Companies love the franchise model to run their business because it creates new jobs while also benefitting the organizations. Under particular terms and conditions, you can acquire the rights to any international brand by investing a set sum of money in a franchise agreement.
Since the franchise business already has a sizable client base and a well-established reputation in the market, there is no need to spend money on branding, advertising, or marketing.
Franchising has advantages and downsides, just like any business approach. Let's explore some of the advantages and disadvantages before diving into the topic. We've put up a list of the top companies that provide franchise opportunities in India to help you find the best franchise in the country. Go through the whole list before deciding on which one you would want to start for yourself.
What are the benefits of starting a franchise business?
Since your parent company is in charge of marketing, your product doesn't require any. There is a high chance of success and a low chance of failure. The investment is also less than in other businesses. The supply of goods and raw materials is regularly driven by demand. The established business idea makes it easy to operate and sustain.
What are the limitations of starting a franchise business?
The parent firms maintain a strong hold on the business. You cannot integrate or add other company brands when running a retail store. You must also pay a part of the profits as long as you remain in charge of the business.
Top 20 Franchise Businesses in India:
Amul
One of the most well-known and successful business opportunities in India is Amul. It is a cooperative society that Tribhuvandas Patel founded in 1946. The organization has more than 3 million members and is headquartered in Anand, Gujarat.
Amul offers a wide variety of goods, such as milk, butter, cheese, ice cream, and chocolate. The business works with more than 10,000 dealers and distributors in its network. Amul sells goods under its own brand, which are well-liked in the marketplace.
In India, the brand name Amul is well-known and highly respected. This organization belongs to the Gujarat Co-operative Milk Marketing Federation Ltd. Amul provides a variety of dairy goods, including milk, cheese, butter, ice cream, etc. The business wants to broaden its franchise network throughout the nation.
Requirements:
Investment Cost: Rs 5-10 lakhs
Required Area: 300-700 square feet
Domino’s Pizza
In the United States, a chain of pizzerias known as Domino's Pizza was established in 1960, located in Ann Arbor, Michigan.
Over 5,000 Domino's Pizza locations can be found in 70 different countries. The business began operating in India in 1996 and now has more than a thousand locations there. Domino's Pizza wants to increase the number of franchise locations nationwide.
Requirements:
Investment Cost: Rs 10-12 Lakhs
Required Area: 500-800 square feet
KFC (Kentucky Fried Chicken)
Fast-food restaurant chain KFC was founded in the United States in 1930. Located in Louisville, Kentucky, the business. In 140 countries, KFC has more than 20,000 locations.
More than 400 of the company's stores are located in India, where it first entered the market in 1995. KFC wants to increase the number of franchise locations nationwide.
Requirements:
Investment Cost: Rs 15-18 Lakhs
Required Area: 500-1200 square feet
Vadilal Ice Cream
Gujarat-based Vadilal Industries Ltd. is an Indian ice cream manufacturer. Vadilal Gandhi established the business in 1907, and it is today present in all of India's main cities and has a network of more than 500 dealers and distributors.
It has more than 200 ice cream varieties to choose from, and both supermarkets and freestanding stores sell its goods. To increase its presence throughout India, the company is looking for franchisees. The franchisee will be in charge of opening a Vadilal ice cream parlor in their city and will be required to invest INR 5–10 lakhs.
The location must be built in a busy area, and the franchisee must staff it with qualified employees. After the initial three years, the franchise agreement could be renewed. The business is headquartered in Gujarat's Ahmedabad. In India, Vadilal has more than 100 locations. The business is renowned for its delicious desserts and ice cream.
Patanjali
In order to bring the science of Ayurveda into sync with the modern world, Baba Ramdev, the founder of yoga, and Acharya Balkrishna started the Indian FMCG firm Patanjali Ayurved Ltd.
The product line from Patanjali has more than 500 products across 45 categories. More than 500 ayurvedic pharmacies, 10,000 farmers affiliated with Patanjali, and 6,000 licensed Ayurveda doctors work together to make these items.
The business has plans to open stores in the United States, the United Kingdom, Canada, and Australia as part of its global expansion. With an 86% score in Trust Research Advisory's 2017 Brand Trust Report, India Study, Patanjali Ayurved was named the most dependable FMCG brand in India. The nationwide franchise network of Patanjali is being expanded.
Requirements:
Investment Cost: Rs 5-7 Lakhs
Required Area: 500-700 square feet
Jawed Habib Hair & Beauty Franchise
With more than 700 locations, it is a well-known hair and beauty salon chain in India. Jawed Habib, which was established in 1996, provides a variety of services, including nail, skin, and hair care. The business wants to increase the size of its national franchise network.
Requirements:
Investment Cost: Rs 10-12 Lakhs
Required Area: 800-1000 square feet
Delhivery
Delhivery was founded in 2011 with the intention of creating a structured framework for commerce. It has emerged as a major rival to venerable express logistics leaders like BlueDart and Gati Ltd. in barely a decade.
