An AEPS franchise in India costs ₹25,000–₹2,20,000 in 2026, depending on service provider, technology setup, device quality, wallet integration, and business scale. AEPS (Aadhaar Enabled Payment System) franchises require a biometric device costing ₹2,500–₹12,000, while software activation and service licensing range ₹5,000–₹55,000. Retailers investing in mini-branch setups with branding, counters, and POS systems spend ₹40,000–₹1,20,000. Monthly operational expenses—including rent, internet, electricity, SMS charges, and staff—range ₹5,000–₹25,000. Profits depend on customer volume, with most AEPS centers achieving earnings of ₹18,000–₹85,000 per month, reaching break-even in 1–5 months.
AEPS franchise cost in India ranges ₹25,000–₹2.2 lakh in 2026. Learn AEPS setup fees, device cost, commissions, monthly expenses, earnings, and complete investment for Aadhaar banking centers.
Total Cost Breakdown of AEPS Franchise in India (2026)
AEPS (Aadhaar Enabled Payment System) franchises enable essential banking services—cash withdrawal, balance inquiry, money transfer, mini statements, and Aadhaar-linked payments—through biometric authentication. AEPS outlets operate in kirana stores, mobile shops, CSC centers, rural markets, and small retail points. Investment requirements are low, making AEPS one of India’s most popular micro-business opportunities. Cost depends on the service provider (bank-led, fintech-led, or distributor-based), biometric device brand, software features, and transaction limits. Rising digital adoption in rural and semi-urban markets continues to increase daily AEPS transaction volume.
• Total AEPS setup cost ranges ₹25,000–₹2,20,000, depending on business scale.
• Key cost components include franchise fee, biometric machine, software activation, branding, and monthly overheads.
Franchise Fee & AEPS Activation Charges
AEPS franchise fees differ across service providers such as PayNearby, Spice Money, BankBC, Relipay, EzeTap, Payworld, and Fino. Some offer zero franchise fee but require higher wallet deposit or KYC balance.
• Franchise fee ranges ₹5,000–₹55,000, depending on provider.
• Includes service activation, AEPS license, onboarding, app access, and training.
• Some fintech companies charge only KYC + wallet deposit instead of a fixed fee.
Biometric Device Cost for AEPS Operators
AEPS requires a certified biometric scanner that matches Aadhaar authentication standards. Popular devices include Mantra MFS100, Startek FM220U, Morpho MSO1300E, and SecuGen Hamster Pro.
• Biometric device cost ranges ₹2,500–₹12,000, depending on brand and model.
• Premium devices offer faster authentication, reducing waiting time for customers.
• Warranty upgrades and AMC plans add ₹300–₹1,000 per month for high-volume users.
Interior Setup, Branding & Mini-Branch Model Costs
Many retailers run AEPS from existing shops, but standalone AEPS centers require seating, counters, branding, and electrical setup.
• Interior setup ranges ₹10,000–₹75,000, depending on furniture and branding.
• Signboards, banners, and customer information boards cost ₹1,000–₹6,000.
• Retailers using larger spaces may add UPS, CCTV, and backup systems for security.
Technology Requirements, Software & System Setup
AEPS operators require essential digital tools for transactions, customer logs, and reporting. Technology cost varies based on business size and device quality.
• Technology setup costs ₹5,000–₹45,000, including smartphone, PC, printer, and router.
• High-speed internet and app-based dashboards are necessary for smooth onboarding.
• POS printers cost ₹3,000–₹8,000, useful for receipts, statements, and customer confidence.
Commercial Rent & Location-Based Cost Variation
Most AEPS outlets operate inside kirana shops, avoiding extra rent. Dedicated centers require small shop space of 40–120 sq.ft, often in rural and semi-urban locations.
• Rent ranges ₹0–₹15,000 per month, depending on whether an existing shop is used.
• Rural areas have minimal rent, enabling faster break-even.
• Market-facing shops generate higher daily footfall for AEPS services.
