BLOG

PCD Pharma Franchise Investment: What It Actually Costs

2026-08-12 2 min read Lavanya Healthcare Limited

This is the question we are asked most. The straight answer: a PCD franchise has no franchise fee. Your money goes into stock, not into a fee paid to a company.

If someone is asking for a franchise fee

That is the biggest red flag there is. A genuine PCD company does not charge a franchise fee, a security deposit or a registration charge. You are their customer - they sell you goods, you buy goods. That is the whole relationship.

Where the money actually goes

ItemDetail
First stock orderMinimum Rs. 25,000 with us
Drug licenceGovernment fees plus a consultant, varies by state
GST registrationUsually free, or a consultant's fee if you use one
Travel and local costsThe daily cost of calling on doctors
Godown or storageA small start can run from home, within the licence conditions

How much stock to hold

Ordering more stock than you need is the most common early mistake. Take 15 to 20 products in small quantities. Increase what moves, drop what does not.

Dead stock is the most expensive lesson in this trade - the money is stuck and the expiry date keeps coming closer.

When credit starts

Everyone starts on 100% advance. Every genuine company works this way, because credit to a brand new partner is a risk.

With us, credit usually begins once a working relationship is established - typically after three to four months, five or more billings, and roughly Rs. 1 to 1.5 lakh of business.

How the margin works

We supply at a fixed rate. Whatever the difference is between that rate and the MRP is entirely yours - we take no share of it.

In other words: our rate is fixed, the MRP is printed, and the whole gap belongs to the partner. No commission is deducted and no charge appears later.

Every product has its own rate, so the margin differs product by product. The right way to check is simple: ask for the rate list, which shows both the net rate and the MRP. Work out the margin yourself, product by product.

If a company hesitates to give you a written rate list, walk away - that is exactly where a rate dispute is born later.

How fast the goods arrive

Parcels are dispatched two to three days after payment. Distant locations can take up to a week.

This is quite different from third party manufacturing, which takes 30 to 45 days because the goods are made fresh. In PCD the stock already exists, which is why it moves so quickly.

When you get your money back

The honest answer is that it depends on your effort, not on the company. The more doctors who prescribe, the more business. The first two or three months are investment; income comes after that.

Full PCD franchise detail · ask for the rate list

Planning a product?

Share your requirement and we will confirm MOQ, pricing and lead time.

← All articles

Let's build something

Fill out the fields below and we'll get right back to you.