With a budget of ₹50 lakh, you can establish medium-to-large scale businesses with professional-grade infrastructure, skilled staff, advanced technology, and marketing campaigns. This budget allows you to target Tier 1, Tier 2, and Tier 3 cities with higher quality products and services.
This guide is for MSMEs looking to scale, aspiring entrepreneurs, and professionals ready to transition into full-scale business ownership. Who this guide is for:
Entrepreneurs planning medium-to-large scale operations
MSMEs ready to expand into regional or national markets
Professionals moving from side-hustle to full-time business
Individuals seeking long-term, scalable income
How this guide this helps you, each idea includes:
Estimated Setup Cost (within ₹50 Lakh)
What You Need to Start
Where to Sell or Offer (online + offline)
Location Fit guidance
Pro Tip for growth
Ideas are divided into Product-Based and Service-Based businesses.
Table of Contents
Product-Based Business Ideas
1. Medium-Scale Cold Storage & Agro-Processing Unit
Setup Cost: ₹35–50 Lakh
What You Need: Cold storage, machinery for packing/processing, staff, vehicles
Where to Sell: Farmers, wholesale markets, Sumvaad Bazaar
Location Fit:
Tier 1 → High-value fruits and premium packaging
Tier 2/3 → Local vegetables, staples, regional fruits
Pro Tip: Partner with e-commerce and food delivery platforms
Compliance/Funding: Udyam recommended; FSSAI for processed items; PMEGP and agriculture-specific schemes available
2. Medium-Scale Bottled Water & Beverage Plant
Setup Cost: ₹35–50 Lakh
What You Need: Water purification system, bottling plant, packaging, logistics
Where to Sell: Local retailers, offices, online, Sumvaad Bazaar
Location Fit:
Tier 1 → Premium mineral water and flavored options
Tier 2/3 → Standard potable water
Pro Tip: Offer subscription-based delivery for offices and households
Compliance/Funding: FSSAI mandatory
3. Medium-Scale Solar Panel Assembly Unit
Setup Cost: ₹40–50 Lakh
What You Need: Assembly machinery, raw components, staff, warehouse
Where to Sell: Solar contractors, industries, government projects
Location Fit:
Tier 1 → Specialized solar solutions
Tier 2/3 → Basic residential solar panels
Pro Tip: Tie-up with government subsidy programs for faster adoption
Compliance/Funding: Udyam recommended; renewable energy schemes applicable
4. Medium-Scale Modular Furniture Manufacturing
Setup Cost: ₹35–50 Lakh
What You Need: Carpentry machines, raw materials, design software, staff, showroom
Where to Sell: Offices, apartments, interior designers, Sumvaad Bazaar
Location Fit:
Tier 1 → Designer and modular interiors
Tier 2/3 → Functional office/home furniture
Pro Tip: Offer turnkey solutions with delivery and installation
5. Medium-Scale Packaged Organic Food Unit
Setup Cost: ₹35–50 Lakh
What You Need: Processing machines, packaging, storage, staff
Where to Sell: Retailers, online, Sumvaad Bazaar, health stores
Location Fit:
Tier 1 → Premium organic products
Tier 2/3 → Affordable health-conscious options
Pro Tip: Focus on subscription kits for recurring revenue
Compliance/Funding: FSSAI mandatory; Udyam recommended; Mudra/PMEGP applicable
6. Medium-Scale Solar Water Heater Manufacturing
Setup Cost: ₹35–50 Lakh
What You Need: Assembly line, raw materials, warehouse, staff
Where to Sell: Residential, commercial buildings, Sumvaad Bazaar
Location Fit:
Tier 1 → Premium energy-efficient models
Tier 2/3 → Standard heating solutions
Pro Tip: Partner with construction companies for bulk sales
7. Medium-Scale Bakery & Confectionery Production House
Setup Cost: ₹35–50 Lakh
What You Need: Commercial ovens, mixers, skilled bakers, packaging, delivery system
Where to Sell: Retail, Sumvaad Bazaar, hotels, online
Location Fit:
Tier 1 → Premium confectionery and gift packs
Tier 2/3 → Everyday bakery products
Pro Tip: Offer corporate and event gifting services
8. Medium-Scale Footwear Manufacturing Unit
Setup Cost: ₹35–50 Lakh
What You Need: Cutting, stitching, assembly machines, staff, design software
Where to Sell: Retailers, online, Sumvaad Bazaar
Location Fit:
Tier 1 → Branded fashion lines
Tier 2/3 → Affordable and durable footwear
Pro Tip: Launch signature collections and scale regionally
9. Medium-Scale Paint Production Unit
Setup Cost: ₹35–50 Lakh
What You Need: Mixing machines, raw chemicals, storage, staff
Where to Sell: Hardware stores, construction companies, Sumvaad Bazaar
Location Fit:
Tier 1 → Specialty paints (eco-friendly, designer)
Tier 2/3 → Regular paints for homes and offices
Pro Tip: Offer small starter packs for retail distribution
10. Medium-Scale Textile or Garment Dyeing Unit
Setup Cost: ₹35–50 Lakh
What You Need: Dyeing machines, chemicals, skilled staff, warehouse
Where to Sell: Textile manufacturers, boutiques, Sumvaad Bazaar
Location Fit:
Tier 1 → High-end fabrics and patterns
Tier 2/3 → Everyday fabric dyeing services
Pro Tip: Focus on eco-friendly dyes to attract premium buyers
Service-Based Business Ideas
1. Mid-Scale Healthcare Clinic or Diagnostics Centre
