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A franchise setup lets the franchisee enjoys low risk and a support system, whereas the franchisor enjoys business expansion. Thus, instead of taking risks associated with a new business in a volatile market, people prefer owning a profitable franchise business.
If you are also planning to start a franchise business then this article will be helpful. We have listed the 10 most profitable franchise business opportunities in India. Hence, keep reading to take a well-calculated decision.
These are the franchise options we will discuss here:
Before moving to the let’s have a quick glance on what is franchise business:
What is a franchise business?
A franchise model is a type of business that is owned and run by different individuals (franchisees) in different regions but branded by a single large company (franchisor). The franchisor owns the original business and licences the right to use its brand name, service/product, knowledge and all other trademarks in exchange for franchise fee, royalty or commission to the franchisees.
Now, let’s move to see most profitable franchise businesses that you can choose from:
Top 10 Profitable Franchise Business Opportunities in India
Tumbledry
Business Line | Dry-clean & Laundry |
|---|---|
Investment | 25 Lakh |
Area Required | 250 sq. ft. |
Total Stores | 500+ |
Started in 2019 the brand has already become India’s largest laundry & dry clean chain. They have a strong franchise network of 500+ stores spread across 180+ cities. Led by industry veterans Tumbledry is on a mission to remove the laundry woes of urban India. Their services include dry cleaning, laundry, shoe dry cleaning, shoe repair, bag cleaning & repair, carpet cleaning and much more.
Tumbledry charges a 7.5% royalty weekly. Their strategically planned business model is successful in metros, Tier 2 & Tier 3 cities as well. In just three years of their existence they have opened more than 500 stores across the nation. Tumbledry franchise partners achieve operational break-even within 3 months of operations and enjoy heavy returns on investment.
Kalyan Jewellers
Business Line | Jewellery |
|---|---|
Investment | 50 Lakh -1 Crore |
Area Required | 1000 – 1500 sq. ft. |
Total Stores | 137+ |
Kalyan Jewellers was started in 1993 by Mr T.S. Kalyanaraman who has more than 45 years of business experience. The brand is into designing, manufacturing, and selling gold, studded and diamond products. It has a strong presence in 21 states and UTs of India. Kalyan Jewellers also have 30 showrooms in the Middle East. Along with this, they also sell online at www.candere.com. The brand operates as a hyperlocal jewellery company.
In the first quarter of FY 2021, the consolidated profit of Kalyan jewellers increased to 54.05%. This is a clear sign that you can have a profitable franchise business with this brand. You must have a good financial background in business and over 10 years of business experience to get a Kalyan Jeweller showroom franchise.
Domino's
Business Line | Food and Beverages (Fast Food) |
|---|---|
Investment | 1.25 Crore |
Area Required | 1500-2000 sq. ft. |
Total Outlets | 1495+ |
Founded by Richard Allison in 1960, it is an American multinational pizza restaurant chain. The fast food brand has been dominating the industry with a strong presence in more than 70 countries with approximately 15,000 outlets.
The franchise of Domino’s is profitable because of the high demand for their product and the impeccable franchise business model. In 1996, the first Domino’s outlet was opened in New Delhi. You cannot connect with the brand directly for franchise purposes as it works in association with Jubilant Foodworks. The weekly royalty of Domino’s is 5.5%. Please ensure that there is not any other Domino’s outlet within a range of 5 km of your area before applying for a franchise.
Dr Lal Pathlabs
Business Line | Diagnostic Labs |
|---|---|
Investment | Collection Centre: 3-5 Lakh |
Area Required | Collection Centre: 150-300 sq. ft. |
Total Centres | 1800+ |
Dr Lal PathLabs is India’s leading diagnostic healthcare chain for more than 60 years in the diagnostic industry. The brand offers more than 1650 and tests including nutrition, genetics, biophysics, flow cytometry, cytogenetics, endocrinology, metabolism, molecular diagnostics, and oncology. Dr Lal PathLabs offer two types of franchise:
- Collection Centre Franchise: The blood and other samples are collected at these centres which are later sent to diagnostic centre. It is a must to have a space on the ground floor for opening Dr Lal PathLabs Collection Centre.
- Diagnostic Centre Franchise: The diagnostic centre is a place where tests are performed and reports are derived. Dr Lal PathLabs Diagnostic centres can be opened on the ground floors only.
