If you want to start your own business backed by solid support, then government franchises are the right choice for you. They are not just some startup; they are partnerships with the government, backed by official programs to help spread healthcare, food, and digital help across the country. When you partner with a government-backed entity, you get two massive advantages: Trust and Demand.
These franchises come with low barriers to entry, offer training, and a built-in customer base, perfect for small businesses. The government uses this as an opportunity to create jobs, boost local economies, and offer a steady income stream. In this article, we will explore some of the best government franchises in India, their advantages, potential profits, and the required investment.
This common service centre model is one of the most successful franchise models in India, typically in rural or semi-urban areas. It opens a local space, where people can take care of online government services such as utility bill payments, Aadhar updates and scheme applications. It is the backbone of the “Digital India” initiative, focused on making tech accessible to everyone, especially in rural areas. A CSC operator helps citizens access government services online.
Advantages: This is a low-cost and low-risk entry model. The government provides training, software, and even loans through banks. You get official branding that builds instant trust, and it’s flexible. You also get to contribute to the country by bridging the digital divide.
Profit Margin: Earnings are derived from commission on services, usually 15-22% transaction. You should also be able to make Rs 25,000 to 50,000 a month after paying for electricity and internet.
Total Investment: Rs 1-2 lakh on a computer, printer, and setup.
Eligibility: You must be over 18 and have passed the 10th standard. You need to register on the official CSC portal.
This is the program made by the government to make healthcare more affordable. A Jan Aushadhi Kendra is a store that sells medicines at prices often 50-90% cheaper than other medical stores. Under the Prime Minister’s scheme, it’s designed to cut medicine costs and help low-income families save significantly on medications without compromising quality.
Advantages: The stock comes directly from the government, eliminating concern about sourcing or counterfeits. You receive marketing support and a built-in customer list.
Profit Margin: 15-30% on sales. In a crowded area, the earnings could be between Rs 40,000 to over Rs 1 lakh every month.
Total Investment: What you’ll need is an upfront of Rs 2-5 lakh for inventory, shelves and shop.
Eligibility: You need to either be a Pharmacist (B. Pharma/D. Pharma) or employ a helper with a pharmacy qualification in your shop.
This is the country’s largest mail system, and its franchises let you run a mini post office. They sell stamps, handle money orders, and even offer savings accounts. Franchises of India Post Commerce have a huge postal network, even reaching some neglected areas. This franchise model is perfect for an individual who has a grocery shop, stationery shop or internet café.
Advantages: It has government backing, so everyone in India knows it, saving marketing costs. They give you tools and training, so you’re not starting from scratch.
Profit Margin: 15-22%, Commission-based income; most franchisees earn Rs 20,000 per month, and it keeps growing with added services.
Total Investment: Extremely low. You need a security deposit of a minimum of Rs 5,000 and a standard shop counter.
Eligibility: You must be over 18 years old and have passed the 8th standard.
This franchise allows you to become an Authorised Rail Travel Service Agent (RTSA). When individuals book a ticket for themselves, they have limits. Being an Agent lets you book railway tickets for customers from your shop or home. As an agent, you can legally book unlimited train tickets for customers, including Tatkal and waiting list tickets, without fear of legal issues.
Advantages: This business offers legal protection, as booking tickets for others on a personal ID is illegal. The demand is massive, especially during festivals like Diwali and Holi, when everyone wants to celebrate with family.
Profit Margin: You charge a service fee of Rs 20-40 per ticket. Agents in good locations and during the busy season can earn more.
Total Investment: Only on registration fees and security deposit.
Eligibility: Basic computer knowledge, a valid email/phone number, and a shop or office space.
This involves becoming a distributor for cooking gas cylinders under famous brands like Indane, Bharat Gas, or HP Gas. You are responsible for handling new connections and deliveries. You need to store cylinders in a safe godown and deliver them to households and restaurants in your assigned area.
Advantages: No competition from other companies. The demand is constant because every household needs a refill every month. It offers a good commission structure.
Profit Margin: You earn a fixed commission per cylinder. A standard agency can earn between Rs 50,000 to Rs 2 Lakhs per month depending on the number of customers.
Total Investment: Rs 10 Lakhs to Rs 50 Lakhs based on location, which includes the cost of building a safety-compliant godown and the security deposit.
Eligibility: You must be an Indian citizen, 21-60 years old, 10th pass, and own land suitable for storage.
It is a government cooperative welfare society that provides daily essentials and grocery items at reasonable prices. While they mostly operate their own stores, they have models where they run under the Ministry of Personnel, Public Grievances & Pensions. They sell high-quality groceries at reasonable rates, mainly to government employees.
Advantages: It is known for high quality and is backed by the government, earning it a loyal customer base. It is not just about retail; these franchises often get opportunities to supply items in bulk to government offices, which keeps prices low and margins decent.
Profit Margin: Margins vary based on the grocery products sold, typically 10-20
Total Investment: Approx. Rs 5–12 lakh. It depends on the size of the store and inventory.
Eligibility: Preference is often given to cooperative societies, but individuals can apply for specific partnership schemes or as suppliers.
These shops are the distribution points under the Public Distribution System (PDS). You distribute subsidised food grains, including wheat, rice, sugar, and oil, to people who hold Ration Cards. It is a business with a strong social service aspect. You are guaranteed a stable business and customer base.
Advantages: No need for marketing, the government assigns cardholders to your shop, guaranteeing customers. The business does not get affected in any way, independent of market conditions.
Profit Margin: Around 8-12% on sales. You earn a commission on the quantity of food grains distributed.
Total Investment: Extremely Low. Only shop rent, a small security deposit, and a biometric machine.
Eligibility: 10th pass, good financial standing, and no criminal record. Self-help groups and local shops get priority.
These government-backed franchises give stability, respect, and an opportunity to grow while serving your community. You can select any of them based on your budget, location, and interest areas. Also, you need to be aware of the fake websites. These franchises are popular, so scammers often make fake sites to look exactly like government portals and ask you to transfer “registration fees.”
You should keep in mind that the government rarely asks for large sums of money via online transfer without a formal verification process. Always check the website URL. It should end in .gov.in, .nic.in, or other official corporate domains. In this article, we saw some of the franchises offered by the government of India.
A government franchise is a business opportunity supported or authorised by a government department or public-sector company.
No. You run the business, but the brand, rules, and support come from a government body or PSU.
Popular options include CSC centres, IRCTC Authorised-ticketing agents, India Post franchises, Jan Aushadhi Kendras, and Ration Shops.
Not always. Some need low investment, like CSC or IRCTC, while petrol pumps require higher investment.
Most require basic education, such as a 10th or 12th pass, but it varies for each scheme.
Yes, many government-approved franchises can earn good profits depending on demand and location.
You should apply only through the official websites of the respective government departments.
Yes. Avoid unofficial agents or websites. Always check the official portal.
Many provide basic training, onboarding, and operational support.
Yes, several government-supported options are beginner-friendly and easy to start.