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CHAI AND BITES™

A PRODUCT OF
97 FOOD ENTERPRISES PVT. LTD.

FRANCHISE
BROCHURE
ABOUT US
Chai and Bites is one of India’s TEA-LICIOUS beverage brand is on the run
to expand its wings across the country. Our journey started with first outlet
at Patancheru, Hyderabad in 2022. With fastest growing chain across India
and 12+ outlets opening in next 3 months in major cities, with projections
to open 700+ outlets in next 1 year. Our business model is very transparent
and is mainly focused on customer service and serving our wide range of
authentic teas, coffees along with delicious snacks and other cold
beverages.

WHY CHAI AND BITES ?

Best investment for new entrepreneur with just 5-6 lakhs


Great source of supplemental income
Initial signup cost of just 1 lakh
Outlet selection assistance
Design of store
Complete setup in just 20-25 days
Free training throughout contract
Quick ROI in 6-9 months and high profits
Zero royalty
Complete support from operations and management team
Marketing support throughout agreement term to increase outlet awareness
Local vendor tie-ups
License and agreement from franchisor

HOW TO FRANCHISE?

- Location Scouting & Finalizing - Franchise


Fee Payment
- Initial Setup Dicussion
INVESTMENT
CONTRACT SIGNING

Franchise Fees Rs.1 Lac + 18% GST on the day of Contract Signing
Royalty Fee Renewable Contract every 5 Years, no additional fee, Zero Royalty Fee

SHOP REQUIREMENT

Required Area 100 SQFT to 200 SQFT, preferably in commercial area, bus stops, hospitals,
colleges etc.
Shop Search Company will help with shop searching thru 3rd party vendor in metro
cities (Fees not Included)

Mandatory Req Basic electrical power supply, water inlet & outlet connection

Interior Setup Complete interiors including Kitchen setup, Painting, Electrical work, POP
Design, Paritions, Kitchen Work table, Sink, LED & Hanging Lights

PURCHASES & SIGN BOARDS

Equipment Rs.2.5 Lakhs (Snacks Counter, Tea brewers, Freezers, Burner Stove,
Microwave etc.)

Raw-Material Rs. 30,000 (Tea Powder, Masalas, Packaging Items & other required
cost ingredients)

Sign Boards Rs. 65,000 - Rs. 75,000 (Main LED board, Wallpapers, Standee, Menu
Boards Frames)

Billing Billing is not mandatory from franchisor side, if investor is willing to opt
then 12,000/- will be added to the fees.
TRAINING AND MARKETING

Tea Chef Franchisee (Investor) hired and trained by franchisor.

Training Franchisee Owner training of complete menu, shop handling etc.

Marketing Social Media, Banners, Google Maps, Swiggy/ Zomato integration.

SHOP LAUNCH

Grand-Launch Rs.20,000 - Balloon/Flower Decoration, Free item tasting to customers

ADDITONAL EXPENSES

Interior > 200 Sq Ft Above 200 Sq Ft. interior price increases approx. Rs 1200/Sq Ft

Furniture Furniture expense has to be borne by Franchisee (Investor).

Licenses FSSAI, Labor, Municipal Trade Licenses to be procured as per State


regulations, will be done by franchisor.

Secuity CCTV setup if required by franchisee (Investor) - 3 Camera Setup approx.


costing is Rs 14,000.
ROI - RETURN ON INVESTMENT
CONTRACT SIGNING

Franchise Fees Rs.2 Lac + 18% GST on the day of Contract Signing
Royalty Fee Renewable Contract every 5 Years, no additional fee, Zero Royalty Fee

SHOP REQUIREMENT

Required Area 100 SQFT to 200 SQFT, preferably in commercial area, bus stops, hospitals,
colleges etc.
Shop Search Company will help with shop searching thru 3rd party vendor in metro
cities (Fees not Included)

Mandatory Req Basic electrical power supply, water inlet & outlet connection

Interior Setup Complete interiors including Kitchen setup, Painting, Electrical work, POP
Design, Paritions, Kitchen Work table, Sink, LED & Hanging Lights

PURCHASES & SIGN BOARDS

Equipment Rs.1.5 Lakhs (Snacks Counter, Tea brewers, Freezers, Burner Stove,
Microwave etc.)

Raw-Material Rs. 15,000 (Tea Powder, Masalas, Packaging Items & other required
cost ingredients)

Sign Boards Rs. 45,000 - Rs. 50,000 (Main LED board, Wallpapers, Standee, Menu
Boards Frames)

Interior cost Rs.8,000 - Standard Billing Machine

TRAINING AND MARKETING

Tea Chef Rs.25,000 - Company hired and trained Tea Master

Training Franchisee Owner training of complete menu, shop handling etc.

