Naturals Ice Cream, founded in Mumbai in 1984 by Raghunandan Kamath, is renowned across India for its fruit‑based artisanal ice creams made from fresh ingredients with no preservatives. With over 200 franchise stores as of early 2025, it remains highly sought‑after by both consumers and prospective entrepreneurs.
Naturals operates under a direct franchise model, where independent franchisees own and manage retail outlets, while the brand retains firm control over product quality and operations. Importantly, they have temporarily paused accepting new applications in many major cities like Mumbai, Pune, Bangalore, Delhi, and Hyderabad, due to production capacity constraints.
Initial Investment Overview
Multiple sources estimate the total investment to launch a Naturals outlet ranges between ₹12 lakh and ₹20 lakh, depending on store layout and location. This covers furnishings, equipment, licensing, and working capital.
Cost Breakdown (Typical Mid-Range Store):
- Franchise deposit/fee: ₹1 lakh (refundable as brand deposit)
- Interior & Furnishings: ₹4 lakh (store branding, counters, décor)
- Machinery & Equipment: ₹2 lakh (freezers, display units, POS)
- Initial Inventory/Working Capital: ₹50,000–₹2 lakh to stock raw materials and operating buffer
- Licenses, Permits & Miscellaneous: ₹50,000 to ₹1 lakh
- Marketing & Opening Promotions: ₹1–2 lakh
Smaller kiosk models may start from ₹12 lakh; larger dine‑in formats can reach ₹20 lakh.
Recurring Costs & Operational Expenses
- Royalty Fee: Typically 5–6% of gross monthly revenue
- Monthly Rent & Utilities: ₹30k–₹1 lakh+ depending on location
- Staff Salaries / Raw Materials Restocking: ₹1–3 lakh/month
- Marketing Contribution: 2–3% of sales for local campaigns
Profitability & Return on Investment (ROI)
With strong brand equity and optimized operations, Naturals franchises can deliver healthy returns:
- Monthly Revenue (well‑located outlets): ₹5 lakh to ₹15 lakh, sometimes exceeding ₹20 lakh in peak season
- Gross Margins: Typically 50–60% due to low input cost of fruit‑based ice creams
- Net Profit Margins: Estimated at 20–30% after operating costs and royalty
- Breakeven Timeline: Usually 12 to 18 months; under ideal performance, ROI can occur within 18 to 36 months
Eligibility Requirements
Candidates should meet key criteria:
- Financial Capacity: Net worth ideally ₹30‑50 lakh with liquidity of ₹12–20 lakh for initial setup
- Space Requirement: Outlet size between 200–500 sq ft with prominent frontage of 8–10 ft, located in malls, high streets, or near colleges
- Operational Involvement: Franchisees must be actively engaged in business—not absentee owners.
- Business Experience: Prior retail or F&B exposure is preferred, though thorough franchisee training is provided
Application Process
- Visit the official Naturals franchise portal on their main website and submit an inquiry form.
- Applications are reviewed centrally—only shortlisted applicants are contacted; no third‑party agents are authorized.
- If shortlisted, provide financial documents and site details.
- Sign a typical 5-year franchise agreement, with renewal options.
- Franchisor offers design templates, staff training, supply logistics, and launch support.
Final Verdict
A Naturals Ice Cream franchise offers a well‑defined, cost-effective path into the premium ice cream market, capitalizing on strong brand loyalty, seasonal flavor innovation, and high customer trust. With initial investments from ₹12 lakh to ₹20 lakh, net margins of 20–30%, and a typical return period of 12–24 months, it’s a worthy venture—provided you secure a suitable location and remain operationally committed.
However, be prepared for selective onboarding, slower response cycles, and temporary suspension in key cities. Confirm current availability and eligibility status directly via Naturals’ only official franchise portal before investing.
