Starting a business can feel overwhelming, but don’t worry—a franchise in India might be the perfect solution for you! In 2025, franchises are booming across India, offering a safer and more profitable way to become your own boss.
Franchises are growing fast because they come with a trusted brand name, ready-made systems, and plenty of support, which lowers the risk compared to starting a new business from scratch. With India’s economy growing and more people spending on food, retail, and healthcare, now is a great time to invest in the most profitable franchise in India. Looking for the best franchise in India to start your business in 2025? This list of the most profitable franchise in India will guide you step-by-step. By the end, you’ll know which franchise matches your budget, interests, and location—whether you’re in a big city like Mumbai or a smaller town like Jaipur.
What Is a Franchise Business?
A franchise is like a partnership where you (called the franchisee) pay a company (the franchisor) to use their brand name, products, and business system to run your own outlet. For example, if you open a KFC franchise, you’re selling KFC’s famous fried chicken using their recipes and following their rules.
Why Is a Franchise Safer?
Starting a franchise in India is often less risky than building a new business because:
- You get a well-known brand that customers already trust, like McDonald’s or Tata 1mg.
- The franchisor gives you training, marketing help, and a step-by-step guide to run the business.
- There’s a proven system, so you don’t have to figure everything out on your own.
For beginners, this means less stress and a smoother start. For experts, it’s a scalable way to grow your investment portfolio.
Why Choose a Franchise in India?
India’s franchise sector is one of the fastest-growing in the world in 2025, and here’s why it’s a great choice:
- Fastest-Growing Sector: According to the Franchise Association of India (FAI), the franchise industry has grown by 15%-18% each year from 2022 to 2025, reaching a market size of $50 billion.
- Brand Value & Support: Franchises like KFC or Zudio offer a trusted name, staff training, and marketing support, making it easier to attract customers.
- Low Failure Rate: Franchises have a failure rate of less than 10%, compared to 30% for new startups, because they have a tested business model.
- Profitability & Scalability: Many franchises offer profit margins of 15%-40%, and you can grow by opening more outlets.
Here’s a simple chart showing the growth of the franchise market in India (inspired by FAI trends):
Common Challenges & How Franchisors Help
While a franchise in India is less risky than starting a new business, it’s not completely risk-free. Let’s look at some common challenges and how franchisors help you overcome them:
- Staffing Issues: Finding and managing good staff can be tough. Franchisors like Domino’s provide HR support and training programs to help you hire and train employees.
- Local Competition: You might face competition from other brands or local businesses. Franchisors offer marketing strategies and brand campaigns to help you stand out.
- Initial Learning Curve: It takes time to learn how to run the business. Franchisors provide detailed operational manuals and hands-on training to guide you.
- Managing Supplier Relationships: Sourcing quality supplies can be tricky. Franchisors use their bulk purchasing power to negotiate better deals with suppliers, saving you money and hassle.
With this support, you’re never alone—franchisors are there to help you succeed, making a franchise in India a safer bet.
Pre-Franchise Self-Assessment Checklist
Before diving into specific brands, let’s make sure franchising is right for you. Ask yourself these questions:
- Do I prefer a proven system over creating my own? Franchises come with set rules, so you need to be okay with following them.
- Am I comfortable following guidelines set by others? You’ll need to stick to the franchisor’s standards, like using their recipes or store design.
- Do I have the required capital (or access to it)? Check if you can afford the investment, which can range from ₹2 lakh to ₹1 crore depending on the franchise.
- Am I passionate about the industry I’m considering? Pick a sector you love, like food (KFC) or retail (Zudio), so you enjoy the work.
- Am I a hands-on operator or more of a manager/investor? Some franchises need you to be involved daily, while others let you hire a manager.
If you’re nodding yes to most of these, a franchise in India could be a great fit for you!
Top Franchise in India (2025) – Ranked List Format
Here’s a quick look at some of the most profitable franchise in India for 2025. This table gives you a snapshot of key details to help you compare options. For more in-depth information, check the detailed breakdowns below.