Staff Salaries & Workforce Requirements
AEPS centers usually operate with one person, especially in small shops. Larger centers offering money transfer, PAN services, insurance, and bill payments may require staff.
• Staff salaries range ₹8,000–₹18,000 per month, depending on business scale.
• Multi-service centers need 1–2 employees for customer handling.
• Higher training improves accuracy and increases customer trust.
Monthly Utilities, Internet & AEPS Operating Expenses
AEPS is a low-expense business, with small monthly utility needs. Expenses vary with shop size, customer load, and additional services offered.
• Utilities cost ₹500–₹2,000, depending on electricity and cooling.
• Internet and SMS charges cost ₹150–₹500 monthly.
• Consumables such as paper rolls and sanitization cost ₹100–₹400 per month.
AEPS Marketing, Promotions & Customer Acquisition
AEPS services grow mainly through word-of-mouth, but local promotion accelerates growth in competitive areas. Branding helps establish trust for banking services.
• Marketing expenses range ₹500–₹10,000, depending on local advertising.
• Posters, banners, and WhatsApp promotions attract new customers.
• Offering additional services like mobile recharge increases customer retention.
Commission Structure, Transaction Charges & Revenue Model
AEPS income depends on the number of daily transactions. Each transaction earns commission from the service provider, with rural areas experiencing the highest volume.
• Cash withdrawal commission: ₹3–₹15 per transaction, depending on amount.
• Mini statement & balance inquiry: ₹0.20–₹1 per transaction.
• Money transfer (DMT) margin: ₹2–₹10 per ₹1,000 transferred.
• Retailers earn additional income from bill payment, recharges, insurance, and PAN services.
Profit Margin & Earnings Potential for AEPS Operators
AEPS profits depend on customer footfall, location, additional services, and trust. Rural centers often outperform urban ones due to higher dependency on AEPS transactions.
• Monthly income ranges ₹18,000–₹85,000, depending on volume.
• Multi-service centers offering DMT, insurance, and bill payments earn higher profits.
• Break-even typically occurs within 1–5 months, thanks to low setup costs.
City-Wise Cost Variation Across India
AEPS operations have minimal investment variation across regions, but earnings change significantly based on population density and banking infrastructure.
• Tier-1 cities offer moderate footfall but higher competition.
• Tier-2 and Tier-3 towns provide best balance of cost and demand.
• Rural areas deliver highest AEPS transaction volume and fastest ROI.
Total Estimated Cost for AEPS Franchise Launch
Starting an AEPS franchise in India is affordable and highly scalable. Operators can expand into DMT, micro-ATM services, PAN card services, insurance, and BBPS for higher income.
• Total investment ranges ₹25,000–₹2,20,000, depending on setup model.
• Annual operational cost ranges ₹30,000–₹1,80,000, depending on staff and rent.
• High-volume areas generate stable and recurring income daily.
Summary Table for AEPS Franchise
| Category | Cost (2026 Estimate) |
|---|---|
| Franchise Fee | ₹5,000–₹55,000 |
| Biometric Device | ₹2,500–₹12,000 |
| Interiors & Setup | ₹10,000–₹75,000 |
| Technology & Systems | ₹5,000–₹45,000 |
| Monthly Operating Cost | ₹5,000–₹25,000 |
| Total Investment | ₹25,000–₹2,20,000 |
FAQ about AEPS Franchise
Q. How much does an AEPS franchise cost in India in 2026?
A. Total investment ranges ₹25,000–₹2.2 lakh, depending on setup size and provider.
Q. Is AEPS business profitable in India?
A. Yes, most operators earn ₹18,000–₹85,000 monthly, depending on footfall.
Q. Does AEPS require GST registration?
A. Small outlets under basic threshold generally do not require GST, unless turnover rises.
Q. Which biometric device is best for AEPS?
A. Popular options include Mantra MFS100, Startek FM220U, and Morpho MSO1300E.
Q. What is the break-even period for an AEPS franchise?
A. Most AEPS businesses break even within 1–5 months.