MBA Chai Wala Franchise in India: Cost & Profit [Dec’24]

In India, tea holds the esteemed position of being the most favoured and popular beverage. Rather than relying on words to emphasise the love for tea in the country, let’s delve into some statistics: a staggering 8,37,000 tonnes of tea are consumed annually in India!

Globally, tea takes the second spot in the list of most widely consumed beverages, following water. Notably, India claims the second position in tea production, as reported by the India Brand Equity Foundation (IBEF).

The tea cafe industry has witnessed a significant surge in sales recently, attracting a growing number of investors. This uptrend can be attributed to the rising urban consumer base with substantial disposable income, who have embraced the habit of purchasing cups of hot beverages.

According to a comprehensive survey conducted by the Tea Board of India, a remarkable 88% of all Indian households include tea in their daily consumption. This implies that nearly 64% of the entire population of India has a fondness for consuming tea.

The cumulative data strongly indicates that tea businesses present highly lucrative and promising opportunities in India. To tap into the success of this industry, let’s explore how we can become a part of it by investing in the world’s second largest chai business, MBA Chai Wala.

MBA Chai Wala was established in 2017 by Prafull Billore with an investment of INR 8,000 only! Vivek Billore is the co-founder. Let’s delve further into the past of MBA Chai Wala and take a gander at how the same business can prove to be a successful start to your entrepreneurial journey!

 

 

Beginning of MBA Chai Wala

 

Born and brought up in a lower- middle- class household, Prafull Billore always aspired to commence his own business to provide his family a comfortable lifestyle and to acquire financial success.

This generated an interest in business in him at a young age. But to his misfortune, he failed to clear the CAT exam thrice after receiving his diploma. He later enrolled at Ahmedabad University to complete his education in order to satisfy his parents.

This failure wasn’t enough to stop Prafull from fulfilling his dream of becoming a businessman! Prafull started working part- time at a McDonalds’ while completing his education at the  Ahmedabad University, to get an idea of what it feels like to work.

But this work wasn’t enough to suffice his craving to run a business. So, in 2017 he launched a tea cart on the SG Highway in Ahmedabad after quitting both his studies and job. 

The tea cart was both a financial and practical decision as he knew that tea is the sole beverage that is enjoyed all over India and also because he only has a mere sum of INR 8,000 to commence his business. 

With the aim to grow this enterprise of his into a successful venture, he founded MBA Chai Wala. This venture led to him being teased by his relatives and his parents getting furious with him.

He implied various tactics to increase the crowd at his stall, like an english speaking man offering tea, competitions of ludo and cricket and a whiteboard which enables customers to jot down messages for their loved ones.

The inclusion of these new tactics regularly, made the customers eager to visit his stall and hence led to the rapid success of his MBA Chai Wala venture!

 

 

MBA Chai Wala Outlets

 

After the success of his stall in Ahmedabad, he expanded his operations to Bhopal after two years, in 2 years.

MBA Chai Wala currently operates over 100 outlets with more than 150 brand partners. 

In 2022, MBA Chai Wala recorded the simultaneous launch of 25 outlets in 25 cities. 

 

 

MBA Chai Wala Menu

 

Over the years, MBA Chai Wala has expanded its menu from just serving chai to serving other appetizing items including- rolls, milk shakes, pizzas, coffees, momos, aam panna, samosa, pasta, burger, sandwiches, fries, garlic bread, maggie, maska bun and much more!

MBA Chai Wala has also commenced serving delicious desserts including brownies etc.

The economical prices and the impeccable taste of every item, is proof of the rapid success of MBA Chai Wala.

 

 

Reasons to Choose a MBA Chai Wala Franchise

 

  • MBA Chai Wala is the world’s second largest chai business.
  • Lower Capex, Higher Returns.
  • Higher profit potential.
  • Vendor, logistics, tech and other assistance.
  • Zero maintenance set up cost.
  • Growth reassurance.
  • Different franchise models for a better geographical reach.
  • Swift return on investment.
  • Extensive training programs are provided to help understand the day to day operations. 
  • MBA Chai Wala is a low-cost business model.
  • MBA Chai Wala requires lower operating costs.
  • MBA Chai Wala is one of the fastest growing chai franchises in India.
  • MBA Chai Wala is one of the most hygienic chai franchises in India.
  • MBA Chai Wala due to its rapid success, already acquires an edge over the competitors.
  • Profit margins offered by MBA Chai Wala are high.
  • MBA Chai Wala offers support for location research to its franchisees.
  • MBA Chai Wala offers aid in development to its franchisees.
  • You get the chance to sell delicious food and tea at economical prices.
  • Mentoring, instructions, and directions will be provided to help you progress easily in the industry.