Franchise Name | Industry | Initial Investment | Franchise Cost | Profit Margin | Official Website | Ratings (Out of 5) |
---|---|---|---|---|---|---|
KFC | Food & Beverage | ₹96 lakh | ₹36 lakh | 7%-8% | KFC India | 4.8 |
Domino’s | Food & Beverage | ₹30 lakh | ₹30 lakh | 8% | Domino’s India | 4.7 |
McDonald’s | Food & Beverage | ₹50 lakh–₹1 crore | ₹30–₹40 lakh | 15%-20% | McDonald’s India | 4.9 |
MBA Chai Wala | Food & Beverage | ₹10 lakh | ₹3 lakh | 35%-40% | MBA Chai Wala | 4.5 |
Happy Health India | Health & Wellness | ₹15 lakh | ₹5 lakh | 20%-25% | Happy Health India | 4.3 |
Tata 1mg | Health & Wellness | ₹20 lakh | ₹10 lakh | 15%-20% | Tata 1mg | 4.6 |
Zudio | Retail | ₹50 lakh | ₹20 lakh | 10%-15% | Zudio | 4.4 |
Jiomart | Retail | ₹40 lakh | ₹15 lakh | 10%-12% | Jiomart | 4.2 |
Chai Sutta Bar | Food & Beverage | ₹30 lakh | ₹6 lakh | 35%-40% | Chai Sutta Bar | 4.6 |
Tim Hortons | Food & Beverage | ₹50 lakh | ₹20 lakh | 10%-15% | Tim Hortons India | 4.3 |
7-Eleven | Convenience | ₹60 lakh | ₹25 lakh | 8%-12% | 7-Eleven India | 4.2 |
Lenskart | Eye & Tech | ₹30–₹35 lakh | ₹10 lakh | 15%-20% | Lenskart | 4.7 |
Cloud Kitchen Brands | Food & Beverage | ₹15–₹25 lakh | ₹5 lakh | 20%-30% | Varies by brand | 4.5 |
Note: This table covers only a few of the top 50 franchises. For a full list, check the detailed breakdowns below or contact the franchisors directly.
7. Detailed Breakdowns of the Top Franchises
🐔 KFC Franchise in India
KFC is a global fast-food giant, famous for its fried chicken, with over 400 outlets in India.
- Investment Needed: ₹96 lakh (includes franchise fee and setup costs).
- Area Required: 1000–1500 sq. ft., ideally in a high-traffic area.
- KFC Franchise Cost in India: ₹36 lakh franchise fee + setup costs.
- Expected Profit: 7%-8% net profit margin, which means ₹5–₹7 lakh monthly in metro cities.
- How to Apply: Visit KFC India and submit an inquiry form.
KFC offers detailed training, marketing support, and a loyal customer base, making it a most profitable franchise in India for food enthusiasts.
🍕 Domino’s Franchise in India
Domino’s, with over 1400 outlets in India, is known for its pizzas and fast delivery.
- Setup Process: Contact Jubilant FoodWorks (Domino’s India partner), sign agreements, and set up your outlet.
- Domino’s Franchise Cost in India: ₹30 lakh franchise fee + additional setup costs.
- ROI & Break-Even: 8% profit margin; break-even in 2–3 years.
- How to Apply: Visit Domino’s India for franchise details.
Domino’s is a reliable choice for entrepreneurs who want a food franchise with strong delivery demand.
🍔 McDonald’s India Franchise
McDonald’s, with over 500 outlets in India, offers a menu tailored for Indian tastes.
- Investment Slabs: ₹50 lakh to ₹1 crore, depending on location.
- Franchise Support: Site selection, staff training, and marketing support.
- McDonald’s Franchise Cost in India: ₹30–₹40 lakh franchise fee.
- How to Apply: Visit McDonald’s India.
McDonald’s is a premium franchise with high returns, ideal for experienced investors.
☕ MBA Chai Wala Franchise
MBA Chai Wala, founded by Prafull Billore, is a youth favorite with a trendy vibe.
- Why It’s Popular: Affordable tea and snacks with a modern twist.
- MBA Chai Wala Franchise Cost: ₹3 lakh franchise fee + ₹10 lakh total investment.
- Unique Selling Point: Targets young customers with a vibrant ambiance.
