Dostea has emerged as a popular and cherished tea franchise in India after a lot of struggle, and learning over the years in the fast-evolving food & beverage industry. Founded in 2016 and based out of Madhapur, Hyderabad, Dostea has emerged as one of the favorite brands across India. A brand synonymous with best-selling and affordable teas, this tea hub has already become a go-to place for all the tea lovers out there – serving choices of classic as well as new-age twists in different experimental concoctions to match up tastes across every palate. With every round of tea demand for budding sister drinks, a great chance has been presented by Dostea Franchise for business owners who are investing to further develop in the live market.
Table of Contents
About Dostea
Dostea A Tea Shop & More: In other words, it is not just a tea store; when they call the rest DOSTEA! It was founded by tea enthusiast G. Swapna who wanted to take the unique taste of Indian chai across the world. It has diversified its menu to cater to a larger audience with options for teas, snacks, and beverages over the years. This dedication to excellence and quality in service has helped the brand earn appreciation from tea fanatics all over India. The largest tea cafe chain in Malaysia, with more than 100 outlets and still expanding, Dostea is the home of fresh brews that provide franchise opportunities for minded entrepreneurs who share the same passion.
Key Details of Dostea Franchise
- Brand Name: Dostea
- Industry: Food & Beverage
- Number of Outlets: 100+
- Franchise Cost: ₹5.5 to ₹15 lakhs
- Royalty Fees: Zero
- Profit Margin: 25% to 35%
- Space Required: 150 to 300 sq ft
- Official Website: https://www.dostea.in
Dostea Product Range
Dostea is famous for its wide range of products with reasonable prices like
- Types of Tea: Traditional chai, masala chai, adrak wali tea, nimbu pani green tea, and premium blends.
- Snacks: such as Samosas, pakoras, sandwiches, and the like (traditional Indian snacks)
- Non-veg: Beverage (Cold coffee, lassi,) Lemonade & Seasonal Juice.
- Combo Offers: Value-for-money combos that include tea and snack combinations, targeted at cost-conscious customers.
Dostea, by providing excellent Tea at reasonable costs has become the number one choice of all the tea lovers in India.
Dostea Franchise Models
Dostea provides its potential franchisees with two types of models,
Express Model: This is for areas where larger footfalls are present including- MALL, RAILWAY STATIONS, and BUSY MARKETS. It is a kiosk model with low space and investment requirements which makes it the perfect choice for people who want to start a business the first time.
Café Model: It is a proper tea café, which follows a large menu and has seating arrangements as well. It is a cost-intensive model but allows for high-margin sales given the services and feels that the outlet sells.
This makes both models suitable for a range of different types of locations and customer demographics so that franchisees can pick the best option for themselves based on their means and your market.
How Much Does the Dostea Franchise Cost?
Starting a Dostea franchise is a promising venture, but it requires careful planning and investment. The initial Dostea franchise cost typically ranges from ₹5.5 lakhs to ₹15 lakhs, depending on the franchise model and location. The breakdown of costs includes:
Infrastructure Investment: 2 to 4 lakhs which should cover furniture, interior design, and all fittings.
Franchise Fee: The one-time fee of ₹2 lakhs is what provides the franchisee with branding rights under the name Dostea.
Equipment expenses: ₹ 1 to 2 lakhs, including tea-making machines as well as point-of-sale systems and other necessary equipment…
Capital required to begin: 1 to 2 lakhs for the first stock of tea, snacks, and other consumables.
Additional Costs: Up to ₹1-3 lakhs such as marketing costs, staff training, and initial operating cost.
This cost structure ensures that franchisees are well-prepared to launch their business and manage the first few months of operation smoothly.
| Infrastructure Investment | 2 to 4 lakhs |
| Franchise Fee | ~ 2 lakhs |
| Equipment expenses | 1 to 2 lakhs |
| Capital required to begin | 1 to 2 lakhs |
| Additional Costs | 1 to 3 lakhs |
| Royalty Fees | Zero |
| Total Dostea Franchise Cost | 5.5 lakhs to 15 lakhs |
Dostea Franchise Profit Margin and Return on Investment (ROI)
Dostea franchises have strong profitability, around 25% to 35% on sales. The brand’s low pricing strategy, and its high customer demand result in an even stable flow of revenue. The ROI (return on investment can vary based on geography, type of customers, and efficiency of operations. The average ROI for a franchisee is 12-18 months which makes Dostea an investment opportunity in the food and beverage domain.
| Profit Margin | 25% to 35% on sales |
| ROI Period | 12-18 months |
Space Requirements
Dostea places great emphasis on creating a welcoming and comfortable environment for its customers. The space requirements for a Dostea franchise vary based on the chosen model:
- Express Model: Requires 150 to 200 sq ft of space, ideal for high-traffic areas where quick service is essential.
