Written By: Gouri Ghosh

In the present time, Education is one of the most in-demand compared to other sectors. People can postpone their trip or any luxury expenses, but never delay in their learning.

Parents want their children to achieve better results in the exam, and professionals are always looking for fresh skills to remain up to date. Companies want skilled talent, not long hiring periods.

This is where an investment in an education franchise makes sense.

The education business has shown great resiliency through all economic highs and lows. Even during an economic downturn, tutoring and test preparation, as well as online classes, are enrolling students.

For investors, this is a safe space to enter this franchise. You aren’t starting from a blank sheet. You get a proven model, trusted brand, curriculum, and support.

This guide is intended for those who are thinking about investing in an education and edtech franchise, especially those who are thinking about India as a potential location. It also covers choices that are future-proof, like the EdTech franchise in 2026.

By the end of this blog, you will understand the following in detail:

• How education and EdTech franchises really work
• What is the cost to buy an education or edtech franchise?
• How to get returns from these franchises?
• And how to choose the right education franchise option as per your needs?

Understanding the Education & EdTech Franchise Landscape

Before choosing any education franchise, as an investor, you have to understand one thing. Not every education franchise works in the same manner.

If you know the difference early, you avoid cost-related mistakes later.

Let me break it down in simple terms.

Traditional Education Franchises

These are some famous models. Most people are already familiar with this. They run away from physical learning centers.

• Preschools and early learning centers
• This model focuses on young children.
• Demand does not decrease throughout the year.
• Needs more staff and supervision on a day-to-day basis.
• It works well if you want hands-on involvement

K–12 tutoring and test prep

• It covers school and competitive examination subjects.
• In this segment, students enroll for long terms.
• You can see strong repeat admissions every academic year
• Often listed amongst the most lucrative education franchises in India.

Institutes for language learning

• This English and foreign language curriculum is well-liked in urban areas and educational centers.

EdTech & Digital Learning Franchises

These models are more dependent on technology than classrooms.

They are growing fast, especially in India.

• It is an online tutoring platform
• Classes occur live or through prerecorded sessions.
• Lower setup and rental costs
• Easier to scale across locations
• Many investors prefer this as an online education franchise in India.

STEM, Coding, Robotics & AI Academies

• This model focuses on future skills for kids and teens
• Parents view these as long-term value learning. 
• It has high demand in metro and tier-2 cities

Hybrid models: online + physical centers.

• Mix of classroom & digital teaching tools.
• These physical centres help in gaining the trust of parents.
• Online systems help in managing better growth.
• Many education franchises are going to invest in this model.

EdTech Market Growth (CAGR & Future Forecast)

Why Invest in an Education or EdTech Franchise?

If you're thinking like an investor, education makes a great deal for you. 

Here's why many people go for an education or EdTech franchise.

1. Demand Does Not end

• Children move to the next class every year.
• Exams are happening every year.
• People updated their skills again and again.
• Learning never becomes optional.

Even in times of economic recession:

• Parents pay for their child's education. 
• Students are still preparing for exams. 
• Even professionals learn new skills.  every time
• Because of this, demand is growing.

2. Students Stay for Longer Periods

• Most courses run for months, not for weeks.
• Many of them renew for the next level.
• Once parents have confidence in a brand, they prefer to admit their child.

This means :

• You don't start from zero every month.
• Your income becomes more predictable 

3. Recurring Revenue Feels Safer

• Monthly fees are common in this business
• Subscription models are increasing.
• Renewals represent recurring revenues.

You are not running after getting new customers every day. Your focus stays on quality and growth.

4. You are building a meaningful business   

• You help children to learn more.
• You build confidence in parents. 
• You help professionals grow their careers.

 You make money, but also:

•  Create real impact.
• Build something you can be proud of.
•  Many investors appreciate this balance.

5. You Can Grow Step by Step

• Beginning with one center
• Learn the whole system
• Open another location later

Many franchise owners:

• Expand to multiple centers
• Manage more than one territory
• Build a long-term asset

Education franchises contribute to this type of growth.