- How to Apply: Visit [MBA Chai Wala](https://www.mb achaiwala.com).
This budget-friendly option is perfect for Tier 2/3 cities, offering 35%-40% profit margins.
☕ Chai Sutta Bar Franchise
Chai Sutta Bar is a tea franchise trending in smaller cities, with over 550 outlets.
- Budget Franchise: ₹30 lakh total investment, including a ₹6 lakh franchise fee.
- Chai Sutta Bar Franchise Cost & Profit: 35%-40% profit margin, around ₹90,000 monthly.
- Trending in Tier 2/3 Cities: Yes, due to its low cost and high demand for tea.
- How to Apply: Visit Chai Sutta Bar.
It’s a great choice for beginners looking for a low-risk, high-return franchise.
🧴 Tata 1mg / 1mg Franchise
Tata 1mg is a leader in India’s e-pharmacy market, riding the healthcare boom.
- Healthcare Growth: The online pharmacy market is growing at 20% annually.
- 1mg Franchise Opportunity & Benefits: Offers medicine delivery and diagnostic services.
- Investment: ₹20 lakh, with a ₹10 lakh franchise fee.
- How to Apply: Visit Tata 1mg.
Tata 1mg is ideal for those interested in health and wellness franchises.
🛍️ Zudio Franchise / Jiomart Franchise
Zudio and Jiomart are retail giants tapping into India’s growing consumer market.
- Zudio Franchise Cost in India: ₹50 lakh total, with a ₹20 lakh franchise fee.
- Jiomart Franchise Application Process: Apply via Jiomart; total cost is ₹40 lakh with a ₹15 lakh fee.
- Retail Sector Rise: Retail franchises are growing at 12% annually.
These franchises suit investors interested in fashion and e-commerce retail.
🕶️ Lenskart Franchise
Lenskart is a leading eyewear brand with both online and offline presence.
- How to Get Lenskart Franchise in India: Apply via Lenskart.
- Investment vs Earnings: ₹30–₹35 lakh investment; 15%-20% profit margin.
- Online + Offline Model: Offers flexibility for customers to shop both ways.
Lenskart is a great choice for tech-savvy entrepreneurs in the eyewear sector.
🧑🍳 Cloud Kitchen Franchise Options
Cloud kitchens focus on food delivery, making them cost-effective with high margins.
- Top 3 Brands:
- Rebel Foods (Faasos): ₹15 lakh investment, 20%-30% margin.
- Curefoods: ₹20 lakh investment, 25% margin.
- Biryani Blues: ₹15 lakh investment, 20%-25% margin.
- Why It’s Ideal: Low rental costs, high demand for delivery.
Cloud kitchens are perfect for food entrepreneurs who want to avoid high rental expenses.
🍩 Tim Hortons / 7-Eleven India Franchise
These international brands are entering India with big growth potential.
- Tim Hortons: ₹50 lakh investment, 10%-15% margin; apply at Tim Hortons India.
- 7-Eleven: ₹60 lakh investment, 8%-12% margin; apply at 7-Eleven India.
- Growth Potential: Both brands are expanding rapidly in metro cities.
These franchises are ideal for investors looking for international opportunities.
Funding Options for Your Franchise
Worried about how to fund your franchise in India? Here are some options to cover the investment costs:
- Bank Loans: Many banks offer SME loans or franchise-specific financing. You’ll need a strong business plan, good credit score, and sometimes collateral.
- Personal Savings: Using your savings is a common way to start, especially for smaller franchises like MBA Chai Wala.
- Investor Partnerships: Partner with friends, family, or investors who can fund part of the investment in exchange for a share of profits.
For example, to open a Domino’s franchise (₹30 lakh), you might use ₹10 lakh from savings, take a ₹15 lakh bank loan, and find a partner for the rest. Always check loan terms and ensure you can manage repayments.
What to Look for in an FDD (Franchise Disclosure Document)
When you contact a franchisor, they’ll share a Franchise Disclosure Document (FDD) after you sign a Non-Disclosure Agreement (NDA). The FDD is a key document that gives you all the details about the franchise. Here’s what to look for:
- Initial Fees: The upfront franchise fee, like ₹36 lakh for KFC.
