By Saksham Arora Chai Break is a well-known tea café brand in India that blends India’s love for chai with a modern café-style experience. Founded with the idea of offering hygienic, affordable tea along with snacks in a relaxed hangout setting, Chai Break became popular among students, office-goers, and young professionals. With its café seating, varied chai menu, and snack offerings, many entrepreneurs explore the Chai Break franchise cost as a mid-range food and beverage business opportunity in 2026.
About the Chai Break Brand
Chai Break operates in the tea café and light-snack segment. Unlike roadside tea stalls, the brand focuses on clean interiors, comfortable seating, Wi-Fi-friendly spaces, and a café vibe. The menu typically includes multiple varieties of chai, coffee, cold beverages, sandwiches, maggi, fries, and quick bites. The concept works well in college areas, IT hubs, malls, and busy commercial locations where customers spend time rather than just grab-and-go.
Is Chai Break a Franchise Model?
Yes, Chai Break follows a franchise-based café model. Franchise partners invest in setting up and running the café, while the brand provides recipes, training, branding guidelines, and operational support. Store design, menu structure, and pricing bands are standardized to maintain consistency across locations.
Chai Break Franchise Cost in India
Chai Break is considered a mid-investment tea café franchise.
The estimated total investment typically ranges between ₹12 lakh and ₹20 lakh, depending on city, store size, and rental cost. Mall or premium high-street locations usually require investment toward the higher end.
Detailed Cost Breakdown
- Franchise Fee: ₹3 lakh to ₹5 lakh, one-time payment for brand usage, recipes, training, and onboarding support.
- Café Interiors & Fit-Out: ₹4 lakh to ₹7 lakh, including seating, counters, décor, lighting, branding, and electrical work.
- Kitchen Equipment & Appliances: ₹2.5 lakh to ₹4.5 lakh, covering tea machines, burners, refrigeration, sandwich grills, fryers, and prep equipment.
- Initial Raw Material & Packaging: ₹1 lakh to ₹2 lakh, including tea blends, milk, snacks, beverages, and disposables.
- Licenses & Pre-Opening Expenses: ₹75,000 to ₹1.5 lakh, including FSSAI, GST, shop license, fire clearance (if applicable), and launch marketing.
- Working Capital: ₹1.5 lakh to ₹3 lakh, for rent, staff salaries, utilities, and early operating expenses.
Space and Location Requirement
Chai Break cafés typically require 400 to 1,000 sq ft of space.
Ideal locations include college areas, IT parks, malls, multiplex zones, business districts, and busy residential-commercial streets. Good seating layout and visibility are important since the model depends on customers spending time at the café.
Royalty and Ongoing Charges
The brand generally charges a royalty of around 5% to 7% of monthly gross sales. Some agreements may include a small marketing or technology support fee. Raw material sourcing for key items is often standardized or brand-approved.
Profit Margin and Earnings Potential
Tea cafés benefit from low beverage costs and high repeat visits.
Typical performance indicators include:
- Gross margin: 60% to 70%
- Net profit margin: 18% to 25% after expenses
A well-located Chai Break outlet can generate monthly sales of ₹4 lakh to ₹9 lakh, resulting in - monthly net profits of ₹70,000 to ₹2.2 lakh once stabilized. Break-even is usually achieved within 12 to 24 months.
Support Provided by Chai Break
Franchise partners receive menu and recipe training, store layout guidance, branding support, vendor sourcing assistance, POS recommendations, and launch support. Periodic audits and updates help maintain service and taste consistency.
Who Should Invest in a Chai Break Franchise?
This franchise suits first-time food entrepreneurs, small investors, professionals transitioning into business, and family-run café operators. It works best for owners who can manage staff and customer experience actively.
Risks and Challenges
Key challenges include competition from other chai cafés, managing seating turnover, staff retention, rental costs in premium locations, and maintaining consistent service quality. Location selection and daily management are crucial for success.
How to Apply for a Chai Break Franchise
- Shortlist a suitable café location
- Prepare investment capacity and space details
- Submit franchise inquiry and profile
- Location feasibility and approval
- Agreement signing
- Café setup and equipment installation
- Staff training and soft launch
- Full launch with brand support
Conclusion
Chai Break offers a modern tea café franchise that combines India’s love for chai with a relaxed café atmosphere. With an investment range of ₹12 lakh to ₹20 lakh, reasonable space requirements, and attractive margins, it presents a balanced opportunity for hands-on entrepreneurs. When launched in the right catchment with disciplined operations, a Chai Break franchise can deliver steady returns and strong repeat business in India in 2026.