Want to Enter The Education Industry? Invest in India’s Growing Demand for English Language Training Franchise
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:
- Employability is one of the major reasons driving the growth of ELT centres in India. English has become a must for getting a good job in any company.
- Sectors such as healthcare, e-commerce, hospitality,including cab-hailing companies etc are increasingly employing English speaking staff.
- The scenario of English teaching and learning in schools in rural India is still bleak. In many Indian states, English language teaching is confined to the verbal rendering of lessons in regional languages helping learners to understand the content and not the structural nuances of languages. Thus, people there have to rely on ELT institutes for acquiring the language well. Also, investing in a franchise in smaller towns and rural areas has a whole host of benefits as there will be less competition and huge demand.
- Students are increasingly aspiring to attain foreign education today. For that, Indian students and workers must take a standardised test of English to move into higher levels of education and employment internationally, like TOEFL (The Test of English as a Foreign Language) and IELTS(The International English Language Testing System). These tests require a good command over the language and impeccable spoken English. Students have to rely on ELT institutes for proper training,hence uplifting the language learning market in India.
- The franchise offers you the benefit of replicating the business of a successful franchise. People are becoming highly susceptible to an established brand name. Thus, investing in an ELT franchise will give you the advantage of a known brand, ensuring profits right from the beginning.
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.