List of Government Franchises in India 2025

Government franchises in India can be one of the best options in case you want to have a business opportunity with low risk, high trust, and long-term stability. In contrast to the private franchises, these projects implement the image of support of the government agencies, which guarantees the credibility, openness, and confidence of the people.

Government Licenses offer potential business owners stable revenues and guaranteed demand, even in sectors such as e-governance services and public distribution systems to healthcare centers and railway outlets. We have created a comprehensive list of the most popular and profitable government franchise opportunities in India in this blog to help you select the right one according to your career or investment interests.

What is a Government Franchise?

A government franchise. This is a type of business model or service outlet where an individual, group, or company gets to operate a business under a government scheme or brand, or under government-approved services, frequently subject to formal guidelines and management. The brand (or initiative) is normally the property of a department, PSU (Public Sector Undertaking), or a scheme in the government. The franchisee offers services to citizens in that program, which often guarantee outreach, standard procedures, and controlled prices or commissions.

They may be full-service stores (such as postal services, fuel pump franchises) or service centres (Aadhaar, GST, PAN services) or procurement/distribution (such as medicines, subsidized food grains, and so on).

Benefits of Investing in Government Franchises

Government Licenses are good for several reasons.

• Stability and Security: Government Licenses work within the framework of public policy, as they are less susceptible to market changes. This allows them to be attractive to risk-averse investors because government regulation guarantees the quality and standard of operation.
• Credibility and Trust: When the customer is associated with a brand that is supported by the government, the credibility of the business and trust are automatically achieved, providing a competitive advantage in the market.
• Ease of Access to Resources and Training: Franchisees are usually given technical assistance, special training, and in some cases, subsidies or less expensive resources to start and run their enterprises effectively.
• Streamlined Regulatory procedures: Government Licenses are likely to have a simplified licensing process, approvals, and compliance, thus allowing entrepreneurs to begin faster and run with less bureaucracy.
• Improved Market Attack: Government Licenses will be in more rural and semi-urban regions because of policy advantages and their social service orientation, which would present expansion and long-term profitability.
• Financial Assistance: There are government schemes of financial assistance for franchise schemes in which the initial investment costs are subsidized by the government through grants or subsidized loans.

Long-term Benefits and Social Impact

Government Licenses can also serve national interests such as development, by offering basic services such as low-cost medicine, postal service,s or digital services. Through investing in these franchises, the entrepreneurs help in the social good and the growth of society, besides getting a stable income through services that are consistently in demand.

List of  Government Franchises in India:

1. India Post Franchise

India Post franchise is a business model initiated by the Department of Posts, which would enable individuals or small businesses to collaborate with India Post to deliver postal services where a full-fledged post office would not be viable. Franchisees are also able to sell postal products, book mail, offer retail service, and promote philately under this scheme on behalf of India Post.

It also provides a chance for businesspeople to generate a stable revenue, as well as provide the community with the necessary services supported by the government.

Advantages

• Supported by a reputed brand like India Post.
• Government-supporting low-risk business.
• A consistent amount of demand in post and courier services.
• Extra revenues by means of selling retail and payment of bills.
• A chance to develop in rural and semi-urban regions.

Investment-Start-up costs are very minimal, usually ₹5,000-₹10,000 security deposit and establishment.

Profit

• Earning on a commission basis, franchisees get ₹2 to 5 rupees per transaction (such as booking speed post, registered post, etc.) and 20 percent of commission on the sale of postal stationery and philately articles.
• Profit may lie between ₹8000-₹50000 per month, according to the location and the volume of transactions.

2. Bharat Petroleum Corporation Limited (BPCL)

Bharat Petroleum Corporation Limited (BPCL) is a government-owned oil and gas company that is among the most successful Fortune 500 companies in India. Headquartered in Mumbai, BPCL is engaged in refining, marketing, distribution, and retailing of petroleum products, including petrol, diesel, LPG, lubricants, and aviation fuel.

With large refineries at Mumbai, Kochi, and Bina, and a vast chain of fuel stations across India, BPCL also operates through Government Franchises, making its services widely accessible. The company plays a vital role in ensuring fuel security in India while driving clean energy, renewable projects, and digitization in fuel retailing.

Advantages of BPCL

• Stability and trust are guaranteed through strong government support.
• Many retail networks of more than 20,000 fuel stations in India.
• Mixed portfolio in fuel, gas, lubricants, and renewable energy.
• Regular profits and dividends to the investors.
• Global presence is enhanced by strategic alliances and joint ventures.