- Ongoing Royalties: The percentage of sales you’ll pay the franchisor monthly (usually 4%-8%).
- Renewal Terms: How long the franchise agreement lasts and what happens when it expires.
- Training Details: What kind of training and support the franchisor provides.
- Litigation History: Any legal issues the franchisor has faced—this can show if they’re trustworthy.
- Franchisee Support: Details on marketing, supply chain, and operational help.
Review the FDD carefully (maybe with a lawyer) to make sure the franchise is a good fit for you.
How to Start a Franchise in India – Step-by-Step
Starting a franchise in India is easier than you think. Follow these steps to get going:
Step 1: Research and Shortlist
Use this guide to pick franchises that match your budget and interests. For example, MBA Chai Wala for low budgets, or McDonald’s for higher investments.
Step 2: Contact Franchisor via Website
Visit the official website (links provided above) and submit an inquiry form. Most brands will get back to you within a week.
Step 3: Sign NDA + Get FDD
Sign a Non-Disclosure Agreement (NDA) to access the Franchise Disclosure Document (FDD), which gives you all the details about costs and support.
Step 4: Secure Location, Approvals, Training
Find a good location, get necessary licenses (like FSSAI for food franchises), and complete the franchisor’s training program.
Step 5: Launch!
Open your outlet with the franchisor’s support and start earning. Don’t worry—franchisors will guide you every step of the way.
Regulatory & Legal Aspects (Simplified)
Running a franchise in India requires some legal steps to stay compliant. Here are the basics:
- GST Registration: You need to register for GST to handle taxes on sales.
- Shop & Establishment Act License: This is a state-level license for running a commercial business.
- FSSAI License: Mandatory for food franchises like KFC or Domino’s to ensure food safety.
- Local Municipal Permissions: Depending on your location, you may need permits for signage, waste disposal, etc.
These requirements might sound complicated, but franchisors often help you with the paperwork. You can also hire a local consultant to make it easier.
Networking/Mentorship
Don’t go it alone—connect with others to learn more about running a franchise in India:
- Join Local Entrepreneur Groups: Look for groups in your city or online (like on LinkedIn) where you can meet other business owners.
- Connect with Current Franchisees: They’re your best resource for honest insights. Ask the franchisor to connect you with existing franchisees, or search for them on social media to hear their experiences.
For example, talking to a Chai Sutta Bar franchisee can give you real-world tips on managing costs and attracting customers.
Most Profitable Franchise in India by Industry
Here’s a breakdown of the most profitable franchise in India by sector:
- Food & Beverage: KFC (7%-8% margin), Domino’s (8% margin), MBA Chai Wala (35%-40% margin).
- Retail: Zudio (10%-15% margin), Jiomart (10%-12% margin).
- Health & Wellness: Tata 1mg (15%-20% margin), Happy Health India (20%-25% margin).
- Eye & Tech: Lenskart (15%-20% margin).
- Convenience: 7-Eleven (8%-12% margin), Cloud Kitchen (20%-30% margin).
Pick a sector that excites you and matches the demand in your area.
Success Stories to Inspire Your Franchise Journey
Need some motivation to start your franchise in India? Here are three inspiring success stories that show what’s possible with the right mindset and support:
- Chaat Puchka Foods: Founded in 2018 in Indore, Chaat Puchka Foods turned a passion for authentic Indian street food into a thriving franchise empire. In just a few years, they expanded to over 150 outlets across 20+ states in India, focusing on hygiene, quality, and customer service. Their franchise model ensures uniform quality, making it a great example of how to build a street food empire. Learn more about their journey at Chaat Puchka Success Story.
- SuperK Franchisees: SuperK, a tech-enabled supermarket franchise, has empowered franchisees in Tier-II and Tier-III towns to transform traditional grocery stores into modern, profitable businesses. Their success stories highlight the potential for growth in smaller towns, backed by strong franchisor support in operations and technology. Check out their inspiring stories at SuperK Success Stories.
