Food franchises in India are growing fast, and 2025 is halfway down, so it’s a great time to look at the best food franchises in India 2025. As the food industry moves towards a more health-conscious population, speed, convenience, and sustainability are the keys to success. More and more consumers are looking for quick, healthy, and tasty food options, and that’s a huge opportunity for you to invest in the food franchise market.
From quick-service restaurants (QQSRs) to cloud kitchens offering healthy and sustainable food, the market is vast and full of possibilities. Whether you like established brands or new and innovative models, now is the time to cash in on the food trend in India. This article will guide you through the top food franchise business opportunities for 2025 and help you make an informed decision on the franchise that fits your business goals and aspirations.
What is Food Franchising?
A business model known as food franchising allows a franchisor to grant a franchisee the authority to operate a restaurant or food outlet under the franchisor’s name, recipes, and operating manual. This is different from a traditional business setup where an entrepreneur starts from scratch. In franchising, the franchisee gets an established brand and support system, and the franchisor expands its presence in the market with lower capital risk.
History
The food franchise industry in India started taking shape in the late 1990s when international brands like McDonald’s and Domino’s Pizza entered the market. These brands introduced standardized operations and marketing strategies that appealed to Indian consumers. The first McDonald’s restaurant opened its doors in 1996, and the rapid growth of pizza franchises in the early 2000s marked the beginning of the country’s franchise boom.
Current Trends
Today, the food franchise sector in India is growing rapidly, driven by globalization and changing consumer preferences. The rise of health consciousness, demand for convenience, and popularity of online food delivery services are changing the landscape. Consumers are looking for diverse dining experiences, and that’s why there is a surge in specialty food franchises.
Types of Restaurant Franchise Opportunities in India
1. Quick Service Restaurants (QSR)
Quick Service Restaurants (QSRs) are all about fast food and speed. Everything about the QSR model is designed to serve customers in minutes without loss of taste or quality.
In India, there are many fast-food QSRs such as McDonald’s, KFC, Domino’s, and Subway, which are incredibly popular. QSRs fit into the urban lifestyle. Busy families, office workers, and students would rather get a quick snack than spend hours at a restaurant.
Investment requirement ranges from ₹30 Lakhs to ₹1 crore for a QSR franchisee (obviously depends on the brand, volume of sales, size of the outlet, and location). However, there are definite benefits:
- Higher turnaround time for customers = more footfall per day
- Less operational complexity in terms of staffing and cuisine compared to full-service restaurants
- Can enjoy strong brand recall if you have leverage by partnering with a local or multinational corporation
- Standardized menu and operations allow for assurances of consistent training and management.
2. Casual Dining Restaurants
Casual dining restaurants offer customers a more relaxed setting in which they can sit and relax while enjoying a full meal. Unlike QSRs, these restaurants typically offer a wider and more complex menu of food options, table service, and a better dining experience overall.
In this dining market, companies like Barbeque Nation, TGI Fridays, and Mainland China have established significant presences. This category of restaurants is often chosen for family outings, celebrations, or casual get-togethers with friends. The setting is generally less casual, food options are wider, and the average bill size is usually significantly larger than QSR restaurants.
When first starting a casual dining franchise, the investment typically ends up being between ₹1 Crore to ₹2.5 crores, and this is due to the following reasons:
- More space needs
- More staff
- Licensing, equipment, and required food inventory
3. Specialty Food Franchises
Specialty food franchises focus on a specific food segment or food consumer interest – for example, healthy food brands, vegan cafes, dessert parlours, or a more niche ethnic food. The focus of each type of specialty food franchise is to offer something unique that can find space in the food heavens of unique competition.
Brands such as Chaat Street, The Dessert Company, and Frozen Bottle have successfully leaned into culinary cravings and cultivated a rabid community of loyal customers around them. Specialty food franchises are particularly relevant in metros and tier-1 cities because there has been an open-minded mentality towards experimenting with food and culinary choices.
So, what makes this segment exciting?
- You can get started with a relatively lower investment
- You can reach a targeted audience, and this means allowing for a stronger brand position
- Some categories can allow for a higher sticker price due to the perceived value of fine or premium food status or packaging.
Food Franchises under 2 Lakhs in India
A food business does not have to be expensive. If you’re working with a budget, food franchises that cost under 2 lakhs are a sensible way of entering the growing food sector in India. These food franchises typically have little capital, are small in size, and are typically simple to run, making them a great opportunity for first-time business buyers or those wanting to generate extra income.
