The language training market in India is projected to grow at a CAGR of close to 19% by 2021
Whenever we got to billing counter of food joints like Starbucks, McDonald's or Dominos, the person behind the counter will greet you with fluent English, with a hint of an Indian accent. These major food chains have been increasingly expanding their roots into the Indian market, and along with that generating employment, preferring candidates with good spoken English. This shows the increasing demand for the English language as a necessary skill for employability.
Hence, the potential market for English Language Training in India is substantial. In fact, the language training market in India is projected to grow at a CAGR of close to 19% by 2021. So, if you are looking to enter the education industry, consider investing in the billion dollar market of English language training (ELT).
Why you should Invest in an ELT Institute
India is a multilingual country with more than 20 languages being spoken across the nation. While Hindi is the most widely spoken language, English is the second most popular language for the majority of the population.
Therefore, in today’s time, English is widely perceived in India as a valuable life and employability skill. But, the country still lacks in proficiency and communication skill. This gap can only be fulfilled by English Language Training, thus boosting the demand of ELT institutes. If you are still unsure whether you should invest in ELT institute franchise, below are some factors which are driving the growth:
How to Start an ELT Institute
If you have made up your mind on venturing the language training market, taking up a franchise can be just the right option for you. An ELT franchise offers you numerous benefits, such as lower start-up investment, training and support, successful business model, etc. There are many language franchises in India; you can opt for anyone of them according to your budget and personal preference.
For instance, the British institutes require an investment of INR 2-5lakhs for a unit franchise. The area requirement ranges from 500 - 2000 q.ft. The anticipated percentage return on investment is around 30%.
For TBIL or The British Institute of Languages franchise, investment of INR 6-7 lakhs is required, with area requirement of 400-500 sq. ft. The brand claims that the earning potential will be around INR 4 lakhs per month. Capital Investment for setting up a franchise centre would require an estimated amount of INR 5.74 lakhs. This includes your franchise fee of INR 4 lakhs and rest for tables, chairs, AC, computers, LED/LCD, interiors etc. The estimated operational cost for the first three months will be approximately INR 96,000, which includes your rent, staff salaries, telephone and electricity expenses and outdoor marketing.