- Café Model: Requires 250 to 300 sq ft of space, with seating arrangements and a more extensive menu offering.
The layout of the store should include:
- Service Counter: A well-designed counter for tea preparation and customer service.
- Seating Area: Comfortable seating for customers (in the café model) to enjoy their tea and snacks.
- Storage: Adequate storage space for inventory and equipment.
- Additional Facilities: A small kitchen area for snack preparation and a washroom for staff.
The space should be strategically located in an area with high visibility and accessibility to attract maximum foot traffic.
Benefits of Dostea Franchise
Investing in a Dostea franchise offers several benefits, making it an attractive option for entrepreneurs:
Branding: Rely on the goodwill and brand of Dostea to have a constant appeal toward a stream of customers.
Low Cost Investment: With a very minimal investment Dostea franchises offer high profitability giving us the advantage of being cost-effective business opportunities.
Extensive Support Available: Dostea offers a range of support to franchisees from training & marketing assistance to operational guidance.
Scalable Business: Franchise models are very flexible in nature wherein you can start with a kiosk and after a few years have a fully-fledged café.
High-Profit Margin: Dostea franchises offer an impressive 25% to 35% profit margin on investment.
Rising Market: The market for tea and its associated beverages increases consistently, this ensures a secure environment for Dostea franchises to succeed.
Documents Required for Dostea Franchise
To start the process of opening a Dostea franchise, prospective franchisees need to prepare and submit the following documents:
- Franchise Agreement: A legally binding document that sets out the terms and conditions of a franchising relationship.
- Address Proof: Done by submission of copies of Aadhar card, PAN Card, and other government photo IDs.
- Business Registration: GST registration certificate, business PAN card, and other applicable documents.
- Financial documents: Bank statements, funds receipt, and investment financials
- NOC and Clearances: No Objection Certificate from local authorities along with other clearances like fire safety, health permit, etc.
These documents ensure that the franchisee is fully compliant with legal and operational requirements, paving the way for a successful business launch.
How to Apply for a Dostea Franchise?
Securing a Dostea franchise is a straightforward process that involves the following steps:
How to contact Dostea: For more details on how you can own a franchise of Dostea just visit the official website(https://www.dostea.in/franchise).
Apply: Complete the information to inquire online with your personal and business Information Franchise model area of interest
Documentation: As per the franchise module of Dostea, one is required to prepare and submit all relevant documents.
Application review & background check conducted by the franchise team of Dostea to determine if you will be selected as a franchisee.
Franchise Agreement: After you are approved, a franchise agreement will be executed and your completed payments (including the franchising fee) will apply.
Dostea assists store layout and training: we help enterprises build their own brands Step by step will teach you how to open a shop Store basic operation is our business, including market maintenance
Phone Number: +91 81067 49185
Email Id: info@dostea.in
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Conclusion
Finally, the Dostea Franchise Cost, Profit & How to Get Started in 2024 article concludes that while there are several other tea-based foods franchise options you can invest in India thus will give a tough competition for this brand. Backed by a strong brand, low investment costs, and practical support from the franchisor—Dostea franchises have a wealth of success potential. Your choice of the kiosk model or café model, allows Dostea to offer the flexibility and scalability necessary in today’s highly competitive food and beverage industry. Prospective franchisees who meet these requirements can become a Dostea partner by following the steps indicated and starting on an exciting entrepreneurship journey with us.
FAQs
What is the average cost of setting up a Dostea franchise?
The start-up investment of Dostea Franchise is between ₹5.5 lakhs to ₹15 lakhs, which includes costs for station establishment, IPTV services, and working capital.
How long does it take to achieve ROI with a Dostea franchise?
Most franchisees can see ROI within 12 to 18 months depending on location and how well the store has been able to perform in terms of sales and operations.
What support does Dostea provide to franchisees?
Additionally, Dostea provides extensive training & marketing support to all its franchise partners to grow and run their business properly.
