List of Franchise Under 10 Lakhs

The best approach to starting your own business as a small entrepreneur is to move your way into franchising because here the associated risk factors are lowered at all possible levels while allowing you to acquire the freedom of doing business on your own.

Some available budget-friendly franchise models in India are highly inexpensive, i.e. under ₹10 lakhs. This article lists comprehensive coverage of such franchise under 10 lakhs, their benefits, and challenges with tips to help you make the best decision about getting into the franchise business.

Why Choose a Franchise Model?

Not only because the risk of starting a new independent venture is reduced, on the contrary, but this route also favoured many entrepreneurs. Here’s how the franchise works:

• Brand Recognition: Franchises help benefit from an already-recognized reputation plus an established customer base.
• Established Business Model: The franchisee benefits from existing operational modes.
• Support System: Training, promotion and professional assistance are usually provided or thereabouts by franchises.
• Lower Risk: Research and statistical studies have shown that franchises are more successful than independent businesses.
• Cheap budget – Under ₹10 lakhs, the best franchise option is attracting new business starters with a very small budget.
• Marketing Assistance: Centralized marketing support, including advertising and digital campaigns, is often offered by franchisors.
• Easier Financing Options: Many franchisors have tie-ups with banks, simplifying the loan approval process for franchisees.

Key Factors to Consider Before Investing

In addition to cost, it has several other factors to consider before the franchising goals:

• Market Demand: Investigate the level of demand for your product or service in your target area.
• Franchise Fees and Royalties: Inquire as to the initial investment as well as ongoing fees.
• Location Requirements: Determine whether the franchise is likely to work in your chosen locality.
• Support Provided by the Franchisor: Critical training, marketing assistance, and operational support.
• Profit Margins and ROI – Study the margins and the potential ROI.
• Terms and Conditions: Have a close look at the franchise agreement.

List of Franchise Under 10 Lakhs

Here’s an in-depth look at the top franchise opportunities in India within the budget of ₹10 lakhs.

1. Patel’s Chhappan Bhog

Industry: Food and Beverages

Initial Investment: ₹5-10 Lakhs

Reasons to Choose This Franchise: Chhappan Bhog is a household name in the market of sweets and snacks. Their traditional recipes and vast range of products make them a favourite among many customers.

Franchise Benefits:

• Established supply chain.
• Training in product preparation.
• High demand during festive seasons.

ROI Duration: 12-18 months.

2. DTDC Courier & Cargo Ltd.

Industry: Logistics and Courier Services

Initial Investment: ₹75,000-₹2 Lakhs

Why Choose This Franchise: DTDC is one of the leading courier companies in India having wonderful franchise opportunities with less investment.

Franchise Benefits:

• Comprehensive training and technology support.
• Growing demand for logistics in urban and rural areas.
• Low operational costs.

ROI Duration: 6-12 months.

3. Jawed Habib Salon & Beauty

Industry: Beauty salon franchise

Investment: Rs. 5,00,000 to Rs. 10,00,000

Why this franchise: Jawed Habib is synonymous with grooming and beauty services in India, with a presence across the country.

Benefits of Franchise:

• Training in hair styling and beauty services.
• Marketing support and brand recognition.
• The growing beauty industry in India.
  

ROI timeline: 18-24 months.

4. Kathi Junction

Industry: Fast Food Restaurant (QSR)

Investment: Rs. 5-8 lakhs

Why this franchise: Delicious rolls and wraps, loyal customers.

Benefits of Franchise:

• Small outlet size fit for urban locations.
• Very low inventory holding.
• Quick service of food is gaining popularity.

ROI period: ranges between 12-18 Months.

5. Tumbledry

Business: Wash and Dry Clean

Initial Investment: ₹8-10 Lakhs

WhyTumbledry Franchise: Increased urban population with a need for professional laundry services across India.

Franchise Benefits:

• Automated and technical support.
• Minimal competition in Tier-2 and Tier-3 cities.
• Very high repeat customer rate.

ROI Timeline: 12-18 months.

6. Amul Ice Cream Scooping Parlours

Industry: Dairy and Frozen Desserts

Initial Investment: ₹2-6 Lakhs

Why Franchise: Amul is so popular that ice cream parlours attract very high customer footfall.

Franchise Benefits:

• Strong brand loyalty.
• Setting up and supply chain management support.
• Low operational costs.

ROI Timeline: 6-12 months.

7. SmartSchool Education 

Industry: Ed-tech 

Initial Investment: ₹4 – 6 Lakhs 

Why Franchise: SmartSchool Education specifically designed the India-wide interactive digital solutions, as best demanded to meet students’ needs on growing successful school education. 

Franchises Benefits: 

• Training in using technology platforms.
• Extensive Curriculum and Content support. 
• Best suited for Tier-2 and Tier-3 cities. 

ROI Timelines: 12-15 Months. 

8. Sanjivani Chemist 

Industry: Pharmacy 

Initial Investment: ₹7- 10 Lakh. 

Why Franchise: Pharmaceutical businesses are proving recession business as not opening its door to ever-increasing healthcare spending. 

Franchising Benefits:

• Regulatory compliance and license support. 
• Stock management training. 
• High repeat customers. 

ROI Timeline: 18 – 24 months.

9. Tipsy Monkey

Industry: Beverages (Juices and Smoothies)

Initial Investment: ₹6-10 Lakhs

Reason for Choosing This Franchise: Drunken Monkey Niche in the Health Trend Beverage Market

Benefits from Franchise:

• Very unique offerings which have high-profit margins.
• The space requirement is tiny.
• An increasing number of health-conscious customers.

Return on investment timeline: 12-18 months.

