§1What this business is
A 1,500 sq ft shed with a gas cooking table, utensils, chimney, tables, chairs, crockery and cots serves food along a highway. KVIC's profile points to the steady flow of domestic and foreign tourists on national highways.
Capacity: Projected sales ₹7.00 lakh a year at full capacity.
§2Is it right for you?
Who it is for
A family with land on a busy highway and cooking skill.
Who it is not for
Someone without a good highway site.
Advantages
- Steady highway traffic every day
- Cash business, no credit
- Family members can run it together
- Small investment on own land
Drawbacks
- Location decides everything
- Long hours, often round the clock
- Profile's food-cost figure looks very low for today
- Road widening or bypasses can cut traffic
Skills you need
- Cooking for volume
- Hygiene and food safety
- Staff management
- Buying vegetables and grocery cheaply
Why difficulty 2/5: Easy to start; the site and food quality decide success.
§3Market
Who buys
- Truck drivers
- Travellers and tourists
- Local workers
How it sells
- Walk-in customers on the highway
- Tie-ups with bus and truck operators
Good to know
- The profile says national highways across the country give ample opportunity for vegetarian dhabas.
§4Raw material & machinery
| Item | Qty | Cost |
|---|---|---|
| Gas cooking table | 1 | — |
| Utensils, pans, chopping table and knives | 1 lot | — |
| Kitchen chimney | 1 | — |
| Tables, chairs, crockery, cots and mattresses | 1 lot | ₹2,00,000 (all equipment together) |
From: KVIC Project Profile — Establishment of Dhaba (PMEGP)
- Grain, pulses, vegetables, dairy, oil and spices₹1.00 lakh a year in the profile
- LPG
§5Licences & registration
- FSSAI registration or licence
- Trade licence from the local body
- Health/eating-house licence where the local body requires it
- Fire safety NOC
- Udyam registration
- GST registration if turnover crosses the limit
§6Schemes & subsidies
- PMEGPCentralActive15–35% subsidy
- MudraCentralActiveLoan up to ₹20 lakh, no collateral
- CGTMSECentralActiveNo collateral, up to ₹10 crore
PMEGP fits (service projects up to ₹20 lakh); MUDRA gives loans up to ₹20 lakh; CGTMSE lets the bank lend without collateral.
§7Money
How the investment is worked out: Building shed 1,500 sq ft ₹3.00 lakh, equipment ₹2.00 lakh, working capital ₹78,500 = ₹5,78,500. Land own.
Working capital: Working capital ₹78,500; food raw material ₹1.00 lakh a year in the profile.
Year not printed on the KVIC profile — check current machinery prices. The profile was written for KVIC's older REGP scheme.
§8Export potential
A local service business; it has no goods to export.
§9Risks — where people fail
- Traffic diversion
- Food safety inspections
- Staff turnover
- Price rises in vegetables and LPG
§1030 / 60 / 90-day plan
A general plan that applies to any business. A plan for this business will be added after research.
- Days 1–30: Visit a working highway dhaba unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
- Days 31–60: Udyam and the licences you need (FSSAI registration or licence, Trade licence from the local body), a project report (DPR), and the scheme or loan file.
- Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.
§11Who to connect with
Associations, clusters and training institutes — the directory is being built. Connect
§12Watch
There is no episode on this business yet. Shows are coming soon on the Podcast page.
Want to start Highway Dhaba?
DPR, loan file or registration — ask us on WhatsApp.
¶Sources
Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.