Is Rajwadi Chai Franchise Right for You? Cost, Profit in 2024

Chai is the most essential and consumed beverage in India. If you ever thought about opening a Chai business, then look into Rajwadi Chai, which offers franchise opportunities for entrepreneurs with less investment. To know a detailed explanation Is the Rajwadi Chai franchise right for you? initial investment, profit margin, return on investment, required area to open an outlet, and How to contact Rajwadi Chai for a franchise.

About Patidar Rajwadi Chai

Patidar Rajwadi Chai is a unique and traditional brand of India Established in 1997. Dr. Nimesh Gautamlal Patidar CEO and Co-founder. It is known for its consistent and best quality It has been serving Chai for the last 25+ years With a commitment to hygiene and maintaining standards, offering more than 20 different varieties of chai options. Patidar Rajwadi Chai has grown to over 150 outlets across India.

Key Details of Rajwadi Chai Franchise

• Brand Name: Patidar Rajwadi Chai
• Industry: Food and Beverages
• Number of Outlets: 150+
• Franchise cost: 5 to 7 lakh
• Profit Margin: 30 to 40%
• Space required: 200 sq ft
• Official Website: https://patidarrajwadichai.com/

How Much Does it Cost to Open a Rajwadi Chai Franchise?

• Franchise Fee: The franchise fee is a one-time initial payment to access the franchise of Rajawadi Chai, which is around 2 lakh rupees.
• Estimated setup cost: The estimated setup cost ranges from 2 to 3 lakh rupees, including lease, outlet setup, etc.
• Initial Inventory: The franchisee needs to invest between 50,000 and 1 lakh rupees in purchasing ingredients, packaging materials, and other supplies.
• Other Expenses: Additional expenses such as marketing and promotional activities, staff training, utilities, and miscellaneous costs may amount to 1 to 2 lakh rupees until you earn profit from the outlet.
• Total Investment: Considering all the above factors, the total investment required to start a Rajwadi Chai franchise ranges from 5 to 7 lakh rupees. 

The franchise cost of Rajwadi Chai may vary depending on the location and size of the outlet. For exact and up-to-date cost information, please contact Rajwadi Chai directly.

How Much Can You Earn as a Rajwadi Chai Franchisee?

As a franchisee of Rajwadi Chai, you can earn a profit margin of 30 to 40% of the total revenue, for the total investment to open a franchise is 5 to 7 lakh; it includes the franchise fee, initial inventory, working capital, and others. Rajwadi Chai does not charge a royalty fee for marketing and branding. You recover the return on your investment in 8 to 12 months. 

Requirements to Open Franchise

• Investment: To be a franchisee, you have to be ready to pay a franchise fee of Rs 2 lakh plus GST as an initial cost. Overall, you should spend 5 to 7 lakh on your franchise successfully.
• Business Experience: If you have prior experience in business, you have a better chance of succeeding in it, but business is not mandatory to own a franchise.
• Required Space: To open a franchise outlet, 200 sq ft of space is required.
• Required Staff: 2 to 3 employees are required based on size and foot traffic to your outlet. a

Required Documents

• Identification Proof: Provide a government-issued ID, such as a passport, driver’s license, or Aadhar card, for identification.
• Financial Documents: Present financial statements, bank statements, or proof of funds to demonstrate your financial stability.
• Franchise Application Form: Complete and submit the franchise application form provided by Rajwadi Chai.
• GST: tax-related documents to ensure compliance with tax regulations.
• Business Plan: Prepare a complete business plan containing your strategy and goals.
• Legal Agreement: Review and sign the franchise agreement to accept the terms and conditions of Rajwadi Chai.
• FSSAI (Food Safety and Standards Authority of India): You should have this license to run a food business. 

Which location would be best for a Rajwadi Chai franchise?

• Prime Location: Aim for high-traffic areas such as shopping malls, busy streets, office complexes, or near educational institutions to maximize visibility and foot traffic.
• Accessible Area: Ensure that the chosen location is easily accessible to customers.
• Area Requirement: The minimum amount of space required for a franchise outlet ranges from 100 to 200 square feet.
• Visibility: Choose a location with good visibility to attract passing customers. Invest in eye-catching branding to increase the visibility of the franchise outlet.
• Market Analysis: By conducting market research, we know the demand for chai and similar beverages in the area. Consider factors such as demographics, competition, and consumer preferences. 

For a franchise, how can I get in touch with Rajwadi Chai?

• Visit the official website: Find the official website of Rajwadi Chai and the franchise option in the menu bar.
• Franchise: After clicking on Franchise, read the given details and scroll down. You will find the franchise application form.
• Fill out the franchise form: Fill in the provided form with your personal information and Choose the location where you want to open a franchise outlet.
• Submit the form. After filling in the details, recheck the details for accuracy and submit.
• Wait for the response: Brand assured that within 24 hours, they will reply to your request.
• Make contact by phone: On the official website, find Contact Us in the menu bar. Click on it. There you will find mobile numbers to inquire about franchises. 

Is Rajwadi Chai Franchise Right for You?

Pro’s

• Established Brand: Rajwadi Chai has been a well-known chai brand in India since 1987. Currently, it operates more than 150 outlets. It became more popular with the slogan Apni wali chai, Ek aur ho jaye.
• Low Investment: The total investment required to start a franchise is 5 to 7 lakh. By comparing other Chai franchises, it is considered a low-investment business.
• Profit Margin: The average profit margin of chai outlets in India ranges from 20 to 80%. From Rajwadi Chai, you can expect 30 to 40% of the profit margin, so it is considered a healthy profit margin.
• Quick ROI: Within 8 to 10 months, you can get a return on your investment.
• No Royalty Fee: Rajwadi Chai does not charge any royalty fee from franchisees for branding, marketing, training, and support.
• Complete Support: The brand will provide complete support to the franchise, like choosing a location, outlet setup, staff training, and others.
• Franchise Agreement: A franchise rights purchase that you can keep for the rest of your life by paying the franchise fee.

Cons

• Franchise Fee: To purchase rights to open a franchise of Rajwadi Chai, you have to pay 2 lakh plus GST. 
• Competition: In India, there is huge competition in the tea market. You need to differentiate your Rajwadi Chai franchise to stand out.

By examining the Pros and cons of Rajwadi Chai, you can decide for yourself whether it is the right choice for you or not.

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Conclusion

In conclusion, is the Rajwadi Chai franchise right for you? Cost and profit in 2024 With a franchise fee of 2 lakh and a total investment of 5 to 7 lakh, it is too low. You can recover this investment within 8 to 10 months, gaining a profit margin of 30 to 40% without paying any royalty fee. Just using 200 sq ft of space, you can set up your business outlet. The brand supports choosing the best location for the outlet, assists you in designing the outlet, and provides staff training. Through these advantages, the Rajwadi Chai franchise became the best choice for people looking to dive into business or want to start their first business.

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