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Harsh

Harsh Bharwani  |80 Answers  |Ask -

Entrepreneurship Expert - Answered on Jan 28, 2025

Harsh Bharwani is a fourth generation entrepreneur.
As CEO and managing director, he leads the international business and employability initiatives at the computer networking institute, Jetking Infotrain Limited.
After graduating from Delhi University, Bharwani joined the family business in 2010 and set up operations in the US and Vietnam.
He has trained over three lakh students in employability, confidence and key life skills.... more
AVNISH Question by AVNISH on Oct 17, 2024Hindi
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Career

What business can be started by investing one crore rupees?

Ans: Hello Mr. Avnish
Investing one crore rupees provides opportunities to establish impactful businesses like an education franchise, an IT company and other fields, which have strong growth potential.

1. Education Franchise-
Partnering with established brands like top educational companies, institutes, and centres is a lucrative opportunity to provide training, education or other services. With an investment of ?30-50 lakh covering franchise fees, infrastructure and marketing, the education sector offers an ROI of 15-30% annually. Education is a recession-proof industry, and choosing a location near schools or residential areas can ensure high enrollment. Vocational training franchises can focus on specialized areas like IT, networking or soft skills, which attract both students and corporate clients. Generally, break-even is achieved within 1.5 to 3 years.

2. IT/Software Company-
Starting an IT or software development company focused on high-demand areas like SaaS, AI or Fintech is an excellent opportunity for exponential growth. With an investment of ?50 lakh to ?1 crore primarily for hiring skilled developers, infrastructure, and marketing, this venture can deliver an ROI of 25-50% annually. Niche markets such as blockchain, cloud computing, or cybersecurity offer access to high-value projects. Building a strong portfolio through smaller contracts can pave the way for acquiring larger clients. Scalability is enormous, and adopting remote operations can help reduce overhead costs. Break-even is usually achieved within 2-3 years.

3. Healthcare Clinic or Diagnostic Centre-
The growing demand for quality healthcare services makes setting up a diagnostic lab, speciality clinic, or wellness centre a promising business. With an investment of ?60 lakh to ?1 crore for medical equipment, premises, and marketing, the healthcare sector offers an ROI of 20-30% annually. Services such as pathology, radiology, or speciality care (e.g., dental or physiotherapy) are in great demand. Partnering with healthcare professionals and offering subscription-based health packages can improve cash flow. Break-even typically occurs within 2-4 years.

4. Retail Franchise (Specialized Products)-
Launching a franchise for specific products like an organic food store, branded apparel or tech gadgets can be a profitable venture. With an investment of ?30-70 lakh covering the franchise fee, inventory and setup, retail franchises offer an ROI of 15-25% annually. Brands like Decathlon, Fabindia or Apple Authorized Reseller already have strong customer bases. Selecting a high-traffic area ensures steady sales, and expanding into e-commerce can further expand market reach. Break-even is typically achieved within 2-3 years.

5. Electric Vehicle (EV) Charging Stations-
The growing demand for sustainable energy solutions makes setting up an EV charging station a far-sighted investment. With an investment of ?50-75 lakh for equipment, installation, and licenses, EV charging stations can generate an ROI of 20-30% annually. Partnering with government programs or EV manufacturers can increase reliability. A location in a high-traffic area or near residential areas ensures steady usage. Additional revenue streams, such as an on-site café or convenience store, can further boost profits. Break-even is typically achieved in 3-5 years.

Key Considerations-
Market Research: Understand the demand, competition, and future trends in your chosen sector.
Location: Choose locations strategically based on target demographics and accessibility.
Scalability: Opt for businesses with room for expansion, such as adding new locations or diversifying services.
Break-Even: Most businesses achieve profitability within 2-4 years with proper planning.
Career

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Harsh

Harsh Bharwani  |80 Answers  |Ask -

Entrepreneurship Expert - Answered on Jan 31, 2025

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Career
Hi what business can I start with 20000rs?
Ans: Hello Mr. Anuj,
Starting a business in India with a budget of ?20,000 is entirely possible with strategic planning, local market research, and minimal infrastructure. Whether you prefer a home-based model, freelancing, or product-based business, several viable options can generate steady income. Here’s a detailed guide to ten promising business ideas tailored for the Indian market.

