The Indian laundry industry is one of the largest yet most under-penetrated service markets in the country. Valued at ₹2.5 lakh crore, nearly 95% of the market is still unorganised, dominated by local dhobis and small shops.
This gap presents a massive opportunity for organised, brand-led laundry franchises in 2026.
This article breaks down the real cost, profit margins, break-even timeline, and ROI of starting a laundry franchise in India.
WHY THE LAUNDRY FRANCHISE BUSINESS IS BOOMING IN INDIA
Laundry is a non-discretionary, repeat-use service. Unlike food or retail, demand does not depend on trends or seasons.
Key growth drivers:
– Urbanisation and apartment living
– Working couples and nuclear families
– Rising hygiene awareness
– Preference for professional fabric care
– Subscription-based consumption habits
With 95% of the market unorganised, customers are actively shifting toward branded, reliable laundry services.
LAUNDRY FRANCHISE MODEL EXPLAINED (STORE-BASED MODEL)
This franchise operates on a store-based professional laundry model.
What this means:
– Customers drop laundry at the store or we pickup/drop from customer location
– Centralised, standardised washing processes
– Strong brand visibility at the local level
– Better quality control and higher margins
LAUNDRY FRANCHISE COST IN INDIA (2026)
Initial Investment Breakdown:
– Franchise Fee: ₹4,00,000
– Laundry Equipment: ₹3,00,000
– Store Setup & Branding: ₹4,00,000
– Initial Marketing & Launch: ₹1,00,000
Total Investment: Approx. ₹12 lakh
MONTHLY OPERATING COSTS
– Rent: ₹30,000 – ₹40,000
– Staff (3 people): ₹50,000 – ₹60,000
– Utilities & Consumables: ₹15,000 – ₹20,000
– Local Marketing: ₹10,000 – ₹15,000
Total Monthly Expense: ₹1.05 – ₹1.35 lakh
LAUNDRY FRANCHISE PROFIT MARGIN
Gross Margin: ~75%
Example:
– Monthly Revenue: ₹3 – ₹4.5 lakh
– Net Profit after expenses: ₹2 – ₹3 lakh
BREAK-EVEN & ROI TIMELINE
– Break-even: ~3 months
– ROI recovery: ~15 months
WHO SHOULD INVEST IN A LAUNDRY FRANCHISE
Ideal for:
– First-time entrepreneurs
– Professionals seeking a stable offline business
– Family-run operators
– Investors looking for predictable cash flow
FINAL VERDICT
With a ₹2.5 lakh crore market, 95% unorganised supply, 75% gross margins, and 3-month break-even, the laundry franchise business stands out as one of the most practical and scalable service franchises in India for 2026.