- MBA Chai Wala: Prafull Billore, the founder of MBA Chai Wala, started with a small tea stall in Ahmedabad after dropping out of college. Today, MBA Chai Wala has over 200 franchises across 100+ Indian locations, becoming a youth favorite with its trendy vibe and smart marketing—like offering free tea for singles on Valentine’s Day! Prafull’s journey from a roadside stall to a multi-crore brand is a testament to perseverance. Read more at [MBA Chai Wala](https://www.mb achaiwala.com).
These stories prove that a franchise in India can turn your dreams into reality, no matter where you start.
Ensuring Your Franchise Blog Complies with Community Guidelines
If you’re sharing your franchise in India journey on a blog platform like Blogger, you’ll want to make sure your content doesn’t violate community guidelines. Platforms have rules to keep the online space safe and welcoming, and breaking them can lead to your post being unpublished or your account being flagged.
Why Might a Blog Post Violate Guidelines?
Your franchise blog might unintentionally violate guidelines if it includes:
- Promotional Spam: Writing overly promotional content about a franchise without adding value, like posting repetitive ads for KFC or MBA Chai Wala.
- Misleading Information: Sharing unverified franchise costs or profit margins that could mislead readers.
- Inappropriate Content: Including offensive language, hate speech, or unrelated adult content in your blog.
- Copyright Issues: Using images, logos, or text (like franchise logos or descriptions) without permission from the franchisor.
For example, if you copy KFC’s logo or menu directly without permission, it could be flagged for copyright violation. Similarly, if your blog post focuses too much on selling a franchise without providing educational value, it might be seen as spam.
How to Avoid Violations
Here’s how to keep your franchise blog compliant:
- Add Value: Focus on educating readers about the most profitable franchise in India, like this guide does, rather than just promoting a brand.
- Use Original Content: Write in your own words and avoid copying text or images from franchise websites. If you use their materials, get permission or give proper credit.
- Be Honest: Share accurate, verified details about franchise costs and profits. For example, double-check figures with the franchisor’s official website.
- Follow Platform Rules: Check the community guidelines of the blogging platform you’re using. On Blogger, you can find these rules to ensure your content aligns with their standards.
- Report Issues: If your post gets flagged, review the guidelines to understand why, update your content, and request a review from the platform. On Blogger, you can contact support to dispute a violation notice if you believe it was a mistake.
By following these steps, you can share your franchise journey without worrying about guideline violations, ensuring your blog stays online and reaches more readers.
FAQs – Best Franchise in India
Can I open a franchise with ₹5 lakh?
Yes, but your options are limited. Look at small franchises like Amul (₹2–₹6 lakh) or local cloud kitchens.
What is the cheapest franchise in India?
Amul is one of the cheapest, starting at ₹2 lakh, with a profit margin of 2.5%-20% depending on products.
Which franchise gives the highest profit?
Chai Sutta Bar and MBA Chai Wala offer 35%-40% profit margins, making them highly profitable for low investments.
How to apply for McDonald’s franchise?
Visit McDonald’s India, submit an inquiry, and prepare for an investment of ₹50 lakh–₹1 crore.
What is the franchise model of MBA Chai Wala?
MBA Chai Wala uses a single-unit franchise model with a ₹3 lakh franchise fee, 35%-40% profit margin, and a focus on trendy tea outlets for youth.
Conclusion
Starting a franchise in India in 2025 is a fantastic way to build a business with less risk and great profit potential. From food giants like KFC, Domino’s, and McDonald’s to budget-friendly options like MBA Chai Wala and Chai Sutta Bar, there’s a franchise for every budget and interest. Retail brands like Zudio and Jiomart, health-focused franchises like Tata 1mg, and tech-savvy options like Lenskart also offer exciting opportunities.
Compare the franchises in this guide based on your budget, location, and passion. Use the official websites to contact franchisors and start your journey. While the market looks promising in 2025, always do your due diligence—market conditions can change, so double-check details with the franchisor. Whether you’re a beginner or an expert, the most profitable franchise in India is waiting to help you achieve your dreams. Let’s get started today!
Disclaimer: All data is based on trends and estimates as of May 2025. Franchise costs, profits, and availability may vary. Market conditions can change, so always verify details with the franchisor and consult a financial advisor before investing.