Image Source: Best Franchise Connect
For small business entrepreneurs who want to convert small savings into a steady income, Amul's franchise business remains one of India's most affordable and lucrative small business ventures. The capital investment is as low as ₹2 lakh, with franchisees already earning equal to or even double their initial investment every month—sometimes within five months or even less.
Key Highlights:
Low Entry Barrier: Amul does not charge a typical franchise fee. The investment is rather utilized for setup costs, and the likes of Amul Preferred Outlets and Ice Cream Parlours have the figure of ₹2–5 lakh, along with a refundable security deposit of ₹25,000.
High Margins: Gross profit margin for franchisees varies between 15% and 25%, depending on product mix. More returns are generated from ice cream and value-added dairy products.
No Royalty Model: Amul's cooperative model suggests that franchisees don't pay recurring royalties, allowing franchisees to retain more money in their pockets.
Unparalleled Brand Pull: With more than 10,000 stores and a near 98% brand recall, Amul's brand name generates footfalls at even small town levels.
Diversified Product Line: From butter and milk to pizzas and milkshakes, the franchisees have more than 150 products to offer, with year-round demand and the ability to shift according to local preferences.
Support and Supply Chain: Amul's efficient logistics and cold chain ensure prompt delivery and low spoilage, reducing operational hassles for franchise owners.
In an era when many individuals are seeking financial freedom or additional income, Amul's franchise opportunity offers a rare combination of affordability, stability, and value of growth.
Sources: askdaman.com, Market Mystique, The Business Blaze
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