Franchise Business


India is a huge market with many sectors having a presence in every corner of the country. Hence finding a profitable franchise business opportunity in India is not very hard. In this article of Trends Top Five, I am going to discuss how this franchise business works and the top five sectors that are easy to start has good returns, and need no previous experience.

What is Franchise Business?

Let’s start with basic definitions:

Franchise: A privilege granted to make or market a good or service under a patented process or trademarked name.

Franchisor: The franchisor owns the overarching company, trademarks, and products, but gives the right to the franchise to run the franchise location, in return for an agreed-upon fee.

Franchisee: One who purchases a franchise. The franchisee then runs that location of the purchased business. He or she is responsible for certain decisions, but many other decisions (such as look, name, and products) are already determined by the franchisor.

Definition source:

Role of a franchisor:

  • Provide Name, logo and infrastructure designs
  • Share business model with the details of investment, margins, ROI and break-even point.
  • Arrange training for staff
  • Help with the site selection according to the target audience
  • Operational training and support
  • Handle logistics (if required)
  • Marketing training and support
  • Centralized marketing

Role of a franchise:

  • Invest a capital
  • Hire staff (some franchisors provide staff as well)
  • Local marketing
  • Handling end customer
  • Maintain standard operating procedures

Key Points:

  • At the time of the agreement, franchisor takes one-time franchise fees from franchisee which is non-refundable.
  • The agreement is made for 3 to 5 years
  • Franchisee has to pay some percent of royalty fees per month to the franchisor.
  • Franchisee can renew the contract

Why Franchise Business?

In order to start any business, you put lots of time, money and efforts. Starting a new business on your own can be a difficult task. With no experience, one can go wrong and get bankrupt as well. Here the franchise business helps you as brands provide name, products, process, training and other support. In this business franchisor has already seen, experienced and handled the process with its highs and lows, hence they are always there with you in case if you ever go wrong.

How to find good franchise options?

First select your sector, then find out available options. You can directly approach brands by their websites by getting their contact details. There are many websites such as;; who help you with a variety of franchise options available in the market.They work as third-party consultants and take a good amount of consultancy fees.

Products from

Franchise Management For Dummies

Price: INR 1,561.00

Was: INR 1,880.00

Top five sectors to start franchise business

1. Food & Beverage

Food Franchise

Food & beverage is the popular franchise option as maximum investors would like to invest in this business. From quick-service restaurants to big restaurants you can select the option as per your budget. QSR franchise ranges between 5 to 15 lacs where you have to increase your budget for the authentic restaurant. It can go up to 1 cr.

2. Education

Education Franchise

Education sector takes time to get but if you are in no hurry to get profit then in long term this business can give much more perks than any other business. Preschools, K12 Schools, coaching classes, vocational course academy, sports academy, these varieties of options are available in the education sector. Where preschools can be started at your home with a minimum budget of 2 lacs, K12 schools requires a budget of crores and up to 1-acre space.

3. Fashion

Fashion Franchise

Apparels, accessories, footwear, etc has best market in India. Many of the brands provide a stock correction that helps franchisee to get rid of unsold stocks. From international brands to local brands all options are out there in the market. Here you have the option to go for a shop in shop model as well, where you do not have to make a separate outlet just for one brand, you can combine and sell them all at one place. This business ranges from 5 lacs to 50 lacs.

4. Fitness

Fitness Franchise

People have become conscious about health and fitness. Start yoga classes at home or go to gym, this is definitely a money making business. Some paramedical companies are also there who serves various products for fitness and invite investors to take their franchise. Where yoga classes, Zumba classes and small gyms do not require much capital but if you are going for the professional gym then consider your budget from 50 lacs to 1 cr.

5. Automobile

Automobile Franchise

To take any franchise from automobile sector, it is always better to have some experience. Automobile sector offers a franchise for spare parts, tires, service centers, showroom, etc. Some online cab booking services are also there who are inviting franchise partners. Investment ranges between 15 lacs to 50 lacs.

If you need more information about franchise business then send an email on and I will get back to you.