India is the third-largest consumer of goods and services in the global market. Launching a franchise in India is a tried-and-tested approach to starting one's own venture. Automobiles, beauty, fast food, education, wellness, postal delivery, fashion, and healthcare are some of the most sought-after domains for starting a franchise. The franchise business is one of those models that brands have adopted for expansion in India. There are many low cost franchise opportunities in India one can go for.
India is a mega-market for the most profitable franchise businesses. The franchise setup is rapidly expanding in the country. It helps both the franchisee and the franchisor in achieving their individual goals. Many successful entrepreneurs have opted for the franchise model instead of getting along with cringe business ideas. You may ask, "What is the most profitable franchise to own?" This post outlines the 11 most profitable franchises in India to give you some idea.
What is a Franchise Business?
Ever wondered why there are so many foreign brands in the Indian market? The answer is franchise business. It is one of the primary channels through which international businesses and brands have gained strength in the Indian market. The process involves a franchisor (franchise brand) who provides the franchisee (franchise outlet owner) with the conceptual, structural, legal, and training-related support in exchange for an upfront start-up fee along with royalty charges.
The profits of owning and selling a franchise go both ways; the franchisor and franchisee reap benefits. Once the franchisee gets access to the brand’s loyal consumer base, creative support, legal counsel, and training support, the franchisor can further expand the business in untapped markets; thereby, increasing the market share and revenues.
Before stepping into this model, it’s essential that investors and businesses thoroughly research their potential business partners before signing the dotted line. For investors, it is probably safer to stick to established names and brands.
There is a rumor that the franchise model requires huge investment. Let's clear this misconception. Franchising is the most profitable and feasible form of business opportunity; one just needs to know how to obtain a franchise. You can easily start a franchise for INR 1 lakh.
Best Low Cost Franchise Business Opportunities in India (Under INR 10 Lakhs)
| Franchise Business | Franchise Brands | |
|---|---|---|
| 1. | Courier & delivery | InXpress, Delhivery, Shadowfax, Pick Me Express, King Worldwide |
| 2. | Pre-School | Wow Kidz, DPS Global Playschool, Kidzee, Hello Kids, Shemrock, Bachpan, Maple Bear |
| 3. | Wraps & rolls | Kathi Junction, RollaCosta, Kathi Express |
| 4. | Salon | Louis Unisex Salon, Studio99, Studio11, Green Trends, Shahnaz Hussain |
| 5. | Gifting | Ferns N Petals, Oyegifts, GetDistributors Gift Shopee, Red Moments |
| 6. | Ice cream | Amul, Giani’s, Gelato Vinto, Teddy, Baskin-Robbins, Kwality Wall's |
| 7. | Electric vehicle | Gayatri Electric Vehicle, Hero Electric, Okinawa Scooters, Evolet India, Pure EV |
| 8. | Juice & shakes | Lounge London Shakes, Juice Lounge, Smoothie Factory, Lassi Corner, Crazy Crush, Juice Maker |
| 9. | Language schools | The British Institute and English Pillars |
| 10. | Pharmacy | Care Pharmacy, Sanjivani, Sanjivani, SastaSundar, Genmart Generic, Apollo Pharmacy, Medplus, Medzone |
| 11. | Furniture and Home Decor | Pepperfry, Duroflex, Notion, Marshalls, Insta Decor, Atom Interiors |
Aditi Chawda
Top 11 Profitable Franchise Business Opportunities in India
1. Subway
| Franchise Business | Subway |
|---|---|
| Industry | Food and Beverages (Fast Food) |
| Founded in | 1965 |
| Investment | INR 54-90 Lakhs |
| Franchise Units | More than 500 |
Subway is the largest sub-sandwich chain in the world. Subway was started by Fred DeLucea in 1965 to help pay his college tuition fees. Subway's mission is to provide service of the highest quality to its customers at affordable prices, something that every brand abides by nowadays.
Today, Subway is one of the few mainstream fast food joints that thrive on the promotion of a range of healthy food options. With salads and endless sandwich combinations on a variety of bread such as whole wheat, multigrain, and gluten-free variants, Subway has created a loyal customer base in the process.
