Starting a business is a dream shared by millions, but not everyone wants to reinvent the wheel. Franchising offers a stable foundation, strong brand recognition, and a ready-made business playbook. In a growing market like India, franchise models are thriving across sectors — from tea kiosks to fashion retail and grooming salons.
Here are ten franchise categories currently performing exceptionally well, with deeper insights to help new founders make informed decisions.
1. Tea & Beverage Franchises (Chai Points, Tea Labs, Local Café Chains)
India drinks more than 800 million cups of tea every single day, making tea franchises one of the most reliable business models.
Why this model is booming
- Tea has universal demand across age groups.
- Low cost of goods and quick service means high daily turnover.
- Many brands offer kiosk models, which require minimal space.
Profitability
Margins are strong because tea and snacks have high markup. With daily footfall, most outlets recover investment in 12–18 months.
Best for
First-time entrepreneurs who want a simple operational setup with predictable customer flow.
2. Quick-Service Restaurants (QSRs) – Momos, Shawarma, Burgers, Rolls
India’s youth-driven food culture has created explosive demand for fast, affordable, tasty food.
Why this category works
- Fast food is a habit, not a luxury.
- Many QSR brands run multiple models: dine-in, take-away, and delivery.
- Centralized supply chains reduce wastage and improve consistency.
Profitability
High-volume sales + low cooking time = attractive revenue potential. Good locations often generate profits from the first year.
Best for
Entrepreneurs ready to manage crowds, staff, and fast-paced environments.
3. Café & Bakery Chains (Coffee Stores, Dessert Bars, Modern Bakeries)
Café culture in India has exploded in the last 5–7 years due to changing work styles, youth hangouts, and rising disposable incomes.
Why this category is rising
- Higher margins on beverages and baked items
- Premium customer segment with strong repeat value
- Attractive interiors bring natural social media marketing
Profitability
Though investment is higher, the per-customer bill value is strong. Ideal for high-footfall locations, malls, and corporate areas.
Best for
Those who want to run a lifestyle brand with a premium feel.
4. Apparel & Fashion Retail (Jockey, Zudio, Max, Regional Fashion Stores)
Fashion is one of India’s most stable, evergreen retail sectors.
Why it grows consistently
- Clothing is a necessity.
- Brands handle sourcing and seasonal inventory planning.
- Tier 2/3 cities are witnessing massive demand for branded apparel.
Profitability
Margins vary by brand, but footfall is consistent. Franchises benefit from national advertising and festive seasons.
Best for
Entrepreneurs with moderate-to-high investment capacity and interest in retail operations.
5. Optical Stores (Lenskart & Regional Eye-Wear Chains)
Eye-wear retail is a necessity-driven business with excellent stability.
Why this model stands out
- People need spectacles regularly — replacement every 1–2 years.
- Branded eye tests increase trust and footfall.
- Strong upselling: frames, lenses, contact lenses, accessories.
Profitability
One of the most predictable and low-risk franchises. Many stores break even within 12–15 months.
Best for
Entrepreneurs who prefer a stable business with minimal fluctuation.
6. Hair Saloons & Grooming Chains (Naturals, Toni & Guy, Local Grooming Brands)
Grooming is recession-proof — people cut hair regularly regardless of economic conditions.
Why it’s in high demand
- High customer loyalty — once a customer trusts a salon, they return repeatedly.
- Upsell opportunities: skincare, spa, grooming products.
- Moderate investment with strong monthly cash flow.
Profitability
Margins on services are excellent. Well-located salons see constant walk-ins and membership-based income.
Best for
Entrepreneurs who can manage skilled staff and ensure good customer experience.
7. Cloud Kitchen Franchises (Delivery-Only Food Brands)
The rise of Swiggy and Zomato has changed India’s food economy.
Why cloud kitchens are attractive
- No dine-in space = lower rent and faster setup
- Run multiple brands from one kitchen
- High online demand for biryani, bowls, combos, and everyday meals
Profitability
Requires operational discipline but has excellent ROI due to low overheads. Ideal for city areas with high online orders.
Best for
Entrepreneurs interested in delivery-focused businesses, not walk-in stores.
8. Fitness Centres, Gyms & Wellness Studios
Health-focused lifestyles are trending across all generations.
