Snitch Franchise in India: Cost, Investment, Requirements & Profit Margins

Have you been thinking of entering the fashion retail industry in India? If that is your plan to own a business, we suggest you start a Snitch franchise. Snitch is a vibrant Indian fashion brand, founded by Siddharth Dungarwal in 2018. It has quickly transformed from a B2B supplier of men's clothing to a well-known direct-to-consumer (D2C) brand. A Snitch franchise is an excellent opportunity for entrepreneurs. This guide is compiled with everything from cost, investment and profit if starting this business.

Snitch Franchise: An Overview

Snitch was a brand that started to meet the clothing preferences of the youth and focused on men's wear. They aimed to smash the traditional men's wear market by offering contemporary, stylish, and affordable clothing. The brand instantly became popular among Gen Z and millennials. They offer trendy fashion with affordable pricing. Now that the brand has a strong online following and opened physical locations, franchisees have an exciting new business potential.

The brand is valued at ₹230 crore in FY24 and intends to reach ₹600 crore this fiscal year. They also want to go public in three years and reach a revenue of over ₹1,000 crore by FY26. Snitch, a men's apparel brand, operated 45 outlets around India as of January 2025. By the end of 2025, they hope to have 100 locations across the country, including 35 additional in southern India.

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On Shark Tank India Season 2, Siddharth, the founder of this brand's outstanding pitch attracted the spotlight. Snitch proved its market presence by shipping 2000 orders every day, receiving 50,000 website views every day, and acquiring 5 lakh app downloads. The brand had a monthly income of INR 9.3 crores, it is expected to develop significantly even now. Siddharth demonstrated a 5% EBITDA after bootstrapping the company.

At a valuation of 100 crores, the Sharks were persuaded and offered INR 1.5 crore for 1.5% equity (0.3% each).

The Indian men's wear marketing is growing every passing year. Brands like Snitch with trendy and affordable wear are booming with success. With these remarkable numbers, you can expect massive growth in starting a Snitch franchise in India. Here are the benefits you get if you own a Snitch franchise in India:

• High brand recognition: Young customers already like this brand. The brand has an established identity with a great customer base.
• Growing demand: The Indian fashion industry is expanding rapidly.
• Cost-effective investment: Snitch has a low entry price when compared to other fashion labels.
• Strong online presence: A strong web presence encourages customers to visit physical establishments.

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Snitch Franchise: Costs and Investment

The investment in the brand may depend on the location, size, and setup of the store. If you are someone who is looking forward to investing in this franchise business, then you can expect some key aspects:

• Investment Costs: The location and size of the store have an impact on the initial investment. If you decide to set up your store in a mall, it may cost you ₹30-50 lakh. But if you plan a high street location, it could cost ₹70–1 crore. A detailed breakdown of these investments is as follows:

• Franchise Fee - ₹10-20 lakh
• Store Setup - ₹20-50 lakh
• Inventory - ₹15-30 lakh
• Marketing & Branding - ₹5-10 lakh
• Working Capital - ₹5-10 lakh
• Total Investment - ₹50 lakh - ₹1 crore

• Store Size: In malls, ideal store sizes are 1,000–1,500 square feet, whereas on high streets, they should be between 2,000 and 4,000 square feet.
• Location Preference: High-traffic areas—like well-known main streets and well-liked shopping centers can provide optimum exposure and sales potential.

Snitch Franchise Profit Margins

The pricing for Snitch products is competitive because they aim to target the mid-range market. The idea is to make fashion and trendy clothing styles affordable. The profit margin of Snitch is about 30% to 40% on retail sales. Talking about the brand's operating revenue, it increased from ₹106.6 crore in the previous fiscal year to ₹243 crore in the 2023–24 fiscal year. A 127.89% increase was seen in the revenue growth. In FY24, Snitch's net profit made ₹4.4 crore, up 1.3 times from FY23's ₹3.1 crore. Approximately 5% of the brand's revenue comes from the current Bengaluru store. Eventually, this adds about ₹1 crore to total sales.

Key Considerations:

• Marketing: Though Snitch supports marketing to its franchise stores, you will still require a strategic marketing plan. A robust marketing will help you draw clients and increase brand recognition, spend money on efficient marketing techniques.
• Location: Your store's location is essential to its success. Select an area with plenty of visibility and foot traffic. A well-known location with a good market potential will add to the growth of the business.
• Customer service: To foster repeat business and customer loyalty, and deliver exceptional customer service.
• Financial Management: To guarantee sustainability and profitability, carefully manage your funds.

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How to Start a Snitch Franchise in India

If you are ready to begin your journey as an entrepreneur, then follow these steps and acquire a Snitch franchise in India.

Spend Some Time to Understand the Brand

Learn about Snitch's products, target market, and positioning before applying for the franchise. It is important to know the brand’s voice, its story, and its target audience.

Speak to the Franchise Team at Snitch

You can leverage Snitch’s official website or contact channels to reach out to Snitch's franchise department. Don’t forget to mention your interest in becoming a franchise and request detailed information.

Application for a Franchise

You may have to appear in an evaluation process. This will include sharing some specifics such as your desired location, financial capacity, and prior business experience.

Approval and Signing of the Agreement

A franchise agreement detailing terms, royalties, and operational rules will be sent to you if you are approved. This will ensue an agreement between you and the company.

Training & Store Setup

This involves locating a desirable spot that not only helps you grow but also suits your choices. You will need to work on the branding and store interiors i adherence to the Snitch guidelines. To ensure seamless operations, train employees with Snitch's team.

Marketing & Grand Opening

It is crucial to leverage Snitch's robust web presence to draw clients and guarantee a successful debut. You have to be consistent with your marketing strategy to grow.

Don’t you think starting a business in the Snitch franchise is a great idea? Well, we believe that this is an ideal opportunity to experience what a profitable business model look like. With this comprehensive guide, you can enter Indian fashion marketing, which is thriving with success.

Snitch Franchise Frequently Asked Questions

Q. What is the turnover of snitch in India?

Snitch is valued at ₹230 crore and it may soon reach ₹1,000 crore in the coming years. This value indicates a notable rise over the previous fiscal year's ₹106.6 crore. This significant expansion highlights Snitch's growing influence in the Indian fashion sector.

Q. What is the story behind the brand Snitch?

Siddharth R. Dungarwal created Snitch in 2019 as a B2B men's clothing company. In 2020, the pandemic forced the company to switch to a direct-to-consumer model. The brand quickly became well-known for its stylish yet reasonably priced clothing for millennials and Gen Z. Its victory on Shark Tank India, where it raised ₹1.5 crore for a 1.5% equity investment, was a significant milestone. Snitch is growing offline intending to be the "Zara of India."

Q. How can you Start a Snitch Franchise In India?

You can start a Snitch franchise in India with the following steps:

• Understand the brand
• Speak with the Franchise Team at Snitch
• Application for a Franchise
• Approval and Signing of the Agreement
• Training & Store Setup
• Marketing & Grand Opening