Lassi is a traditional Indian food, but the times have changed, and the simple lassi wallah has become a lassi franchise business that is everywhere! The lassi shop franchise has become a thriving business among India’s growing Quick Service Restaurant (QSR) market, which has enjoyed a meteoric rise in recent times, as India remains the hottest summer country in the world, with the season lasting for seven months in several regions and maintaining lassi’s demand almost year-round.
This constant demand for the lassi drink, combined with the trend of giving preference to traditional drinks over the carbonated ones, has turned the idea of a lassi wallah franchise into a well-to-do venture. At the same time, the small-sized business’s low costs are the perfect first step for a new entrepreneur.
In this article, we will explain everything you need to know about the Lassi Shop Franchise Cost, from investment and profit margins to the exact steps for opening your own outlet in 2026.
The Booming Popularity of Lassi and the Business Opportunity in India
Lassi, the classic yogurt-based drink, is a cultural staple whose popularity is exploding because of India’s lengthy summers, increasing health awareness, and the trend of organized retail. Such a rise in need turning a lassi shop brand franchise into a high-growth, lucrative business in the Quick Service Restaurant (QSR) sector.
Here is a statistical overview of the Indian lassi market and the business growth it represents:
| Category | Latest Data |
| Total Lassi Market Size | ₹56.03 billion |
| Projected Market Size | ₹245.7 billion |
| Market CAGR (Forecast) | 16.96% |
| Alternate Market Size Estimate | ₹39.5 billion |
| Alternate Forecast Size | ₹120.5 billion |
| Alternate CAGR | 20.15% |
| Consumption Growth (Urban Packaged Lassi) | 18–22% YoY increase |
| Seasonal Demand Surge | 35–40% higher in summers |
| Top Consumer Segments | Youth, office-goers, families |
| Top Selling Formats | Flavoured, probiotic, ready-to-drink |
| Average Lassi Shop Setup Cost | ₹8–12 lakhs |
| Average Lassi Shop Revenue | ₹2–4 lakhs per month |
| Profit Margin in Lassi Beverage | 60–70% |
| Fastest-Growing Chain Example | Lassi N Shakes – 140+ outlets |
| Key Growth Drivers | Health focus, flavour innovation, dairy expansion |
Why Choose a Lassi Shop Franchise?
Choosing the Lassi Shop franchise means making a tactical decision that can bring you several benefits in comparison with an independent start-up business. Here are some reasons for choosing it:
- Established Brand Recognition: You immediately get to use a well-known brand name with over 500 outlets across India, giving you instant customer trust and reducing the effort needed for initial marketing.
- Low Investment, High Return: The business model is built on a comparatively low investment of around ₹10-20 lakhs, which is a significant amount when compared to other QSR concepts. Besides, license holders often speak of a high-profit/run rate that may increase up to 60% of sales volume, resulting in a swift ROI (8 months to 2 years) time frame.
- Minimal Operational Complexity: This business is a breeze to handle, as the main emphasis is on drinks and light foods. Even more, the franchisor takes care of the full support, including staff training, supply chain links, and initial setup provision.
- Year-Round Demand: Lassi is an all-year drink, especially during the extended Indian summer, which makes the business highly resistant and able to provide steady income.
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Top Lassi Shop Franchises in India
1. Lassi Corner
Lassi Corner has become a strong and scalable franchise model in the fast service segment of the beverage industry, with more than 400 outlets to its credit. One of the brand’s USPs is that it provides different formats, such as small takeaway, cafe, or full-fledged shop, which gives the freedom of investment amount and space to the entrepreneurs. Also, Lassi Corner extends full support, like interiors, machines, and promotion, hence it is an option-friendly for beginners. In addition, some of their brands, like MyChai Stories, are used in co-branding, thereby increasing the possible revenue channels for the business.
- Investment Needed: ₹4.75 Lakhs – ₹10 Lakhs (significantly depending on the model, with the Take Away model being the lowest at ₹4.75 Lakhs – ₹5 Lakhs).
- Profit Margin: Profit margins typically range from 35% to 40%
- Link: https://www.lassicorner.com/
2. Lassi Shop
Lassi Shop, the focus of this write-up, brings forth a neat combination of the classical and the latest features for the typical Indian drink. The brand has gone from zero to more than 500 franchises in 8 years by putting its primary focus on health, freshness, and the realness of lassis and mocktails. Besides, the brand is willing to offer a reliable business model with strong brand recognition. Furthermore, the company’s good quality and low price policy appeal to a broad audience, thus making the Lassi Shop franchise a sure win.
- Investment Needed: ₹10 Lakhs – ₹20 Lakhs (includes franchise fee and setup costs).
- Profit Margin: A lassi shop can be very profitable, with potential profit margins as high as 60% to 75-80%.