Why this sector is growing
- Rising awareness around fitness and mental health
- Recurring membership revenue
- High demand in urban and semi-urban cities
Profitability
Profitability increases as membership grows. Additional revenue through PT sessions, supplements, and fitness merchandise.
Best for
Founders with interest in fitness or a desire to manage community-based businesses.
9. Education & Skill Training Institutes
With high competition and digital transformation, vocational training and coaching never lose relevance.
Why it’s evergreen
- Parents prioritize education even in tough times
- High demand for spoken English, coding, competitive exam prep, and job-role skills
- Multiple batches mean repeating income every cycle
Profitability
Good profit margins with repeat enrolments. Works well in residential and student-heavy areas.
Best for
Entrepreneurs passionate about learning and development.
10. Electronics & Mobile Retail Stores
India is one of the world’s largest mobile phone markets.
Why this model moves fast
- Every 1–2 years, customers upgrade smartphones
- High accessory sales: chargers, earphones, cases
- Many brands provide authorized service centre models
Profitability
Strong monthly cash flow due to consistent demand and add-on repair revenue.
Best for
Entrepreneurs in crowded markets, malls, or near colleges.
| Sl. No | Franchise Category | Typical Investment Range | Expected ROI Timeline | Pros | Cons |
|---|---|---|---|---|---|
| 1 | Tea & Beverage Franchises | ₹5–15 Lakhs | 12–18 months | Low investment, fast footfall, simple operations | Limited premium pricing; location-sensitive |
| 2 | Quick-Service Restaurants (QSRs) | ₹12–35 Lakhs | 12–24 months | High demand, strong repeat customers, scalable | More staff required; operations can be fast-paced |
| 3 | Café & Bakery Chains | ₹20–50 Lakhs | 18–30 months | High margins, premium branding, youth-focused | Higher investment; requires good interiors & ambience |
| 4 | Apparel & Fashion Retail | ₹25–70 Lakhs | 18–30 months | Evergreen demand, brand-driven sales, festive boosts | Higher inventory costs; seasonal dependency |
| 5 | Optical Stores (Lenskart-type models) | ₹20–40 Lakhs | 12–18 months | Stable demand, necessity-driven, strong margins | Requires some technical knowledge for eye-care |
| 6 | Hair Saloons & Grooming Chains | ₹15–35 Lakhs | 12–20 months | Recession-proof, strong customer loyalty, service margins | Skilled staff needed; quality must be maintained |
| 7 | Cloud Kitchens | ₹8–20 Lakhs | 10–16 months | Low rent, multiple brands from one kitchen, online-driven | Dependent on Swiggy/Zomato; no walk-in revenue |
| 8 | Gyms & Wellness Centres | ₹20–60 Lakhs | 18–30 months | Recurring memberships, long-term clients, trending market | Higher setup cost; needs large space |
| 9 | Education & Skill Training Centres | ₹10–25 Lakhs | 12–20 months | Consistent student demand, multi-batch income, high margins | Seasonal admission cycles; requires academic management |
| 10 | Electronics & Mobile Retail | ₹15–40 Lakhs | 12–24 months | Massive market demand, accessory upselling, regular upgrades | Inventory-heavy; competition can be high |
Final Advice for New Entrepreneurs
Each of these franchise models has proven successful across India. But the right choice depends on your interest, location, budget, and involvement level. Take time to study the brand, speak to existing franchise owners, and calculate your breakeven timeline.
Franchising doesn’t guarantee success — but it gives you a strong head start. For many first-time founders, it becomes the perfect launchpad to understand business operations before scaling something of their own.
Final Call to Action
If you are exploring franchise opportunities and want to start small with a fast-moving, youth-friendly brand, KANAKT MEDIA is proudly promoting CoffiBar – a refreshing new Tea & Snacks franchise model designed for today’s entrepreneurs.
CoffiBar offers:
✔ Low investment entry
✔ Quick setup
✔ Strong tea-based daily footfall
✔ Modern branding for urban & semi-urban locations
If you’re interested in starting your own CoffiBar outlet or want detailed guidance on the franchise model,
📞 Contact KANAKT MEDIA, www.kanakt.com.
We’re here to help you take your first step into entrepreneurship with confidence.