6. Strong Brands Make Things Easier

• Parents trust known names
• A proven curriculum gives confidence
• Marketing gets easier when a brand is backing you
• Trust is very important in education.
• A successful franchise already has it.

7. Works for New and Experienced Investors

The education franchise model can work if: 

• You are purchasing your first franchise 
• You are moving from a job to a business 
• You already own other franchises 

This is why there is a demand for education-based franchise options.

Growth Projections for Child Education Franchise Market

Investment Breakdown: What It Really Costs

Everyone is facing the same mistake. They are concerned only with the "franchise fee." That number looks small and comfortable. But it’s only the beginning.

If you are serious about an education franchise or EdTech franchise in India, then you must see the entire picture.  

1. Franchise Fee vs Total Investment  

• The Franchise Fee is your entrance fee.
• It provides you with the brand name
• It gives you the curriculum

It provides training and general support. But it does not cover everything.

Your Total Investment Also Includes:

• Center setup or office space
• Marketing before and after launch
• Staff salaries
• Daily operating costs

This is the real image for every education franchise and every ed-tech-based franchise model.

2. Investment in Traditional Education Franchises

If you are looking at preschools, tutoring centers, or test prep institutes related franchise, your money will typically go here:

• Rent and Interior Setup
• Class Furniture and Boards
• Teaching Materials and Books
• Salaries for Teachers and Counselors
• Local marketing and school tie-up activities.

3. Investment in EdTech Franchises

An EdTech franchise works in a different way. If you are considering investing in an EdTech franchise for 2026 or an online education franchise in India, your costs would be based on technology.

You may spend more on:

• Learning platforms and software
• CRM systems used for student management
• Mobile apps and dashboards
• Digital Content Licensing
• Online support tools

The good part is :

• It has lower rental costs
• Fewer staff in some models
• Easier expansion across cities

For this reason, investors frequently like funding education and ed tech franchises in India.

4. Technology & Software Costs

In EdTech franchises, technology is not an optional part of the investment.

You should create a budget for:

• Learning management systems
• Student tracking software
• Online Class Tools 
• Regular tech updates
•  

 Even traditional education franchises use some form of technology.

5. Marketing & Student Acquisition

In this part of investment, you can decrease your cost

Now you can check the Reality :  

• Interiors alone do not attract students.
• It allows visibility and trust.

So you need money for:

• Digital advertisements
• Local promotions for your franchise
• School partnerships
• For running campaigns
• Referral programs

Strong marketing helps you to determine whether your centre fills up rapidly or remains empty.

6.  Staffing & Training cost

Education is a customer-oriented business.

Your expenses will depend on:

• Teacher salaries
• Counsellors and ancillary helpers
• Initial and Continuous Training
• Replacement hiring when staff leave
•  Good teachers hold students for a longer time. 

That saves your money in the long run.

7. Working Capital 

Maybe sometimes you ignored this part. But it is essential for investors.

Almost every  education franchise investment models require:

•  break-even time for 6 to 18 months 

You need cash for:

• Pay your franchise Rent
• Pay for your Staff
• Run marketing
• Manage daily expenses

A good franchise would not work without working capital.

8. Hidden Costs 

This part does not show up perfectly in brochures. But they matter.

• Content updates and changes to the syllabus
• Additional local media spend
• Teacher Attrition and Rehiring Cost
• Software upgrades
• Annual Renewal Fees 
• Royalty or technology fees

If you know these expenses properly, that will help to plan better. 

How much money do education and edtech franchises make?

Now we will explain how much revenue you will get from the education and ed tech franchise in India.  Here are the details.

Let's break it down.

1. Revenue (Sales): 

Revenue basically means the total amount you get from the students.