The franchise partners have to pay 25-30% royalty/commission.
You still have a chance to join one of India’s largest & fastest growing franchise.
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FirstCry
Business Line | Kids & Baby Products |
|---|---|
Investment | 20-30 Lakh |
Area Required | 1000 – 2000 sq. ft. |
Total Stores | 400+ |
FirstCry was established by the Mahindra Group of Companies in 2010 to offer high-quality baby and kid products at an affordable price range online. Later in 2011, they started FirstCry franchise distribution.
FirstCry is the largest baby & kids product range in Asia. Currently, it sells 2000+ top brands like Ben10, Disney, Hotwheels, Farney, Pampers, Barbie, Gerbers, Pigeon, and Mattel. The franchise agreement of FirstCry will be valid for 5 years after which partners have to renew it. Interested individuals should have entrepreneurial and leadership skills to run the stores flexibly as per the market trends. Also, the brand demands the franchise store staff to be polite, courteous and have the skills to work as per the needs & preferences of parents.
VLCC
Business Line | Health & Wellness |
|---|---|
Investment | Beauty Salon: 30-32 Lakh |
Area Required | Beauty Salon: 800-1000 sq. ft. |
Total Outlets | 236+ |
VLCC Group is on its way to become a Global Wellness brand. Started by Vandana Luthra in 1989, the brand has already served over 5 million customers. The chain of beauty & wellness is active across the borders as well. Under VLCC Natural Sciences™, SkinMTX™, BelleWave™ and Enavose™ brands, the company offers 169 skincare, body care, hair care, fortified foods and functional foods products.
VLCC grants the franchisees to use the VLCC brand name, products and standards for a period of five years. You can opt for any of two franchise options depending on your investment and preference:
- Beauty Salon
- Beauty & Wellness Center
Afterwards, the franchise has to be renewed. The brand charges a 15% royalty on monthly basis. The franchise fee varies from location to location depending on the potential of the city/ location.
Kidzee
Business Line | Pre-school |
|---|---|
Investment | 12-15 Lakh |
Area Required | 2000-3000 sq. ft. |
Total Centers | 2000 |
Kidzee is known for bringing a positive change in pre-school education. It has been a part of the preschool journey of more than 900,000 children. If you are passionate about the field of education then you should consider Kidzee for franchise business.
The premises must have internet connectivity, CCTV and AC. Also, it should be ideal to accommodate indoor and outdoor playing areas. Franchise partners have to share 15% of the total revenue with the franchisor Kidzee.
Jockey
Business Line | Clothing |
|---|---|
Investment | 45-50 Lakh |
Area Required | 1000 – 1400 sq. ft. |
Total Outlets | 900+ |
Jockey International Inc. traces its origin to the Wisconsin, USA. The brand is trusted widely for its innerwear, sleepwear, and sportswear for people of all age groups. It is a well-recognized trademark across 120 countries.
Jockey has a tie-up with Page Industries Limited, a Bangalore-based company. It is the exclusive licensee of Jockey for the manufacturing, distribution, and marketing of Jockey across India, Nepal, Bangladesh, Sri Lanka, Oman, Qatar and UAE.
The sales of Jockey India grew by 35% in FY 2022 over FY 2021. This shows that the brand has very high return ratios which is improving systematically. If you are interested, you will need to open an exclusive Jockey store (preferably in a main location or main market area).
You can join India’s largest laundry and dry clean chain & get assured profits.
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Delhivery
Business Line | Courier & Delivery |
|---|---|
Investment | Cosmos: 50 Thousand-2 LakhConstellation: 2-5 Lakh |
Area Required | 400-500 sq. ft. |
Total Centers | 3000+ |
Delhivery was started in 2011 with an aim to build an organized system for commerce. Within just one decade it has become a core competitor of leading age old express logistics companies like BlueDart and Gati Ltd. It offers two types of franchises:
- Cosmos: It encompasses a network of different stores in a small area. Cosmos Delhivery franchise facilitates delivery to residents and commercial offices.
- Constellation: This involves entrepreneurs who are keen to start their individual freight pick-up and deliveries of various types of parcels. The area covered by a constellation franchise is larger than the cosmos franchise.