You will find that despite starting small, the low investment still affords many of these food businesses sufficient profit margins while requiring little training or experience for an operator, meaning they are accessible to a range of potential buyers such as students, homemakers, and retired/full-time employees.
Food Franchise categories that are Available Under ₹2 Lakhs
1. Kiosk for Tea & Coffee
Small tea or coffee stalls are one of the most popular low-cost franchise businesses to start. With India’s ingrained tea culture and increasing coffee consumption, brands like Chai Sutta Bar, Tea Time, and MBA Chai Wala are providing micro-franchise formats under ₹2 lakhs.
- Investment Type: ₹50,000 – ₹2,00,000
- Best Areas to Open: college/university areas, offices, railway stations, or markets
- Average retail sales: ₹1500 – ₹4000/day
- Reasons for Success: Low costs for raw material, high customer demand, quickly appeals to customers
2. Ice Cream and Kulfi
Ice cream kiosks/dhabas and kulfi carts are seasonal but can sell year-round and high variety. Brands like Gianis, STIRR, and some regional kulfi businesses offer business franchises to start for under 2 lakhs.
- Investment Type: ₹80,000–₹1,80,000
- Requirements: a small freezer, no real staff needed, needed traffic in the area of business; use vacant space for branding.
- Profit percentage: 30%–50%, depending on sales and price.
- USP for success: can serve almost all age groups of customers, and has limited cooking involvement
3. Street food and chaat carts
This category has the highest growth potential. For a straightforward move into food service, many brands that serve regional specialties like pani puri, pav bhaji, momos, and vada pav sell conventional carts with franchisees ranging from cart operations to restaurant service mechanics. Additionally, tier-2 and tier-3 urban and rural cities find a special appeal in street food carts.
- Examples: Chaat Adda, Wow! Momos
- Initial set up: Pushcart or food stall, raw contents, minimal branding
- Investment range: ₹60,000 – ₹1,50,000
- Positives: High impulsive purchase, immediate return on investment, and easily replicable
4. Juice and shake counters
Fresh juices / healthy drinks will always have a growing demand, let alone in the summer. If you are looking for any supplementary income, small juice counters in schools, gyms, or parks will develop enough foot traffic with a marginal start-up investment.
- Examples: Juice Lounge, Lassi Corner
- Investment: Approx ₹1,50,000 or more for a wholesale cart set up.
- Key positives: Affordable raw materials and strong demand in warm or tropical areas.
List of Top 10 Food Franchises in India
The food franchise sector in India is extensive and has grown immensely over the years; both international and local brands are loved by millions for their food offerings. The best food franchises not only provide a delicious product, but they also have name recognition, efficient operations, and franchise support.
Here is a complete list of the best food franchises in India and how they came to be so successful.
1. Domino’s Pizza
In pizza, Jubilant FoodWorks’ Domino’s is the best you can have in India. Domino’s success can be traced to vigorously marketing, precisely planned food delivery systems, and offers containing multiple overseas cuisines, which are widely accepted by Indians. Given their established brand and customer loyalty, Domino’s franchises are extremely successful.
The company provides support for its franchisees, including marketing, staff training, outlet design, and site selection. Domino’s definitely entices users with a guaranteed free pizza, delivered in 30 minutes or less. Domino’s also continually strives to lighten the menu, introducing new pizza, appetizers, and dessert items. Although the purchase of a Domino’s franchise seems to be a significant financial burden, the sales and profits can justify such an investment.
- Franchise Type: Master franchise model
- Investment: ₹50 lakhs – ₹2 crore
- Space Required: 1000 – 1500 sq. ft.
- Profit margins: approximately 8–15%
- Key features: the market leader in the pizza sector, having a robust delivery system, and offering first-rate marketing and operational assistance.
2. Subway
In addition to its “Eat Fresh” and customizable food ideas, the company is known around the world for its submarine sandwiches. This brand is extremely popular, especially in India, where more people are opting for a healthier meal. If you’re just starting out in business, a Subway franchise is an attractive option because it is less expensive than other fast food franchises.