Currently, Delhivery provides PTL & TL freight, cross-border services, supply chain services, and quick parcel delivery. Delhivery has both small and large e-commerce users as well as SMEs and well-known brands among its clients and customers. The business processes over 10 million orders each month, demonstrating its success. You could invest little money in the top franchise, Delhivery.
Requirements:
Investment Cost: Rs 2-5 Lakhs
Required Area: 400-500 square feet
Lakme
For many years, Lakme has been regarded as a top-tier beauty brand in India. Lakme Salon could be a safe bet if you're looking for a highly lucrative franchise in the beauty and wellness sector. It was the first company to launch a chain of salons to meet women's needs for personal grooming and beauty maintenance.
In India, Lakme already has a sizable customer base. A potential franchisee should have the time and energy to invest in operating the company. The brand also expects its partners to adopt a customer-centric mindset and go above and beyond to satisfy customers. So, you should submit an application for a franchise if you are passionate about their business principles. Lakme's business approach promotes sustainable growth.
Requirements:
Investment Cost: Rs 50-60 Lakhs
Required Area: 900 square feet
Kalyan Jewellers
T.S. Kalyanaraman, who has more than 45 years of business experience, founded Kalyan Jewellers in 1993. The company specializes in creating, producing, and selling items made of gold and studded with diamonds. It is well-established in 21 Indian states and UTs. The Middle East is home to 30 showrooms for Kalyan Jewellers as well. Additionally, they provide online shopping at www.candere.com. The company operates as a hyperlocal jeweler.
The Kalyan jewelers’ consolidated profit grew to 54.05% in the first quarter of FY 2021. This is a clear indication that this franchise can help you run a successful business. To acquire a Kalyan Jeweller showroom, you must have a strong financial foundation in business and more than 10 years of business experience.
Requirements:
Investment Cost: Rs 50 Lakhs to 1 Crore
Required Area: 100-1500 square feet
Dr Lal Pathlabs
For more than 60 years, Dr. Lal PathLabs has been the top diagnostic healthcare chain in India. The company offers more than 1650 tests, including ones related to oncology, nutrition, genetics, biophysics, flow cytometry, and cytogenetics.
Tests are carried out and reports are generated at the diagnostic center. Only the ground floors are available for Dr. Lal PathLabs Diagnostic centers to open.
Franchisees are required to pay a 25–30% royalty or commission.
Requirements:
Investment Cost: Rs 3-5 Lakh
Required Area: 3500+ square feet
FirstCry
The Mahindra Group of Companies founded FirstCry in 2010 to provide top-notch baby and children's items online at competitive prices. They began distributing FirstCry franchises later in 2011.
The largest baby and children's product line in Asia is FirstCry. Currently, it offers 2000+ leading brands like Barbie, Gerbers, Pigeon, Disney, Hotwheels, Farney, Pampers, and Mattel. After five years, the FirstCry franchise agreement must be renewed by the partners. To operate the stores proficiently in line with consumer trends, potential candidates should possess entrepreneurial and leadership abilities. Additionally, the franchise shop staff must meet the needs and desires of parents while still being professional and courteous, according to the company.
Requirements:
Investment Cost: Rs 20-30 Lakh
Required Area: 1000-2000 square feet
Giani’s
Indian businessman Giani Gurcharan Singh started Giani, which is regarded as one of the best dessert establishments, in 1956. Ice cream and a variety of desserts are Giani's specialties. Giani is incredibly well-known in north India, and almost every mall has an outlet. There are already more than 50 franchise locations for this brand.
Requirement:
Investment Cost: Rs 10-12 Lakh
DTDC Courier Services
A number of small to large-scale businesses use DTDC, one of India's most well-known courier services, to deliver their goods and products. DTDC was established in Bangalore in 1990. With more than 1000 franchise locations, DTDC is accessible throughout much of India.
Requirements:
Investment Cost: Rs 10-12 Lakh
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Which is better, owning a franchise or starting your own business?
The well-organized business model and pre-established SOPs are one of the main benefits of having a franchise. The step of trial and error is not a necessary process to go through.
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Is franchise an asset?
Yes, a franchise can be regarded as an asset if suitable research is conducted before purchasing it. In addition, it must be run efficiently to generate a sufficient profit.
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How does a Franchise work?
A small charge, sometimes known as a franchise fee, is paid to the franchisor (the owner who owns the trademark for the firm) by the owner or entrepreneur who wants to become a part of an already established business before they open their own location. The franchisor must additionally receive a monthly or quarterly royalty payment from the business owner.
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Can the franchisors fire franchise owners?
If the franchisor notices any irregularities, franchise owners can really be fired. The parties must always agree to include this clause in the agreement.
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When to Franchise your business?
This solely depends on the business owner. Franchising could be a viable choice to increase the market share of the product if they believe they have developed solid SOPs and there is significant demand from other cities as well.
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How to contact the franchise owner to buy a trademark from them?
The first and most important choice is to search the web. On their official websites, many of the major companies include franchise contact information so that business owners can get in touch with them.
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What is the difference between franchise and chain stores?
Under the business model for chain stores, the principal owner fully owns every store on behalf of the shareholders, but in franchise models, individual business owners own just one store.
