How to Start Tea Business, Investment, License Loan, Profit

Not only in India but around the whole world tea is the most consumed drink after water.

In India, each citizen’s day starts with a cup of tea. If you ever thought that you could start a tea business. Then you are in right place.

Today we’ll tell you How to Start Tea Business and How Much Investment is Required to Start Tea Business in detail.

Table Of Contents

How To Start Tea Business

It is very easy to start tea business because the cost of running this business is too low and profits are very high. If you start today, in 3 to 4 years you can easily start earning a lot.

This is a type of forever business, which will never gonna lose its demand in the market. With increasing population every day, its demand and need both are increasing vigorously.

This is one of the only businesses in which, starting from dealers to smallest tea sellers every one generates a good amount of profit monthly.

To start a tea business, you need the following things:

Tea Leaf
Milk
Sugar
Teapot
Gas for Making Tea
Spices for Tea

With the help of these items, you can easily start your Tea Business. If you want to earn more money from this business, then you have to start your tea business at a good location.

How to Select a Location for Tea Business

To start a Tea business, you have to decide a place where huge crowd of people keeps coming and wandering.

You can check out places like malls, student hubs, business parks, within the city, nearby traffic signals, etc. People come to malls, wander a lot and get thirsty.

In this way, you can take advantage of it. You can also decide a place around big companies or a place where people visit a lot.

The more people will notice your business the more they will reach out to you. You can start your shop at any of the above-mentioned places. This business will never gonna disappoint you.

Types of Chai/ Tea Liked by Numerous People

Below given are different types of Tea liked by numerous types of people:

Milk Tea: This type of tea is most popular in India. In this, you boil milk with some water, then you add tea and sugar as per the requirements and it is ready to serve.
Ginger Tea: This type of tea is made in the same way as above but, while boiling you have to grind some ginger in it, due to which this tea, tastes even better.
Cardamom Tea: In this type of tea, you just have to add some seeds of cardamom in it. In India, many people like cardamom tea.
Masala Tea: Some people like Masala Chai as well. To make this tea, you just have to add black pepper, dry ginger, cardamom, cinnamon, clove etc. The mixture of all these makes it Masala Tea.
Green Tea: Some People drink green tea to keep their body healthy. This tea is made differently from others.
- To make this tea, you have to put 2-3 green tea leaves in water.
- Boil it well.
- Then you can add honey according to the taste.
- Some people like to drink lemon juice instead of honey for taste.
Black Tea: This type of tea is easiest to make. To make this, you have to only add tea leaves and water, later on, you can add some sugar for taste.
Lemon Tea: To make this type of tea, you have to boil tea leaves with water for 2-3 minutes.
- Then filter it and add lemon juice to it.
- Then you add sugar as per your taste.
- You can also mix honey, mint, dry ginger powder, black salt etc. whatever you like.

To make tea in such varieties, you have to buy raw materials from the market, without raw materials, you cannot make tea.

Where to Get Raw Materials for Starting Tea Business

You can easily find raw materials for making tea from any mega store or supermarket. The main ingredients for making tea are: tea leaves and sugar.

You can arrange milk from the nearest dairy around you and for sugar, tea leaves and spices you have to contact any reliable dealer or supplier for long-term benefits.

Registration & License for Tea Business

To Start a Tea business registration of licenses is must. Below given are the required registration & license for your Tea business:

Current Account ( For Business Transactions).
Shop License (Gumasta License).
MSME Registration
Udyog Aadhar
FSSAI License

If you want to run your Tea Business without any police hassle or any legal action, then get all the licenses before starting your business.

How to Open a Current Account for Tea Business

To receive payment under your Tea business name you must have a current account under your business name.

For Store License, you will need your identity proof such as (An Aadhaar Card, Voter Id Card, Driving License, Etc.) and a PAN Card.

These are a few trustworthy banks for opening current accounts:

SBI Bank
ICICI Bank
HDFC Bank
AXIS BANK
BOI Bank

How to Get an MSME Certificate for Tea Business

To register your Tea business under govt. Policies and their scheme, you can register under MSME facilities.

MSME stands for Micro, Small Medium, and Enterprises. It is a type of enterprise managing government that helps you to get govt. Loan schemes and benefits etc.

You can apply for MSME certificate to start your Tea business. Go to the website and apply for an MSME certificate.

How to Get FSSAI Licence for Tea Business

To start any type of edible business you must have FSSAI License. FSSAI License Stands for the Food safety and standards authority of India.