Investment in BPCL

• BPCL frequently invests in the expansion of refineries, green energy, and digitalization.
• The 21st Century Company has also invested in clean energy and EV charging stations, as well as biofuels, to keep up with the times.
• BPCL shares in the NSE and BSE enable retail investors to invest.

Profit of BPCL

• BPCL is always one of the most profitable Indian state corporations.
• BPCL showed a net profit of more than  ₹26,800 crore in the FY 2023-24, which was boosted by good refining margins and good retail sales.
• It has good dividend payouts, hence appealing to the long-term investors.

3. Indian Oil Corporation Limited (IOCL)

Indian Oil and Gas Corporation Limited (IOCL) is the largest state-owned oil and gas corporation based in New Delhi, India. It is a Fortune 500 corporation that is involved in the refining, transportation of petroleum products through the pipeline, marketing, and exploration and production of crude oil, natural gas, and petrochemicals.

IOCL has a large network of refineries, pipelines, and fuel stations in India, which makes the country secure in terms of energy. Having a well-supported government and diversified portfolio, the company is very relevant to the economic development and energy requirements of India.

Advantages of IOCL

• Supported by the Government of India (Navratna PSU), which guarantees stability and reliability.
• The biggest fuel distribution and marketing chain in India.
• Engages in a number of businesses such as refining, petrochemicals, natural gas, and renewables.
• Well-established brand reputation and consumer confidence.
• Contributed greatly to the energy security of India.

Investment

• Traded in NSE and BSE; retail and institutional investors.
• Stocks that pay dividends and are on a steady basis.
• Supported by a long-term increase in energy demand and the government’s backing.

Profit (FY 2023–24 Approx.)

• Revenue: ₹8.94 lakh crore+
• Net Profit: Around ₹39,000 crore
• High cash flows and high dividend payouts.

4. Common Service Centres (CSC)

Common Service Centres (CSC) are online service centres established through the Government of India’s Digital India initiative to provide various important government utility services, such as social welfare, public health, education, finance, and agriculture, especially in rural and remote regions.

These CSCs are often considered Government Franchises that enable accessibility, transparency, and affordability of services through intermediaries between the government and citizens, known as Village Level Entrepreneurs (VLEs).

Advantages of CSC

• Makes government and non-government services readily available in villages.
• Enhances digital and financial inclusion.
• Creates self-employment among the rural businesspeople.
• Manages time and travel expenses among citizens since the services are provided within the locality.
• Helps in rural development by the use of e-governance.

Investment in CSC

The entry cost is approximately rupees 1-1.5 lakh for infrastructure such as a computer, printer, scanner, biometric device, internet, and furniture.

Profit from CSC

It stands at 15,000 to 40,000 on average monthly in profit, depending on the location, services, and the kind of customers that have been served in the business.

5. Pradhan Mantri Jan Aushadhi Kendra (PMJAK)

The pharmacies provide branded drugs at prices that are far cheaper than those of generic versions.  Due to huge sales volumes and state-sponsored subsidies, franchisees can maintain lucrative margins of 15% to 20% when offering low-priced pharmaceuticals.  Government franchises in the healthcare industry in India are expanding at a rate of 25–30% annually as a result of growing health service awareness across the country.  After eight to ten months of operation, the majority of these pharmacies turn a profit. 

 Government programs aimed at lowering healthcare costs have increased public knowledge of these facilities and enhanced their legitimacy.  The business offers clients over 1600 pharmaceuticals and surgical supplies at discounts ranging from 50% to 90% off established market rates.

Advantages of PMJAK

• Offers quality medicines at 50-90% reduced cost compared to brand-name medicines.
• Enhances healthcare access both in rural and urban regions.
• With the assistance of the government in terms of financial aid and medicine provision.
• Assists in minimising the medical bills of families.
• Self-employment and entrepreneurship opportunity.

Investment for PMJAK

• Start-up costs are approximately ₹2.5-₹3 lakhs (primarily shop setup, furniture, computer, etc.).
• The government offers up to ₹2.5 lakhs in financial aid in the form of medicine and incentives.

Profit in PMJAK

• The retailers receive a 20 percent profit margin on medicines distributed by PMBJP
• There is also a 15 percent incentive (maximum of ₹15,000 a month) on sales to encourage viability.
• The monthly profit will be based on location and sales, and it is approximately ₹30,000-₹60,000 or more in case of high footfall.

