Are you looking to start a business in beverages? In India, tea is the most consumed beverage. So starting a business on tea is never failing and always profitable. Look no further Dr. Bubbles is one of the beverage-selling companies famous for making bubble tea. Bubble Tea Franchise Cost, Profit, and How to Apply in 2024 In this article we will discuss what is the investment to start a bubble tea franchise, What is the profit margin, what are the requirements to start a franchise, How to get a franchise, and Bubble Tea franchise pros, and cons.
Table of Contents
About Dr. Bubbles
Dr. Bubbles is a well-known brand for creating unique and flavorful bubble tea. Its beverage menu includes a wide variety of teas fused with fruit flavors.
Dr. Bubbles has started a quick-service restaurant in Jayanagar, South Bangalore. It’s a place where you can enjoy ice cream, waffles, and other sweet treats.
Dr. Bubbles is currently operating 45 quick-service restaurants across India. It serves everything from milkshakes to coffee and waffles. Dr. Bubbles is aiming to establish more than 100 franchise outlets. To be the next business partner of Dr. Bubbles, follow the details we provide.
Key Details of Bubble Tea Franchise
- Brand Name: Dr. Bubbles
- Industry: Beverage
- Number of Outlets: 45+
- Franchise cost: 16 lakhs
- Profit Margin: 18 to 25%
- Royalty Fees: 8 to 10%
- Space required: 150 to 250 sq ft
- Franchise Agreement: 5 years
- Official Website: https://franchise.drbubbles.in/
How Much Does It Really Cost to Start a Bubble Tea Franchise?
Franchise Fee: Applicant needs to pay 5 lakh + GST to the brand. To acquire the rights to open a Bubble Tea franchise and operate a franchise outlet under brand support.
Estimated setup cost: To set up the QSR model of the Bubble tea franchise requires investment between 4 to 6 lakhs including interior, exterior, and Machinery equipment.
Royalty Fee: Dr. Bubbles charges 8 to 10% royalty fees on the total revenue. For branding, marketing, advertising, and ongoing support.
Working Capital: The Franchisee needs to allocate 5 laks as working capital to run the franchise without hassle, For employee’s salary and day-to-day operations.
Franchise Agreement: Once you become the franchisee of Dr. Bubbles, Franchisee will be working under the brand support and ongoing support for up to five years. If required, you can renew this time frame or start your brand.
Total Investment: The Total investment required to start the Bubble Tea franchise is 16 lakhs it includes the franchise fee, setup cost, working capital, machinery equipment, and other expenses. This figure may vary based on the location you choose for the franchise outlet and the size of the outlet.
| Franchise Fee | 5 lakh +GST |
| Estimated setup cost | 4 to 6 lakhs |
| Royalty Fee | 8 to 10% |
| Working Capital | 5 lakh |
| Franchise Agreement | 5 years |
| Total Investment | 16 lakhs |
Is Investing in a Bubble Tea Franchise Worth the Price?
Investing in a Bubble Tea Franchise is Worth the Price with an 18 to 25% profit margin on each sale. With this high-profit margin, franchisees can recover the initial investment of 16 lakhs in just 1 year.
| Profit Margin | 18 to 25% |
| Return on Investment | 12 months |
Requirements to Open Franchise
Investment: The Specialty of the Dr.Bubble franchise is everyone can afford with a decent investment of 16 lakhs.
Business Experience: Prior experience in the retail or food industry is beneficial for you to make an early profit in this business. But prior experience is not mandatory. But you need to have basic skills in running a business and handling customers.
Required Space: To set up a Quick service restaurant model of Dr.Bubble you need to have a minimum area of 150 to 250 sq ft. Setting up a franchise outlet brand will help you.
Location: To choose a location for a franchise store you will get brand support. To open this franchise you need to choose decent footfall areas like the market, main roadside, commercial areas, near colleges, and others.
Required Staff: To run the QSR model you need to hire 2 employees who are trained by the Dr. Bubble.
How to Apply for a Bubble Tea Franchise?
Visit the official website: Visit the official website of Dr.Bubble. Take a look at the information given on the website about franchise opportunities.
Look For the Register Form: After reading all the details scroll down above the footer section you will find the franchise register form for fill that form with your personnel details and location details.
Submit the Form: After filling in the details recheck the details for accuracy and submit it.
Wait for the response: Dr. Bubble’s franchise team will review your application. This review process may take a few days or a few weeks. If your chosen location and qualification are eligible franchise team will contact you and wait until you get a response from the brand.
Bubbles Tea Franchise Pros and Cons
Pros
Brand Recognition: With 45 franchise outlets in India, it is a is a well-known brand for making bubble tea in India. With this recognition, you can save time and money. When you partner with an established brand, much of this effort is already done for you.
Training and Support: Dr. Bubbles provides comprehensive training to both franchisees and employees. It includes operating franchise outlets, using machinery tools, cooking food and beverage items, and others. It also provides ongoing support to the franchisee in areas like advertising, marketing, and others.
Low investment: To start a Bubble Tea franchise, it requires only Rs 16 lakh, including all costs.
Decent Profit Margin: The franchisee can expect a profit margin between 18 and 25% of the total revenue.
Quick ROI Period: Within 1 year, the franchise can recover the initial investment. This makes the Dr. Bubble Tea franchise preferable for everyone.
Cons
Royalty Fee: Brands charge an 8–10% royalty fee for marketing, advertising, and ongoing support; you need to take that into account while calculating profit.
Competition: In India, on each 250 meters, you can see 1 to 2 tea shops. To serve your business, you need to be unique and consistent.
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Conclusion
In conclusion, Bubble Tea Franchise Cost, Profit, and How to Apply in 2024, Dr. Bubble Tea is the finest franchise opportunity for people who thought of starting businesses in beverages with an affordable investment. It might be an amazing choice with a decent investment of Rs. 16 lakhs, a 25% profit margin, a 1-year ROI period, training, and ongoing support from the brand. But also consider competition for the tea in your area and the brand charging 8 to 10% royalty fees for support.
FAQ
What does a Bubble Tea franchise cost?
To open a Bubble Tea franchise, costs 16 lakhs, including the franchise fee, setup cost, working capital, and others.
What is the profit margin of the Bubble Tea franchise?
As a franchisee of Bubble Tea, you will expect a profit margin of 18 to 25% on the total sales.
How much area is required to set up a bubble tea franchise?
To set up Bubble Tea Franchise requires an area between 150 to 250 sq ft.
