Rajwadi Chai Franchise Cost, Profit and How to Apply in 2025?

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

Company Name: Patidar Rajwadi Chai
Founded By: Dr. Nimesh Gautamlal Patidar
Established Year: 1997
Headquarters: Nalasopara East, Vasai, India
Buisness Sector: Tea outlet
Number of Outlets: Over 250 outlets in 33 Cities
Official Website: 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 250 outlets across India.

Key Details of Rajwadi Chai Franchise

Brand Name: Patidar Rajwadi Chai
Industry: Food and Beverages
Number of Outlets: 250+
Franchise Fee: 2 lakhs
Franchise cost: 6 to 10 lakhs
Royalty Fee: Zero
Profit Margin: 30 to 40%
Space required: 200 sq ft
Franchise Agreement Term: Lifetime
ROI Timeline: 12 to 18 months
Franchise: Apply Here

How Much Does the Rajwadi Chai Franchise Cost?

To start the Rajwadi Chai Franchise requires an initial investment of between 6 to 10 lakhs including Franchise Fees, Initial Inventory, working capital, setup costs, equipment Costs, and Others. This investment varies based on the location and size of the franchise outlet.

Franchise Fee2 lakhs
Estimated setup cost4 to 5 lakhs
Equipment Cost2 to 3 lakhs
Initial Inventory1 to 2 lakhs
Royalty FeeNo
Other Expenses1 lakh
Working Capital2 lakhs
Franchise AgreementLifetime
Total Investment 6 to 10 lakhs

Franchise Fee: The franchise fee is a one-time initial payment to access the franchise of Rajawadi Chai, which is around 2 lakhs.

Estimated setup cost: The estimated setup cost ranges from 4 to 5 lakhs including lease, outlet setup, interior design, exterior design, Infrastructure, etc.

Equipment Cost: To set up the kitchen and other cooking, and storing equipment requires an investment between 2 to 3 lakhs.

Initial Inventory: The franchisee needs to invest between 1 and 2 lakhs 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 lakh rupees until you earn profit from the outlet.

Working Capital: Until the franchisee makes a profit from the outlet requires an investment of 2 lakhs for the employee’s salary and other expenses.

Royalty Fee: Patidar Rajwadi Chai does not charge any royalty fee from the franchisee to provide marketing, advertising, and ongoing support.

Franchise Agreement Period: Rajwadi Chai Franchise agreement term is lifetime.

How Profitable is the Rajwadi Chai Franchise?

Revenue Per Month6 to 10 lakhs
Profit Margin30 to 40%
Profit Per Month2 to 5 lakhs
ROI Timeline12 to 18 months

Revenue Per Month: The average revenue of tea outlets is between 6 to 10 lakhs.

Profit Margin: As a franchisee of Rajwadi Chai, you can earn a profit margin of 30 to 40% of monthly sales.

Profit Per Month: With a high profit margin franchisees can earn between 2 to 5 lakhs per month.

ROI Timeline: Franchisee can recover the initial investment in 12 to 18 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 6 to 10 lakhs 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. 

How do you apply for the Rajwadi Chai Franchise?

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 them for accuracy and submit them.

Wait for the response: Brand assured us 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 the 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 250 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 6 to 10 lakhs. 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 With a franchise fee of 2 lakh and a total investment of 6 to 10 lakhs, 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.

FAQ

1. To open a Rajwadi Chai franchise, how much money is required?

To open a franchise of Rajwadi Chai in your city, you have to invest around 6 to 10 lakhs. This includes the franchise fee, setup cost, working capital, and other

2. What is the Rajwadi Chai return on investment period?

You can recover your initial investment within 12 to 18 months.

3. What is the profit margin of Rajwadi Chai? 

As a franchisee, you can earn a profit margin of 30 to 40% of total revenue.

4. How do I contact Rajwadi Chai for a franchise?

On the Rajwadi Chai official website, you can see the franchise option on the menu bar. Click on it, scroll down, fill out the franchise form, and submit it within 24 hours. The Rajwadi Chai team will contact you soon. Otherwise, you can contact them by phone using the Contact Us link in the official website’s menu bar. In contacting us, they have given a special section for franchises, and here they provided phone numbers.

5. How much area is required to open a franchise? 

To do the complete setup of a franchise outlet, you need to have a 100 to 200-square-foot area. It may be leased or owned; that doesn’t matter.

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