Looking to explore more business opportunities? Check out these franchises in India:

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• Domino’s Franchise Cost

6. Mother Dairy Franchise

Mother Dairy Franchise is among the best-established and admired dairy and food brands in India, which deals with milk, ice creams, dairy products, fruits, vegetables, and other packaged foods. Entrepreneurs will have a great opportunity to open a franchise of Mother Dairy, because the company already has a good name, loyal customers, and high demand for its products in India.

Franchisees can operate a profitable business with a comparatively low risk with the aid of the company in the sphere of supply chain, branding, and marketing.

Advantages

• Well-developed brand and customer trust.
• Huge product variety (milk, ice cream, dairy, frozen products, fruits, and vegetables etc.)
• The company has provided continuous supply chain and logistics support.
• Daily needs products that result in high customer traffic.
• Mother Dairy training and marketing support.

Investment

• Initial price:  ₹5- ₹10 Lakhs (approximately).
• Space required: 500 to 1000 sq. ft. in an outstanding location.
• Many models do not have a franchise fee, just a security deposit and infrastructure cost.

Profit

• Profit margin average on products: 20-25% on products.
• Monthly revenue:  ₹500000-  ₹1500000 (according to the place and the level of sale)

7. Life Insurance Corporation of India (LIC) Franchise

The Life Insurance Corporation of India (LIC) is the biggest government-owned insurance corporation in India, and it provides individuals with opportunities to collaborate as agents or through Government Franchises to sell its wide range of insurance products, including life policies, term plans, and investment-related plans.

By joining LIC as an agent or franchise holder, one can use the established LIC brand and have access to the LIC customer base, besides receiving commissions on the policies sold. This model has been particularly favored as LIC is a household name that has high credibility, thus finding it easier to win the trust of clients and create a sustainable business.

Advantages

• Good brand image and government support.
• No requirement for heavy infrastructure or office setup.
• Flexible working hours and the chance of being a self-employed.
• Great earning potential, commissions, and renewals.
• Training and assistance given by LIC.

Investment

• Extremely low investment (registration, training, and basic office establishment is required, in many cases).
• Typically ₹5,000 -₹25,000 rupees, depending on the setting and location.

Profit

• Income Commission-based income, based on 25-35 percent of the initial year’s premium.
• The subsequent-year renewal commissions (to a maximum of 7.5%10% )
• The profit per month may vary between ₹30,000 and ₹1,00,000 and above, depending on sales.

8. Khadi and Village Industries Commission (KVIC) Franchise

The Khadi and Village Industries Commission (KVIC) franchise is a state-sponsored organization with the Ministry of Micro, Small, and Medium Enterprises (MSME) with the target of providing rural jobs and self-reliance by the sale of khadi fabrics, village industry products, and natural goods. 

As a KVIC franchisee, an entrepreneur has a chance to collaborate with the government to market environmentally friendly, hand-spun, and handcrafted products that have both a cultural and a commercial significance. KVIC is already a well-established brand, so franchises have an established demand, governmental assistance, and popularity in the country.

Advantages

• MSME Government support and recognition.
• Good brand value and organic original products.
• Large selection of products: khadi clothing, herbal, honey, cosmetics, handicrafts, and so on.
• Demand is rising as a result of the rising consciousness of sustainable living.
• Training and mentoring by KVIC.
• Customers have high trust in the products as they are quality certified.

Investment

About ₹5 lakh -₹10 lakh (depending on the size and location of the stores).

Profit

The profit margin usually lies between 20 and 30 percent and more because of the high demand and festive/fashion periods.

9. Indian Railways Station Retail Outlets

The Indian Railways Station Retail Outlets is a commercial area that is offered in railway stations where brands, businesses, and other entrepreneurs can install shops, kiosks, or food stalls to serve the colossal foot traffic of passengers who commute on a daily basis. These points of sale may be food carts, bookstores, pharmacy counters, branded retail outlets, and convenience shops, among other things.

 They are operated under the Indian Railways catering and commercial policy, and it will be a golden opportunity for businesses to access a ready market of millions of travelers per day. These outlets are turning out to be one of the most lucrative franchise and retail chains in India with low marketing cost (because of their direct visibility at the stations) and consistent demand.

Advantages

• Good and steady foot traffic due to day-to-day passengers.
• Assured publicity at no high cost of marketing.
• Both small kiosk and big brand outlet opportunities.
• A large range of business categories permitted (food, FMCG, pharmacy, etc.).
• Under the Indian Railways trust.

