Best food franchise in India: The food franchise business in India is booming. If a person shares a mad love for food and wants to invest in a cheap, this is the right place for them. Food is a commodity that will never go out for demand. Everyone wants to eat different types of good and tasty food from all corners of the world. In today’s time, it is possible to do so. There are so many food and beverage franchises in India of national and international companies that are spread across various cities and provide food of great quality and superior taste to its customers. This article is about those food franchises which require a low amount of investment and will reap large benefits for the investors. So, a person, who has the will to invest in a food franchise and money to back that will, must go through this entire article.
There are various business models used by companies around the world for expansion and growth purposes. One such method of expansion and growth is franchising. Under the food franchise business in India, companies get investors who are known as franchisees and allow them to use the name of the company and its products in exchange for a franchise fee. The franchisee opens up a store under the name of the company in which the individual himself or herself owns and operates. Support and guidance are provided by the company to the franchisee to help him or her in setting up the store. The franchisee also has to pay a certain percentage of earnings as royalty fees to the company.
In the case of the food and beverage franchise in India, the recipes for the eatables and operating manuals are also provided to the franchisee. This is done to make sure that the quality of the food is not compromised in any outlet of the company. The franchisee and the employees of the store also have to go through training organized by the company so they can become qualified to run the outlet. An investor has to take certain factors into consideration while making a decision as to whether to invest in a company or not. The area required to set up the store, the cost of investment money that needs to be put up by the franchisee and the profit margins expected from running the store are some of the factors that a person should know about before investing in a franchise company.
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While looking for options to invest in, one of the most important pieces of information that an investor wants to know about is the cost of investment that will be involved if he or she wants to become an owner of a particular franchise. Every franchisee wants maximum benefits at the lowest amount of risk. So, if a person is looking for a food franchise in India with low investment, which requires an amount of 5 lakh rupees or less, they can make use of the following list:
Here’s the list of food franchise under 5 lakhs in India:
This is one of the best food franchise opportunities in India. There is no name bigger than ‘Amul’ when it comes to milk and dairy products. Started in 1946, the company has grown to be one of the biggest business giants of India.
There are two types of franchises that are offered by Amul to the public. One is for the Amul Outlet which is also known as Amul Railway Parlour or Amul Kiosk. The other type of franchise offered by Amul is the Amul Ice Cream Scooping Parlour.
For an Amul Kiosk, an area of 150 square feet is required by the franchisee to set up the store and for an Amul Ice Cream Scooping Parlour, the area comes around to 300 square feet. The store or outlet needs to be in a prominent location where there is a lot of footfall to attract a greater number of investors.
The cost of investment required to open up an Amul Kiosk or Amul Railway Parlour franchise comes to around 2 lakh rupees. Out of these 2 lakh rupees, 25,000 rupees have to be paid by the franchise as a refundable security deposit to the company. 1 Lakh rupees will be spent on renovation of the store and the rest of the amount will be used in buying the equipment.
The amount that a franchisee needs to put up to own an Amul Ice Cream Scooping Parlour franchise is approximately 5 lakh rupees. It includes 50,000 rupees that need to be paid to the company as a refundable security deposit. The rest of the money has to be used for renovation and equipment.
The owner of an Amul ice cream franchise stands to earn 5 to 10 lakh rupees per month. The return on MRP of ice cream products of Amul is considered to be around 20 percent.
Know More in Detail: Amul Ice Cream Franchise – Complete Guide
Started in 2014 in the city of Ahmedabad, Bean Here is a food and beverage franchise in India that has been gaining popularity over the years. The brand has awards like ‘Best Themed Café’ and ‘Best Stand-Alone Café’ to its name. The cozy ambiance, delicious beverages and a number of board games available at the store make this place a must-visit for the customers.
The franchise model was adopted by the company in 2018. The company provides support to the franchisee by helping them in setting up the store. Operating manuals and training is given to the franchisee as well as the employees of the store. Field assistance is also provided to the franchisee by the company. The franchise agreement to be signed by the franchise is valid for 3 years.
The minimum area required to open a Bean Here store is expected to be around 180 square feet.
The amount of investment that an investor needs to put up to become an owner of the Bean Here franchise is expected to be around 2 to 5 lakh rupees. It includes franchise fees and the cost of furniture and equipment.
The rate of return on investment is anticipated to be 168 percent and a franchisee is expected to earn back the investment amount within a period of 8 to 11 months.