10. Lenskart Eyewear Partner Program

Industry: Retail (Eyewear)

Investment – ₹4-10 Lakhs

Why Choose This Franchise: They are high-tech and fashion-forward eyewear solutions according to Lenskart.

Franchise Benefits:

• Storefront digital setup help
• Customer care training
• More demand for affordable spectacles

ROI Timeline: 12-15 months.

Benefits of Choosing a Low-Cost Franchise (Expanded)

Franchising is now set up for even a new businessman and for those in smaller markets under Rs. 10 lakh. Here are the reasons:

Lower Risk Economically

The economic risk becomes much less because the investment is small in the beginning. This helps a person start in business without putting a lot of pressure on one’s finances to be on ownership.

Access to Small Towns and Countryside

A lot of the cheap franchises are made to suit Tier-II and Tier-III cities operated at lower costs of operations and probably less competition. They provide more ownership opportunities to places often left out by other big franchises.

Quick ROI

Many such franchises under Rs. 10 lakhs promise a breakeven period of just 1-2 years. Low cost of set-up and high-demand services ensure profits can be made rather quickly.

Scalability-Potential for Growth

The initial franchise succeeds in making it easier for expansion.

Successful entrepreneurs replicate their success and open branches in new locations.

Easy Entry into Already Established Markets

Great for first-time entrepreneurs to enter competitive industries like food, education, and healthcare with a business model from a known brand.

Challenges to Consider

Though it’s good to have so much, some of the low-cost franchises come with many disadvantages:

Limited Brand Recognition

Smaller and more budget franchises may not have the widespread brand recall that larger, more expensive franchises enjoy. This could make customer acquisition slightly challenging in the initial stages.

Restricted Profit Margins

Most budget franchises run in high competition and narrow profit margins. Thus, the whole business activity becomes aimed toward the increased volume of sales so that the net earnings can be increased.

Variability of Operational Assistance

Franchisees usually find inconsistency in the level of operational k$$ support. Some offer longer training and assistance. Others give minimal help but expect franchisee problems to be solved independently.

High Location Dependency

The major chunk of franchise under 10 lacs is dependent on their location. If selected poorly, then there is sure to be an impact on footfall and bottom-line profitability.

High Contests in Selected Sectors

Most low-cost franchises are courses put in highly competitive sectors, such as food and beverages, which means franchisees must think of innovative marketing methods to make themselves apparent.

How to Choose the Right Franchise?

Finding the right franchise requires careful evaluation of your goals, resources, and market potential. Below is an elaborated step-by-step approach:

Research It Well 

Research well into the background, history of the franchise, its success stories and overall market trends. Search for reviews, testimonials, and case studies from current franchisees to have an idea of the potential challenges and benefits.

Visit the Existing Franchises 

Spend time on the floor of running franchise outlets to get into the reality of how the business runs operations.

Understanding Financial Viability 

Find out all the costs involved. Understand the start-up, royalty, pay-for-marketing services, and operating fees. Compare them against the projected income to examine profit.

Know the Terms of Agreement 

Read the franchise agreement thoroughly with a focus on termination clauses, non-competition agreements, and profit-sharing agreements. Consulting a legal expert would prove to be very useful.

Align with Personal Goals 

Choose a franchise that corresponds with your interests and long-term aspirations. For instance, if you are interested in health and wellness, a fitness or smoothies franchise would be ideal. 

Evaluate Location Suitability 

Evaluate demographic, footfall, and competition factors in your preferred area for location appropriateness for the franchise.

Check out this: List of Top 100 Profitable Franchise in India

FAQs about Low-Cost Franchises Under ₹10 Lakhs

Which type of franchise under ₹10 lakhs?
A majority of franchises in food and beverages, education, logistics, beauty, and retail are found under this price category.

Are franchises with these investments of below ₹10 lakhs profitable?
Yes, several inexpensive-to-afford franchises earn profits given that they have the right location and efficacious management. Profitability is said to rely on demand, operations, and marketing input.

What are the rolling costs like in such franchises?
Rolling costs would include royalty fees, marketing contributions, inventory replenishments, employment salaries, and utility bills.

Can I get financing to set up my franchise?
Yes, several banks and financial institutions offer loans for entrepreneurs taking up the franchise business model. Some franchisors have even tied up with financial institutions to provide funding for their franchise businesses.

What is the break-even period?
Under ₹10 lakhs investment, most of the franchises are break-even within a period of 12 to 24 months, depending on the segment and the region.

Is experience required to operate a franchise?
Not necessarily, as most franchisers offer training and operational guidance, thus enabling even those without experience to succeed.

Can I extend to multiple outlets later down the road?
Yes, most franchise agreements allow for further expansion whether by extension to other outlet applications or by entering into multi-unit franchise agreements. 

What type of training does a franchisor provide?
Training typically includes product knowledge and customer service, and the operational processes could also include some marketing techniques.

Are there hidden fees for low-cost franchising?
Franchisors are expected to disclose all hidden costs, but from time to time costs like equipment replacement and extra marketing effort may surface.

How do I evaluate the credibility of a franchisor?
Look for franchisors with a transparent track record, positive feedback from existing franchisees, and robust support systems.

Conclusion (Expanded)

This is a clear and smooth opportunity where people can just enter the world of ownership without investing too much money involved in opening a franchise.

These affordable franchises democratized entrepreneurship by making it eligible for all people, including the Tier-2 and Tier-3 cities, which now witness huge growth in business opportunities.

You have everything to become a successful entrepreneur if you have the guts to tackle possible hurdles and fully understand franchise clauses when selecting the ideal brand for your new venture.