Marketing Social Media, Banners, Google Maps, Swiggy/ Zomato

SHOP LAUNCH

Grand-Launch Rs.3,000 - Balloon/Flower Decoration, Free item tasting to customers

ADDITONAL EXPENSES

Interior > 200 Sq Ft For Cafe Model Interior will increase by approx Rs 900/Sq Ft

Furniture Furniture expense has to be borne by Franchise except in Cafe Model

Licenses FSSAI, Labor, Trade Licenses to be procured as per State regulations by


franchise (Help Provided)

Secuity CCTV setup if required by franchise - 3 Camera Setup approx costing is Rs


14,000.
ESTIMATED REVENUE AND AVERAGE PROFIT BASED ON ACTUAL SALES

EXPECTED DAILY SALES* FIXED MONTHLY EXPENSE*

EBILL &
60 Items X Rs.20 SMALL EATS Rs 1200 MISC Rs.7000

CHEF & HELPER


80 Items X Rs.50 SANDWICH & SHAKE Rs.4000 Rs.40000

400 Cups X Rs.12 HOT BEVERAGES Rs.4800 Rs.25000


SHOP RENT

MONTHLY SALE FIXED MONTHLY EXPENSE RAW MATERIAL EXPENSE EXPECTED MONTHLY PROFIT
Rs. 3,00,000 Rs. 72,000 Rs.1,40,000 RS. 88,000

www.teadaycompany.com
STORE SET-UP

Details of Interior/Carpentry work to be done by the


franchise (investor)

INSIDE KITCHEN:

Kitchen Partition
Kitchen Platform for equipment
Shelves to store the raw material (Tea Powder, Tea masalas, Syrups, Glasses,
etc.)
Overhead cabinets for Stock arrangement and Inventory Management
Water Inlet and Outlet (Mostly Provided by the Shop Owner)
Washing Sink in the Kitchen
Commercial Gas Connection
Electric sockets for Refrigerator, Deep Freezer, Blender Etc. Extra Lights (if
Needed)
Exhaust fan

OUTSIDE KITCHEN:

Tea Selling Counter/Cash Counter


Electric Power Socket for snacks hot case and other equipment
Chairs & Other furniture (if required)
Extra Lighting (If required)
Ceiling Fan

The average cost of interior work can be anywhere between Rs 50,000/- to Rs


80,000/- (The average cost can be lower or higher depending on the size of the
shop, materials cost, labor cost etc.)

After finishing all the above mentioned work, the franchisor (Chai N Bites) will
Supply the startup kit and finish the work in 7-10 working days.
MENU

PROFIT MARGIN RANGES FROM 70% TO 90% ACROSS


THE MENU

CUSTOMIZED MENU AS PER LOCATION/ FRANCHISEE


REQUIREMENT ON WRITTEN APPROVAL FROM
FRANCHISOR
STARTUP KIT

After completion of the store set-up by the franchisee,


franchisor will Supply the start-up kit and finish the
remaining work in 7-10 working days.

STARTUP KIT INCLUDES:

EQUIPMENTS
ITEMS NEEDED TO PREPARE MENU
SYRUPS AND CRUSHES
RAW MATERIALS
CUTTLERY, SERVING AND PACKAGING ITEMS
PAINTING AND DESIGNING WORK
BRANDING WORK (NAME BOARD, LOLLYPOP BOARD, MENU ETC.)
PROMOTIONAL ITEMS (PAMPHLETS, FLYERS, SOCIAL MEDIA ADS, POSTERS,
DANGLERS ETC.)

NOTE:

KINDLY REFER TO THE START-UP KIT PDF SHEET FOR THE EXACT ITENARY
LIST ALONG WITH THE QUANTITY.

THIS LIST MAY BE USED IN FUTURE TO RAISE INVENTORY AND FOR ORDER
PLACING.

BRAND AND RAW MATERIALS MAY SUBJECT TO CHANGE FROM TIME TO


TIME DEPENDING ON THE AVAILIBILITY AND MENU UPDATION.

ITEMS THAT NEEDS TO BE SOURCED LOCALLY ARE ALSO MENTIONED IN


THE STARTUP KIT PDF SHEET, YOU MAY RAISE REQUEST FROM THE
FRANCHISOR FOR SUPPLY AND TIEUP OF LOCAL VENDORS.

TIMELY SUPPLY OF RAW MATERIALS. HOWEVER, IN SOME EXCEPTIONAL


CASES IT TAKES 24-48 HOURS TO SUPPLY REGULAR RAW MATERIALS
SUBJECT TO AVAILIBILITY.
FREQUENTLY ASKED QUESTIONS
What is the size of the shop required for starting a Chai N Bites Unit Franchise?
The minimum size of the shop should be 100 Square Feet However. the ideal space
would be of 150 Square Feet or more.

What is the Franchise Fee?


The unit franchise fee is Rs. 5,00,000/- plus GST. It includes franchise fee, store
license fee, marketing fee, cost of all necessary equipment, branding, menu,
Painting etc.

Is the franchise fee refundable?