Samosas are an Indian dish loved by Indians all across India. There are different variations of it in different areas of the country. Being an Indian food chain franchise, Samosa Junction has managed to capitalize on this love that Indians have for samosas. The company sells more than 22 varieties of veg and non-veg samosas. The highest quality of ingredients is used by the company to make samosa a healthy snack. Samosa Junction has a goal to open 500 stores across the country. Comprehensive support in terms of marketing, training and field assistance is provided by the company to the franchisee.
According to the company’s website, the minimum area required to set up a Samosa Junction store comes 500 square feet.
In the initial stages, the minimum amount of investment required to own a Samosa Junction franchise comes to around 5 lakh rupees. A royalty of 5 percent of net sales also has to be paid by the franchisee to the company.
The rate of return on investment is anticipated to be around 50 to 60 percent.
Another one of the low cost food franchise opportunities in India is Sweet World. Starting its operations in Mumbai in the year 2002, Sweet World’s expertise lies in providing an alternative to the traditional sweets, chocolates and mithais to the consumers. The company provides a varied range of sweet products in different shapes and colors that attract customers of all ages.
For a Sweet World kiosk, an area of just 10 to 24 square feet is required.
Sweet World has one of the cheapest fast food franchises in India. The amount that an investor needs to put up to become an owner of the Sweet World franchise ranges from 2 to 5 lakh rupees.
The return on investment is expected to be 25 percent and the franchisee is expected to make the investment money back in 6 months from the start of the operations.
Cream Lounge is a place where people come to eat delicious ice cream and drink thick milkshakes. The company started its operations in the city of Hyderabad, India. The franchise agreement offered by the company to the franchisee is valid for 3 years.
To set up a franchise of Cream Lounge, a franchisee needs an area ranging from 200 to 1,000 square feet.
The cost of investment that a franchisee is expected to put up to own a Cream Lounge franchise ranges from 2 to 5 lakh rupees. The cost of investment includes franchise fees and the cost of furniture and equipment.
The rate of return that a franchise can expect from running a Cream Lounge franchise comes to around 25 to 30 percent.
So, these were quite a few food franchises under 5 lakhs in India. If you are someone having more budget to invest, then here’s our list of best food franchise in India under 10 lakhs.
It does not hurt someone to have some extra money in the bank. But one should how to invest that money and reap benefits off it. If an individual is looking for some low cost food franchise opportunities that require an investment amount of 10 lakh rupees or less, they can make use of the following list of food and beverage franchises in India:
When it comes to fast food, one of the most ordered dishes is the fries. Yummerica Fries is a top food franchise in India that focuses on providing its customers the top-quality fries whose taste is such that they stand apart from the rest of the fries of all the other brands. Founded in the year 2017, Yummerica Fries has its presence in more than 10 cities worldwide. The company’s aim is to open more than 100 stores in the next five years in India and abroad. Fries, burgers, pancakes, shakes and waffles are some of the dishes served by the company.
If a person decides to invest in Yummerica Fries, he or she will get comprehensive support from the company. The company provides operating manuals as well as training to the franchisee and the employees of the company. The company also helps the franchisee is selecting the site for the store.
The area required by a franchisee to set up a Yummerica Fries store comes out to be around 150 to 250 square feet.
The investment required by an individual in order to become the owner of a Yummerica Fries franchise is estimated to be in the range of 5 to 10 lakh rupees. Apart from that, a royalty of 4 to 6 percent also has to be paid by the franchisee to the company.
The return on investment is expected to be around 40 percent and the franchisee can reach the break-even point in 1 to 2 years.
Monginis is considered to be one of the best food franchise opportunities in India. Started in 1958 by the Khorakiwala family, Monginis is a chain of Indian bakeries that manufactures and sells pastries, cakes, muffins, etc. The company has more than 1,000 stores in different cities of India. In the year 2014, the company ranked 256th on the list of the brands that were trusted the most by the people in India.
The established brand name of Monginis helps the franchise a lot in attracting customers. The company also supports the franchisee throughout the whole process of setting up the franchise. The franchisee is provided with operating manuals and the franchisee, along with his or her employees, is made to go through training by the company.
The area that is needed by a franchisee to open up a Monginis store comes to be around 250 square feet.
