How to get a Franchise of H&M in India? H&M Franchise Cost, Profit Margin

H&M stands for Hennes Mauritz Widforss is one of the most famous clothing/apparel companies in the world. This Swedish company was founded back in 1947 and has its headquarters located in Stockholm, Sweden.

The company rolled out innovatively designed clothes for both men and women which is one of the reasons why customers stay loyal to its products. The company also offers its franchise to interested and eligible entrepreneurs and partners who wish to open up its store in an ideal location.

H&M Franchise Cost In India

The approximate cost to open up an H&M franchise is between INR 50 lacs to INR 1 crore depending on the location. Other factors like the size of the store are also major factors that would determine the exact cost of opening up an H&M franchise in India.

Basic franchise infrastructure requirements like computer and internet connectivity, billing counter, product area display, trial rooms, air conditioners, CCTV cameras, and such are some of the compulsory infrastructures that need to be present in the franchise store. 

The best way to determine the exact cost is to directly get in touch with the company personnel. Even though it seems quite impossible that the company will be granting you its franchise opportunity but you can try to raise a query regarding its franchise option.

H&M’s popularity even grew when they were able to onboard Jim Sarbh, Manushi Chillar, Isha Talwar, Shantanu Maheshwari, Chum Darang, and Zaeden as their brand ambassadors. These are some of the famous personalities that have massively got the youngsters as its fan following and thus a strategy for the company to market and advertise its products in such a competitive market.

Let us know the details about its franchise opening in a country like India where the clothing business is flourishing but competition has become tighter than ever. 

Procedure To Get H&M Franchise In India 

H&M does offer its franchise options to interested entrepreneurs and partners. People who seek to open up a business can look up H&M’s franchise option as well in case they have got an ideal location in mind with the required investment amount.

The company is also planning to open up many more stores in countries like India, the South American region, and also in other parts around the globe where it has yet to make its presence available.

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In India, the company operates through its wholly-owned subsidiary H&M Hennes & Mauritz Retail Pvt. Ltd who is also responsible for taking care of the entire operation of expansion programs for its retail presence through company-owned stores. This means that the company is given clarity on the fact that they would look to have complete control over its operations and services which means that its franchising opportunities are limited. 

Interested people who wish to become a part of the company by taking its franchise can directly get in touch with the personnel of the company to get accurate details. Even though the chance of getting approval for its franchise options seems low, the company might show interest in case you have got an ideal location in mind. But, all in all, it would only be a wise option to directly get in touch with the company personnel. 

Licenses & Documents Required For H&M Franchise 

Entrepreneurs who are interested to open up H&M franchises should be fully ready with all their important documents. It will be a wise option to keep your documents in order and updated so that there are no issues while the registration and checking process. Let us have a look at the highlights of licenses and documents required for getting H&M franchise in India.

• ID Proof documents (Aadhaar card, Voter Card, PAN Card)
• Address Proof documents (Electricity bill, Rent Agreement, etc)
• GST Registration certificate and number 
• Trade licenses 
• Bank Account Details and Financial Documents
• Passport size photographs 
• Contact number 
• Trade license under Shops and Establishments 

You can visit the official website or contact company personnel to get the latest updates about the documents required to open up a H&M franchise. It is also possible that the company may do a background check which is not officially confirmed but only the best entrepreneurs would be granted its franchise. 

How Profitable Is H&M Franchise?

H&M is itself one of the most profitable companies in India and as well as in other parts of the world where it operates its business. In the year 2016 to 2017, the company grew its sales by 87% which amounted to INR 954 crore. This shows that the company has now got a good grasp of the Indian market where they are doing good business out of its outlets located all across the country. 

A H&M franchise's profitability massively depends on the location, city and region, and the overall development of the store. The growth in clothing and apparel industry has made significant growth in the past couple of years and therefore it can be expected that an H&M franchise when opened in an ideal location could earn a gross profit margin of at least 30-35%. 

The brand has made its presence available in the Indian market which has become a reputable brand too. The company has made effective efforts in its branding and marketing which could also be the reason to bring heavy earnings of revenues each month to your franchise store. 

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