The franchise fee is not refundable. However, the Complete movable & Immovable
items provided to the franchise outlet by the franchisor is totally owned by
Franchisee (investor).

What are the other initial expenses apart from the franchise fee of 5 lakhs?
The franchisee (investor) is responsible for the interior work, furniture and rental
deposits. Franchisor is Responsible for painting works up to 250 Square Feet.

Do the franchisor provides branded equipment?


Yes. Franchisor provides all branded equipment and comes with manufacturer
warranty.

How long is the franchise agreement? Is it renewable?


The franchise agreement is valid for 5 years. At the end of the 5th year, you can
renew the agreement by paying 25% of the franchise fee.

Will the brand provide stock for preparing everything on the menu when the
initial stock is exhausted?
The Brand will supply all the primary ingredients but few items are to sourced
locally by the franchisee.

What are the snack items supplied by the brand?


The Brand will only provide Osmania Biscuits and other raw materials that are
required from snacks menu. The franchisee can source other snack items like puffs
and cakes from reputed local vendors with the approval from the brand. The quality
of the snacks should not be compromised.
Can the franchise add extra drinks other than the snacks to the Menu?
Chai N Bites does not entertain any items other than its menu to sold from its
outlet. However, considering the regional flavor and demands, a few selected
drinks can be added with the written approval from the brand. No other tea
varieties can be added.

Will the Brand provide staff?


No. However, the Brand provides training to your selected staff. You need a
minimum of 2 staff to run the shop. The staff need not to have any prior experience
in the food industry as all the items prepared at Chai N Bites are prepared using
formulas. 3 days of training is enough to learn Chai N Bites preparation methods.

Will the training be charged?


You have two options for training your staff.
Option-1) You can send your staff to any of our selected shops in your nearest
location or else to our main outlet at Hyderabad. The training at these locations
will be completely free, but the cost of your staff’s travel, food and accommodation
will have to be borne by you.
Option-2) Alternatively, we can send one of our chefs to your shop for training for
3-4 days, which will cost you a training fee of 10,000/-. You will also have to bear
the expenses of travel, food and accommodation of the trainer.
You can decide whether you need the free training at any of our selected locations
or paid training by one of our chefs at your shop.

What are the average daily sales at existing stores?


The daily sale at Chai N Bites outlets ranges between Rs. 7,500 to Rs. 18,000.
However, on average, you can expect a regular sale of 10,000 or more. The primary
factor deciding the daily sale is the location of the shop.

What is the monthly royalty amount payble to the Brand?


Monthly Royalty of Rs 9,000/- to be paid by the franchise, No additional hidden
charges, No percentage on sale or No percentage on profit the franchise makes.

Does the Brand have a centralized billing system?


Yes. However, from the brand side, the POS system is not mandatory for a unit. It
will be provided as an optional choice for the franchise owners. In such a case, an
additional amount of Rs. 40,000/- will be added to the franchise fee.
Misuse of Chai N Bites Products?
The unit franchise has to procure all raw materials exclusively from the
franchisor.
In that case, if the Unit Franchisee is found selling the Chai N Bites product in
any other Non Chai N Bites outlet or any Personal Business, the unit franchise
shall be liable to face legal Consequences and to pay a fine to the brand. Without
prejudice to any other right, recourse and/or remedy that Brand may have under
law and/or equity and /or under the agreement will collect an amount equivalent
to INR 10,00,000/- (INR. Ten Lakh only) as liquidated damages and not as a
penalty.

Will you open a new franchise near my outlet? Is there a specified distance
between Chai N Bites outlets?
There is no specified distance. We will not open an outlet at a location because of
which your business will be affected but if two outlets located on both sides of
the highway have different customers. However, if we get an opportunity to give
an outlet near an existing one, the current franchisee will be given preference
first.

Can the franchisee use own glasses for serving teas and other items?
No. It is strictly not allowed. The franchisee has sell all the items in Chai N Bites
Brand glasses only.

Can the Franchise Relocate the Outlet?


Yes. Franchise can relocate the Outlet subject to a written approval from the
Brand. The new Location should be approved by the management and it should
not disturb the Existing outlet in the Location. It is strictly not allowed to relocate
the Outlet without a prior written approval from Brand.
LOGO
TEA | COFFEE | SNACKS | MILKSHAKES | MOCKTAILS

Corporate Office:
No 5/2, BEML Layout, Varthur Rd, Behind Apollo Medical Centre,
Kundalahalli Gate, Bengaluru, Karnataka 560066

Main Branch:
S1 & S2, Silver Springs Layout, Spice Garden Compound Road,
Marathahalli, Bengaluru, Karnataka 560037

REACH US
FOR FEEDBACK, SUGGESTIONS
AND FRANCHISE ENQUIRIES

(+91) 9943 09 05 96 | (+91) 7997 09 05 96

[email protected]

www.chaiandbitesindia.com

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