2. Giani’s
| Franchise Business | Giani's |
|---|---|
| Industry | Food and Beverages (Desserts and Ice creams) |
| Founded in | 1956 |
| Investment | INR 10-20 Lakhs |
| Franchise Units | Approximately 50+ |
Giani’s is one of the oldest ice cream parlors in India. It was founded by Giani Gurcharan Singh in 1956. When he launched Giani di Hatti amidst the bazaars of Chandni Chowk, Old Delhi, it only had rabri, faluda, and mango shake which won countless hearts at that time. Giani's has become unstoppable since then.
Giani’s went on to launch several company-owned and franchise outlets in Northern India and experienced big returns on its investment.
3. Jawed Habib Hair and Beauty Ltd.
| Franchise Business | Jawed Habib Hair and Beauty Ltd. |
|---|---|
| Industry | Beauty and Wellness |
| Founded in | 2000 |
| Investment | INR 20-30 Lakhs |
| Franchise Units | Approximately 875 |
'Jawed Habib' is a hair grooming and wellness brand founded by Jawed Habib. Jawed comes from a family of barbers; thus, haircutting was not new to him. His grandfather was the barber of famous dignitaries such as Lord Mountbatten and Pandit Jawaharlal Nehru. Following the legacy, Jawed’s father was appointed as the official hairstylist of Rashtrapati Bhawan.
But Jawed Habib had different plans and wanted to establish his brand nationwide. He succeeded in his entrepreneurial endeavors and also played a crucial role in changing the paradigmatic view of a barber. Jawed transformed the image of an ordinary barber into that of a glamorous hairdresser.
Souvik Dey
4. Affinity Salon
| Franchise Business | Affinity Salon |
|---|---|
| Industry | Beauty and Wellness |
| Founded in | 1992 |
| Investment | INR 30-50 Lakhs |
| Franchise Units | - |
Vishal Sharma founded the Affinity Salon group in 1992. Sophisticated and experienced staff coupled with luxurious, upmarket interiors and an international range of beauty products distinguish Affinity Salon from its competitors. The brand has also secured a place among the Top 100 Best Salons of the World in the Salon Red Book.
The unisex salon franchise has set a benchmark for delivering global standards of hair care and beauty services in the country. Affinity Salon has seen steady growth and maintains nearly one hundred outlets in India. It plans to expand its outreach to many other Indian cities due to the increasing demand for unisex salons.
5. InXpress
| Franchise Business | InXpress |
|---|---|
| Industry | Courier and Delivery |
| Founded in | 2011 |
| Investment | INR 5 Lakhs |
| Franchise Units | 20-50 |
InXpress has partnerships with world-class carriers that handle pick-ups and deliveries. InXpress determines the right carrier and service option for customers' requirements at economical prices. The brand gives entrepreneurs the setup to build a flexible business with the support of a global franchise system and is also among the low cost franchise businesses.
Souvik Dey
6. DTDC Courier And Cargo Ltd.
| Franchise Business | DTDC Courier and Cargo Ltd. |
|---|---|
| Industry | Courier and Delivery |
| Founded in | 1990 |
| Investment | INR 50k - 2 Lakhs |
| Franchise Units | 1000+ |
Subhashish Chakraborty is the founder, chairman, and managing director of DTDC Courier and Cargo Ltd. The brand came into being in 1990 in Bangalore and has over 1000 franchise units in India today bringing in a wonderful franchise business opportunity for the enthusiasts out there. DTDC pioneered the franchise-based model in the express industry and is still deemed as the company with the top franchise opportunities.
7. Lenskart
| Franchise Business | Lenskart |
|---|---|
| Industry | Eyewear |
| Founded in | 2010 |
| Investment | INR 30-35 Lakhs |
| Franchise Units | 330+ |
Lenskart is one of the fastest-growing eyewear brands in India. It operates both online and offline. Lenskart was founded by Peyush Bansal, Amit Chaudhary, and Sumeet Kapahi as an online portal for contact lenses in 2010. In 2011, eyeglasses and sunglasses were also added to the range. The brand didn’t stop there and ventured into launching offline stores to expand its retail footprint.
As of now, the expansion plan is focused on increasing the number of offline outlets to 500 from the existing 330 outlets. With the demand for vision correction that Lenskart brings to the scene, the company is thus aiming to be one with the highest profit franchises.