What is the concept? The concept is simple and is based upon the freshness of food and expeditious service. Franchisees are trained and supported on all aspects of running a restaurant, serving customers, and food prep. In fact, with both vegetarian and non-vegetarian dishes, the menu is appealing to every palate.
- Franchise type: Single and Multi-Unit Franchise.
- Investment: ₹60 Lakhs – ₹1.1 Crores
- Profit margins: roughly 12–15%
- Key Features: Simple and effective business model, lower investment compared to other QSRs, worldwide brand with an emphasis on healthy eating.
3. KFC (Kentucky Fried Chicken)
Kentucky Fried Chicken is a subsidiary of Yum! KFC Brands is known to be a pioneer in fast food because of its famous fried chicken. The company has provided vegetarian options to complement its regular non-vegetarian options, which are attractive to customers on the Indian menu. Given the brand’s popularity across the country, many people want to buy a franchise.
KFC franchisees benefit from an established brand name, a solid and proven business model, and excellent marketing efforts. The franchise provides complete training for all of its employees and partners in order to meet the expectations for quality and excellence in customer service.
The brand continues to evolve and engage consumers through new menu items and promotions, the number 1 food franchise in India. The cost to open a KFC is likely pricey, but with the brand’s standing and reputation, the costs are likely well warranted. KFC prefers that franchisees open 3 locations in the service area they provide.
- Franchise Type: Dine-in and take-away café.
- Investment: ₹1 Crore – ₹2.5 Crores
- Profit margins: roughly 15% to 20%
- Key Features: A large menu with vegetarian options, a strong worldwide brand, and strong marketing and operational support.
4. Wow! Momo
Wow, Momo! has a number of innovative momos, and Indian quick-service restaurant formats have transformed. A tiny express back in Kolkata grew into an iconic brand sought after by people across the country.
Wow! Due to the enormous growth in the popularity of momos. People can capitalize on this by purchasing a Momo franchise. The menu includes a good selection of fried, pan-fried, and tandoori momos, along with steamed momos, momo burgers, and desserts. It is the largest restaurant business in India by number of outlets. The company supports its franchisees at every level of operation, from site selection to store construction, training, and marketing.
The Wow! brand’s dynamic and youth-like Brand Momo resonates with both families and college students. Fast food restaurants are located at tech centres and food courts, as well as everywhere else in the city. For the cost of Wow! The Momo franchise is not very risky but could return good profits with unique products, as well as a loyal customer base.
- Franchise Type: Kiosk, Food Court, and High Street models.
- Investment: ₹25 Lakhs – ₹40 Lakhs
- Profit margins: ₹25 Lakhs – ₹40 Lakhs
- Key Features: A well-known brand in the momo market, a creative and varied menu, a solid track record of success, and a tested business plan.
5. McDonald’s
McDonald’s is a worldwide company, and it has built a brand in the food marketplace in India. The possible franchises are operated by two master franchisees. The franchise may be in a highly regarded category with a high return on investment, but the selection process is stringent.
The brand can be associated with great operations, a high level of consistency, and Indian-style meal offerings that appeal to the tastes of the nation. McDonald’s provides its franchisees with proper training and support so that each franchised location meets McDonald’s international standards. A familiar brand with catchy marketing messages attracts new and repeat customers.
Additionally, a McDonald’s franchise is always seen as a sound investment with reliable and positive profits. Diligent, experienced business franchisees are preferred and can afford to run more than one restaurant.
- Franchise Type: Leases for business facilities, satellite locations, and traditional restaurants.
- Investment: ₹6 Crores – ₹14 Crores
- Profit margins:15-20%
- Key Features: One of the most recognizable brands in the world, with a track record of profitability, a highly effective operational system, and substantial marketing support.
6. Burger King
Burger King is fast becoming a highly regarded fast food company in India. I have noticed the company advertising specifically to Indians through tools that are very successful in the market. The menu is suitable for meat lovers or vegetarians. The company is known for its flame-grilled burgers. Owners of a Burger King Franchise have the opportunity to partner with a growing global firm.
The company will support the franchisees with marketing advice, training, construction of the restaurant, and site selection. Burger King’s innovative marketing for product pricing has been received positively, especially by young Indian consumers. This brand has locations in malls, high streets, and airports. Although the Burger King franchise fee is high, due to the brand equity and the number of prospective consumers, the payback can be very good. The company looks for franchisees who are business savvy and have the capital to develop more than one branch.
