We would like to explore the reason why this industry is flourishing before we venture into the individual brands. Cake was used over a decade ago during birthdays. The snacks of today are pastries, donuts, and savory puffs. The numbers back this up. The rate of growth of the bakery industry in India is accelerating, making a bakery franchise in India an attractive business opportunity.
The Indian bakery market will be approximately 13.8 billion as of 2024. It is expected to increase more than 2 times to approximately 31.5 billion in 2033. The compound annual growth rate of the industry is healthy at about 9.1 to 9.5%.
70% of this market has traditionally been unorganized (local, neighborhood bakeries with no brand). Today consumers have confidence in familiar brands in regard to hygiene and quality. This is where franchises win.
This change implies that it is the golden age to invest. And you are not merely starting a shop, you are entering a high growth market with already existing demand.
In today’s blog we will explore the list of top Bakery Franchise in India.
What is the Reason to invest in a Bakery Franchise?
You may question, then why pay a franchise fee? Why not begin with my own Bakery, Rahul Bakery?
It is a valid question. Owning your own brand is a free venture, yet there is a lot of risk involved. It is because a franchise is the less risky and smarter entry mode than starting by yourself:
- Instant Trust: Trust is an issue in the food business. When a client finds out about the “Monginis” or a “Theobroma” label, he or she already understands what the cake is like. With India’s bakery market touching USD 13.8 billion in 2024 and growing at a 10.9% CAGR, established brands help you sell from day one.
- Zero Guesswork: Baking is science. When you make your cake a little bit out of the mark, the cake sinks. A franchise provides an optimized formula. You just follow the manual—an advantage that matters even more as the cakes & pastries segment alone is valued at USD 4.80 billion in India.
- Supply Chain Sorting: Independent bakers can hardly receive high-quality flour, credible chocolate, and fresh cream on a daily basis. With the bakery sector projected to reach USD 31.5 billion by 2033, streamlined supply chains have become a core competitive benefit.
- Large Profitability: Bakery products are among the highest in profit margins in the food business. It is common to have a 35–50% margin on a birthday cake based on the brand, especially as demand for premium and fresh bakery items rises rapidly in 2025.
Bakery Franchise cost of starting up in India
Let’s talk about money. What is the minimum required in your bank account?
The price differs considerably when you consider the possibility of having a small takeaway kiosk in a mall or a large bakery café to have seats. This is a rough breakdown of the use of the money:
- Franchise Fee: This is the initial fee that is paid to the brand to use their name. This in India typically varies between 2 lakh up to 5 lakh in the case of low-end brands, and between 10 lakh and 15 lakh in the case of high end brands.
- Interiors and Furniture: You require display fridges, air conditioning, lighting and counters. A bakery is to appear neat and presentable. Budget ₹5 lakh to ₹10 lakh.
- Equipment: In case you are using a live kitchen (you bake on the spot), you require heavy ovens, mixers and proofers. This can cost ₹5 lakh to ₹8 lakh. When you simply sell ready-made products, the price becomes lower.
- Rental Advance: A shop in a busy street will probably be necessary. Security deposits are usually 3-6 month rent by landlords.
- Totally, licenses: FSSAI, GST, fire safety, and shop act licenses will raise approximately 50,000 or 1 lakh.
Total Estimated Investment:
- Small kiosk: ₹10 – ₹15 lakh
- Standard shop: ₹15 – ₹25 lakh
- Premium café: ₹30 – ₹60 lakh
The 10 best Bakery Franchises in India (2026)
The following are the best market leaders at the moment. We have selected them on the basis of their popularity, support and their success rates.
1. Monginis
- Founded In: 1956
- Founder: Hussein Khorakiwala (purchased the brand in 1958)
- Franchising Since: 1971
- Total Outlets: 1,300+
- Franchise Fee: ₹4 – ₹5 Lakhs
- Set‑Up Cost: ₹12 – ₹15 Lakhs (Retail Shop)
Monginis is a popular product which bakes cakes in large plants and delivers them to small franchise outlets daily. As one of the most preferred choices for anyone exploring a Bakery Franchise in India, they possess numerous products, such as Black Forest cakes, puffs, burgers, and chocolate items. The stores are not very large and primarily offer take away. Their key strength is low price, as they are affordable to almost everyone.
Why Choose This:
It is a low risk and high volume model. You do not even need a kitchen or a cook. You simply sell the cakes which are made at the factory. It is ideal to those who are new and do not want the hassle of preparing their food.
