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Franchise Business in India under 20 Lakhs in 2025

Introduction
Starting a franchise business in India under 20 Lakhs in 2025 is possible and highly recommended for entrepreneurs and new businessmen. Investors can start a franchise business in India under Rs 20 Lacs by considering low investment options for investment, like fast food businesses. Currently, the Fast Food Industry of India is valued at Rs 800 billion with a promising growing rate of 30%-35% annually, making it a preferable sector for franchise businesses.
The ongoing industrial trends in Fast food franchise sector of India such as demands for QSRs (Quick Service Restaurants), preference for fast food options (western taste), convenient and easily accessible meals option, demands for healthier and customizable food options and technology emergence encouraging investors to start a franchise business within 20 lacs in 2025.
Table Content
Franchise Business in India under 20 Lakhs in 2025
  1. Why Choose a Franchise Business in 2025?
  2. Factors to Consider Before Investing in a Franchise
  3. Best Franchise Opportunities Under 20 Lakhs in 2025
  4. Steps to Start a Franchise Business in India
  5. Conclusion
  6. FAQ’s

Why Choose a Franchise Business in 2025?

Franchise Business in 2025 is highly accessible and a supporting business model and approach to earn and grow in India. Franchise Business Model offers an established brand recognition that leads to a loyal consumer base and profitability for the outlet right away. Franchise Model also offers comprehensive training programs for franchisees to help them understand and learn the standards of preparing and delivering products efficiently. The consistent guidance and managerial support from the franchisor also encourage error-free business operations and reduce the risk of losses and failure in business. By choosing a Franchise Business in 2025, investors can also access a proven business model, marketing and promotional benefits and higher profitability, making it a suitable and successful business idea in 2025.

Factors to Consider Before Investing in a Franchise

Before investing in a Franchise Business, investors should consider the following factors keenly-

Brand Recognition and Reputation

Investors should analyse the image of the brand focusing on its goodwill in the market, customer loyalty with products, and overall market perception.

Business Model and Operations

The business model of the franchisor should be efficient and proven in the market to run smoothly, offering decent profitability and growth for franchise outlets.

Financial Aspects

The financial aspects, including initial investment (franchise fees, inventory cost, legal fees, set-up charges), Ongoing costs (royalty fees, supply costs, advertising costs) and profitability potential (revenue projection, profit margin).

Market Aspects

Investors need to consider all relevant market aspects of a franchise business and franchisor, focusing on local demand of products and competition in the market to plan and operate accordingly.

Franchise Agreement and support

The terms and conditions stated in the franchise agreement should be considered properly, and access to support from the franchisor, including training & development programs, marketing support and ongoing assistance.

Personal Considerations

Investors should analyse their personal and financial goals and align them with the business budget and growth potential, focusing on individual skills, experience and lifestyle fit for franchise selection.

Site or location selection

The location of a franchise outlet has a direct impact on its visibility, accessibility, foot traffic, sales and profitability. Hence, investors should conduct location analysis and lease agreements properly.

Best Franchise Opportunities Under 20 Lakhs in 2025

One Bite

One Bite is a popular restaurant chain available over 300 locations across several states and cities in India. One Bite is continuously growing through a franchise model and offering a diverse menu of fast food and convenient meal options at an affordable price with high quality ingredients and integrated Customer services. One Bite company is one of the best choices for a franchise business in India because it has strong customer loyalty with a comprehensive support system for franchise outlets. One Bite franchise business requires low investment, making it suitable for investors with limited budget and offers high profit margin for long-term profitability and sustainability of the business. One Bite franchise model offers necessary training and support to the franchisee in the form of ongoing operational support, access to the proven business model, marketing benefits and customer service standards. One Bite is a preferable franchise business accessible under 20 lakhs with good scalability to expand in a competitive market and marketing assistance to promote franchise outlets across all locations.

Zaika India

Zaika India is a popular brand in the Indian food industry, primarily popular for catering diverse Indian cuisines from several states and regions of India. Zaika India has a diverse consumer base with strong brand loyalty due to serving authentic flavours across the country, focusing on regional cultural aspects of food among the relevant population. Zaika India is a good choice for a franchise business in India under 20 lacs as it requires low investments and has a high potential of profitability and success in the Indian food industry. The business model of Zaika India is efficient and effective to attract and serve the diverse and large market demands of authentic Indian food.