This license provides you the approval for the good of edible products sold by you. FSSAI License is not required, whose annual turnover of less than ₹12 lakhs or if their production capacity falls below 100 kgs per month.

Such companies only require FSSAI Registration. Vending edible goods without this license is a punishable offense.

To start your Tea business, this license is the first document that must be approved. To get your Tea business FSSAI License.

Go to the website, enroll your business, get verified and start selling approved good quality Tea and tea.

How to Get a Udyog Aadhaar Certificate for Tea Business

To get a loan for your Tea business from govt. You have to register your business as udyog aadhaar certified.

It will help you apply easily to any type of govt- loan scheme and get subsidies in the form of bank loans.

To get a udyog aadhaar certificate for your Tea business you log on to the Website And apply for the Udyog Aadhaar Certificate.

How to Get a Shop License for Tea Business

To get shop license for your Tea business you have to first select a location for selling Tea. If you’re renting any market place then, you have to get a rent agreement where your Tea name should be mentioned.

Once you find that place, you have to get a banner for your Tea Business and address mentioned on it.

A copy of your rental agreement and a photo of your business with the banner is enough for getting a shop license.

To get a Gumasta license, you have to first go to the official website of your state or you can simply visit the nearby office.
After that, you have to register your business there.
After a few days of registering, your Tea Business Gumasta license comes to your house.

After reading this, you can apply to get a shop license for your Tea business.

Now, If you do not have money to start this business then you can take a loan for your business.

Loan Against Tea Business

In the Business of Selling Tea and starting from your home, the investment cost is minimal, you just have to buy utensils, funnel and gas Stove to start your business.

The price of these things costs you around Rs. 999/- to Rs. 50,000/- [$19 – $599].

To get Tea Business Loan, you can apply in any type of finserve service or bank. Many countries even accept Gold Loans on behalf of reference.

Before starting your Tea business, you have to provide necessary information in your loan file, Such as your needs and how much money you require, the time of repayment, etc.

Then you have to deposit your file in the department. As soon as your loan is passed, all the money will be deposited into your bank account.

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How to Advertise Tea Business

Marketing a business is the most important to grow any business. If you market your business properly, you get a lot of profit from it. To advertise your Tea business, you have two ways to do:

First of all, you have to contact your nearby shopkeepers and tell them that you have started a Tea nearby.
If they need they can contact you at your number.
You can also provide them with a sample of Tea.
You have to reach all the nearby shopkeepers and contact them.

Once you get in touch with the shopkeepers, they will buy Tea from your Tea.

Apart from this, You can list yourself on a website like Indiamart, Alibaba, eBay, etc. to start your business online.
After that people will come to your Tea by themselves, to buy Tea from you.

You can also create your Business Facebook page to do online marketing. Where you can post the best photos of your Tea and put them on your page.

You can also market your business on Instagram. You can get a lot of benefits in marketing from Instagram. Because more than half of the world’s population is using Instagram.

For this, you have to first create an Instagram account for your business. After this, you can market your business by sharing Tea stall photos.

In offline marketing, you can also get some posters and pamphlets related to your business. So that the people of your local can know that you started the Tea business.

Now we know how much money you have to invest, so that your business runs well. So let’s know Investment Required to Start Tea Business.

Minimum Investment to Start Tea Business

It will cost you very little to start tea shop, you will only need items for the shop like:

Gas Tank and Stove, which you will cost you around Rs. 2,000/- to Rs. 5,000/-[$20 – $60].
Few Tea Kettles for the shop will cost you around Rs. 500/- to Rs. 2,000/-[$6 – $24].
Then you will need cups, which will cost you around Rs. 500/- to Rs.1,000/-[$6 – $12].

Apart from this if you want to decorate your inlet and want to arrange tables and chairs with proper hygiene and sanitation.

Then all these arrangements and their maintenance for 2-3 months will cost you around Rs. 50,000/- to Rs. 70,000/-[$600 – $800].

So the total amount of investment will cost you around Rs. 30, 000/- to Rs. 1,00,000/-[$300 – $1300].

Profit in Tea Shop

If you sell at least 200-300 cups of coffee in a day and each cup of coffee costs Rs. 10 [$0.12], then you will be able to generate at least Rs.2000/- to Rs. 3,000/- [$25 to $40] per day.

With this, you can earn at least Rs. 60,000/- to Rs. 90,000/- [$759 – $1,199] a month. You can earn money in this business very easily.

If you do marketing your business well, then you start getting lakhs of rupees a month in it. You can earn lifetime benefits in this business.

Hoping, you have completely read the article about How to Start Tea Business.

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