Investment

• Small kiosks: ₹5–₹10 lakhs (approx.)
• Mid-size stalls/outlets: ₹10-₹25 lakhrs (approximately).
• Deeper branded stores: ₹25 lakhs -₹50 lakhs and more, based on brand and location.

Profit

• Average profit margin: 15 percent to 40 percent (subject to product/service).
• The monthly income is between ₹50,000 and ₹5 lakhs and above, based on the size and location of the station as well as passenger traffic.

10. Bharat Sanchar Nigam Limited (BSNL) Retail Franchise

BSNL Retail Franchise, one of the recognized Government Franchises, is an entrepreneurship business of the BSNL, a Government of India-owned telecommunication company, wherein people or business enterprises have an opportunity to partner with BSNL in selling its products and services, such as SIM cards, prepaid and postpaid connections, broadband, fiber, and recharge vouchers.

Being a franchisee, you become a qualified BSNL retailer, where you earn commissions on the sales and services with the help of the well-established brand trust of BSNL in India. This model will ensure that BSNL is able to increase the number of customers, but franchise partners will have a reliable and stable source of income.

Advantages

• Good relations with a reputable Government brand.
• Large product range (SIM, broadband, FTTH, recharges).
• BSNL training and support.
• It is in high demand both in urban and rural regions.
• Minimal risks anda  stable customer base.

Investment

Minimal capital:  ₹50,000 to ₹ 200,000 (according to the location, the size of outlets, and services provided).

Profit

• Monthly income: an average of  ₹20,000- ₹50,000+, based on the volume of sales.
• Commission-based income (normally 3-10 percent on various services/products).
• The profitability is higher in locations where there is a high demand for internet and mobile services.

11. State Bank of India (SBI) Customer Service Points (CSP)

Customer Service Point (CSP) Customer Service Point (CSP) Customer Service Point (CSP) is a banking point of sale that is operated by individuals and small companies as representatives of State Bank of India (SBI) to provide basic banking services where full-fledged branches do not get established. 

The CSPs allow customers to open bank accounts, deposit cash and withdraw cash, transfer money, check balance, get passbooks updated, pay utility bills, and get direct benefit transfers (DBT) under the government schemes. This model assists in financial inclusion through the accessibility of the rural and semi-urban population with convenient and cheap banking services.

Advantages of SBI CSP

• Financial inclusion assistance in the rural and semi-urban regions.
• Less expensive means to offer banking services.
• Commissions on each transaction (withdrawal, deposit, opening of an account, etc.).
• Supported by an association with the largest bank in India, SBI.
• Panel to serve other services such as bill payment, insurance, and loan applications.

Investment in SBI CSP

• Initial investment:  ₹1.5 – ₹2 lakhs (shop setup, computer, biometric device, internet, furniture, and working capital).
• Depending on the service provider, a security deposit may be demanded.

Profit from SBI CSP

• Mean earnings per month:  ₹25,000-  ₹60,000 and vary based on the number of customers and transactions.
• The income is added by commissions on opening accounts, transactions, DBT, payment of bills, and other services.

12. Ayushman Bharat Kendra – Health and wellness centers

Ayushman Bharat is a government initiative that came into being in 2018 under the name Ayushman Bharat Kendra. These centers, often seen as part of Government Franchises in the healthcare sector, work towards strengthening primary healthcare by transforming existing sub-centers and Primary Health Centers (PHCs) into fully functional HWCs.

They provide comprehensive services including maternal and child healthcare, management of non-communicable diseases (like diabetes, high blood pressure, mental illnesses, dental problems, geriatric care), along with basic healthcare provision and diagnosis.

The emphasis is on the preventive, promotive, curative, and rehabilitative care at the grassroots level to make the care affordable and accessible to everyone, particularly in the rural and underserved communities.

Advantages

• Offers quality and low-priced healthcare at the community level.
• Covers preventive, promotive, and curative healthcare.
• Complimentary vital medications and screening.
• Lessens out-of-pocket costs for patients.
• Endorses the Universal Health Coverage and enhances the health of the people.
• Provides a job to medical workers.
• Assistance during early chronic disease detection and management.

Investment

• Primary government expenditure of infrastructural modernisation (around  ₹17- ₹20 lakhs per HWC).
• The government finances most of the cost of medical equipment and necessary drugs, IT systems, and staff salaries through Ayushman Bharat.