Online Reselling via Dropshipping
Dropshipping allows you to sell products without holding inventory. Popular categories include eco-friendly products, ethnic jewellery, and mobile accessories. Profit margins range from 30–50%, but success depends on social media marketing and supplier reliability.

Freelancing Services
If you have skills in content writing, graphic design, or video editing, freelancing can be a lucrative option. A laptop and internet connection are the only real requirements. Building a strong online presence on LinkedIn or Fiverr can help secure consistent clients.

Home Tutoring/Coaching
With increasing competition in academics, home tutoring is a stable business. Charging ?1,000–2,000 per student per month ensures recurring income. The demand peaks during exam seasons, making it a great long-term option.

Event Decoration
Event decoration, especially in Tier-2 and Tier-3 cities, is a creative and profitable business. Specializing in birthday parties, anniversaries, and wedding decor can help build a niche. However, the business is seasonal.

Customized Printing
Selling custom-printed T-shirts, mugs, and gifts online is a trendy business. With social media marketing, you can attract college students and young professionals who love personalized products. However, printer maintenance costs should be considered.

Key Tips for Success
Legal Compliance: Register as a sole proprietorship for hassle-free operations.
Smart Marketing: Use WhatsApp Business, Instagram Reels, and Google My Business for cost-effective promotions.
Cost Control: Rent equipment (e.g., cloud kitchens) instead of buying to minimize overheads.
Customer Feedback: Focus on refining offerings based on customer preferences.
Start Small, Scale Later: Test your business model before making large investments.
With careful planning, minimal investment, and the right strategy, starting a business with ?20,000 in India is not only possible but also profitable. Choose a business aligned with your skills and local market demand, and take the first step toward entrepreneurship today!

..Read more

Latest Questions
Ramalingam

Ramalingam Kalirajan  |8506 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 24, 2025

Money
Hello Sir, I am 52 years old working professional. I have 1 crore in cash, please provide suitable option to grow this cash, Should I invest in Fixed Deposit or buy a property. I don't have experience in SIP or mutual funds. Please advise. Thanks
Ans: At 52 years of age, with Rs. 1 crore in hand and no prior experience in mutual funds or SIPs, you are at a crucial point in your financial life. Your next decision can make your retirement more peaceful and financially stable. Let us build a well-thought-out plan for you.

Understanding Your Financial Context
You are currently working and earning.

You have Rs. 1 crore in cash, which is a great start.

You are new to mutual funds and SIP investments.

You are considering Fixed Deposit or property.

It is important to balance growth, safety, and liquidity.

At your age, you also need to think about retirement planning.

Evaluating Fixed Deposits as an Option
Fixed Deposits are easy to understand and widely used.

They offer capital safety and fixed interest.

But FD returns are low after adjusting for inflation.

Most banks give 6% to 7.5% interest for senior citizens.

Real return after tax and inflation is almost zero.

Interest from FDs is fully taxable as per your slab.

So FDs are good only for emergency funds, not wealth growth.

Why Buying Property Is Not Advisable
Property needs large capital and has poor liquidity.

You cannot sell it quickly in an emergency.

Rental yield in most cities is just 2% to 3% annually.

Property has maintenance, repair, legal, and registration costs.

If sold later, capital gains tax will apply.

There is also risk of tenant disputes or delayed construction.

Property values do not rise consistently everywhere.

At 52, locking your funds in property is not suitable.

Do not buy property unless you need it for staying purpose.

Importance of Financial Goal Clarity
First, define your goals clearly before investing.

Think about when you want to retire.

Estimate how much monthly income you will need.

Also think about major expenses like children, health, travel, etc.

Decide what portion of Rs. 1 crore you may need in 3–5 years.

Keep that portion in safe and liquid options.

Rest can be invested for growth in mutual funds.

