, and operational efficiency.

9. Brand History and Expansion

The brand was established in 2017 and entered franchising in 2024. It operates in the growing café segment, focusing on Indian tea culture in a modern format.

Expansion is currently at an early stage, with a limited number of outlets and plans to grow through franchise partnerships.

10. Key Advantages of the Franchise

  • Focus on tea and snack consumption with daily demand
  • Compact outlet model with moderate investment
  • High repeat customer potential
  • Café format suitable for urban and semi-urban markets
  • Standardized operations for scalability
  • Combination of dine-in and takeaway revenue streams
Food & Beverage Quick Service Restaurants B2C Owner-Operated Individual/Family
Investment and financials
Cost overview
Investment range 10 Lakhs - 20 Lakhs
Franchise / Brand fee ₹3 Lakhs
Royalty / Commission 5%
Investment tier Mid
Area required 101 - 500 sq.ft
Staff required 4 - 15
Setup complexity Moderate
Business term 5 Years
Renewal available Yes
Returns outlook
Expected monthly revenue
₹3.1L – 10L
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
Property required Mall/High Street
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 1 Year
Avg units / year
Ideal for
Experienced professional Small retailer upgrading to branded model
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
1 Year
Years Franchising
Avg Units / Year
2017
Founded
C
Brand Tier
C
Tier C — Startup brand with early market presence
A+Established AMature BGrowing CStartup
Startup
Forefind rank history
Current rank
#779
Food & Beverage category
2025
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
Eating House License
Fire NOC
Setup complexity:
Moderate

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

The investment typically ranges between INR 10 Lakhs and 20 Lakhs, including setup, equipment, and operational costs, along with a franchise fee of INR 3 Lakhs.

Q How does the Bun Makkhan Chai franchise business work?

The franchise operates as a tea café offering chai and snacks. Revenue is generated through beverage sales, food orders, and repeat customer visits.

Q What space is required for this franchise?

A space of 200 to 400 sq. ft. is required, ideally located in high footfall areas such as markets or near educational institutions.

Q How long does it take to recover the investment?

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

Q How can investors apply for the franchise?

Interested investors can connect with the brand to evaluate investment requirements, location feasibility, and onboarding procedures.

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