 

 

MBA Chai Wala Franchise Cost & ROI

 

MBA Chai Wala offers different sorts of franchise outlets with different pricings, they are as followed-

 

  • MBA Chai Wala Kiosk Franchise

 

Essentials Cost & Other Requirements
Franchise Fee INR 4 L (estimated)
Machinery & Kitchen Equipment INR 4.8 L (estimated)
GST INR 2.34 L (estimated)
Interior & Furniture Expenses INR 3.6 L (estimated)
Raw Material INR 60,000 (estimated)
Space Requirement 150 sq. ft.
TOTAL INVESTMENT INR 15.34 L (estimated)

 

According to the above given break-down of investments, the total capital investment to establish your very own MBA Chai Wala Kiosk franchise is INR 16 Lakhs with the inclusion of the franchise fee worth INR 4 L.

 

The space requirement to establish an MBA Chai Wala Kiosk franchise is 150 sq. ft.

 

  • MBA Chai Wala Dine- In Franchise

 

Essentials Cost & Other Requirements
Franchise Fee INR 5 L (estimated)
Machinery & Kitchen Equipment INR 6.9 L (estimated)
GST INR 3.78 L (estimated)
Interior & Furniture Expenses INR 8.5 L (estimated)
Raw Material INR 60,000 (estimated)
Space Requirement  300 to 400 sq. ft.
TOTAL INVESTMENT INR 24.78 L (estimated)

 

According to the above given break-down of investments, the total capital investment to establish your very own MBA Chai Wala Dine- In franchise is INR 25 Lakhs with the inclusion of the franchise fee worth INR 5 L.

 

The space requirement to establish an MBA Chai Wala Dine- In franchise is 150 sq. ft.

 

  • MBA Chai Wala Lounge Franchise

 

The space requirement to establish an MBA Chai Wala Lounge Franchise is 1500+ sq. ft.

 

  • MBA Chai Wala Highway Franchise

 

The space requirement to establish an MBA Chai Wala Highway Franchise is 5000 to 8000+ sq. ft.

 

 

Locations for a MBA Chai Wala Franchise

 

Some locations prove to be exceptionally fruitful for a MBA Chai Wala franchise, including-

  • Residential Neighbourhood
  • Commercial Neighbourhood
  • Retail Malls
  • Bus Stops
  • Highways
  • Any other route with high population

 

Prerequisites for Owning an MBA Chai Wala Franchise

 

All franchisees are required to adhere to the standard franchise terms applicable to each MBA Chai Wala franchise. Listed below are the MBA Chai Wala franchise terms and conditions-

  • A minimum space of 100 sq. ft. is required to own an MBA Chai Wala franchise.
  • MBA Chai Wala’s agreement length is 3 years whereas it favors a 5 years agreement.
  • Costings will fall in the range of INR 7 to 10 Lakhs.
  • A minimum of 1 employee is necessary to establish an MBA Chai Wala franchise.
  • Initially, 3 personnels would be enough to run an MBA Chai Wala Franchise, afterwards the number will vary in accordance to the customer demand. 
  • Repair, maintenance and other services’ pricings ranges between INR 1 L to INR 2 L.

 

 

Read Also:

How to Get Vending Machine Franchise in India

Vending Machine Price List in India

 

 

Steps to Apply for a MBA Chai Wala Franchise

 

Some thorough steps are to be followed to establish your own MBA Chai Wala franchise. The procedure involved is listed below-

STEP 1:  Hop onto the official website of MBA Chai Wala ( www.mbachaiwala.com ).

STEP 2: On the official website ofMBA Chai Wala, you will come across a franchise form.

STEP 3: Fill the form with the necessary personal and professional details including your name, contact information, investment size, age, the location you intend to commence your franchise in etc and submit it.

STEP 4: If you fulfill the criterion to become an MBA Chai Wala, franchisor, the company’s representatives will contact you to discuss the specifics. 

STEP 5: Some necessary document and contract verifications will be carried out.

STEP 6: After verifications, you will be required to pay the franchise registration cost.

STEP 7: When the payment goes through, MBA Chai Wala will assist you in the establishment of your very own MBA Chai Wala franchise.

STEP 8: Get ready to inaugurate your very own MBA Chai Wala franchise!

 

 

Eligibility Criterion for a MBA Chai Wala Franchise

 

  • Location near a residential or commercial neighbourhood, highway, retail mall, bus stop, or any other route with high population.
  • Interested applicants need not acquire a qualification or degree.
  • Interested applicants must acquire a business sense.
  • Interested applicants must acquire a passion for success. 
  • 2 to 3 members of staff will be required to run an MBA Chai Wala franchise.

 

 

Documents Required to Own a MBA Chai Wala Franchise

 

  1. Pictures of the store location
  2. Bank account details
  3. Passport size photo
  4. PAN Card
  5. Aadhar Card

 

Afterword

The tea industry is on an unstoppable rise in India, and the MBA Chai Wala is the perfect venture through which you can become a part of this fruitful industry! So, don’t think twice and make the smart choice by investing in an MBA Chai Wala franchise now.

Author: Rahemeen Rizvi

Rahemeen Rizvi is a dedicated science enthusiast currently pursuing a BSc in Toxicology at Jamia Hamdard. With a keen interest in the intricacies of scientific study, she combines her academic pursuits with a passion for writing and calligraphy, bringing creativity and precision to her work. Her love for the sciences is matched by her artistic talents, making her a well-rounded individual in both her studies and creative endeavors.

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