2. Mio Amore
In East India (West Bengal, Odisha) the largest name you will find is Mio Amore. It began when it broke off with Monginis, but retains the same popularity. The company was incorporated in the year 2015 (Refreezed as Monginis in East India).
- Founder: Arnab Basu
- Franchising Since: 2015
- Total Outlets: 300+
- Franchise Fee: ₹3 – ₹5 Lakhs
- Set‑Up Cost: ₹15 – ₹30 Lakhs
Mio Amore shops are busy. Long queues are quite common in Kolkata during the night. They are selling extremely low priced snacks such as chicken claws, patties and burgers and various types of cakes. The brand is centered on fresh food and value of money. The interior of the shops is plain, bright and designed in a speedy manner.
Why Choose This:
East Indian loyalty was very high. The franchisee does not lose money because the company usually repurchases unsold or expired goods (ask today), and they do not have to go to waste.
3. 7th Heaven
An industry disrupter. They popularized the concept of the Live Kitchen that allowed people to witness the baking of a cake within 7 minutes.
- Founded In: 2011
- Arjun Chugh, Karan Chugh, Sanjay Chugh are the founders.
- Franchising Since: 2013
- Total Outlets: 300+
- Franchise Fee: ₹3 – ₹5 Lakhs
- Set‑Up Cost: ₹25 – ₹30 Lakhs
7th Heaven stands out by smell. The aroma attracts customers since they are baked in the shop. Their franchise is a Kitchen Model, making it a strong choice for anyone exploring a Bakery Franchise in India. Their menu consists of 3D cakes, photo cakes, desserts, donuts, and cheesecakes. You are the one who bakes the cakes, unlike pure retail shops, and this makes it fresher.
Why Choose This:
The promise of Fresh Cake in 7 Minutes is very powerful marketing. When you are interested in being a true baker yet requires a secure formula of franchise, then this is what you desire.
4. Theobroma
The premium choice. Theobroma translates as Gods food, and to the brownie consumers, it is just that.
- Founded In: 2004
- Founder: Kainaz Messman Harchandrai
- Franchising Since: Recently increased through franchise model in selected cities.
- Total Outlets: 100+
- Franchise Fee: negotiable (high premium)
- Cost: 50 Lakhs- 1 Crore (estimate) Set-Up Cost.
Theobroma is a Parsi-family bakery, which began in Mumbai and turned into a cult hit. Their showcase product is thick, sticky brownies. The brand has the words Premium but Accessible. Their stores are attractive in pastel shades and resemble a cafe. Individuals are sitting, drinking coffee, tarts and croissants, and sandwiches.
Why Choose This:
This brand is extremely prominent among the young Indians living in urban areas, in case you have a larger budget and are willing to aim at the higher-middle-income group in the big cities.
5. Karachi Bakery
A brand with history. It is known as a fruit biscuits company and is now a complete chain of bakery.
- Founded In: 1953
- Founder: Khanchand Ramnani
- Franchising Since: Early 2000s
- Total Outlets: 100+
- Franchise Fee: ₹5 – ₹10 Lakhs
- Installation: 15 Lakh (Kiosk) to 45 Lakhs (Retail).
Karachi Bakery is famous and originally based in Hyderabad. Boxed biscuits are sold in many countries of the world, and the franchise stores sell fresh cakes and pastries, as well as snacks. They are extremely Indian and at the same time international. Their stores tend to require a lot of space since they offer numerous dry goods in addition to a fresh counter, making them a strong contender for anyone exploring a Bakery Franchise in India.
Why Choose This:
Dual income types. You make profit out of fresh cakes (have a short shelf life) and packaged biscuits (long shelf life). This cuts food waste risk.
6. Bakingo
A modern, tech‑first bakery.
- Founded In: 2016
- Founders: Himanshu Chawla, Shrey Sehgal (founders of FlowerAura)
- Franchising Since: 2018‑2019
- Number of Outlets: 75+ (primarily Cloud Kitchens)
- Franchise Fee: ₹3 – ₹5 Lakhs
- Set‑Up Cost: ₹10 – ₹15 Lakhs
Bakingo began with on-line orders and delivery. They were educated very young that 60 percent of cake orders would be through Swiggy/Zomato or websites. They have franchised with the optimization of their outlets on delivery or small retail space. They prepare good quality, high-end cakes at an average price.
