The trend of franchise business models has experienced tremendous growth globally. The pleasure of sitting back and enjoying the income flow with minimal to no work is without a doubt a dream of many.  In this blog, we will talk about the most profitable franchise opportunities in India in 2024. 

Presently, India holds the position of the world’s second-largest franchise market, excelling in every industry ranging from services to QSR to real estate and much more.

While the investment might be high in a franchise business opportunity, once it gets accustomed to the market, the revenue will definitely surpass that amount of initial investment.

Let’s take a closer look at the Indian franchise business market, and explore all the profitable franchise businesses that might prove to be fruitful for you!

 

What is a Franchise Business?

A franchise model offers a symbiotic or mutually benefiting relationship between the franchisees and the franchisor. A franchisor acquires an already established business and sells the right to operate the business to franchisees, enabling them to utilise the processes, brand name and products. In this sort of an arrangement, the franchisee is required to pay a variety of royalties or fees to the franchisor for the right to operate under their brand name.

Benefits go both ways in a franchise business model, wherein the franchisor experiences an expansion of their established business and the franchisees experience hefty gains through the support offered by the franchisor business  and brand recognition. Franchise businesses are spread out extensively in a variety of industries including, real estate, fast food, services, retail etc.

 

Importance of Choosing the Right Franchise for Profitability and Success

Every venture to succeed and grow further requires strategic planning and the implementation of right decisions. Here are some key factors to keep in mind before choosing the right franchise to invest in-

• Training & Support- Comprehensive training programs alongside ongoing support should be provided in an ideal franchise business.
• Brand Recognition- An exemplar business to invest in must be a well-established and recognized brand with a positive brand image.
• Economies of Scale- Cost advantages should be experienced by the brand when the production becomes more efficient which enables the brand to bring in bulk purchase discounts, better negotiated deals with the suppliers and streamline operations.
• Proven Business Model- Successful franchise businesses usually have a proven and well-established and set up business model.
• Credibility & Reputation- The brand should be well-reputed so as to bring in loyal and trustworthy customers through its influence.
• Financial Considerations- Financial particulars including franchise fee, potential return on investment or ROI, royalty fees etc, should be assessed thoroughly before investments of any sort.
• Advertising and Marketing- Look out for franchisors offering national or regional advertising support to increase brand visibility, customer attraction etc.
• Exclusive Territories- Ideal franchisors provide exclusive territories to their franchisees, enabling them to limit competitions in their locations. 
• Adaptability to Local Markets- Fruitful franchises should be able to adapt to local market climate.
• Alignment with Personal Values and Goals- Always look out for franchises that are aligned with your personal interests, goals and values so as to acquire a long term success and satisfaction. 

 

Read Also: Vending Machine Price List in India [2024]

 

Benefits of Opting for a Franchise Over Starting a Business from Scratch

While both the business models have their own pros and cons, there exists a number of advantages in opting for a franchise business model rather than commencing a business from scratch. Here are some of the advantages listed below-

 

• Reduced Risk of Failure- Continuous guidance and support at each step by the franchisor increases the success rate of a franchise business and lowers the risk of any kind of failure.

• Access to Financing- Due to the presence of a track record of success of the franchise, lenders are more than eager to give out money for such a venture.

• Operational Support- The operational support provided by the franchisor to the franchisees at every step of the processes is another key reason as to why investing in a franchise business model is a smarter decision than establishing a business from scratch.  Assistance is provided with day-to-day operations, staffing and the management of inventory. 

• Faster Marketing Time- A business from scratch requires a ton of tedious work ranging from the development of a suitable business plan to establishing the operational works whereas a franchise business models enters the market quickly due to the already laid fundamental processes.

• Community of Franchisees- A franchisee works in a community, meaning you as the owner of a franchise get to interact and work within a greater community of business owners within the same brand.

 

 

List of the Most Profitable Franchise Opportunities in India:

 

Listed below (not by order) are some of the most profitable franchise opportunities in India that we’ve handpicked for you-

1. TumbleDry Franchise

Falling in the Laundry and Dry Cleaning industry, Tumbledry was founded in 2019 by Gaurav Nigam, Naveen Chawla, Gaurav Teotia, Tarun Arora, and Anuj Gupta. Tumbledry is India’s largest dry cleaning, shoe cleaning and laundry chain and acquires the top 5th position in the laundry and dry-cleaning market globally . Headquartered in Noida, Tumbledry offers their franchise with an investment of INR 25 L with a 24 months investment recovery period. Space requirements are set at 250 sq. ft. with a monthly profit set at an estimate of INR 1.7 L. The ROI stands at 80% per annum with the break even period of 3 months. 

95% of the tumbledry stores proved to be profitable from the 3rd month of establishment and 30% of the franchisees invested in more stores after experiencing a rapid growth of the first.

Tumbledry has a whopping number of 750 stores in 250 cities of India.

  

 

2. Jawed Habib Salon Franchise

Established in the year 2005 by Jawed Habib. Jawed JH Ltd. is India’s largest chain of Unisex salons which uses a combination of scientific and geometric systems to provide the perfect fusion of Indian and Western hairstyles. Jawed JH Ltd. takes pride in utilising a science based approach for hair- styling instead of a product- based approach.

