Ibaco is a premium ice‑cream chain known for its do‑it‑yourself concept—letting customers build custom sundaes, shakes, and shakes with exotic toppings. The brand boasts ~150 outlets across India and is growing rapidly.
Why Consider an Ibaco Franchise?
- Strong brand recall in the premium ice‑cream segment, backed by Chennai‑based Hatsun Agro Products.
- Unique, interactive customer experience with customizable desserts.
- Rising market opportunity: India’s ice‑cream market is projected to grow 15% CAGR, reaching USD 12 billion by 2032.
- Franchise support: menu planning, training, relationship management, and point‑of‑sale systems.
Franchise Models & Investment
| Model | Store Size | Franchise Fee | Setup Costs | Initial Inventory & Marketing | Total Investment |
|---|---|---|---|---|---|
| Standard Outlet | 200‑500 sq ft | ₹2–6 L | ₹9–11 L (interiors & freezers) | ₹4 L | ₹15–20 L |
| Premium Outlet | 500‑750 sq ft | ₹6 L | ₹9–11 L | ₹4 L | ₹20–22 L |
- Infrastructure must include a kitchen space—mandatory per Ibaco standards.
- Setup typically takes 1–2 months.
Revenue Sharing & Royalty
- Commission split: Franchisees retain approximately 95% revenue, remitting ~5% royalty to Ibaco.
- This favorable split is highly attractive compared to other models (where brands take 20–30%).
Expected ROI & Profitability
- Break-even / ROI timeline: 1½–2 years .
- Profit margin: Outer range ~15–20% of revenues.
- Operational costs capped at 30–35% of total revenue .
- Example financial illustration (₹20 L investment):
- Annual revenue assumption: ₹50 L
- Profit margin at 20%: ₹10 L
- ROI achieved in ~2 years.
Eligibility Criteria
To qualify, you must have:
- Adequate capital – ₹15–22 L investment + working capital.
- Rental space – 200–750 sq ft with kitchen, AC, internet, CCTV.
- Business acumen – F&B experience helps; brand will emphasize training and SOP adherence.
- Legal compliance – Must handle licensing (FSSAI, fire, GST) and set up technical infrastructure.
- Staffing – Trained service personnel, kitchen staff; Ibaco offers training support.
Benefits & Brand Support
- Menu & pricing guidance: Standardized offerings with periodic refreshes .
- Training & onboarding: Helps with kitchen operations, hygiene, customer service .
- Operational software & logistics: POS systems, supply chain support.
- Marketing support: Some local digital media backing, relationship manager access.
- Ongoing performance reviews and assistance with inventory, promotions.
Step-by-Step Application Process
Initial inquiry
Contact Ibaco via website’s contact form or use corporate email/phone.
Submit basic details
Include business plan, finances, preferred location.
Brand evaluation
Ibaco reviews credentials, credit background, and site visit.
Franchise agreement
Negotiated terms, typically 5–7 year tenure.
Onboarding & training
Technical assistance and brand integration.
Civil works & setup
Interior fit-out, kitchen installation.
Soft launch
Trial run to test processes and quality.
Grand opening
Marketing push, booth launch event supported by Ibaco.
Ongoing operations
Regular brand audits, inventory restocking, performance reviews.
Competitive Analysis
Ibaco is positioned as a premium yet accessible brand. Compared to other chains:
| Brand | Investment (₹L) | Area (sq ft) | Franchise Fee (₹L) | ROI (Years) | Commission |
|---|---|---|---|---|---|
| Amul | 10–20 | 300–500 | 2–5 | 0.5–1 | ~85–90% |
| Baskin Robbins | 15–20 | 200–400 | ~5 | 1.5–2 | similar to Ibaco |
| Naturals | 15–20 | 500–800 | ~5 | ~1.5 | higher royalty |
| Ibaco | 15–22 | 200–750 | 2–6 | 1.5–2 | ~95% retention |
Ibaco combines premium positioning, flexible formats, and higher margin retention—making it stand out .
Tips for Success
- Location matters: Malls, high street markets, multiplexes, tech parks.
- Offer localised flavours to connect with regional tastes.
- Leverage online delivery for visibility and convenience.
- Regular promotions—new toppings, combo deals to boost customer retention.
- Maintain SOPs—quality consistency and hygiene drive repeat visits.
Is Ibaco the Right Franchise for You?
✅ Strong ROI potential with 15–20% margins and break-even in ~2 years.
✅ Favourable revenue split gives franchisees high profit control.
✅ Engaging brand experience stands out in the competitive dessert market.
✅ Good support systems—training, logistics, brand presence.
If you’re an entrepreneur with ₹15–25 L and a passion for experiential F&B, Ibaco offers a compelling option: a scalable, supported route into the premium desserts space.
🚀 Ready to Apply?
- Verify your capital and scout locations (200–750 sq ft).
- Reach out via Ibaco’s contact page or corporate info.
- Submit your proposal—include your background and site details.
- Follow through with due diligence and background checks.
- Undergo training, complete setup, soft launch, then open officially.
- Grow continuously—focus on hygiene, innovation, promotions.
Final Words
An Ibaco franchise offers a sweet blend of manageable investment, high earnings, and brand backing. Its unique self‑serve, experiential setup is especially attractive to urban youth and families. With robust support and a solid business model, it’s positioned for success in India’s fast‑growing ice‑cream market.
Want help evaluating location costs in Delhi, projecting profits, or comparing F&B brands? I’d be happy to assist—drop your questions below!
All figures are based on trusted Indian franchise platforms and supplemented by industry insights.
Shashi Kant is the Founder and Editor of BusinessScroller.com, a leading platform for business insights, finance trends, and industry analysis. With a passion for journalism and expertise in business reporting, he curates well-researched content on market strategies, startups, and corporate success stories. His vision is to provide valuable information that empowers entrepreneurs and professionals. Under his leadership, BusinessScroller.com has grown into a trusted source for in-depth articles, customer care guides, and financial expertise.
