India is the third-largest consumer in the global market. While one can materialize various business ideas at a young stage, launching a franchise in India is one of the most eminent ways to start one's own venture—from automobiles, beauty, fast food, education, and wellness, and postal and delivery to fashion and healthcare. Franchise business is one of those models which many brands have adopted for expansion. There are many low cost franchise opportunities in India one can go for.
India is like a mega-market for the most profitable franchise businesses. The franchise setup is rapidly expanding. 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?" To give you some idea, this post outlines the 10 most profitable franchises in India.
What is a Franchise Business?
Wonder why there are so many foreign brands in the Indian market? Many Indians only saw them in Hollywood movies and TV shows. The answer is franchise business. It is one of the primary ways via which so many brands have gained strength in the market. The process involves a franchisor (franchise brand) who provides the franchisee (franchise outlet owner) with the conceptual, structural, legal, and training 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 and 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 it, 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 business requires huge investment. Let's clear this huge misconception. Franchising is the most profitable and feasible form of business opportunity; one just needs to know how to get a franchise. You can easily start a franchise starting from INR 1 lakh; it may also reach up to INR 1 Crore.
Best Franchise Business Ideas Under 10 Lakhs:
| Franchise Business | Franchise Brands | |
|---|---|---|
| 1. | Courier & delivery | Inxpress |
| 2. | Pre-School | Wow Kidz, DPS Global Playschool |
| 3. | Wraps & Rolls | Kathi Junction, Rollacosta, Kathi Express |
| 4. | Salon | Louis Unisex Salon, Studio99 |
| 5. | Gifting | Ferns n Petals |
| 6. | Ice-Cream | Giani’s, Gelato Vinto, Teddy |
| 7. | Electric Vehicle | Gayatri Electric Vehicle |
| 8. | Juice & Shakes | Lounge London Shakes, Juice Lounge |
| 9. | Language Schools | The British Institute, English Pillars |
| 10. | Pharmacy | Care Pharmacy, Sanjivani |
Top 10 Profitable Franchise Business Opportunities in India
1. Subway
- Founded in: 1965
- Industry: Food & Beverages (Fast Food)
- Investment: INR 54-90 lacs
- 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. The main aim of the restaurant was 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 thrives on promoting a range of healthy food options. With salads and endless sandwich combinations on a variety of bread like whole wheat, multigrain, gluten-free options, Subway has created a very loyal audience of its own.
2. Giani’s
- Founded in: 1956
- Industry: Food and Beverages (Desserts and Ice Creams)
- Investment: INR 10-20 lacs
- Franchise Units: 50+ (approximately)
Giani’s is one of the oldest and most loved ice cream parlors in India. It was founded by Giani Gurcharan Singh back 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. It has become unstoppable since then.
Giani’s went frontline and launched several company-owned and franchise outlets in northern India and experienced big returns on its investment. Despite some economic downfall, it will probably remain one of the go-to ice cream parlors for families across India.
3. Jawed Habib Hair and Beauty Ltd.
- Founded in: 2000
- Industry: Beauty and Wellness
- Investment: INR 20-30 lakhs
- Franchise Units: 875 (approximately)
Jawed Habib is a hair grooming and wellness brand founded by Jawed Habib himself. He came from a family of barbers; thus, haircutting was not new to him. His grandfather was the barber of famous dignitaries like 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 to that of a more glamorous hairdresser.
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4. Affinity Salon
- Founded in: 1992
- Industry: Beauty & Wellness
- Investment: INR 30-50 lacs
- Franchise Units: 100 (approximately)
Vishal Sharma founded the Affinity Salon group in the year 1992. Sophisticated and experienced staff coupled with luxurious and 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 also witnessed steady growth and has reached nearly one hundred stores in the country. It further plans to expand its outreach in many other cities primarily due to the increasing demand of unisex salons in these areas.
5. Inxpress
- Founded in: 2011
- Industry: Courier & Delivery
- Investment: INR 5 Lakhs
- Franchise Units:20-50
InXpress has partnerships with world-class carriers that handle pick-ups and deliveries on behalf of customers. The local InXpress shipping specialist works to determine the right carrier and service option for customers' requirements at great prices. The famous brand gives entrepreneurs the setup to build a flexible business with the support of a global franchise system.
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6. DTDC Courier And Cargo Ltd.
- Founded in: 1990
- Industry: Courier and Delivery
- Investment: INR 50,000 – 2,00,000
- 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 reached over 1000 franchise units in India today. DTDC pioneered the franchise-based model in the express industry. DTDC through its immense structural and training continues to support investors and businesses.
7. Lenskart
- Founded in: 2010
- Industry: Eyewear
- Investment: INR 30-35 lakhs
- Franchise Units: 330+ (approximately)
Lenskart is one of the fastest-growing portals for eyewear in India and that too both online and offline. It 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. Eyewear has become a lucrative industry to enter into and Lenskart is the biggest success story in the same.
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8. FabIndia
- Founded in: 1960
- Industry: Retail (Fashion)
- Investment: INR 40-50 lacs
- Franchise Units: 175+ (approximately)
FabIndia was founded by John Bissell in 1960 and has become a household name today. It is loved by all age groups alike. It was first launched with the sale of home furnishings before expanding to domestic retail in 1976. In the last decade, FabIndia has crossed the INR 1,000 crore sales mark to become the largest retail apparel brand in the nation; it is significantly ahead of competitors like Zara and Levi’s India. The brand is true to its original essence of embracing and propagating Indian culture through apparel and other products. FabIndia has been adding new categories of products continuously.
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9. Kake Di Hatti
- Founded in: 1942
- Industry: Food and Beverage
- Investment: INR 20-30 lacs
- Franchise Units: Less than 10
Kake di Hatti is an inter-generational restaurant venture that has been running successfully for more than seven decades. It began as a small shop in Old Delhi’s Chandni Chowk in 1942 (where every food businesses starts in Delhi) and soon turned into a household name. Due to its consistent quality, Kake di Hatti has created loyal and niche customers. Kake di Hatti usually gives out franchise licenses only after ensuring that the franchise owner will be able to maintain the high-quality standards that it has maintained so far.
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10. EuroKids
- Founded in: 2001
- Industry: Preschool education
- Investment: INR 10-20 Lakhs
- Franchise Units: 1000+
EuroKids is one of the most prominent preschool chains in India. 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 preschool 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 preschool sector in India has witnessed a steady growth over the years and is expected to grow at a compound rate of approximately 32% in the next 3-4 years.
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Since India is one of the largest consumer markets undergoing expansion at the same time, there are ten thousand options using which investors and entrepreneurs can establish a successful franchise business. With that, you not only get a business opportunity to excel but it also makes India quite welcoming for both domestic and international franchise brands. Remember, buying and opening a franchise outlet is a massive investment and will require hard work, patience, creativity, and commitment from you.
The most profitable franchise businesses have a proven formula of success and a unique concept comprising various formats and substantial pieces of training; this assures high returns despite low investment.
Franchise Business in India - FAQS
What is the most profitable franchise to own in India?
Here are 10 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
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.
