Written By: Gouri Ghosh

Electric vehicles are dominating the roads, and smart investors are dominating the EV market. If you’ve ever dreamed of owning a franchise, this might be the perfect time to get started. The EV industry is growing fast, and there’s a strong push from the government and customers to switch to cleaner, smarter transport. In this easy guide, we will demonstrate to you exactly which type of electric vehicle franchise in India you can begin with an investment of ₹20 to ₹50 lakh. Whether you are curious or seriously willing to invest, this will guide you through your choices and take the next step.

Why Invest in the EV Sector Now?

Let's be realistic—the future is electric. India is witnessing a huge transition towards EVs, supported by robust government support (such as the FAME II subsidy), increasing fuel costs, and increasing environmental awareness.

Here's why getting into the electric vehicle investment sector now is a good idea:

• Demand: 2-wheelers, 3-wheelers, and delivery fleets are quickly going electric.
• Support: Support from government policies at every level is driving EV adoption.
• Low Competition (Still): Although the market is expanding quickly, many regions remain underserved.

This translates to lower risk and high potential return on investment for early movers, particularly in a franchise model.

Knowing the ₹20–₹50 Lakh Investment Range For Electric Vehicle Franchise in India

So, you're thinking — what exactly can ₹20 to ₹50 lakh actually do for you in the EV business?

This is a figure that is deemed perfect to initiate a small to medium-sized electric vehicle franchise business in India. It's sufficient to cater to the majority of the key aspects, such as setup, stock, and advertisement. With these figures, you can establish a solid foundation and begin to earn revenue in an expanding market.

The following is what your investment generally comprises:

1. Franchise or License Fee

This is how much you pay to the EV company for using their brand name, business model, and maintenance.

2. Establishment of a Showroom or Charging Station

You'll require a physical presence. If you're starting a dealership, you'll have a small showroom and service center. If you're starting a charging or battery swapping station, you'll need equipment that can accommodate vehicles and machines.

3. Inventory (Vehicles, Batteries, Chargers)

Dealerships require you to have a couple of models in inventory. For charging or battery operations, this may include batteries, chargers, or swapping units supplied by the company.

4. Equipment and Software

Everything you'll require to operate your business: chargers, power backup, swap machines, billing equipment, tracking software, etc.

5. Hiring and Training Staff

You'll have to hire and train a small staff to manage sales, customer service, and maintenance. 

6. Marketing and Local Promotions

To entice customers, you'll invest in advertising—flyers, banners, social media, and even an opening event. Some brands assist with launch promotions.

This price range provides you with access to some of the top EV businesses under 50 lakhs, including two-wheeler dealerships, charging stations, and battery swapping franchises.

Best EV Franchise Opportunities within the ₹20–₹50 Lakh Range

1. EV Two-Wheeler Dealerships

If you prefer a quick-moving business with broad customer appeal, a two-wheeler EV dealership is ideal.

Top brands:

• Ather Energy
• Hero Electric
• Ola Electric (the franchise might not be available everywhere)
• Bounce Infinity

Approximate investment: ₹20–₹35 lakh (based on brand and location)

Why this will do well:

• High demand in cities
• Quick sale of products
• Low maintenance expenses

2. EV Three-Wheeler Dealerships

Three-wheeler EVs are favored in small cities for logistics and public transport. These are suitable if you're dealing with commercial buyers.

Best brands:

• Mahindra Electric
• Piaggio Ape Electric
• Kinetic Green

Estimated investment: ₹25–₹40 lakh

Why this works:

• Increased demand by businesses and delivery companies
• Bulk orders are usual

3. Charging Station Franchises

Charging points are necessary as EVs increase in numbers. This option has less daily work and is a long-term earning model.

Brands to look into:

• Tata Power EZ Charge
• Statiq
• ChargeZone

Estimated investment: ₹15–₹30 lakh (depending on land, equipment, and charger count)

Why this makes sense:

• Lower employee requirements
• Can earn constant, passive income
• Backed by power providers and government initiatives

4. Battery Swapping Franchises

In areas where there is high delivery density, battery swapping is gaining traction. Customers swap batteries and leave quickly rather than waiting to get charged.

