Franchise Business in Chennai with Low Investment

Starting a business in Chennai can be a great opportunity, especially with the city’s fast-growing economy, solid infrastructure, and high consumer demand. However, many new entrepreneurs hesitate due to the high initial investment.
The good news is — you can start a franchise in Chennai with very low investment, sometimes under ₹50,000–₹5 lakh, depending on the brand and model.

This guide covers the best low-investment franchise options, their investment requirements, benefits, and how to choose the right franchise in Chennai.

⭐ Why Start a Franchise Business in Chennai?

Chennai is one of India’s biggest business hubs with strong markets such as IT & tech parks, colleges, residential areas, and tourist spots. This makes it an excellent place for franchise opportunities.

Key Advantages

• ✔ Huge customer base (working professionals, students, families)
• ✔ Low business risk due to brand reputation
• ✔ Faster break-even compared to starting from scratch
• ✔ Training & support from franchisors
• ✔ Flexible models — kiosk, cart, online, cloud kitchen, home-based

Top Low-Investment Franchise Businesses in Chennai (2025)

Below are some of the most profitable and affordable franchise options suitable for Chennai.

1. Amul Ice Cream & Amul Parlour

Investment: ₹2 lakh – ₹5 lakh
Business Type: Food & Beverage
Location Fit in Chennai: Malls, colleges, residential areas, tech parks

Why it works in Chennai:
Chennai’s hot climate + high brand trust = strong daily sales potential.

2. Lenskart Franchise (Micro Store / Kiosk)

Investment: ₹10 lakh – ₹15 lakh (higher but low for retail sector)
Business Type: Eyewear
Suitable Areas: High streets, malls, metro stations

Benefits

• Strong brand value
• High margin on eyewear
• Fast-growing market

3. Tandooriwala Express (Cloud Kitchen Model)

Investment: ₹1.5 lakh – ₹3 lakh
Business Type: Food Delivery / Cloud Kitchen

Why it works in Chennai:
Chennai has a huge demand for delivery food; Swiggy/Zomato orders are increasing every year.

4. Giani’s Ice Cream Kiosk

Investment: ₹3 lakh – ₹6 lakh
Suitable Locations: Beaches, food courts, residential areas

This brand is very popular among youngsters, making Chennai a perfect market.

5. FirstCry Partner Store (Small Format)

Investment: ₹5 lakh – ₹8 lakh
Business Type: Baby Products

Why invest:
Growing families, high trust in branded baby products.

6. Patanjali Mega Store / Kendra

Investment: ₹50,000 – ₹2 lakh
Business Type: FMCG, Ayurveda

Chennai Market Demand:
Ayurvedic and organic products are increasingly popular.

. DTDC Courier Franchise

Investment: ₹1 lakh – ₹1.5 lakh
Business Type: Courier & Logistics

Why it works:
Chennai has huge e-commerce activity — daily shipping & returns.

. Jumboking Burger (Kiosk Model)

Investment: ₹3 lakh – ₹5 lakh
Business Type: Quick-Service Restaurant (QSR)

Best fit:
Near schools, metro stations, offices.

9. Tea Time Franchise

Investment: ₹1 lakh – ₹1.5 lakh
Business Type: Tea & Beverage

Why it’s good for Chennai:
Tea stalls = high demand + low pricing + daily consistent customers.

10. Cafe Chai Point – Mini Kiosk

Investment: ₹3 lakh – ₹6 lakh
Business Type: Tea & Coffee
Preferred locations: Tech parks, railway stations

Cost Breakdown for Low-Investment Franchise in Chennai

Expense Type	Estimated Cost
Franchise Fee	₹20,000 – ₹2 lakh
Setup Cost	₹50,000 – ₹3 lakh
Inventory	₹20,000 – ₹1 lakh
Rent (Optional)	₹8,000 – ₹40,000/month
Staff Salary	₹8,000 – ₹15,000 per person
Marketing	₹5,000 – ₹20,000 (initial)

Total low-budget franchise setup can start from ₹50,000 to ₹5 lakh.

⭐ Factors to Consider Before Choosing a Franchise in Chennai

✔ 1. Location

• Residential area
• IT parks
• Near college zones
• Metro station / bus stand

✔ 2. Investment Capacity

Choose a brand that fits comfortably in your budget.

✔ 3. Franchise Support

Check whether the brand offers:

• Training
• Marketing guidance
• Raw materials
• POS system

✔ 4. Profit Margin

Food & beverage → 40–60%
Healthcare → 20–40%
Retail → 10–30%

✔ 5. Local Demand

Chennai has strong demand for food, beverages, and courier services.

Best Areas in Chennai for Low-Investment Franchises

• Anna Nagar
• Velachery
• T. Nagar
• OMR (Old Mahabalipuram Road)
• Tambaram
• Adyar
• Chrompet
• Porur
• Mylapore
• Sholinganallur

These areas have good footfall and high affordability.

How to Start a Low-Investment Franchise in Chennai (Step-by-Step)

Step 1: Choose your industry

Food, retail, courier, cloud kitchen, education, etc.

Step 2: Contact the franchise brand

Submit enquiry through their official website.

Step 3: Discuss investment & business model

Understand fees, training, and operational support.

Step 4: Finalize the location

Pick a place with high demand and low competition.

Step 5: Sign the agreement

Ensure all terms are clear.

Step 6: Setup & training

Arrange equipment, interiors, staff hiring.

Step 7: Launch the franchise

Start with promotions like discounts, social media marketing, food delivery platforms, etc.

FAQs

1. Which is the cheapest franchise in Chennai?

Tea Time, DTDC, Patanjali, and cloud-kitchen models start from ₹50,000–₹1.5 lakh.

2. Can I start a home-based franchise in Chennai?

Yes, cloud kitchens, tutoring, online services, and some FMCG franchises allow home-based setups.

3. How much profit can I expect?

Most low-investment franchises offer ₹30,000–₹1,00,000 monthly profit, depending on demand and marketing.

4. Is it necessary to rent a shop?

Not always. Some models work from home or from small kiosks.

Conclusion

Starting a low-investment franchise business in Chennai is one of the best ways to begin your entrepreneurial journey with minimum risk. With a booming economy, increasing consumer demand, and strong franchise support from top brands, Chennai provides the perfect environment for new franchise owners.

If you choose the right brand, location, and business model, you can easily build a profitable and sustainable business even with low capital.