- Link: https://www.lassishop.in/
3. Lassi Day Cafe
Lassi Day Cafe redefines the traditional lassi experience through a combination of a modern cafe concept. The brand is positioned as a “Quick Service Café” that emphasizes fresh, healthy, and hygienic lassi and mocktails, thus providing a healthy alternative to carbonated drinks. Besides that, Lassi Day Cafe is a zero-royalty brand, which is a significant advantage for a potential franchisee who wants to maintain a low operational cost. Moreover, the lifetime agreement period provides the franchise owner with excellent stability and long-term safety.
- Investment Needed: ₹6.5 Lakhs – ₹7.5 Lakhs (including the franchise fee and the complete setup for the QSR model).
- Profit Margin: Estimated profit margin of around 30%, and some sources claim it can be as high as 50%.
- Link: https://lassidaycafe.com/
4. Keventers
While Keventers is primarily famous for its iconic milkshakes served in glass bottles, it competes directly in the dessert and beverage space and offers products like thick shakes, which share a market with lassi. Founded in 1925, Keventers has a brand appeal of the past and nostalgia that attracts customers of all ages. The company has various formats, such as kiosks and standalone cafes, which make it very flexible for different kinds of locations with a good footfall of people. Besides, Keventers is a full-fledged pitch for a beverage franchise with the brand providing its guest partners ample marketing and operational support.
- Investment Needed: ₹20 Lakhs – ₹30 Lakhs (for a regular walk-in store, more than pure lassi brands due to the brand value and setup).
- Profit Margin: Net profit margins are estimated at 15-20% and a payback period of 1-2 years for franchises
- Link: https://www.keventers.com/
5. The ThickShake Factory
The brand has positioned itself as a leader in the cold beverage and dessert industry with an emphasis on a broad variety of gourmet thick shakes and only a few allied products that directly compete with the lassi shop franchise segment. While The ThickShake Factory is primarily focused on the southern states of India, where it has established a strong presence, the company is gearing up for rapid expansion. Besides, their extensive menu attracts the younger generation as well as those who crave indulgent dessert treats. Moreover, the company offers comprehensive training and has a robust supply chain to ensure consistent product quality in all its outlets.
- Investment Needed: ₹20 Lakhs – ₹30 Lakhs (including a franchise fee in the range of ₹5 Lakhs to ₹7 Lakhs).
- Profit Margin: 15% to 25% net profit margin
- Link: https://www.thethickshakefactory.com/
How to Get a Lassi Shop Franchise: Step-by-Step Process
Obtaining a Lassi Shop franchise is a simple journey that is planned to facilitate your prompt commencement. Here are some steps to follow:
- Visit the Official Website: The first step would be to visit the official website: https://www.lassishop.in/ of the Lassi Shop.
- Find the Application Form: Look for “Click here to set up your own Lassi Shop” or the franchise inquiry section.
- Complete and Return the Form: Fill in all the details that are required, including your contact details, preferred location, and an estimate of your financial capability. Verify that all the information you have provided is correct.
- Initial Contact and Meeting: Lassi Shop personnel will assess your application and get in touch with you to set up a meeting to talk more about the opportunity.
- Agreement Signing: If you meet the requirements, the next step will be signing the official franchise agreement, which usually lasts 3 to 5 years.
- Payment and Setup: The franchise fees and other initial investment costs will be remitted by you. Following that, the franchisor will start offering site selection, shop design, and staff training support.
Required Area and Staff:
- Space Required: A retail outlet of 150 Sq.ft – 200 Sq.ft located on the ground floor with good visibility is ideal.
- Staff: It is estimated that about 2 to 5 personnel will be enough. The brand will provide training for them.
Lassi Shop Franchise Cost Breakdown 2026
Here is a detailed cost breakdown:
| Component | Estimated Cost (INR) | Details |
| Total Investment | ₹10 Lakhs – ₹20 Lakhs | This overall investment range is crucial, as costs fluctuate based on location and the required store size. |
| Franchise Fee | ₹2.5 Lakhs – ₹3.5 Lakhs | The one-time upfront fee for securing the rights to operate under the Lassi Shop franchise brand name and receive initial support. |
| Setup/Infrastructure Cost | ₹5 Lakhs – ₹8 Lakhs | This covers expenses like interior construction, exterior signage, and all necessary furniture and fixtures. |
| Equipment Cost | ₹3 Lakhs (Approx.) | For purchasing essential items such as blenders, deep freezers, refrigerators, and dispensing units. |
| Initial Inventory | ₹2 Lakhs (Approx.) | The amount needed to purchase the initial stock, ingredients, and packaging materials for the first few months of operation. |
| Working Capital | ₹5 Lakhs (Approx.) | To cover immediate operational expenses, including employee salaries, rent deposit, and utilities, until the business generates positive cash flow. |
Profit Margin and ROI of Lassi Shop Franchise
The Lassi Shop franchise profit arrangement is very appealing; thus, it can be considered as one of the most profitable business projects.