Profit / Returns

• It is not a profit-driven model (as it is a government project), however, indirect benefits are:
• Better health in the community brings about economic effectiveness.
• Less pressure on the secondary and tertiary hospitals.

Tie-ups and supply chain opportunities with the private partners (pharma, diagnostics, IT solutions).

The creation of local jobs in the form of doctors, nurses, and health workers.

How to Apply for a Government Franchise?

To apply for a government franchise, follow these broad steps that are typical of the majority of government franchise schemes:

• Check the scheme of franchising that is of interest to you by accessing the official government site to get the specifications and requirements of the scheme.
• Make sure that you are matching the eligibility requirements, like location, educational qualification, and minimum investment
• Collection of all the required documents, such as identification proofs (Aadhar, PAN card), address proof, bank account proof, educational certificates, proof of investment, and any other mandatory business proposal.
• Complete the application form via the internet or hand it in at the respective government office.
• The government officials can inspect your proposed franchise location to ensure that it is suitable and compliant.
• You shall be trained and assisted by the government on how to start up and run your franchise upon approval.

Tips for Applying

• Always make an application using official government websites to evade fraud.
• Always have scanned copies of all documents in case of an online application.
• Make sure that where you are, there is high footfall and accessibility, as this enhances approval.
• Other opportunities (such as CSC, Jan Aushadhi, Ayushman Bharat Kendra) can focus on rural or semi-urban applicants.

Documents Required for Most Government Licenses

Most government franchises usually require documents that will include:

• Identity proof: Aadhar Card and PAN Card.
• Proof of address 
• Bank account proof
• Tertiary qualification certificates.
• Evidence of investments (where necessary)
• Business proposal (where necessary)
• Other licenses and registrations can be needed depending on the type of franchise, e.g., a trade license, GST registration, drug license, or FSSAI license in certain fields.
• The common legal documents in franchising are the Franchise Proposal and Franchise Disclosure Document (FDD).
• Financial reports and business registration papers might also be required.

These documents guarantee identity verification, legal requirements, financial ability, and readiness to do business in a government franchise. The precise documentation might differ a bit depending on the scheme of franchises or the government department in question.

‍Conclusion

The government franchises are a special mix of brand recognition, social contribution, and business opportunities that make money in such areas as postal services, medical care, dairy, and Internet access. Through the option of government franchise, would-be entrepreneurs are in a position to use the goodwill of the people, as well as play a role in providing the much-needed services in their societies.

 It is India Post, Bharat Petroleum, CSC, or Mother Dairy, and these franchises can offer a consistent basis of success with the prospect of growing at scale. Launching a government franchise is not only a business move, it is a move towards building the nation and inclusive development. Take advantage of such opportunities in the present day and join an expanding ecosystem that empowers the business and society.

FAQs

1. What is the advantage of investing in a government franchise?

Government franchises are associated with an inbuilt brand reputation, reduced business risks, access to government resources and training, predictable revenue streams, and in most cases, have a social contribution to the population by offering basic services to the community.

2. How does a government franchise cost to invest in?

The amount of investment is different according to the type of franchise. India Post franchise can take as low as 5000, and franchises such as the CSC or Mother Dairy can be as little as 1.5 lakh to 10 lakh or even higher.

3. What is the average profit margin of a government franchise?

The profit margins are between 15-22 percent based on the type and location of franchise, commissions, and service fees are the largest sources of revenues.

4. How do I solicit a government franchise?

Applications are usually done by fulfilling the eligibility conditions, ensuring the provision of relevant documents, and applying by using the relevant government portals. As an example, free CSC applications are done through register.csc.gov.in, and India Post franchise through the official site.

5. Do government Licenses work in rural areas?

It is true, however, that there are several government Licenses, such as CSC and India Post, which are specifically targeted to rural and underserved regions, and they serve to bridge the gap between urban and rural regions by providing the necessary services.

6. What type of training and assistance is given?

The government Licenses usually have training modules, technological assistance, and operational guidelines to guide the franchisees to conduct their business effectively and to keep pace with the government initiatives.

7. Do the government Licenses make any profit, and are they sustainable?

These franchises are also likely to have solid and sustainable business models that are long-term in growth due to their core nature, government support, and mounting digitalization.

8. Which future trends are impacting the government franchises?

Among the trends are digital change through online services, emphasis on more partnerships between the government and the private sector, rural development, sustainability, and the increase in technology use in service delivery.