Chai Franchise Cost in India: Complete Investment Breakdown 2025

Thinking of starting a chai franchise but worried about the investment? You're not alone. Every day, aspiring entrepreneurs ask us: “How much does it really cost to open a chai franchise in India?”

This guide reveals exact costs, hidden fees, and real ROI data from our franchise partners across India. By the end, you’ll know exactly what you’ll pay, what you’ll earn, and whether Maa Ki Chai is the right investment for you.

Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business
Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business

Chai Franchise Cost in India

Starting a Maa Ki Chai franchise costs ₹1.5–2.5 lakh (all-inclusive) with zero monthly royalties and 40–50% profit margins. Most partners break even in 4–10 months.

Quick Cost Summary

Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business
Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business

Detailed Cost Breakdown

1. Franchise Fee (₹1.5–2.5L)

  • Lifetime brand license

  • Equipment package

  • Initial stock

  • Branding kit

  • 3-day training program

  • Launch support

2. Space & Infrastructure (₹20–50k)

Requires 100–400 sq ft. Rent varies by city tier. Minimal build-out due to chef-less model.

3. Licenses & Legal (₹5–15k)

Includes FSSAI, GST, and trade licenses. Maa Ki Chai assists you in the entire process.

4. Working Capital (₹20–40k)

Reserve for rent, staff, and early operating expenses.

maa ki chai provides a bunch of coffee machines with a variety of items
maa ki chai provides a bunch of coffee machines with a variety of items
Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business
Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business

Monthly Operating Costs: What You'll Spend After Setup

Typical outlets earn ₹60 k – ₹3.5 L revenue monthly with 25–32% profit margins. Break-even achieved within 4–10 months.

Hidden Costs? None.

No royalty, marketing, or renewal fees. Partners save ₹4–11 k per month compared to competitors.

Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business
Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business
Maa Ki Chai franchise with financial benefits
Maa Ki Chai franchise with financial benefits

ROI and Payback Period: When Will You Break Even?

Maa Ki Chai franchise roi
Maa Ki Chai franchise roi

Scenario 1: Small Kiosk (₹1.5L Investment)

Break-even: 10-11 months, ROI: 12%

Scenario 2: Medium Outlet (₹2L Investment)

Break-even: 5-6 months, ROI: 128%

Scenario 3: High-Traffic Location (₹2.5L Investment)

Break-even: 4-5 months, ROI: 188%

Maa Ki Chai vs Competitors

Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business
Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business

Financing Options

Choose from self-funding, bank loans under the MUDRA scheme, or partnerships. EMI for ₹2 L at 10% ≈ ₹6,450/month.

Maa Ki Chai franchise comparision
Maa Ki Chai franchise comparision

Real Partner Stories

“Zero royalty is a game-changer. I keep every rupee I earn.” — Rajesh Kumar, Indore

“Recovered my investment in six months!” — Priya Sharma, Raipur

Maa Ki Chai franchise startup investment success stories
Maa Ki Chai franchise startup investment success stories
Maa Ki Chai franchise startup investment success stories
Maa Ki Chai franchise startup investment success stories

Frequently Asked Questions

Q1: Is ₹1.5 lakh enough to start a chai franchise?
Yes! Our ₹1.5 lakh plan includes everything needed for a 100 sq ft kiosk: equipment, initial stock, branding, and training. You'll need an additional ₹20-30k for working capital.

Q2: Are there any hidden costs or fees?
No hidden fees! Unlike competitors, we charge zero monthly royalties, zero marketing fees, and zero renewal fees. Your only ongoing costs are rent, staff, and raw materials.

Q3: What's the difference between ₹1.5L, ₹2L, and ₹2.5L plans?
The plans differ based on outlet size, location type, and equipment package. All include the same training and support. We'll recommend the best plan based on your location during the screening process.

Q4: Can I get a bank loan for the franchise?
Yes! Most banks offer loans under the MUDRA scheme (up to ₹10 lakh). We provide all necessary documentation including franchise agreement and business plan to support your loan application.

Q5: How long does it take to break even?
Most partners break even in 4-10 months depending on location and daily footfall. High-traffic locations (250+ cups/day) break even in 4-6 months, while smaller kiosks (120-150 cups/day) take 8-10 months.

Q6: What if I want to open multiple outlets?
Great! We encourage multi-unit ownership. There's no additional franchise fee for your second outlet (just equipment and setup costs). Many partners start with one outlet and expand after 12-18 months.

Q7: Do I need to buy inventory from Maa Ki Chai?
You must source our signature jaggery chai premix from us (quality control). Other items like milk, sugar, cups can be sourced locally from our approved supplier list, giving you flexibility and better prices.

Q8: What's included in the 3-day training?
Day 1: Brand story, operations, hygiene standards. Day 2: Chai brewing, quality control, inventory management. Day 3: Marketing, customer service, staff training, and business dashboards. Plus ongoing phone support!

Q9: Can I run the outlet myself or do I need staff?
Small kiosks can be run by you + 1 helper. Medium and large outlets need 2-4 staff. Many partners start by working themselves and hire staff as business grows.

Q10: What's the profit margin on each cup of chai?
Our premium tea has a 35% profit margin. Cold coffee and milkshakes also have 35% margins. Overall outlet profit margins are 40-50% after all expenses.

Q11: Is the franchise agreement renewable?
No renewal needed! It's a lifetime agreement. Once you're a Maa Ki Chai partner, you're part of the family forever.

Q12: What happens if my location doesn't work out?
We conduct thorough location screening before approval (footfall analysis, competition check, demographics). In 10+ franchises, we've had zero location failures because we only approve high-potential sites.

Q13: Can I add my own menu items?
You must follow our core menu for brand consistency. However, you can add local snacks or seasonal items with our approval. We also regularly introduce new items that all partners can offer.

Q14: How much should I budget for marketing?
We recommend 5% of monthly revenue (₹3-9k/month). We provide all marketing templates, social media content, and campaign ideas. Most marketing is low-cost: Google reviews, local flyers, social media posts.

Q15: What support do I get after opening?
Ongoing phone support, monthly quality visits, updated recipes, seasonal campaign templates, business performance guidance, and access to our partner WhatsApp group for peer support.

Maa Ki Chai franchise startup investment training program
Maa Ki Chai franchise startup investment training program

Ready to Start Your Chai Franchise Journey?

Now you know the complete cost breakdown: ₹1.5-2.5 lakh investment, zero royalties, and 4-10 month break-even timeline.

📞 Phone: +91 6265 093 549
📧 Email: Sales@maakichai.com

Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business
Maa Ki Chai franchise startup investment breakdown 1.5 lakh low cost tea business