You will get this money  from:

• All kinds of course fees
• The Monthly tuition fees
• Subscriptions from different ed platforms
• Renewals of previous subscription

 Traditional Education Franchises

In this franchise model, revenue comes from classroom capacity, students entrolment and, etc.

More students indicated more revenue in your franchise

Example:

If 100 students pay ₹2,500 per month

Monthly revenue = ₹2,50,000

Maybe now you understand the revenue in this franchise.

 EdTech Franchises

In the ed tech model, revenue comes from online students. From one center, you can operate in several places. In this AI era, digital models scale up much faster than physical centers. 

Example: 

Now, give you an example for better understanding:

• Ed tech not only provides online study, but also combines online with offline students
• So revenew grow automatically without adding any extra classroom

2. Gross Revenue Vs Gross Profit 

The gross revenue is the total fees collected from students 

Gross Profit is the Revenue you get after Basic Costs

 What are the basic costs included: 

• Teacher payouts 
• Platform/content costs 
• Class Delivery Expenses 

Education franchises typically have: 

• Decent gross margins 
• Better margins for EdTech business models
•  

 EdTech franchises tend to earn more student because: 

Low physical costs 

One teacher can teach many students 

3. Net Profit: What You Actually Take Home 

Expenses include: 

• Rent 
• Staff Salaries 
• Marketing cost 
• Technology fees 
• Royalty or renewal fees 

In most education franchise businesses, net margins improve after the first year. Profits increase when enrollments become stable.

4. ROI: Return on Investment

Suppose you invest ₹20 lakhs and earn ₹5 lakhs per year.

That means ROI = 25% per year

In investment related to education and EdTech franchising in India:

ROI improves with time

You need year 1 for Setup your franchise. Years 2 and 3 become stronger in returns.  

5. Break-Even: When You Recover Your Money

Most education and EdTech franchises:

• Break even in 6 to 18 months.
• Some EdTech models break even faster
• Traditional models may take a little while longer.
• Break-even depends on Place marketing effort Franchise support, and student retention

Legal and Compliance Considerations

Now, coming to another vital part in the education and ed tech franchise. Before signing any agreement, you have to remember some specific things. This step protects both your money and your future. Many investors are facing lots of problems in this place.

1. Franchise Disclosure Document (FDD)

• This document is the most important for you.
• It explains all the fees that you have to pay
• It shows your rights and duties
• It explains what kind of support you will get from the franchisor 
• Renewal and termination rules are specified in this document.

Read it slowly. Ask for clarification if you don't understand anything.

2. Education Rules and Approvals

Some education franchises require approvals before signing.  

• Preschool programs and early learning programs
• Skill and certification courses
• Test preparation and training courses

You have to check:

•  Local Education Rules 
• Municipal permissions 
• Any required certifications 
• Never assume the Franchisor has handled everything

3. Data Privacy & Student Safety

This is very important for any EdTech franchise models in India.

• You need to protect  that student's data properly 
• Also, you have to secure online platforms 
• Parent and student privacy is very important

This becomes more relevant, especially in the future when the online education franchise in India is bound to increase.

4. Territory Rights and AreaProtection

Always know your territory.

• Is your area exclusive?
• Is it possible for another franchise to open nearby?
• Do online enrollments count in your area?
• Clear territory rules protect your revenue.

5. Royalty, Technology, and Renewal Fees

Carefully consider ongoing costs as well.

• Monthly/yearly royalty fees
• Technology or platform charges
• Content update costs
• Renewal fees after the expiry of the contract

These fees add up over time.

6. Exit and Transfer Rules

You may not run this business forever.

Ask Clearly:  

• Will I be able to sell the franchise in the future?
• Do you need franchisor approval?
• Are there transfer fees?
• A good education franchise investment must allow for a clean exit.

 Education-Related FDI and Investment Flow (Investor Confidence Statistics)

Financing Your Education Franchise Investment

When you decide to invest in an education franchise business, money planning plays a vital role. This part is most stressful for many people.

You have more funding options.