- Franchise Type: Franchise agreements for one or more units.
- Investment: ₹2.5 Crores – ₹5 Crores
- Profit margins:15-18%
- Key Features: a quickly expanding international brand that is well-known for its varied menu, robust marketing, and flame-grilled burgers.
7. Amul
One of the most popular and reputable brands in India is Amul. Holding an Amul franchise is a great opportunity for new business owners because it is a low-cost, high-margin business. Amul has three types of franchises, Amul Preferred Outlets, Amul Scooping Parlours, and Amul Kiosks, based on the amount of space and investment potential. Amul provides its franchisees with a lot of support on marketing, products, equipment, and branding. It is the most successful restaurant chain in India.
Amul draws customers back repeatedly because it provides an astonishingly wide variety of milk, dairy products, desserts, drinks, and snacks. Amul is known for high-quality and low-price products, which creates a niche of customers. Also, their offer of royalty-free business opportunities attracts many investors to available locations. If you can start a franchised Amul business, you will be able to pay off your startup fees quickly; it is a low-risk business.
- Franchise Type: Amul Kiosk, Amul Scooping Parlour, and Amul Preferred Outlet.
- Investment: ₹2 Lakhs – ₹10 Lakhs
- Profit margins: 5-10%
- Key Features: A large selection of products, low investment, no royalties, a well-known Indian brand, and robust brand support.
8. The Belgian Waffle Co.
The Belgian Waffle Co. has captivated the attention of dessert lovers across the nation with its mouth-watering yet creative waffle variations. With many consumers preferring its multiple savory and sweet varieties and enjoying pancakes and beverages, there is so much choice for consumers.
Small business owners can benefit from this growing Belgian Waffle Co. phenomenon because they are delivering customers what they crave for dessert products. There are guided requirements supplying almost everything their franchisees need to increase top-line sales, including launch marketing, staff training, helping you procure equipment, as well as store design and layout. In India, it is currently the largest restaurant group.
The stores are customer-friendly with a modern and colorful atmosphere. Menu flavor selections change frequently in order to entice new customers regularly.
- Franchise Type: Kiosk and Café models.
- Investment: ₹20 Lakhs – ₹35 Lakhs
- Profit margins: 30-40%
- Key Features: High profit margins, a creative and fashionable menu, a strong brand appeal among young people, and a leading brand in the waffle market.
Suggested Blog: Belgian Waffle Franchise Cost in India
9. Chai Sutta Bar
Due to its modern, slightly different twist on Indian tea, Chai Sutta Bar is quickly becoming a recognizable brand with significant popularity. The brand has created laid-back spaces for people to enjoy different drinks or snacks.
For many people, particularly younger people, the Chai Sutta Bar experience is a frequently affordable option. It is the best restaurant franchise chain in the country. The company provides for every single aspect of their franchisees, from setting them up, training them, marketing for them, and delivering products.
Many people come to Chai Sutta Bar franchises because they are so colourful and exciting. A very reasonable price point and great service are at the forefront of the reasons the brand has not only delivered the experience but also grown the brand successfully. Young people relate to seeing franchisees as a realistic aspiration and consider the franchisee route to contribute to a quickly growing brand. What is clear is that the franchisee system is a practical mechanism to produce benefits for the franchisee both quickly and moving forward.
- Franchise Type: Kiosk and Café models.
- Investment: ₹6 Lakhs – ₹10 Lakhs
- Profit margins: 35-40%
- Key Features: Strong brand appeal among young people, low investment, high profit margins, a tested business plan, and a quickly expanding tea franchise.
10. Tibb’s Frankie
Tibb’s Frankie helped to start the Indian QSR scene by familiarizing consumers with the extremely popular Frankie. People looking for a snack that is fast, tasty, and filling love to buy from Tibb’s Frankie, which is sold nationwide. Tibb’s Frankie is known and is measured on the speed of their food – their food is simple and made with the same recipe. Because of their food, the Tibb’s Frankie franchise has received consistent fast returns and minimal management hassle.
Because of its small size, a Tibb’s Frankie can be set up in a variety of settings, including shopping malls, train stations, and other high foot-traffic locales. In India, the Tibb’s Frankie brand is the largest restaurant chain. The brand is recognized for its high sales because it is affordable and easy to remember.
- Franchise Type: Kiosk and small outlet.
