Tea is available in abundance in India, which makes it an economical business idea. To start, you need minimum capital, manpower, and infrastructure. Here is a tea business plan to initiate.
The following are the eligibility parameters to get a business loan for starting a tea shop:
The applicant should be an Indian citizen
The applicant needs to be a self-employed individual
Age of the applicant must be between 25 years and 65 years
Below is a list of essential documents required to avail of a business loan for starting a tea shop:
Business loan application form with a passport-size photo
ID proof (PAN card, passport, voter ID card, driving license)
Address proof (ration card, telephone Bill, lease agreement, Trade License)
Financial Documents like IT return for the last two years,
Profit and Loss and balance sheet for previous last two years
Having a crystal-clear idea about the tea shop business plan may help an individual who is planning to establish this business. However, before making a plan, it is necessary to determine the financial structure.
In addition, follow the step-by-step guide as stated above to establish your tea business successfully. If needed, get instant business loans from Bajaj Markets and ensure your business is never short-funded.
Before establishing a tea stall business, sufficient planning is necessary. The business plan comprises choosing the location, targeting the audience, establishing the stall, investment, registration, and so on. Furthermore, it is necessary to get insurance to protect the business.
On average, people consume more than 2 cups of tea daily, so it could be a prospective business idea to get started.
Moreover, investments in a tea stall are usually inexpensive. This is because it has small requirements like utensils, gas systems, milk, tea leaves, etc., for preparing tea. Hence, the tea stall business can be substantially profitable if managed properly.
To commence a tea stall business, you have to consider its legal documentation process. Some legal documents required comprise the Food Safety and Standard Authority of India Certificate, GST registration, companies’ registration, trade licence, insurance policy, and so on.
There is no need for any costly raw materials or utilities while commencing a tea stall business. Hence, no large sum of money is required. However, while starting a tea stall business, you have to invest a minimum sum of ₹1 Lakh.
Yes, selling tea has been a proper business opportunity, specifically in India. This is because most of the citizens drink tea regularly. Furthermore, the health benefits and preference towards tea have also increased its demand these days, thereby making it an ideal choice for businesses.
An individual planning to commence a tea business may decide the price of tea based on different inputs. For instance, you can consider the cost incurred for acquiring raw materials, the wages of the workers in the tea stall, etc.
Apart from this, the price of tea is chosen as per the type of tea and size of the cup in which it is offered.
Although it is not mandatory for you to sell other products in the tea business, it can be a good marketing strategy. It can also be a money-making opportunity to sell some snacks like cakes, biscuits, chips, etc., in the stall alongside tea.
You can increase tea sales using various marketing approaches to attract people around the area to learn about the tea business. Furthermore, you can sell various kinds of tea in order to promote your tea stall.
Location is one of the most important factors that an entrepreneur should keep in mind while establishing a tea stall business. Generally, a tea stall may attract many customers if its location is in areas like parks, hospitals, railway stations, colleges, offices, courts, etc.
The cost to prepare a cup of tea ranges between ₹3 to ₹5. Now, if a tea business sells that tea for ₹8 to ₹10, they will be able to gain a substantial profit of at least ₹5. A business may even keep the selling price of the tea to ₹15 or ₹20 as per the location. As such, the expected profits depend on the price at which you sell and how much it costs for you.