The investment capital requirement for a Jawed Habib franchise ranges from INR 15 L to INR 35 L whereas a space requirement ranges from 1000 to 1500 sq. ft. While the break- even period for a Jawed Habib franchise is highly variable, an average provided by them is of 20- 35 months. The franchise agreement for a Jawed Habib Franchise is of 9 years which is renewable every 3 years. 

Jawed Habib has a whopping number of over 900 salons and more than 80 academies in more than 4 countries with an estimated sum of 150 million customers.

 

 

 3. InXpress Franchise

InXpress dates back to 1999, and was founded by John Thompson in the United Kingdom. InXpress offers stress-free and easy shipping, aiding retailers, manufacturers and distributors. InXpress has partnered-up with world-class brands like FedEx, DHL, ups and TNT. With an InXpress franchise, you’ll get paid every time a consumer places a parcel shipment. The capital investment for an InXpress franchise ranges between INR 10 L to INR 15 L whereas the brand fee is an estimated sum of INR 9 L. The space required for an InXpress franchise is 200- 300 sq. ft. While there is no fixed franchise agreement known, one can assume it to be for a sum of 5 years. 

InXpress has over 450 franchisees in 14 countries. The annual systems revenue is USD 300 M. 

 

 

4. DTDC Franchise

DTDC was established in 1990 by Subhasish Chakraborty. DTDC was India’s first express logistics company to carry through a network of entrepreneurs and now is one of the leading integrated express logistics providers in India with the largest network of customer access points. DTDC offers 3 kinds of franchise opportunities including-

• Model Franchise
• Enterprise Franchise
• Delivery Franchise

The investment required for a DTDC franchise ranges from INR 50K to INR 2 L with a space requirement of 300-450 sq. ft. Expected ROI is set at 20%.

Presently, DTDC operates over 570 facilities, over 1550 GPS connected trucks, more than 12 automated hubs with dynamic sorting and less than a million sq. ft. warehousing space. With such a well- networked and organized infrastructure, DTDC is able to deliver to more than 11,400 pincodes in India and more than 220 locations globally.

 

 

5. Lenskart Franchise

Established in 2010 by Peyush Bansal, Amit Chaudhary and Sumeet Kapahi, Lenskart is an India- based multinational eyewear retail chain for prescription opticals. Lenskart is India’s fastest growing eyewear company with more than 400+ profitable stores all over India. An investment ranging between INR 30 L to 35 L is required along with a space requirement of 300 to 500 sq. ft to establish a Lenskart franchise. The ROI is set at an estimate of 30%. Lenskart currently operates more than 1400 outlets all over India with plans to expand further. 

You can mail the Lenskart team for any further queries at beafranchise@lenskart.in .

 

 

6. FabIndia Franchise

 FabIndia was founded in 1960 by John Bissell for the sole purpose of marketing the skillful and diverse India based crafts but the first FabIndia outlet was established 15 years later in Greater Kailash, New Delhi. Capital investment for a FabIndia franchise starts from INR 40-50 L with a space requirement of 1000 to 1500 sq. ft. FabIndia has over 175 franchise outlets.

 

 

7. Pepperfry Franchise

Pepperfry was established in 2011 by Ambareesh Murty and Ashish Sinha whereas the first Pepperfry store was established in 2014 in Mumbai. Pepperfry is an online marketplace for home decor and furniture. Pepperfry offers 2 franchise models which are as followed-

• Pepperfry Accelerator Program (PAP)- A minimum capital investment of INR 15 L and a space of 400 sq. ft. is required to establish this type of franchise. The payback period is a year.
• Pepperfry Venture Program (PVP)- A minimum capital investment of INR 30 L and a space of 1050 sq. ft. is required to establish this type of franchise. The payback period is 18 months.

Pepperfry has 43 company- owned studios and 142 franchise-operated studios.

 

 

8. Kake Di Hatti Franchise

Kake Di Hatti was founded in 1942 by Bhagvan Singh who passed on the torch to Jaspal Singh, who along with Gurdeep Singh furthered this venture. Kake Di Hatti has been transformed from an eatery serving the most delicious Chole Bhature in the alleys of Old Delhi 6, Chandni Chowk to a nationwide restaurant group with a vision of global expansion. 

Kake Di Hatti charges a franchise fee of INR 16,52,000 alongside an estimated initial capital investment of INR 43 L. The expected ROI break will be after 2 years. Kake Di Hatti offer 2 kinds of franchises including-

• Fine Dine
• Upper Casual

 

 

9. EuroKids Franchise

EuroKids was established in 2001 by Prajodh Rajan and Vikas Phadnis and entered the K12 segment in 2009 with a series of EuroSchools. With the aim of nurturing the overall development of a child’s mind, body and soul enclosing psychomotor, cognitive, affective domains, EuroKids is a top-rated play school and kindergarten.

EuroKids is India’s most respected early childhood education board.