Vidhi Punamiya
8. FabIndia
| Franchise Business | FabIndia |
|---|---|
| Industry | Retail (Fashion) |
| Founded in | 1960 |
| Investment | INR 40-50 Lakhs |
| Franchise Units | Approximately 175+ |
FabIndia was founded by John Bissell in 1960 and has become a household name today. It is loved by all age groups alike. FabIndia has crossed the INR 1,000 crore sales mark to become the largest retail apparel brand in India; it is significantly ahead of competitors like Zara and Levi’s India. The brand stays true to its original essence of embracing and propagating Indian culture through apparel and other products. FabIndia has been adding new categories of products consistently.
Chayanika Goswami
9. Pepperfry
| Franchise Business | Pepperfry |
|---|---|
| Industry | Furniture and Home Decor |
| Founded in | 2011 |
| Investment | INR 15-40 Lakhs |
| Franchise Units | 20+ |
Established in 2011, Pepperfry is headquartered in Mumbai, Maharashtra as an online furniture business that operates 60+ physical stores or Pepperfry studios spread across 28+ cities along with operating as an online ecommerce store. The company launched its Franchisee Program in September 2017 and is currently operating 20+ FOFO Studios across many Indian cities including Bengaluru, Mysore, Hubbali, Indore, Goa, Lucknow, and more.
10. Kake di Hatti
| Franchise Business | Kake di Hatti |
|---|---|
| Industry | Food and Beverage |
| Founded in | 1942 |
| Investment | INR 20-30 Lakhs |
| Franchise Units | Less than 10 |
Kake di Hatti is an inter-generational restaurant that has been running successfully for more than seven decades. It began as a small shop in Old Delhi’s Chandni Chowk in 1942 and soon turned into a household name. Kake di Hatti has garnered loyal customers due to its high-quality eatables. Kake di Hatti gives out franchise licenses only after ensuring that the franchise owner will be able to maintain the high-quality standards that the restaurant is known for.
Yash Taneja
11. EuroKids
| Franchise Business | EuroKids |
|---|---|
| Industry | Pre-school Education |
| Founded in | 2001 |
| Investment | INR 10-20 Lakhs |
| Franchise Units | 1000+ |
EuroKids is one of the most prominent pre-school chains in India and is also have grown to be among the best franchises with low investment. It was founded by Prajodh Rajan and Vikas Phadnis in 2001, and it was their ‘child first’ ideology that led to the success of EuroKids. EuroKids has come a long way from being a publishing company to a full-fledged playschool chain that parents nationwide have bestowed their trust in. With over 1000 pre-school centers in more than 350 cities across India, Nepal, and Bangladesh, the brand has created a stellar reputation for itself as a perfect place for nurturing young minds. It endeavors to fully utilize this growth by investing INR 500 crores in setting up nearly 2,000 more schools in many more cities.
The pre-school sector in India has witnessed steady growth over the years and is expected to grow at a compound rate of approximately 32% in the next 3-4 years.
Chayanika Goswami
Buying and opening a franchise outlet is a massive investment and will require hard work, patience, creativity, and commitment from you.
Franchise Business in India - FAQS
What is a franchise?
A franchise is one such business, which is authorized to allow others, known as "franchisors" to distribute their products and services. Franchise businesses are generally larger businesses/companies empowering their franchisors with numerous business opportunities.
How much does a franchise cost?
A franchise can be established with some funds as capital and is not necessary to be lavishly expended on. Low-cost franchises can also be established with Rs 1 lakh worth of funds. However, the business and the revenue models stand crucial when it comes to founding a franchise.
What is the most profitable franchise to own in India?
Here are 11 profitable franchise business opportunities in India:
- Subway
- Giani's
- Jawed Habib Hair & Beauty Ltd.
- Affinity Salon
- InXpress
- DTDC Courier and Cargo Ltd.
- Lenskart
- FabIndia
- Kake di Hatti
- EuroKids
- Pepperfry
Which franchise is the most profitable?
There are numerous franchises in India and around the world that are quite profitable. However, profitability varies from time to time. In the current market scenario, Dr. Lal Pathlabs, Subway, Amul, Lenskart, Jawed Habib are really profitable today.
Which franchise business can I start with INR 20 lakhs in India?
- Catering - INR 20 lakhs
- Consultancy - INR 15 lakhs
- E-commerce - INR 5 lakhs
- Ad media - INR 8 lakhs
- Maintenance work - INR 15 lakhs
- Education - INR 25 to 50 lakhs
- Food packing and marketing - INR 7.5 lakhs
- Tourism - INR 5 lakhs