- Franchise under ₹10 lakhs is ideal for beginners due to low risk, an established brand name, and franchisor support
- Popular categories include food & beverages, retail, education, healthcare, and services
- Always check ROI (12–24 months), profit margins, and location demand before choosing a brand
- Required investment typically covers franchise fee, interiors, equipment, and working capital
- Best-known low-cost options: Amul, Tea Time, DTDC, Giani’s Ice Cream, Dr. Lal PathLabs
Looking for a franchise business under ₹10 lakhs in India? With so many options in food, retail, healthcare, and education, it can be confusing to choose the right one. To make it simple, here’s a Q&A style guide answering the most common questions.
1. Why is a franchise better than starting my own business?
Franchises come with:
- Established brand value – Customers already trust the name.
- Tested business model – Lower chances of failure.
- Support & training – Franchisors guide you in operations, marketing, and staffing.
If you’re new to business, a franchise reduces risk and trial & error.
2. What types of franchises can I start under 10 lakhs?
Some profitable categories include:
- Food & Beverage – Tea shops, ice cream parlours, fast-food outlets.
- Retail – Grocery stores, cosmetics, mobile accessories.
- Education – Preschool, coaching centres, skill training institutes.
- Healthcare – Path labs, pharmacy outlets.
- Services – Courier agencies, cleaning, and salons.
Each category has brands that fit within ₹5–10 lakhs.
3. How do I know if a franchise is profitable?
Check these factors:
- ROI (Return on Investment): Should recover in 12–24 months.
- Profit Margins: Food (20–40%), Retail (15–25%), Services (20–30%).
- Customer Demand: Is the product/service needed in your area?
- Franchisor Transparency: Genuine brands share earnings data with investors.
4. How much space is required for a franchise under 10 lakhs
| Franchise Type | Space Required | Example Brands |
|---|---|---|
| Food Kiosks | 100–200 sq. ft. | Tea Time, Amul Parlour, Giani’s Ice Cream |
| Small Retail Outlets | 200–400 sq. ft. | Mobile Accessories, Cosmetic Stores |
| Path Labs / Courier | 150–250 sq. ft. | DTDC Courier, Dr. Lal PathLabs |
| Coaching Centres | 500+ sq. ft. | Preschool, Skill Training Institutes |
Always check the brand’s space requirement before finalising.
5. What support do franchisors provide?
Most reputed brands offer:
- Training & setup guidance
- Interior design/layout support
- Marketing materials & promotions
- Supply chain & raw materials
- Ongoing business mentoring
The level of support can make or break your business success.
6. What are the best-known franchises under 10 lakhs?
Here are some strong options:
- Amul Parlour – Dairy products (₹2–5 lakhs, no royalty).
- Tea Time – Tea franchise (₹4–5 lakhs).
- DTDC Courier – Logistics brand (₹5–7 lakhs).
- Giani’s Ice Cream – Ice cream chain (₹8–10 lakhs).
- Dr. Lal PathLabs Collection Centre – Healthcare (₹6–10 lakhs).
These are popular due to brand trust + low entry cost.
7. Should I pick a national or local franchise brand?
- National brands: Higher trust, better systems, but more rules.
- Local brands: Cheaper, more flexible, but lesser recognition.
If your city has high competition, go for a national brand. For tier-2 or tier-3 cities, a local brand can also perform well.
8. What risks should I watch out for?
- Hidden charges like royalty, supply costs, or renovation fees.
- Overcrowded markets (too many outlets in one area).
- Poor franchisor support – some brands vanish after setup.
- Unrealistic promises – if ROI sounds “too good to be true,” double-check.
9. What documents are needed to apply for a franchise?
Usually, you need:
- ID proof – Aadhaar, PAN, Passport.
- Address proof – Utility bill, rental agreement.
- Financial papers – Bank statements, ITR returns.
- Property papers – Rent/ownership documents for shop space.
Some brands also require GST registration before starting.
10. How do I finally choose the best franchise under 10 lakhs?
Follow these steps:
- Shortlist industries you’re interested in (food, retail, services).
- Compare brands based on cost, ROI, and support.
- Check demand in your location.
- Talk to existing franchise owners of that brand.
- Read the franchise agreement carefully before signing.
The best franchise is one that matches your budget + interest, + local demand.
Case Study: Tea Time Franchise in Hyderabad
Background:
Ravi, a 28-year-old from Hyderabad, wanted to start a business but had only ₹6 lakhs to invest. After researching options, he chose Tea Time, a low-cost tea and snacks franchise.
Setup:
- Initial investment: ₹4.5 lakhs (including interiors & equipment).
- Space required: 150 sq. ft. roadside outlet.
- No prior business experience.
Results (First Year):
- Average daily sales: ₹6,000–₹7,000.
- Monthly profit: ₹70,000–₹90,000.
- Investment recovered within 14 months.
Key Takeaway:
Affordable franchises with daily-use products (like tea) can give fast ROI if the location has good footfall.
Conclusion
Choosing the best franchise under ₹10 lakhs in India depends on your budget, interest, and local market demand. While food and beverage franchises are highly popular, education, retail, and healthcare also offer stable income.
Always do thorough research, compare brands, and check ROI before investing. A well-chosen franchise can help you achieve steady profits and long-term business growth.
Get practical guides and fresh ideas to build profitable local businesses in your city.
FAQs
Yes, tea and snack kiosks are available from ₹4–5 lakhs.
Usually 12–24 months, depending on sales and location.
No. Brands like Amul don’t charge royalties, while others take 5–10%.
No, most franchisors provide training and operations support.
Tier-2 & tier-3 cities are great since rent and competition are lower.