Step-by-Step Investment Strategy for Rs. 1 Crore
Let us now break your Rs. 1 crore into action steps. This plan is made for long-term wealth creation, moderate risk, and retirement income support.

Step 1: Emergency Fund Setup
Keep Rs. 5 to 6 lakh as emergency reserve.

Use a mix of bank savings account and liquid mutual fund.

This money is only for health or life emergencies.

Do not invest this amount in high-risk options.

Step 2: Short-Term Needs Parking
Set aside Rs. 10 to 15 lakh for short-term goals.

These goals could be travel, family wedding, or early retirement fund.

Invest this amount in ultra-short duration or short-term mutual funds.

These give better returns than FDs with moderate liquidity.

Use regular mutual funds through Certified Financial Planner.

Direct plans lack service, guidance, and correction support.

Step 3: Retirement Corpus Growth
Invest the remaining Rs. 80 lakh for long-term wealth.

Use a staggered approach. Start with Rs. 20 lakh as lump sum.

Keep Rs. 60 lakh in a sweep-in FD or liquid fund.

Transfer Rs. 1 lakh to Rs. 2 lakh monthly into mutual funds (STP).

Use this route over 30 to 36 months for smoother entry.

Mutual Fund Strategy for Long-Term Growth
Use diversified equity mutual funds for long-term wealth creation.

Mix of large cap, flexi cap, and balanced advantage funds works well.

These funds can deliver better returns than inflation over 5–10 years.

Do not use index funds.

Index funds cannot adjust in falling markets.

Active funds are better in Indian markets with active fund manager decisions.

Actively managed funds with good track record are preferable.

Avoid fund suggestions from agents without proper CFP credentials.

Choose regular mutual funds through a Certified Financial Planner.

Benefits of Mutual Funds Over FDs and Property
Higher long-term returns.

Professional fund management.

Better liquidity than real estate.

Lower cost than buying and selling property.

Goal-based planning flexibility.

Tax efficiency when planned properly.

SIPs for Regular Monthly Contribution
You are working now. You can also start SIP monthly.

Even Rs. 10,000 to Rs. 20,000 monthly helps you stay disciplined.

SIPs remove emotion from investing.

They give rupee cost averaging during market ups and downs.

SIPs are suitable even for someone new to mutual funds.

How to Plan Withdrawals Later
You will retire in next 8 to 10 years.

Use Systematic Withdrawal Plan (SWP) after that.

This gives monthly income without breaking your investment.

Withdraw fixed amount monthly. Balance stays invested.

You can also adjust the amount as needed.

Tax Impact While Withdrawing
Equity mutual fund gains above Rs. 1.25 lakh yearly are taxed at 12.5%.

Short-term gains are taxed at 20%.

For debt mutual funds, all gains taxed as per slab.

Plan redemptions carefully to reduce tax outgo.

Do Not Choose ULIP or Endowment Plans
These mix insurance and investment with poor returns.

Long lock-in and high charges make them unattractive.

You need only pure term insurance.

For investment, mutual funds are better.

Importance of Regular Review
Review portfolio every 6 to 12 months.

If fund is underperforming for 3 years, consider change.

Rebalance between equity and debt based on age.

A Certified Financial Planner can guide this properly.

Learn and Build Comfort Slowly
Since you are new to mutual funds, start step-by-step.

Read simple articles and videos on mutual funds.

Understand risk and return expectations before investing.

Take small steps with expert guidance.

Final Insights
You have Rs. 1 crore. That is a very strong base. But where you invest this will decide how peacefully you live after 60. Avoid fixed deposits for long term. Avoid real estate. Avoid insurance-linked products. Mutual funds are the best option for you now. Take help from a Certified Financial Planner and get started. Keep money for short term needs separately. Use the rest wisely with STP and SIP. Review yearly. Stay invested for long term.

Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

...Read more

Dr Dipankar

Dr Dipankar Dutta  |1403 Answers  |Ask -

Tech Careers and Skill Development Expert - Answered on May 24, 2025

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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