- Profit Margin: The brand allows a profit margin of between 35% and 50% of the sales, which is a nice return for a beverage business.
- Monthly Revenue Potential: The location of a Lassi Shop outlet in a good area can bring about a monthly revenue of ₹3 Lakhs to ₹5 Lakhs.
- Monthly Profit: The margins mentioned will enable a franchisee to make a monthly profit of ₹1.5 Lakhs to ₹2.5 Lakhs easily.
- Royalty Fee: The royalty fee charged to you is 5% of the monthly sales or a minimum of ₹5,000, i.e., you need to pay whichever is more.
Besides that, with the planned Return on Investment (ROI) period of 8 months to 2 years, it is indeed a bright financial prospect for a franchise holder.
Pros and Cons of Lassi Shop Franchise
Before deciding to put money into a franchise, it is necessary to weigh up its good and bad features.
Pros:
- Established Brand and Instant Customer Base: You get instant market recognition with over 500 successful outlets, meaning customers already know and trust the Lassi Shop franchise brand, reducing your initial marketing burden significantly.
- Affordable Investment: The capital needed is not that high and usually fluctuates between ₹10 Lakhs and ₹20 Lakhs, which is a much lower entry point in comparison with numerous other fast food businesses in India.
- Possibility of a High-Profit Margin: The costs of the raw materials (milk, fruit) are low compared to the selling price, and that is why the franchisees can gain an extremely attractive profit margin, which may go as high as 50% on each sale.
- Full Operational Support: The company is there with a complete support system, which includes employee training, locating assistance, and providing you with a steady supply chain customer base; thus, the business is more manageable for new owners.
- Small Space Requirement: The business model is designed in such a way that it can be done in a small area of 150 to 200 square feet efficiently. Besides, this makes it accessible to the high-traffic areas such as malls or busy streets, which are suitable for commercial purposes.
Cons:
- Significant Seasonal Sales Fluctuation: The requirement of cold drinks such as lassi drastically increases during the long, hot summer period. Nonetheless, sales can go down significantly in winter and rainy seasons, hence the need to introduce hot items to keep the cash flow steady.
- Compulsory Royalty Fee Lowers Net Profit: The lassi shop franchise imposes a non-negotiable royalty fee of 5% of your gross monthly sales, which is a direct deduction from your profit margin every single month, irrespective of your business performance.
- Fierce Local Competition: You will face tough competition from both organized players and local, inexpensive juice and street food vendors. Furthermore, the simplicity of the product means local rivals can quickly copy popular items.
- Franchisor’s Decision-Making Limits Local Flexibility: You are required to follow the franchisor’s menu, pricing, and ingredients strictly. Besides, this reduces your flexibility in quickly changing your offerings or starting promotions based on the specific local market trends or competition.
- Reliance on Fresh Ingredients: The company is very dependent on the quality and freshness of the dairy and fruit that must be sourced. Furthermore, any disruption in the supply chain or problems with the quality of the local product may result in customer complaints, and hence, the reputation of your lassi shop franchise will be tarnished.
Conclusion
The Lassi Shop franchise is a tasty and brilliant idea that can help the Indian beverage market grow further. With the low initial investment, strong brand name, varied product offerings, and good profit margins, the franchise is definitely a tempting choice for new entrepreneurs. Also, the Offers supported by the company make setting up and running the business very easy. In addition, the commitment to providing healthier options positions this lassi shop franchise as a viable business for tomorrow. We consider this an opportunity that integrates tradition with modern business sense.
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FAQs
How much investment is required for a Lassi Shop franchise?
A Lassi Shop franchise comes at a total investment cost of between ₹10 Lakhs and ₹20 Lakhs, which is inclusive of the franchise fee and setup expenses.
Is Lassi Shop a good business to start with a franchise?
Yes, it is a perfect business, and in fact, a franchisee holder can usually earn from 35% to 50% profit margin on their monthly sales.
What is the Franchise Fee of Lassi Shop?
The one-time franchise fee for obtaining the rights and support of the lassi shop franchise brand is between ₹2.5 Lakhs and ₹3.5 Lakhs.
What is the Royalty Fee of the Lassi Shop franchise?
The company Lassi Shop imposes a 5% royalty fee on monthly sales or ₹5,000 per month, whichever is higher.
What is the Franchise Agreement Term of the Lassi Shop franchise?
The typical franchise agreement term for the franchise is between 3 and 5 years, with an option to renew it.
How much space is required to set up the franchise of Lassi Shop?
The setup of the franchise outlet requires an area of around 150 to 200 square feet, which is most suitable for a ground-floor location.
How fast can I recover my investment in a Lassi Shop franchise?
Usually, the Return on Investment period for the franchise is relatively short and ranges from 8 months to 2 years, according to the location and sales performance.