Rasoi Junction

Rasoi junction is a famous fast food organisation in the Indian food market, highly recognised for its authentic and high-quality Schezwan noodles (special maggi noodles stir-fried with Schezwan sauce, spices and vegetables). Rasoi junction is a decent choice of franchise business available under 20 lakhs of investment. Rasoi junction offers complete support to the franchise business in the form of site selection, ongoing operational support, training programs and consistent managerial guidance, ensuring good business process and profitability from all locations. The company has a good customer base, allowing investors to attract and retain customers vividly.

Tandoori

Tandoori is a famous food restaurant brand in India recognised for serving Special dishes cooked in a tandoor (a traditional oven made with clay to create smoking and unique flavours of food). Tandoori focuses on high quality dishes created with an exclusive and unique mix of flavours to marinate and cook in Tandoor. Getting a franchise of a tandoori company will offer access to a well-established brand name and consumer base in several cities and states of India, ensuring good sales and profitability. The company also offers culinary expertise, marketing support and a proven business model to support smooth business management and consistent profitability of franchise outlets.

Humpty Dumpty

Humpty Dumpty is a snake food company in the food industry, well-recognised for serving snack foods using nursery rhyme characters to promote business products and attract a targeted audience, 'children'. Humpty Dumpty is very popular in the food sector due to its International quality products at affordable rates, accompanied by consistent and exceptional Customer service. Humpty Dumpty is a decent choice to start a franchise business as it has strong potential of success due to high demand in the market related to children's products. The company has strong brand recognition with an established supply chain ensuring smooth and cost-effective operations in franchise outlets.

Chai Sutta Bar

Chai Sutta Bar is a famous Cafe chain in India that serves Chai (Indian tea beverage) with the unique serving concept. Chai Sutta Bar offers a variety of Chai throughout its locations, served in traditional earthenware cups, 'Kulhads' to offer a distinct experience among customers, leading to a unique taste and aroma of the beverage. Chai sutta bar is a good brand for a franchise business as it offers a large consumer base with strong loyalty due to its accessibility and affordable pricing for diverse and unique Chai options. It is a well-established brand and has strong customer recognition, making it suitable for investors to start earning and growing a business right away.

Frozen Bottle

Frozen bottle is a popular brand, primarily focused on serving innovative and unique products of ice cream and desserts. Frozen bottle is highly recognised among the Indian audience due to high quality ingredients, a centric approach and creative presentation. The franchise model of frozen bottles is proven and successful to lead good sales and rapid expansion for high profitability among franchise owners. It is a popular option for franchise business among entrepreneurs due to a loyal customer base developed through unique offerings, quality assurance and consistent customer engagement tactics. Frozen bottles also offer a high profit margin under low royalty rates.

Amul

Amul is one of the most famous Dairy brands in India, highly recognised for its high quality and milk-based products including ghee, butter, ice cream, packaged milk, chocolates, etc. Amul is one of the leading milk producers and marketers of the world, that supports village-level Dairy societies and farmers and uses umbrella marketing techniques. Getting a franchise of Amul will be highly beneficial for investors due to its wide range of famous dairy products, strong brand recognition and low investment cost. Amul also offers comprehensive training and support programs for franchise outlets, ensuring good sales and profitability of the business outlet.

Steps to Start a Franchise Business in India

Potential investors should follow the following steps for a successful franchise venture-

Challenges and Risks in Franchise Business

The common challenges and risks in a franchise business are-

Conclusion

To conclude, several franchise business options are available in India that require investment under 20 lakhs in 2025. Potential investors should prefer the Food Industry to start a franchise business as it is currently growing rapidly, making it suitable for better sales and profitability with low investment needs. Some of the top franchise opportunities in the food industry in India available for investors under Rs 20 lacs are One Bite, Zaika India, Amul, etc. Potential investors in a franchise business should consider relevant factors including brand recognition, market aspects, outlet location, etc., to select a suitable franchise brand or franchisor.

FAQ’s of Franchise Business in India under 20 Lakhs in 2025

Do I need business experience to run a franchise?

While prior business experience is not mandatory to run a franchise outlet, having some business experience in the sector is highly recommended for investors for a successful and profitable franchise venture.

Is franchising profitable in India?

Yes, franchising is highly profitable in India due to its rapid growth rate of 30%-35% annually and emerging trends in the sector like growing GDP, changing food preferences and technology integration.

Do franchises provide marketing support?

Yes, most brands in India offer marketing support including digital marketing and promotional tactics through their franchising model for supporting the success of a franchise outlet.

Do banks offer loans for franchise businesses?

Yes, banks offer loan facilities for franchise businesses for the candidates with a good credit history and considering the low risk of the franchise model than an independent business.

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