Setup Cost: ₹35–50 Lakh
What You Need: Equipment, licensed staff, clinic space
Where to Offer: Offline, Omnichannel, Online and Corporate Partnerships
Location Fit:
Tier 1 → Specialized diagnostics and treatments
Tier 2/3 → General diagnostics
Pro Tip: Partner with corporates for recurring health check-ups
2. Mid-Scale IT Services & SaaS Development Company
Setup Cost: ₹35–50 Lakh
What You Need: Office, laptops, certified staff, software licenses
Where to Offer: SMEs, Corporates and D2C Brands
Location Fit:
Tier 1 → Niche software solutions
Tier 2/3 → Website development, basic apps
Pro Tip: Offer annual maintenance contracts for recurring revenue
3. Mid-Scale Travel & Adventure Tourism Agency
Setup Cost: ₹35–50 Lakh
What You Need: Booking system, vehicles, marketing, guides
Where to Offer: Corporate trips, weekend packages, Sumvaad Manthan
Location Fit:
Tier 1 → Adventure and premium corporate tours
Tier 2/3 → Local cultural tourism packages
Pro Tip: Collaborate with local homestays and hotels
4. Mid-Scale Event Management Company
Setup Cost: ₹35–50 Lakh
What You Need: Equipment, décor, logistics, staff
Where to Offer: Corporate events, weddings, exhibitions
Location Fit:
Tier 1 → Large luxury events
Tier 2/3 → Local weddings and celebrations
Pro Tip: Offer bundled services (decor + catering + logistics)
5. Mid-Scale Fitness & Wellness Centre Chain
Setup Cost: ₹35–50 Lakh
What You Need: Studio space, equipment, trainers, staff
Where to Offer: Housing societies, corporates, Sumvaad Manthan
Location Fit:
Tier 1 → Specialized wellness and premium fitness
Tier 2/3 → Affordable gym and yoga programs
Pro Tip: Offer membership packages with add-on services
6. Medium-Scale Educational & Skill Development Centre
Setup Cost: ₹35–50 Lakh
What You Need: Classrooms, projectors, trainers, materials
Where to Offer: Students, professionals, corporates
Location Fit:
Tier 1 → Advanced skill training, competitive exams
Tier 2/3 → Basic vocational training
Pro Tip: Offer online + offline hybrid programs
7. Medium-Scale Logistics & Courier Services
Setup Cost: ₹35–50 Lakh
What You Need: Vehicles, warehouse, staff, software
Where to Offer: Local SMEs, Sumvaad Bazaar, e-commerce
Location Fit:
Tier 1 → Express and premium services
Tier 2/3 → Regional delivery and SME support
Pro Tip: Offer specialized SME packages for recurring business
8. Medium-Scale Boutique Hotel or Homestay Chain
Setup Cost: ₹40–50 Lakh
What You Need: Property, staff, furnishings, marketing
Where to Offer: Tourists, corporates, online portals
Location Fit:
Tier 1 → Premium boutique experience
Tier 2/3 → Comfortable, affordable stays
Pro Tip: Focus on thematic experiences and local tours
Compliance/Funding: Hospitality schemes
9. Medium-Scale IT Training & Certification Centre
Setup Cost: ₹35–50 Lakh
What You Need: Labs, certified trainers, software, classrooms
Where to Offer: Students, professionals, corporates
Location Fit:
Tier 1 → Specialized certifications for high-demand skills
Tier 2/3 → Basic IT training
Pro Tip: Partner with recognized certification bodies
Compliance/Funding: Skill development schemes
10. Medium-Scale Digital Marketing & Branding Agency
Setup Cost: ₹35–50 Lakh
What You Need: Office, staff, software, laptops
Where to Offer: SMEs, startups, Sumvaad Manthan
Location Fit:
Tier 1 → Full-service marketing for corporates
Tier 2/3 → Local SMEs and shops
Pro Tip: Offer performance-based packages for client retention
Compliance/Funding: Udyam optional; GST if turnover >₹20L
Legal & Compliance Essentials
Udyam Registration: Recommended for all medium-to-large scale businesses
FSSAI License: Mandatory for food, beverages, or consumables
GST Registration: Mandatory if turnover exceeds ₹20 lakh
Shop & Establishment License: Required for physical setups with employees
PAN + Current Account: Strongly recommended for professional financial management
Pro Tip: Start with essential compliance, expand licenses as your operations grow.
Funding & Support Schemes
Mudra Loan (Tarun/Shishu): ₹50k–5L, collateral-free
PMEGP (Khadi Loan): Up to ₹10 lakh for manufacturing/service businesses
State MSME Schemes: Subsidy + training across multiple states
Skill & Startup Grants: Applicable for training, IT, tourism, and wellness businesses
Renewable Energy & Agri Schemes: For solar, cold storage, and agro-processing units
Check Udyam portal and respective ministry websites for eligibility.
Action Plan
Choose an idea aligned with skills, demand, and local market
Conduct detailed market research — pricing, competitors, suppliers
Allocate 40–50% budget for setup/machinery; rest for inventory, staff, marketing, and working capital
Track expenses, reinvest profits, and focus on building trust and repeat business
Disclaimer
All business ideas and budget estimates are indicative. Costs, feasibility, and profitability may vary based on location, regulations, market conditions, and resources. Always conduct research and consult industry experts before investing.?