Self-Funding

It is a very common option for investors. They can use their own money. This option gives you control from the very beginning.

You don't have to worry about monthly payments, and you can grow at your own pace.

Bank Loans and NBFCs

Education is actually a secure business, so many banks and NBFCs provide loans for education franchises.

Franchise Assisted Financing

In India, there are some education and EdTech brands that actually assist investors in arranging their capital funding.  

Government Schemes and Incentives

Many investors skip this step. Maybe they don't know about this funding properly, so they missed this opportunity.

There are some government-related funding programs linked to:

• Education
• Skill development
• MSME and startup support

It's worth checking what applies to you.  

Market Trends Influencing Education & EdTech Franchises

 In the education sector, the market is changing every time.  As an investor, you should always be up-to-date. You will need to check every micro change in this sector. 

From some  research, we provide you with some market trends in the education and edtech sectors:

Let's check individually.

AI-Powered Learning and Assessment

In the present time, you may hear about AI in education, and the answer is, yes, it's for real. Because of AI technology, students can learn at their own pace. Tests and assessments get smarter. Exam Progress is tracked automatically

Coding and STEM Education for Kids

Coding develops logic for learning. STEM helps in improving problem-solving. Kids love robots for learning. This is why these programs are increasing rapidly.

Adult Upskilling & Career Enhancement Programs

Adults always want to upskill, so the demand for career-oriented programs is increasing.

Now, explain what working professionals want:

• They quickly change their job
• They always want to be updated
• They need promotions that require certifications for their future growth

That's why adults are looking for new learning opportunities again and again,

Corporate Training and Workforce Education

Companies don't prefer to invest in employee training, so corporate people have to invest their own money to upskill in the corporate field.

Hybrid Learning Is Becoming the Sweet Spot

Parents prefer physical centers for their child. Students Still Need Guidance for their studies. But technology makes things easier. 

So most of the investment opportunities in the field of education and ed-tech franchise follow this pattern.

Tier-2 and Tier-3 cities are Opening Up

Big cities are becoming more crowded. Smaller cities strive to have good educational standards. It shows Less competition, Lower Costs, and high demand . If you’re looking for growth, this is a strong area to explore.

The subscription-Based Learning is growing

Education is becoming a long-term opportunity, rather than a one-time opportunity.

In subscription focus  learning is based on:

• Monthly fee models
• Year-long programs
• Level-by-level learning

Size and Growth of the Indian Education Market (Long-Term Investment Context)

Who Should Invest in Education Franchises?

If you see famous education brands, you can see several successful education franchise owners come from very diverse backgrounds.

So what matters more is your mindset, not your degree.

So these sectors are appropriate for:

First-Time Franchise Buyers

As a first-time investor, you will get the system that is already built

Processes are clear. Support is usually strong

That makes it less stressful for beginners involved in education franchises.

Professionals Leaving Corporate Jobs

If you are tired of corporate jobs and want to start something new, then you can choose these franchises. Several professionals are attracted to education franchises because:

• The business feels stable
• Growth is gradual, not risky
• Work becomes more meaningful

It’s a smoother transition from job life to business life.

Investors Interested in Semi-Absentee Options

If you are a busy person who can’t be present every day, education can still work for you. Managers handle daily operations. Systems guide staff. Reports help you track performance. Many EdTech franchise India models are built this way.

Multi-Unit Franchise Operators

If you currently operate businesses or franchises, but want to invest in another franchise, then you can choose the education sector because it scales well.  

• One center leads to another
• The territories can be expanded.
• Brands support multi-location growth 

This is how great investors build an education portfolio with time.

How you Choose best Education and Edtech Franchise 

Before choosing the franchise brands, stop for a moment. Because the definition of the right education franchise varies from one person to another. It depends on you. Therefore, let’s start there.

Start With Yourself

Take a look at yourself, ask yourself a few honest questions

• How much time can I really give each day/week?
• Do I wish to be actively involved each day, or just look at reports?
• Am I comfortable working with people like teachers and counselors?
• What is my budget, and what is my degree of risk tolerance?