Why Choose This:
Lower rent. Since they are delivery-oriented, you do not need a store on an expensive high street; a smaller interior is appropriate as long as it is delivery-friendly.
7. Winni Cakes & More
A fast expanding brand that integrates gifting with bakery.
- Founded In: 2013
- Founder: Sujeet Kumar Mishra
- Franchising Since: 2018
- Total Outlets: 200+
- Franchise Fee: ₹5 Lakhs
- Set-Up Cost: ₹10 – ₹20 Lakhs
Winni began as an online gift shop and was expanded to real bakery outlets. Their outlets are named as the Cakes and More which means that they market flowers, teddy bears and chocolates along with the cakes. This will see them become a one-stop destination in terms of birthdays and anniversaries.
Why Choose This:
The attractiveness of flowers and cakes adds to the “Average Order Value.” When a customer visits to purchase a 500 cake, he or she may get to purchase a 300 bouquet.
8. Ribbons and Balloons
Dominating force on Western India and particularly Mumbai and Pune.
- Founded In: 2005
- Founder: Satish Shetty
- Franchising Since: 2006
- Total Outlets: 100+
- Franchise Fee: ₹1.5 Lakhs – ₹3 Lakhs
- Set‑Up Cost: ₹10 – ₹20 Lakhs
Ribbons and Balloons is famous with its vivid colorful branding and great variety of fancy cakes. They find a compromise between the price of Monginis and the high-end character of Theobroma. They possess powerful central kitchen serving the outlets.
Why Choose This:
Extremely high regional presence in Maharashtra. In case you are in this region the brand recognition is automatic. The cost of entry is not that high too.
9. Danbro (Mr. Brown Bakery )
The taste of the North.
- Founded In: 2009
- Founder: Ramu Gupta
- Franchising Since: 2012
- Number of Outlets: 20+ (around UP/Delhi)
- Franchise Fee: ₹5 Lakhs
- Set‑Up Cost: ₹20 – ₹30 Lakhs
Mr. Brown makes it have a very continental touch to its bakery. They have a reputation of their cheesecakes and Italian snacks as well as conventional products. Their stores tend to be bigger, and they have seating, making them a Bakery Café.
Why Choose This:
In case you are in North India (Lucknow, Kanpur, Delhi) this brand boasts of loyal followers. They provide a higher quality menu as compared to the normal cake shops.
10. Atul Bakery
- Founded In: 2001
- Founder: Atul Vekariya
- Franchising Since: 2007
- Total Outlets: 200+
- Franchise Fee: ₹2 – ₹5 Lakhs
- Set‑Up Cost: ₹15 – ₹20 Lakhs
Atul Bakery is a household name in Gujarat and is spreading all over the world. They are known to be 100 percent vegetarian (eggless) and hence the selling point of many Indian markets. Their menu is huge that consists of cookies, breads, cakes, and Gujarati snacks.
Why Choose This:
- This is the surest bet in the market with a high number of vegetarians. Their certification as Eggless presents a massive trust point.
Low Cost Bakery Franchise (Less than 5 lakh)
It is not easy to locate a complete franchise below 5 Lakhs since equipments and interiors are money-consuming. Nevertheless, it is possible to be smart in approaching the market with a smaller budget. The following are 5 new or low-cost models:
1. Cookie ‘n’ Crème (Kiosk Model)
- Niche: Young adults and children who are fond of cookies and muffins.
- Est. Cost: ₹2 – ₹5 Lakhs.
- Reason: Low footprint translates to low rent and low interior cost.
2. The Bakers Street (West Bengal).
- Niche: low cost carry-out restaurants.
- est. Cost: 3 – 5 Lakhs (depending on the condition of the shop).
- Reason: Targets mass-market snacks with fast sales.
3. Anarsh Bakes and desserts (Vadodara).
- Niche : urban growth Tier 2/Tier 3.
- Est. Cost: ₹2 – ₹5 Lakhs.
- Reason: Newer brands usually pass over more quickly by waiving franchise fees.
4. Local Distributorship Models (Ajfan / Dates and Nuts).
- Niche: As opposed to a bakery franchise, you will be a distributor of the high-quality bakery snacks.
- Est. Cost: ₹3 – ₹5 Lakhs.
- Reason: No baking required. You simply store and market packaged products.
5. Home Bakers Network (Cloud Model)
- Idea: You do not use a shop but become members of platforms that unite home bakers.
