In India, one of the safest and smartest ways to start a business is by investing in a retail franchise. It saves you the effort of building a brand from scratch, offers a proven business model, and provides products that customers already know and trust.
With rising incomes in both big and small cities, 2025 is an excellent time to invest in retail franchising. But with so many options available, which ones truly offer good profits, low risks, and long-term stability?
Based on brand reputation, profitability, and market demand, here are the Top 10 Most Profitable Retail Franchises in India for 2025 — explained in simple language so anyone can understand.
📊 Top 10 Profitable Retail Franchise Businesses in India
🥇 1️⃣ U.S. Dollar Store 99
Category: Value Retail / Variety Store
Investment Required: ₹12-20 Lakhs
Area Required: 300–600 sq. ft.
Why it’s profitable:
U.S. Dollar Store 99 offers affordable daily-use products like toys, kitchenware, stationery, and gifts — all priced at budget rates. It attracts people from all walks of life, especially in small towns where branded retail options are limited.
Personal Insight:
A known businessman from Haryana opened a store in a market street with just ₹15 lakh and recovered his investment in 16 months — mainly due to high footfall and daily cash sales.
Profit Margin: 30-35%
🥈 2️⃣ SHREE – The Indian Ethnic Wear Brand
Category: Fashion Retail (Women’s Ethnic Wear)
Investment Required: ₹35-40 Lakhs
Area Required: 600–1000 sq. ft.
Why it’s profitable:
SHREE is a well-known brand for affordable, everyday ethnic wear. The products are priced between ₹799 and ₹5999, making them accessible for the middle-class market. With over 140 stores and 46% repeat customers, the brand enjoys loyal footfall.
Case Study:
A SHREE franchisee in Punjab shared that he achieved breakeven within 2.5 years. The secret? Regular promotions, excellent franchisor support, and steady demand for ethnic wear in tier-2 cities.
Profit Margin: 30%
🥉 3️⃣ Pepperfry
Category: Furniture & Home Decor
Investment Required: ₹15-25 Lakhs
Area Required: 400–800 sq. ft. (Experience Studio)
Why it’s profitable:
India’s leading online furniture brand is now opening offline experience stores. Customers prefer touching and seeing furniture before buying — and Pepperfry Studios bridge that gap.
Expert Opinion:
A retail consultant in Mumbai said, “Furniture retail franchises like Pepperfry have high-value billing and low competition in small cities, making them profitable within 2-3 years.”
Profit Margin: 25-30%
4️⃣ Baskin Robbins
Category: Ice Cream & Dessert Parlour
Investment Required: ₹11-15 Lakhs
Area Required: 200–400 sq. ft.
Why it’s profitable:
An internationally loved ice cream brand with over 850+ stores in India. Simple operations, limited staff requirement, and strong brand recall make it a low-risk, high-demand food retail business.
Personal Note:
A friend’s cousin opened a Baskin Robbins outlet in a mall food court in Ludhiana. He hit breakeven in 20 months — ice creams sell all year long in India’s weather!
Profit Margin: 35-40%
5️⃣ Khadim’s
Category: Footwear Retail
Investment Required: ₹20-30 Lakhs
Area Required: 500–800 sq. ft.
Why it’s profitable:
Khadim’s is one of India’s oldest and most affordable footwear brands. It caters to men, women, and kids, offering trendy footwear at pocket-friendly rates.
Profit Margin: 30%
6️⃣ Dr. Lal PathLabs
Category: Healthcare / Diagnostic Lab
Investment Required: ₹3-6 Lakhs (Collection Centre)
Area Required: 150–300 sq. ft.
Why it’s profitable:
Healthcare is recession-proof. Dr. Lal PathLabs is one of India’s leading diagnostic chains. You can open a collection center with minimal space and low investment — no inventory hassle, no spoilage risk.
Expert Insight:
According to a healthcare business consultant, “Collection centers typically break even in less than a year, with steady commissions per test and regular demand.”
Profit Margin: Commission-based, steady
7️⃣ DTDC Courier
Category: Courier & Logistics
Investment Required: ₹1.5-2.5 Lakhs
Area Required: 100–200 sq. ft.
Why it’s profitable:
India’s growing e-commerce boom has increased courier demand in every city and town. DTDC is one of the country’s most trusted names in parcel and courier services.
Personal Insight:
A small DTDC franchise in my area (in Delhi’s Dwarka) easily handles 100+ parcels daily, with steady commissions on each.
Profit Margin: Commission-based, daily cash flow
8️⃣ Amul
Category: Dairy & FMCG Retail
Investment Required: ₹2-6 Lakhs
Area Required: 100–300 sq. ft.
Why it’s profitable:
India’s most trusted dairy brand. An Amul outlet sells dairy, ice cream, snacks, chocolates, and beverages with margins of 20-25%. Low investment, strong brand recall, and daily customer needs make it a no-fail business.
Profit Margin: 20-25%
9️⃣ Jockey Exclusive Store
Category: Innerwear & Leisurewear Retail
Investment Required: ₹45-50 Lakhs
Area Required: 800–1200 sq. ft.
Why it’s profitable:
Jockey is India’s leading premium innerwear brand. It enjoys high customer loyalty and high average bill values. Preferred in both metros and tier-2 cities.
Expert Opinion:
Franchise analysts believe innerwear retail has less seasonality and stable sales, making Jockey’s exclusive outlets a profitable long-term venture.
Profit Margin: 30%
🔟 Zudio
Category: Fashion & Apparel Retail
Investment Required: ₹1.25–2 Crores
Area Required: 3000–5000 sq. ft.
Why it’s profitable:
Owned by the Tata Group (Trent Ltd), Zudio is one of India’s fastest-growing value fashion chains. It offers trendy clothing for men, women, and kids at prices starting from ₹299. High footfall, seasonal collections, and brand trust make it a fantastic option for larger investors.
Profit Margin: 25-30%
📌 Final Thoughts: Which Franchise Should You Choose?
When deciding on a franchise, always consider:
✔ Your budget
✔ City size and location
✔ Product category you relate to
✔ Expected returns and payback period
Personal Advice:
If you’re starting with ₹5–10 lakh, go for Amul, DTDC, or a Dr. Lal PathLabs Collection Centre.
For ₹15–50 lakh, look at SHREE, Pepperfry, Khadim’s, or Baskin Robbins.
If you have ₹1 crore+, Zudio or a cluster of US Dollar Store 99 outlets would be smart, scalable investments.
📌 NUtshell
Retail franchising in India is thriving, and 2025 presents more opportunities than ever before. Whether it’s fashion, healthcare, courier, or food retail — there’s a franchise business that suits every budget and interest.
Do your research, visit existing franchisees, and choose a brand you believe in. A well-chosen franchise can secure your financial future and turn you into a proud business owner.