An investment of INR 10 L to 20 L is required alongside a minimum space of 1500 sq. ft. A franchise fee of INR 5 L is also required for a EuroKids franchise. A royalty fee of 20% of tuition fee is also charged. Agreement period lasts lifetime.

EuroKids is currently operating over 1,400 pre-schools in more than 350 locations in 3 countries. More than 7 L students have been nurtured by EuroKids with more than 35,000 hours of curriculum research.

 

 

10. Affinity Salon Franchise

Established in 1992 by Vishal Sharma, Affinity Salon is a chain of unisex salons, offering classy and trendy international standards for beauty and hair treatments. 

A capital investment of INR 50 L (approx) is required alongside a space of 1000 sq. ft. or more is required for an Affinity Salon franchise. An estimated royalty fee of 10% is also charged.  Affinity Salon marks its presence in India with more than 95 outlets nationwide.

 

 

11. Pizza Hut Franchise

Established in 1958 by Frank and Dan Carney, Pizza Hut is one of the leading pizza chains all over the world. Pizza Hut is a subsidiary of YUM! Brands and offers a ‘30 minutes or free’ guarantee with every order placed. Pizza Hut is the second largest pizza chain in India following Domino’s. The franchise fee for a Pizza Hut franchise in India stands at an estimated sum of INR 14 L whereas the royalty fee stands at 6.5%. To open a Pizza Hut franchise, a space of 1,000 to 1,500 sq. ft. is required. 

Pizza Hut operates an estimated sum of 18,000 outlets globally in more than 100 countries out of which more than 800 are located in India.

 

 

12. 3M Car Care Franchise

3M Car Care was established in 1902 by Hermon Cable, Danley Budd, William McGonagle, John Dwan and Henry Bryan. 3M Car Care is a Car care, detailing and cleaning services. 3M Car Care commenced operations in India in the year 2010 with the launch of 3M Car Care Centre initiative. The capital investment for a 3M Car Care starts at INR 50 L alongside an INR 5 L franchise fee. The company charges a 10% royalty fee on the total earnings. A renewable, 5 years franchise agreement is provided. The expected ROI in tier 1 cities is 40% and 30% in other cities. The break-even period is set at 2.5 years. The space requirement for a Solutions format is 1400 sq. ft. to 1800 sq. ft. whereas the space requirement for a Crossover format is 1800 sq. ft. to 2500 sq. ft.

3M Car Care operates more than 1000 outlets in India.

 

 

13. Kalyan Jewellers Franchise

Kalyan Jewellers was founded in 1993 by T. S. Kalyanaraman, with the first jewellery store in Thrissur, Kerala but its roots go back over a century, 1908 due to a family legacy. Kalyan offers a wide range of contemporary and traditional jewellery designs in gold, diamond, precious stones etc. The capital investment for a Kalyan Jewellers franchise ranges from INR 50 L to INR 1 Cr alongside a space requirement of 1000 sq. ft. to 2000 sq. ft. ROI timeframe is of 2 years with a franchise fee of INR 5 L. 

Kalyan Jewellers has more than 150 stores spread across the Middle East and India. In India Kalyan Jewellers marks a significant presence in 21 states and union territories. 

 

 

14. Dr. Batra’s Clinic Franchise

Dr. Batra’s Clinic was established in 1982 by Dr. Mukesh Batra with its first homoeopathy clinic in Chowpatty, Mumbai. Dr. Batra’s Clinic is an India- based Homeopathy healthcare company which furthered its branches from just a homoeopathy clinic to involvement in the skin and hair related services in 2009. Dr. Batra’s Clinic is the world’s largest homoeopathy clinic chain. Dr. Batra’s Clinic requires a minimum capital investment of INR 15 L to INR 20 L and a minimum space requirement of 500 sq. ft. Investments are expected to be recovered in 2 years with a break- even in 3 months. The ROI is over 15%

Dr. Batra’s Clinic is operating more than 76 franchise clinics presently with the participation of 2000 employees including 400 medical experts. Dr. Batra’s Clinic has successfully treated over 15 L patients.

 

 

15. FirstCry Franchise

FirstCry was established by Amitava Saha and Supam Maheshwari in 2010. FirstCry is an India- based e-commerce company offering baby and kids products in one marketplace. FirstCry offers more than 2,000 well-established brands under one roof. Amitabh Bacchan, a bollywood superstar was appointed as FirstCry’s brand ambassador in 2015. BabyOye, a commerce company, was also established by FirstCry in 2016.  A capital investment of INR 20 L to 30 L is required alongside a space requirement of 1000 to 2000 sq. ft. for a FirstCry franchise. A franchisee fee is also required of INR 2 L. The franchise agreement for a FirstCry franchise lasts 5 years.

Apart from its massive online presence, FirstCry also operates more than 400 stores in India out of which 350 are franchise stores. 

 

 

Afterword

If you’re new to the business industry with an entrepreneurial hunger, investing in a franchise will definitely prove to be the safest and most reliable option for you. Listed above are some of the most profitable franchise opportunities that offer nothing but cap-free income and low risks.

So, commence your entrepreneurial journey by investing in the above advised franchises!