In the initial stages, the minimum amount of money required by the franchisee to own a Monginis franchise comes to around 10 lakh rupees. A refundable security charge of 1 lakh rupees also has to be paid by the franchisee to the company. Apart from this, there are other expenses involved like royalty and franchise fees.
The profit margin per product of Monginis is considered to be around 20 percent. The franchise is expected to hit the break-even point in around 2 years.
Gelato Italiano is a top food franchise in India and one of the most well-known brands of gelato in India. The company has more than 78 stores in 7 cities in India. The company replaces the traditional ice cream with a healthier, low on ice cream which has an air content of 40 percent as opposed to the normal ice creams which have 100 percent air content.
The area required by an individual to open up a Gelato Italiano franchise comes to around 50 to 300 square feet.
An individual interested in investing in Gelato Italiano and becoming an owner of the company’s franchise needs to put up a sum of 5 to 10 lakh rupees as an investment.
The franchisee is expected to earn back the investment amount in 13 to 18 months since the start of operations.
Another food franchise in India with low investment is Mother Dairy. Started in 1974, Mother Dairy is an Indian dairy company that manufactures and sells milk and dairy products to the people of India. It is the best food franchise for a small town in India. In 2015, the company was ranked 39th on the list of best 100 companies to work for in India. The company has outlets all over India and due to its high-quality products, Mother Dairy has been winning the hearts of the people of India for decades. The company provides assistance to the franchise so that he or she is able to set up the store. The franchisee does not have to pay any royalty to the company.
An area of around 5,000 square feet is required by an individual in order to set up a Mother Dairy outlet. Also, at least one person is needed to run the store.
The investment amount required by an individual to become the owner of a Mother Dairy franchise ranges from 5 to 10 lakh rupees. Apart from that, the franchisee also has to pay 50,000 rupees as franchise fees to the company.
In the first year of operations, a 30 percent return on investment can be expected by the franchisee and he or she will be able to reach the break-even point in around 2 years.
Know in Detail: How to Get Mother Dairy Franchise
Rolla Costa is an Indian food chain franchise making its name at a rapid pace over the past few years. Started in the year 2012, Rolla Costa is a chain of stores that provide hygienic and delicious rolls and shawarma to its customers on a daily basis. Apart from rolls and shawarmas, Rolla Costa also serves pasta, sandwiches, biryani etc. on its menu. The company has been listed among the top 100 franchise opportunities in India. The company has stores in more than 15 cities of India and plans to open more than 100 stores in the next 5 years. Rolla Costa provides assistance to the franchisee in setting up the franchise and guides him or her through the entire process. The franchisee and the employees of the store are also put through training by the company.
The area required to open up a kiosk model of the Rolla Costa franchise comes to around 200 square feet.
The minimum amount required to be put up by the franchisee for the kiosk model of the Rolla Costa franchise comes to around 9 lakh rupees. Apart from that, 1 lakh rupees also have to be paid by the franchisee as a security deposit to the company.
The profit margin for the Rolla Costa products ranges from 40 to 60 percent and the franchisee is expected to earn back the investment in 12 to 18 months of starting the operations.
Want to own a food franchise but under budget? Check these low cost fast food franchise in India.
Who does not love to eat fast food? There are all types of fast food joints opening across the country that provide various types of food items that rejuvenate the taste buds of the customers. If a person wants to invest in a low-cost fast food franchise in India, they should take a look at the following list:
One of the cheapest fast food franchises in India is Tibb’s Frankie. Named after the West Indies cricketer Frank Worell, Tibb’s Frankie is a popular fast food chain serving quality food to its customers. The founder of Tibb’s Frankie is Amarjit Singh. Started in 1969 in the city of Mumbai, India, the company today, has a presence in 15 cities of India with more than 300 outlets. The franchisee benefits a lot from the established brand name of Tibb’s Frankie.
The area required by a person to set up a Tibb’s Frankie franchise is around 50 to 150 square feet. Also, a minimum of 3 to 5 people is required to run the Tibb’s Frankie outlet.
The cost of investment that the franchisee has to bear in order to set up a Tibb’s Frankie store comes to around 5 to 10 lakh rupees.
The profit margins of Tibb’s Frankie are really great as it is a top food franchise in India. A franchisee can expect to earn back the investment amount in 10 months.
Started in the year 2009, Chick Blast is considered to be one of the fastest growing fast food chains in India. The company is known for its burgers, wraps, grilled chicken etc. There are a lot of benefits in being associated with Chick Blast as a franchisee. The first benefit is that the company provides full support and guidance to the franchisee, including the training of the employees, to help him or her set up the store. Another benefit is that the franchisee does not have to pay any royalty or franchise fees to the company.