Brands providing this model:

• Sun Mobility
• Lithion Power

Estimated investment: ₹20–₹35 lakh

Why is this a good model?

• Quicker service for customers
• Best suited to fleet owners and delivery trucks
• Takes up less space than a dealership

Investment Breakdown

Let's disassemble how your ₹20–₹50 lakh investment would be utilized if you go for an electric vehicle franchise in India.

This range of budgets is negotiable and can be done based on the brand you pick, your city, and the size of your operations. This is a straightforward breakdown of where the money typically goes:

Electric Vehicle Franchise Fee:

The majority of EV businesses also ask for a one-time payment for providing you with the right to use their brand and also offer you support. The amount can vary from ₹3 to ₹10 lakh, depending on the size and reputation of the brand.

Setup of Infrastructure:

This also involves setting up your showroom, service area, or charging/battery station. You can expect to pay anywhere from ₹7 to ₹15 lakh, depending on the property size and location.

Inventory or Stock:

For dealerships, this would be the initial inventory of vehicles, batteries, or chargers. The expense typically ranges from ₹5 to ₹20 lakh, depending on the number of units you wish to begin with.

Equipment & Software:

To operate the business efficiently, you will require billing, tracking systems, and perhaps even a mobile app. This can range from ₹2 to ₹5 lakh, particularly for charging and battery swapping businesses.

Marketing & Promotions:

Marketing your EV franchise involves spreading the word. You will require local promotion, social media, signs, and events. An adequate marketing budget would be ₹2 to ₹5 lakh for a beginning.

Staff Training & Salaries:

You will need to hire and train a small group of people to take care of day-to-day operations. Depending on how many you hire, it will cost you between ₹1 to ₹3 lakh in the initial stage.

Working Capital (3 to 6 months):

It’s smart to keep aside ₹3 to ₹8 lakh for this.

Combining everything, you can easily observe that beginning a best EV business under 50 lakhs is highly plausible. Based on intelligent planning, this budget not only includes the basics but also provides scope for personalization according to your city and target market.

ROI: What Returns Can You Expect from an Electric Vehicle Franchise?

Now let's discuss numbers—because as much as passion is important, you're in this for profits too.

The EV franchise ROI varies with the type of franchise you opt for, your location, and your operational efficiency. But to provide you with a realistic estimate, here's an approximate ROI range against the type of franchise:

Future Market Outlook for EV Franchises in India

India's electric vehicle market isn't just expanding—it's going to boom in the next few years. Here's why opening an EV franchise now is a smart move for the future:

Increased Demand

Increasing numbers of city and town dwellers are turning to electric vehicles because they cost less to maintain and are kinder to the planet. Policymaking efforts, such as subsidies and tighter pollution regulations, are accelerating this shift.

Government Support

The government of India is heavily supporting EV adoption with incentives to consumers, tax relief to manufacturers, and proposals to construct thousands of charging stations nationwide. That translates into more opportunity and less risk for franchise owners.

Infrastructure Growth

Battery swapping facilities and charging stations are growing fast. As more EVs hit the roads each year, there will be a growing need for convenient charging, making charging franchises a savvy long-term investment.

Technology Advances

Battery technology is advancing, making EVs both less expensive and more capable. This will bring more customers and create opportunities for newer EV models, increasing your potential sales and service business.

Increased Commercial Adoption

Delivery services, taxi firms, and small enterprises are all using electric two- and three-wheelers more and more to cut costs. This increasing commercial demand means steady bulk sales for dealerships and swapping stations.

Conclusion

The electric vehicle revolution in India isn’t just a trend—it’s the future. And with ₹20 to ₹50 lakh in hand, you’re in a great position to get involved. Whether it’s a two-wheeler dealership, a charging station, or a battery swap center, the options are growing—and so is the market.

It is time to find the best EV franchise opportunity for you, based on your objectives, location, and risk tolerance. Research, speak with franchise partners, and take the first step in establishing your EV business.

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.