- Investment: ₹8 Lakhs – ₹12 Lakhs
- Profit margins: 25 – 30%
- Key Features: a well-known company with a well-liked product, minimal startup costs, straightforward business practices, and strong profitability.
In recent years, fast food has emerged as an identifying characteristic of India’s dining culture, primarily in urban and semi-urban India. The demand for quick, affordable, and pleasurable meals is rising as lifestyles become more hectic and fast-paced. This transition towards fast food has resulted in a growing opportunity for fast food franchises, which have now become one of the most desirable business models for aspiring entrepreneurs.
Key Drivers of Food Franchises’ Growth
1 Urbanization and Changes in Lifestyle
Urbanization and the migration to cities have influenced food consumption habits in significant ways. The migration of people to urban areas has resulted in the increased need for immediate, convenient, and quick meal options. This dynamic has suited the food franchise model well, as food franchises cater to urban consumers’ fast-paced lifestyle.
2 Increase in Disposable Income
With India’s rising middle class and disposable income, and an increase in disposable income during the pandemic, there have been clear changes in consumer dining out habits. The trend of consumers wanting to experience dining out has translated into an increase in patronage of food franchises. Walking their dog in the park? Why not stop for casual dining at a food franchise or specialty food outlet?
3 Technological advancement
Technology is imperative for the food franchise ecosystem. The increase in the number of online orders, food delivery applications, and dining out choices will affect food franchises’ positioning to engage customers, manage franchisee operations, and streamline how consumers can access food offerings. Food franchises will need to be technology-focused, with newer and more efficient ways of operating their franchise business and engaging consumers to realize their goals!
Obstacles encountered by food franchises in India.
1. Regulations
Understanding the regulatory framework can be difficult for franchise owners. The food safety standards, licenses, and taxes are often complicated, taking a lot of time and effort to comprehend and conform.
2. Saturation and competition
The food franchise sector itself is very competitive, and myriad brands are competing for consumption. In such a concentrated market, differentiation is crucial. Franchises need to heavily focus on their unique selling proposition and customer service to properly differentiate.
3. Supply chain and quality control
Having a good supply chain is essential for food franchises. The ability to procure good ingredients can be poor, which negatively impacts many franchisees’ output and customer satisfaction. Franchises need to have well-established connections in place to ensure quality management and quality procurement.
Future Directions of Food Franchising in India
1. Trends and Innovations
The future of food franchising in India will be defined by factors such as sustainability and health. Franchises that are aware and incorporate environmentally friendly practices or have menu options that are healthier will appeal to more and more aspiring consumers.
2. Investment Opportunities
Food franchises present attractive investment opportunities. The food franchise sector lends itself to high returns. As a consequence, many start-up entrepreneurs are now investigating franchise options. Ultimately, it boils down to understanding what profitability and return on investment are for their decision-making.
3. Role of Franchisor and Franchisees
A franchisor and franchisees must develop and maintain positive and effective working relationships. Franchisors must also recognize their role in supporting, training, and providing resources for franchisees to build their businesses and their relationship. Consideration of best practices for working collaboratively can lead both sides to successful growth.
In summary
The food franchise sector in India is growing rapidly, providing both opportunities and challenges. Entrepreneurs should have an understanding of how to effectively run a food franchise to enter this expanding market. Food franchising could be a viable business model in the Indian market, and investing in a food franchise presents a great opportunity for potential business owners.
Frequently Asked Questions:
1. What amount of money will I need to start a food franchise in India?
The money required varies according to the amount of franchise investment, which varies widely according to affiliation with brands or businesses, that could be anywhere from the average of 2 lakhs to several crores.
2. How should I evaluate determining which food franchise will be right for my investment?
Considerations may include demand in the market and/or by the brand, reputation of the brand or franchisor, amount of support from the franchisor, and your interests.
3. What mistakes should I avoid at the beginning stages of a food franchise?
Mistakes may include the possibility of not conducting enough or the right market research, underestimating operational costs, not following the expectations of the Franchisor, and a few others.
4. How can I ensure the success of my food franchise?
Focus on the customer experience, provide good service, maintain supply quality, get involved in your local community, and develop a following.
5. What support do franchisors typically provide to franchisees?
Franchisors may provide training, marketing support, operational guidelines, and ongoing support and assistance to aid in the success of franchisees.