The franchisee needs an area ranging from 100 to 1,000 square feet to open up a Chick Blast outlet.
The minimum amount of money that is required from an individual to become the owner of a Chick Blast franchise is 7 lakh rupees.
The return on investment on a Chick Blast franchise is expected to be around 30 to 40 percent.
Kathi Junction is another one of the low cost food franchise opportunities that are making their mark in India. Started in the year 2009, Kathi Junction is today the Kathi Roll and Shawarma company. The company sells more than 2000 shawarmas and over 5,000 kathi rolls every day. Since its inception, Kathi Junction has become an established brand name which is beneficial for an investor who is looking to become an owner of a Kathi Junction franchise.
Kathi Junction offers two types of food franchise opportunities to the investors. First is the Kathi Junction Food-Court Express. The area required to set up such type of franchise is around 200 square feet. The cost of investment that the franchisee needs to bear in order to become an owner of the Kathi Junction Food-Court Express comes to around 7 lakhs. Apart from that, the franchisee also has to pay a royalty of 4 percent of total sales to the company.
The other type of franchise business opportunity provided by Kathi Junction is Kathi Junction Dining restaurant. In this type of franchise, an area of around 600 square feet is required to set up the Kathi junction store. The investment required by the franchisee in order to set up a Kathi junction franchise comes to around 10 lakh rupees. The franchisee also has to pay a royalty fee of 4 percent of total sales to the company.
The profit margins of Kathi Junction are really attractive. The return on investment is around 50 percent and the investment money can be earned back in 6 to 9 months.
If someone is looking for a cheap fast food franchise to invest in from which they can earn good profits, then one of the cheapest fast food franchise options out there is Pizza Central. The company, based in the city of Lucknow, aims to provide delicious and healthy food to satisfy its customers. The minimum area required for a Pizza Central franchise is 100 square feet. A minimum of 3 lakh rupees will be required by the franchisee to set up a Pizza Central store. The returns are also attractive as the profit margin on the Pizza Central products is around 30 percent.
So, Pizza Central is the cheapest fast food franchise in India based on our list.
Food is one integral that will have a widespread presence across the entirety of India. That said, you have to keep in mind that the cost of the food will determine whether or not you get a good footfall from the consumers.
This is one of the reasons why opening renowned food franchise in urban Indian cities have a better scope of generating profits compared to opening them in the interiors. We’d also recommend that you prioritize good research before you invest in any kind of food franchise.
When researching, check the demographics and the kind of engagement that you’d get if you open a franchise in a particular spot.
Amul and Dominos are considered to be two of the most profitable franchises in India.
The cost of a Burger King franchise outlet will come around to be 2.5 crore rupees.
Below is the list of some franchises that are low in cost:
1. Amul Franchise
2. Bean Here Franchise
3. Pizza Central Franchise
4. Samosa Junction Franchise
5. Sweet World Franchise
6. Cream Lounge Franchise
Below is the list of the top 10 food franchises in India:
1. Amul Franchise
2. Domino’s Franchise
3. Subway Franchise
4. KFC Franchise
5. Mcdonald’s Franchise
6. Taco Bell Franchise
7. Haldiram Franchise
8. Quiznos Franchise
9. Baskin Robbins Franchise
10. Pizza Hut Franchise
Yes, there are many food companies in India that offer franchises that will cost the public less than 5 lakh rupees. Some of these companies are Bean Here, Samosa Junction, Amul Ice Cream, Cream Lounge and Sweet World.
THe owner of an Amul Ice Cream shop can earn anywhere between 5 lakh to 10 lakh rupees in sales in a month. The return which he or she will get on the MRP of AMul products is 20 percent.
The cost of opening up a Yummerica Fries store can run anywhere from 5 to 10 lakh rupees. Apart from that, the franchisee is also required to pay a royalty fee of 4 to 6 percent to the company.
There are a lot of entities in the food franchise business in India today but not all of them are profitable. An investor should do proper research before making a decision as to which company to invest in. The companies listed in this article are successful and growing day by day. The cost of investment required by an individual to set up a franchise of any of the mentioned companies is also not high. So, if a person wants to invest in a fast-food franchise in India with low investment, this article is surely bound to help them.
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