Established
2016
Franchise Units
650
Minimum Investment
₹ 16,00,000
Franchise Fee
₹ 6,00,000
Total Investment Range
₹ 25,00,000
Home Based
No
Description
Tea is not just a morning habit in India—it is a cultural emotion, a midday breather, and the backdrop for endless conversations. Chai Sutta Bar (CSB) tapped straight into this pulse, reinventing the traditional Indian tapri experience into a vibrant, modern cafe format without losing its soul or affordability.
Founded on the idea of serving authentic, pocket-friendly tea in eco-friendly kulhads (earthen clay cups), Chai Sutta Bar has grown from a single small outlet into one of India’s fastest-growing, highly recognizable QSR (Quick Service Restaurant) beverage chains. The brand offers a cozy, youthful ambiance where students, working professionals, and families gather over steaming cups of flavored tea, crispy snacks, and fast bites.
What makes Chai Sutta Bar a market leader in the beverage sector is its clever positioning: it bridges the gap between high-end, expensive coffee chains and unorganized street vendors. By offering premium cafe vibes at street-friendly price points, CSB commands massive footfalls and customer loyalty across Metro cities, Tier-2, and Tier-3 towns alike. For an entrepreneur, owning a Chai Sutta Bar franchise means entering a proven, high-margin model backed by strong brand recall and a turnkey operational playbook.
Background
| Attribute | Details |
| Established Year | 2016 |
| Headquarters | Indore, Madhya Pradesh, India |
| Founders | Anubhav Dubey, Anand Nayak, and Rahul Patidar |
| Industry Category | Food & Beverage / Quick Service Restaurant (QSR) / Youth Cafe Chain |
| Ownership Structure | Privately Held (Chai Sutta Bar Private Limited) |
| Active Franchise Units | 650+ Outlets across India and global locations (including UAE, Oman, Nepal, Canada) |
| Market Presence | Operations spread across 370+ Indian cities, spanning major metros to rapidly growing Tier-2 and Tier-3 hubs. |
Brand Journey & History
The Chai Sutta Bar story began in Indore when two childhood friends, Anubhav Dubey and Anand Nayak, decided to step away from traditional career paths and launch a venture of their own. With limited capital and a second-hand setup, they opened their first tea outlet near a girls' hostel. They focused on two things: delivering great-tasting, affordable tea in a kulhad and creating an inviting atmosphere where young people could hang out freely without feeling rushed or overcharged.
The response was immediate. Word of mouth spread rapidly, leading to crowds of students and professionals. Over the years, CSB evolved from a local tea stall into an international QSR brand. By pairing a punchy brand identity with tight operational control, the company expanded via the FOFO (Franchise-Owned, Franchise-Operated) model, quickly scaling across states and crossing international borders.
Support Training
Chai Sutta Bar provides comprehensive end-to-end support to ensure every franchise owner can maintain quality standards and run a profitable outlet.
1. Pre-Launch Support
Site Selection & Feasibility Analysis: Expert guidance on evaluating locations, footfall density, visibility, and demographic suitability.
Interior Design & Store Layout: Architectural blueprints, 3D floor plans, and standardized decor guidelines to match the brand's signature aesthetic.
Licensing & Statutory Guidance: Assistance in securing necessary approvals including FSSAI, GST, Trade License, and Fire Safety clearance.
2. Academic & Kitchen Training
Staff & Chef Training: Hands-on training programs for kitchen personnel covering recipe standardization, beverage prep, food safety, and hygiene standards.
Customer Service & POS Training: Comprehensive walkthroughs on billing software, inventory tracking, order management, and customer relations.
3. Supply Chain & Operational Support
Raw Material Supply: Direct access to CSB's central supply chain for proprietary tea blends, syrups, packaging, and signature kulhads, ensuring taste consistency.
Standard Operating Procedures (SOPs): Detailed manuals covering store opening/closing routines, stock management, hygiene audits, and waste minimization.
4. Marketing & Ongoing Assistance
Grand Opening Campaigns: Marketing assistance during launch, including localized social media promotions, influencer outreach, and promotional collateral.
National & Regional Marketing: Participation in brand-level marketing drives, festive offers, and menu updates.
Regular Audits & Field Visits: Operational field managers periodically audit performance, quality control, and customer satisfaction to help optimize daily store performance.
Ideal Candidate
Chai Sutta Bar looks for partners who bring enthusiasm, dedication, and a hands-on attitude toward store operations.
Entrepreneurial Mindset: First-time entrepreneurs, business families, or young professionals looking for a scalable business model in the F&B industry.
Operational Involvement: While experience in the food industry is helpful, a willingness to actively oversee daily management, staff handling, and customer interactions is crucial.
Financial Readiness: Adequate capital capacity not only for the initial setup cost but also for maintaining working capital during the initial ramp-up phase.
Customer-Centric Focus: Passion for hospitality, building community rapport, and maintaining clean, warm cafe environments.
Prime Location Access: Access to or ownership of commercial property measuring 300 to 1,000+ sq. ft. in high-footfall areas such as college campuses, IT parks, coaching hubs, busy markets, or transit stations.
Financial Detail
Setting up a Chai Sutta Bar franchise offers an accessible entry into the QSR sector with clear cost structures and transparent fee schedules.
| Financial Metric | Estimated Range (INR) |
| Minimum Capital Required | ₹16 Lakhs |
| Total Investment Range | ₹16 Lakhs – ₹25 Lakhs (varies by store format & size) |
| Franchise Fee | ₹6 Lakhs – ₹8 Lakhs + GST |
| Infrastructure & Interior Cost | ₹5 Lakhs – ₹8 Lakhs (decor, lighting, seating, signage) |
| Machinery & Kitchen Equipment | ₹3 Lakhs – ₹5 Lakhs (deep freezers, grills, POS, blenders) |
| Initial Inventory & Working Capital | ₹3 Lakhs – ₹5 Lakhs |
| Royalty Fee | 4% of net monthly revenue |
| Franchise Agreement Tenure | 5 Years (Renewable) |
| Expected Payback / Break-Even Time | 14 to 18 Months |
| Estimated Gross Profit Margins | 60% – 70% |
| Estimated Net Profit Margins | 35% – 40% |