The franchise business model has become one of the fastest-growing sectors in India, helping thousands of entrepreneurs start their own business with low investment and high success rate. A franchise offers a ready-made business model, brand reputation, training, and ongoing support — making it an ideal choice for beginners.
If you want to start a business but don’t have large capital, this guide explains the best low-investment franchise opportunities in India, the minimum investment needed, and the benefits of choosing a franchise model.
What is a Franchise Business?
A franchise is a business arrangement where a company (franchisor) allows an individual (franchisee) to operate their business using its brand name, products, and operational model in exchange for a fee or revenue share.
Why Choose a Low Investment Franchise in India?
- Requires less capital
- Lower risk than starting a new business
- High success rate due to an established brand
- Ready training and support
- Quick break-even
- Suitable for young entrepreneurs, homemakers, and first-time business owners
Best Low Investment Franchise Businesses in India (Under ₹1–10 Lakhs)
Below are profitable franchise options you can start with small capital.
- Tea & Café Franchises (High Demand, Low Investment)
Tea is India’s biggest consumption market, making tea franchises highly profitable.
Popular Brands
- Chai Sutta Bar
- Chai Point
- MBA Chai Wala
- Yewale Amruttulya
- Tea Time (most affordable)
Investment Range: ₹1–10 lakhs
Expected Monthly Profit: ₹40,000 – ₹1,50,000
- Fast Food & Snacks Franchise
This is the most common and high-earning low-cost franchise category.
Top Brands
- Wow! Momo (kiosk model)
- Samosa Singh (cart model)
- Bikanervala Express
- Burger Singh (small kiosk)
- Goli Vada Pav
Investment Range: ₹2–10 lakhs
Profit Margin: 35%–60%
- Education & Coaching Franchise (Low Risk)
Education is a recession-proof business.
Top Education Franchises
- Kidzee
- Bachpan Play School
- Unacademy Centres (Partner Model)
- Aloha Kids
- British Academy
Investment Range: ₹1–8 lakhs
Profit: ₹30,000 – ₹1,50,000 per month
- Retail Franchise (Daily Essentials)
Retail businesses ensure regular income due to daily demand.
Top Low-Cost Retail Franchises
- 1-India Family Mart
- Patanjali Store
- Reliance Smart Point (small format partner)
- Big Basket Partner Store
- Udaan B2B model
Investment Range: ₹2–10 lakhs
Potential Profit: ₹50,000 – ₹2,00,000 per month
- Beauty & Salon Franchise
Beauty services have high repeat customers and strong margins.
Popular Salon Franchises
- Lakmé Academy (student model)
- Naturals (franchise lite)
- Jawed Habib (small outlet)
- Looks Salon (mini model)
Investment Range: ₹5–10 lakhs
Profit Margin: 20%–40%
- Pharmacy & Medical Franchise
Healthcare demand is ever-growing.
Leading Pharmacy Franchises
- Apollo Pharmacy
- MedPlus (store-in-store model)
- Generic Aadhaar
- SastaSundar
Investment Range: ₹3–10 lakhs
Monthly Profit: ₹40,000 – ₹1,20,000
- Courier & Logistics Franchise
Growing due to e-commerce boom.
Top Brands
- DTDC
- Blue Dart
- Delhivery
- Ekart
Investment Range: ₹50,000 – ₹5 Lakhs
Income: ₹20,000 – ₹80,000/month
- Automobile Services Franchise
A fast-growing category targeting electric vehicles and bikes.
Popular Brands
- Bike Studio
- GoMechanic
- Exalta EV (showroom lite model)
Investment Range: ₹2–10 Lakhs
Profit: High (depending on location)
- Cloud Kitchen Franchise
Great choice for low-budget food business owners.
Top Brands
- Biryani By Kilo (cloud model)
- Faasos
- Oven Story
- The Belgian Waffle Co. (cloud outlet)
Investment Range: ₹2–7 Lakhs
Profit Margin: 25%–60%
- Printing & Stationery Franchise
Perfect for students, homemakers, and small shop owners.
Brands
- Cartridge World
- Print Venue
Investment: ₹2–5 Lakhs
Monthly Profit: ₹20,000 – ₹1,00,000
Cost Breakdown for Low Investment Franchise Setup
| Expense | Approx. Cost (₹) |
| Franchise fee | 20,000 – 4,00,000 |
| Interior setup | 50,000 – 3,00,000 |
| Equipment | 30,000 – 2,00,000 |
| Initial inventory | 20,000 – 1,00,000 |
| Marketing | 10,000 – 50,000 |
| Staff salary (if needed) | 10,000 – 30,000 |
👉 Total Investment: ₹1 lakh – ₹10 lakhs
How to Choose the Best Low Investment Franchise
Before investing, consider:
✔ Market demand
✔ Franchise success rate
✔ Initial & recurring fees
✔ Expected ROI
✔ Location requirement
✔ Brand support & training
✔ Competitor presence
Profitability & ROI (Return on Investment)
Break-even period:
- Food & beverages: 6–12 months
- Retail: 8–14 months
- Education: 4–10 months
- Pharmacy: 8–16 months
Average Profit Margin:
20% – 60% depending on business type
Advantages of Low Investment Franchise
- Ready-made business model
- Low risk
- Training provided
- Quick ROI
- Brand trust
- Marketing support
Conclusion
A low investment franchise is one of the smartest ways to start a business in India without heavy risk. Whether you choose a food brand, retail, pharmacy, salon, logistics, or education franchise, you can start with just ₹1 lakh to ₹10 lakhs and run a profitable business with proven systems.
The key is to choose a franchise with strong demand, low competition, and good brand support.
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.
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