Tealogy Café is an Indian tea and café brand started in 2018 in Indore, Madhya Pradesh. It focuses on tea-based beverages (especially kulhad chai) and snacks such as sandwiches, burgers, and shakes — aiming to offer a relaxed café experience across India. Over the years, it has grown to 500+ outlets in 15+ states and continues to expand through franchising.
Tealogy targets young consumers, office workers, students, and anyone who enjoys quality tea and café snacks in a casual environment.
Investment Cost (INR)
The investment cost to open a Tealogy franchise varies based on format, space and location.
Estimated Investment Range
| Franchise Format | Approx. Total Investment (₹) | Brand/Franchise Fee | Space (sq.ft) |
| Pocket Café / Kiosk | ₹8 – ₹13 lakh | ₹4.5 – 5.5 lakh | ~150–250 |
| Standard Café | ₹10 – ₹20 lakh | ₹5.5 lakh | ~300–1,000 |
| Premium / Neo Café* | ₹20 – ₹30 lakh+ (estimate) | Base fee ~₹5.5 lakh | 1,000+ |
*Premium/Neo formats offer larger sit-in experience but cost more due to interiors and higher rent.
Key Notes on Costs
- Investment includes setup (interiors & furniture), equipment, initial stock and working capital.
- Rent and security deposits are usually extra and vary widely by city and location. Always budget separately for these.
- Costs may increase in Tier-1 cities due to higher rentals and fit-out expenses.
Franchise Fee & Royalty
Franchise (Brand) Fee
Most Tealogy listings suggest a brand/franchise fee of ~₹5.5 lakh for café formats, regardless of outlet size.
Royalty
- Tealogy usually charges a monthly fee rather than strictly a percentage of sales (commonly around ₹10,000/month).
- Some directories show 2% of revenue as royalty, so clarify with the franchisor before signing.
Many franchises require royalty from the second month onward after opening.
Profit Margin & ROI
Profit margins and return on investment depend on sales, costs, location, and operational efficiency.
Profit & ROI Overview
| Metric | Approx. Range / Expectation |
| Gross Margin | ~50 % – 60 % on tea & beverages (typical café margins) |
| Net Profit Margin | ~10 % – 20 % after rent, salaries, utilities & royalty (realistic) |
| Break-Even / ROI Period | 12 – 24 months (commonly cited) |
| Monthly Sales (good location) | ~₹5 – ₹6 lakh or more (varies) |
Important: Tea cafés are subject to traffic patterns and may see seasonal or weekly fluctuations. Initial months often require marketing and quality focus to grow customers.
Space & Manpower Needs
Space Requirements
Tealogy supports different outlet sizes:
- Pocket Café / Kiosk: ~150–250 sq.ft
- Standard Café: ~300–1,000 sq.ft
- Premium / Neo Café: 1,000+ sq.ft (for larger seating)
Best locations are around commercial areas, malls, colleges, office hubs, or transport points where tea and snacks sell well.
Manpower Needs
Typical staffing for Tealogy outlets:
- 2–4 employees for smaller kiosk/pocket cafés
- 4–6 employees for standard café formats
Staff roles include tea preparation, service, billing, kitchen support and cleaning. Proper hiring and training are key to consistency.
Franchisor Support
Tealogy offers support to help you start and run the business:
✔ Store setup guidance — layout, interiors, equipment.
✔ Staff training support — operations and customer service.
✔ Branding & marketing assistance — launch and promotions.
✔ Supply chain & vendor support — sourcing quality ingredients.
✔ Operational manuals & SOPs — to maintain consistency.
Many franchisees benefit from online visibility integrations like aggregator listings for delivery partners as well.
Pros & Cons of Tealogy Franchise
Pros
✔ Recognised brand with 500+ outlets across India — evidence of growth.
✔ Multiple formats help fit different budgets (kiosk to larger café).
✔ Experienced support in setup, staff training, and marketing.
✔ Tea remains popular in India, ensuring steady consumer demand.
✔ Healthy menu variety beyond tea — shakes, snacks, light meals.
Cons
❌ Royalty or fixed monthly fees reduce net profit — clarify exact terms.
❌ Profit margins can be modest in early months.
❌ Competition is intense within café and tea segments from other brands.
❌ Higher initial cost than small autonomous tea stalls.
❌ Location is key — a poor site can extend the ROI period.
Application Process
Here’s how to apply in simple steps:
- Research & Visit Outlets: Check existing Tealogy cafés near you.
- Contact Franchisor: Visit the official Tealogy franchise page or contact via email/phone.
- Submit Franchise Query: Provide personal/business details and proposed location.
- Site Evaluation: Brand team evaluates location’s footfall and demographics.
- Discuss Terms: Clarify franchise fee, royalty structure, roles, and responsibilities.
- Sign Agreement: Review contract carefully and sign.
- Setup & Training: Complete interior setup and staff training.
- Launch: Open your outlet with brand support and marketing assistance.
Always ask for a franchise brochure with updated fees, agreements, and exact support details before committing.
Risks to Consider
Every franchise has risks that require careful evaluation:
⚠ Location risk: A quiet street or low-traffic area may limit sales.
⚠ Higher rent: Rent is usually separate and can significantly affect profits.
⚠ Operational challenges: Staff turnover, supply management, and quality control matter.
⚠ Competition: Established players and local tea stalls can compete aggressively.
⚠ Seasonality: Beverage sales may dip in certain weather or off-peak seasons.
Conduct a local market survey and realistic financial planning before investing.
FAQs (Frequently Asked Questions)
Q1. How much is the Tealogy franchise cost in India?
A: Typically ₹8–₹20 lakh depending on the café format and space.
Q2. What is the franchise fee?
A: Around ₹5–5.5 lakh one-time brand fee.
Q3. How much royalty is charged?
A: Around ₹10,000/month or a small percentage of revenue — clarify with franchisor.
Q4. How long to break even?
A: Many franchisees aim to recover investment in 12–24 months with good sales.
Q5. Is prior experience required?
A: No formal experience is required; Tealogy provides training and support.
Conclusion
The Tealogy franchise is a practical entry into India’s growing tea café culture with moderate investment and established brand support. With total costs commonly between ₹8–₹20 lakh and support in setup, training, and operations, it fits both new and experienced entrepreneurs looking to enter the F&B sector.
Success depends on choosing a good location, managing costs wisely, and maintaining service quality. While competition exists, with careful planning and execution, a Tealogy franchise can offer a solid business opportunity in India’s beverage market.