The education sector in India is estimated at US$ 91.7 billion in FY18 and is expected to reach US$ 101.1 billion in FY19.
India’s education sector offers a great business opportunity for aspiring entrepreneurs, with approximately 29 per cent of India’s population being between the age group of 0-14 years and has over 250 million school going students, more than any other country. According to a report, the education sector in India is estimated at US$ 91.7 billion in FY18 and is expected to reach US$ 101.1 billion in FY19.
Realizing the potential of the education sector in India, entrepreneurs are dipping their feet in this industry either by starting their own venture or by taking up a franchise.
Franchise business is rapidly gaining its pace in the business world, especially in the education industry. With the increase in demand for quality education, there has been a significant increase in the popularity of education franchisees. However, both franchise and starting your own school has its own advantages and disadvantages. But, school franchises out pars the advantages of starting your own business from scratch. Here are the following reasons why one should consider taking a school franchise than starting your own business.
Starting Your Own School
- One Time Investment
Starting your own school means you are the owner of the brand. You will have to invest a huge sum of amount only once. There is no need of paying the royalty fees to the franchisor, you will reap the benefits of the profits and can invest it into the betterment of your school. Although, one should also take this into consideration that there are other expenses like staff payment, infrastructure, maintenance etc.
- Independence of Innovation
Starting your own school gives you the freedom to innovate with new ideas and inculcate them into your curriculum. Of course, the syllabus will have to stick to the registered education board norms, such as CBSE or ICSE, but you can introduce various additional subjects such as experiential learning, skill-based learning etc.
Starting a School Franchise
- Tried and Tested Model
Taking up a franchise means, you are replicating an already successful business model. This saves you from the pain of trial and error. Also, in the education industry goodwill matters, while it might take a start-up years to earn handsome revenue and establish their brand name. Whereas a school franchise already comes with an established brand name, thus it takes less time to start gaining a return of investment.
- Continuous Support & Training
The school franchise providers offer various support services starting from the initial set up to running operations after the inauguration period. Plus, there are various training and workshops provided to the teachers and faculty members of the school for working in a specified manner.
- Higher Profit and Lesser Financial Risk
As you do not have to spend money on promoting or setting up the franchise, you will be able to save a lot of money. Thus, you will be able to enjoy higher profits and lesser financial risk as compared to other non-branded competitors. School franchises are organized which help the business considerably as they are able to keep a proper track record of each event. Also, as the brand name has already set up some guidelines, it further reduces financial risks and also assists in the execution of certain operations.