Certain education business ventures require daily involvement. Some Ed Tech Franchise India models function effectively.

Match the Franchise to Your Lifestyle

If you like people and activity, a center-based education franchise may be right for you.  

• If you prefer systems and dashboards, then you can easily enter an online education franchise in India.
• If you want slow and steady growth, traditional education works well for you.
• If you like a faster scale, EdTech franchise investment may fit better.

The business should fit your life, not fight it.

Questions You Must Ask Franchisors before investing

  Ask clearly and listen carefully.

• What kind of support will you offer once the launch is over?
• Who assists in the training of teachers and the onboarding of students?
• How do franchisees actually get students in the first year?
• What does marketing look like in the local setting?
• What is the true break-even time, not the best case?

Talk to Existing Franchise Owners

This part is really important. You need to talk to the person who was running the business in the past.

Daily challenges

• Ask your friends about their challenges. What do they faces to running a franchise?
• Ask how long it took to get stable enrollments
• Ask what support really looks like after signing

Their experience will tell you more than any presentation. Sales pitches sound good. Stories of successful franchises give you a real lesson.

Case Examples: Successful Education and EdTech Franchise Models

If you know about what works in education and ed tech franchises before investment, that would be helpful for you.

Let’s look at a few simple, real-world examples.

1. Kidzee Preschool – A Trusted Education Franchise that Grew Fast

You’ve heard of Kidzee. The parents trust the brand. That trust would make things easier for them.

Franchise business owners don’t begin from scratch.

They get:

• A ready curriculum
• Teacher training
• Marketing Support

This saves a lot of time and confusion in the early days. 

Why it works: 

Parents are looking for a safe and trustworthy environment for their toddlers. Kidzee has an effective system and brand, which helps admissions function swiftly.

2. AVAS Abacus: A Skill-Based Education Franchise That Grows Step by Step

AVAS Abacus concentrates on mathematical skills and developing children's brains. Most of the franchise partners start small. Even some start from their home.

As parents begin to see results, the business grows over time.  

For example, there are true cases of:

• Homemakers began working on a part-time basis.
• Built a strong local reputation
• And later, a full-time center at

Why it works:

AVAS provides proper training and regular support.

The franchise owners are able to develop more of a concentration on teaching and quality. 

When students do well, parents talk, and word of mouth brings in new admissions.

3. EduGorilla – An EdTech Franchise for Today’s Learners

EduGorilla is an emerging EdTech franchise in India.

What it provides:

• Online Mock Tests for students
• Practice previous questions
• Give Video lessons
• Provides exam preparation tools

Students already enjoy learning online. EduGorilla is an example of this.

What franchise partners get:

• City-level marketing rights
• Digital tools to reach students
• Ongoing guidance from the brand

Why it works:

The students are looking for a flexible and technology-based approach. EduGorilla facilitates the accessibility of education.

 Franchise owners will reap the rewards of an already solid market and an online-centric model.

Also read:

Indian Education Franchise Opportunities: 2025 Outlook

Top 10 Education Franchises in Mumbai

From Preschool Franchisee to Education Brand Owner

Conclusion:

Education franchises provide something rare. Stable Demand. Meaningful Impact. And Long-Term Growth. Investing in an Education & EdTech Franchise may be one of your best business decisions, but it takes patience and research. Take your time. Ask the right questions. Choose a model that fits your goals. The right education franchise isn’t just an income builder, it’s a wealth builder for you and for society.

Disclaimer: The brands mentioned in this blog are the recommendations provided by the author. FranchiseBAZAR does not claim to work with these brands / represent them / or are associated with them in any manner. Investors and prospective franchisees are to do their own due diligence before investing in any franchise business at their own risk and discretion. FranchiseBAZAR or its Directors disclaim any liability or risks arising out of any transactions that may take place due to the information provided in this blog.