- Price: Less than 1 Lakh (Home equipment and licensing).
- Why: Zero rent. Bake at home and sell under a unifying brand or yours.
The methods of selecting the best bakery franchise.
There are so many choices, how do you settle on the one that is right? Don’t just pick the cheapest. Use this checklist:
1. The “Egg” Factor:
Know your neighborhood. You are setting up a shop in a pure vegetarian locality (such as in some parts of Gujarat or Mumbai) then setting up a bakery with eggs on its menu is not a good decision. In this case, either select Atul Bakery or a brand that contains no eggs.
2. Production Model:
- Do you want to bake? Yes, then select a live kitchen franchise.
- Do you just want to sell? In case yes, select a brand that brings ready cakes; you simply give them out. This is much easier to manage.
3. Budget Reality:
Your budget should not be stretched to the brim. At 20 Lakhs, you need to find a franchise at 12 Lakhs. The rest of the 8 Lakh will be required as working capital (salaries, electricity) during the first six months where sales may be slow.
4. Support System:
Ask the brand: What will happen when the cake is spoiled? Good brands will suffer loss or share the loss. Bad brands make you pay on those cakes which have not been sold.
Steps to Start a Bakery Franchise in India
Ready to start? This is your roadmap on a step-by-step basis.
Step 1: Market Research (The “Reece”)
Take a week touring the place where you intend to start the shop. There are other bakeries, how many, how many. Buy a cake from them. Is it dry? Is it expensive? When you meet a gap–when you say, “the cakes here are good but too expensive,” or there are no good cheesecakes here–you have discovered your chance.
Step 2: Financial Planning
Secure your funding. Do not forget that franchise fees are only the beginning. Consider the hidden costs:
- Signage boards (often extra).
- Uniforms for staff.
- Stock of raw-materials in the first month of operation.
Step 3: Site Selection
This is 80% of your success.
- Visibility: The shop has to be visible along the road. Bakeries should not have basements.
- Smell: When you bake on-site do not forget to have someone open the door to carry the smell to the street, it is free marketing.
Parking will be included in the service: the customers purchasing a 2kg cake will require a place to park their bike or car a few minutes.
Step 4: Legal and licensing (The Dull but Necessary Stuff)
You must have these to sell a bun:
- FSSAI License– the food-safety license.
- With the GST Registration, they have to pay taxes on sales.
- Health Trade License – of the local city.
- Fire NOC – particularly where you have ovens on-site.
Step 5: Sign the Agreement
Go through the franchise agreement. Find the Lock-in Period (number of years you have to operate the shop) and the Clause on the Exit (how you will come out of the shop in case you lose money).
Step 6: Staffing & Training
You do not require a Michelin-star chef, but you require civilized employees. The franchise brand will make them know how to cut a cake, pack it, and receive customers. Send them to this training.
Step 7: The Grand Opening
Don’t just open quietly. Make noise! Promotion Buy 1 Get 1 Free on pastries on the first and second days. Offer free samples of your finest brownie to people passing by. Get them hooked on the taste.
Conclusion
When one invests in a bakery franchise in India, it is not just a business deal that people make but where they can go to celebrate anniversaries, student treats or even Sunday breakfast. The market is expanding and the margins are honey. The risk is significantly less than when launching on its own due to such brands as Monginis, 7th Heaven, and Theobroma.
Nonetheless, success does not come easily. It should have a neat store, a smiling face in the counter, and fresh goods daily. When you are able to do so, there will be success.
Would you have me compose to a one of these franchise brands an inquiry letter in order to have their current brochure?
FAQs
Is the bakery business profitable in India?
Yes. Other margins on cakes and pastries vary between 20 percent and 40 percent. Good location will give you a payoff in 18 24 months.
What is the lowest cost bakery franchise in India?
Models below ₹5lakhs are available in such brands like Cookie n Creme or regional distributors. Entry cost of Monginis is relatively low as compared to the premium cafes which are considered as major brands.
Should I have a chef to operate a bakery franchise?
Not necessarily. When you decide to use a Retail Model (such as Monginis), cakes are already manufactured in a factory and you just have to employ sales personnel. In case of Live Kitchen model (such as 7th Heaven), the brand will assist you in recruiting and training chefs.
What size should a bakery franchise take?
Only 200300 sq.ft. is required in a small takeaway outlet. A cafe bakery that will include a sitting area will require 500-800 sq.ft. or above.