Currently, Delhivery offers express parcel transportation, supply chain services, cross-border services, and PTL & TL freight. The clients & customers of Delhivery include small and big e-commerce participants, SMEs and leading brands as well. The company process approximately 10 million orders every month which indicates its good performance. Delhivery can be the best franchise with low investment for you.
Lakme
Business Line | Beauty & Wellness |
|---|---|
Investment | 50-60 Lakh |
Area Required | 900 sq. ft. |
Total Salons | 400+ |
Lakme is considered a leading beauty brand in India for decades. If you are lookingfor a highly profitable franchisein thebeauty & wellness industry, Lakme salon can be a fool-proof option. It was the first brand to start a salon chain to cater to the grooming and beauty care requirements of women.
Lakme already has a huge customer base in India. A prospective franchisee should be able to devote sufficient time and effort to run the business. The brand also demands their partners to have a customer-centric approach and go that extra mile for customer satisfaction. So, if you are passionate about their business ethics then you should apply for a franchise. Lakme offers sustainable growth in its business model.
FAQs about franchise business
Yes, the franchise industry in India is growing 30-35% year-on-year and it is expected to mark $100bn by 2024. So, you can surely start a franchise business without a doubt.
A lot of perks are associated with owning a franchise of a reputed & well-established business. First of all, you don’t really start from scratch. This means you don’t invest time, effort and money in research about the industry size, future prospects, business set-up, etc. Somebody has already done all of this and you leverage the benefits.
Next, you get a “brand pull”, your business will get instant recognition due to the brand value of the franchisor. Generally, franchisor brands take complete responsibility for training the staff, marketing & promotion of your business. This makes business operations and growth seamless for the franchisee.
The exact cost of owning a franchise depends on business to business. For instance, a small-scale business may sell its franchise from 1-10 lakh, whereas a large-scale business or a renowned brand may sell its franchise anywhere from 20-50 lakh or even more.
You can choose any one from the below-listed franchise business opportunities in India.
- Tumbledry
- Kalyan Jewellers
- Domino’s
- Dr Lal Path Labs
- Firstcry
- VLCC
- Kidzee
- Jockey
- Delhivery
- Lakme Salon
All of these are trusted and well-established brands. Hence, the probability of business growth is always high. However, the profitability of a business varies from time to time.
You can enter any of the mainstream industries like Food Service, Healthcare, Beauty & Wellness, Education, etc.
Apart from these popular industries, laundry is a promising industry. It was valued at $35.83 bn in 2020 and it is expected to grow at a CAGR of 4.96%.
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Inspection
Shoe material analyzed to decide the cleaning methodology.
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An intense, deep-cleaning of carpets to restore their original glory
We specialize in dry cleaning of Persian rugs, silk & Turkish carpets, and all other premium, imported rugs of nylon, wool, cotton, polyester and olefin.
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Premium curtain dry cleaning service service with facility to remove the curtains from rods and install them back after dry cleaning.
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Professional leather dry cleaning for jackets, bags, purses, clutches, wallets, belts, shoes, boots and stilettos.
Protect your leather items from dirt, dust, oil stains, perspiration, dehydration, mold & mildew.
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Experts in dry cleaning of Sports, Canvass, Leather, Suede, Nubuck Shoes, Sneakers, Boots, Sandals and Canvass, Jute, Leather & Suede Bags
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Want to restore the glory of your haute couture? Look no further than Tumbledry!
We have a separate team of processing experts who handle your most expensive silk, bridal & designer wear for dry cleaning. Each Haute Couture article is given a customized treatment in our state of the art dry cleaning facility.
Our team has more than a decade experience of dry cleaning most delicate and expensive silk sarees, including: Banarasi silk, Kanjivaram/Kanchipuram silk, Baluchari silk, Bomkai silk, Tussar silk, Chanderi silk, Dharmavaram silk, Banglori silk, Mysore silk, and Patola silk.
Be it Manish Malhotra, Tarun Tahiliani, Masaba Gupta, or Sabyasachi Mukherjee – we have got tons of experience dry cleaning fashion articles from most popular designer houses. We understand the nuances of the make and design, as well as the fabric structure used by these designer houses – and this enables us to give the perfect treatment to these haute couture articles
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