How to start Indian Post Office Franchisee Business

How to start Indian Post Office Franchisee Scheme Business in India?

The Indian postal department has decided to give its franchisee. It has given a notification announcing the same. However, according to the post, any Indian can apply to open the Franchisee business. This way, they can start the post office in the state or city. For this, the interested candidate has to apply in the post office franchisee. The franchisee will be given only to the selected candidates under the selection procedure. However, the procedure will take place depending on the rules and qualifications that are stated by the post office franchisee.


What are the different types of franchises?

It is important to set up postal service in every city and it has to be initiated by the Department of post from the concerned states. There are two types of post office franchise. One is the franchise with courier service linked with the post office and the other one is the postal agency. However, the postal department has arranged for different department and qualifications that look after the functioning of the franchises that are involving in the business of opening post office.

How to open Post Office Franchises?

In relation to this post office business, the courier service franchise will be provided only to the ones where it is not possible to set up post office by help of postal department. There are several cities and states where there are no post office services. It is necessary to start post office outlets in the remote place by help of Indian postal department. In this way, the people living in the remote area can avail the postal service.  

What are the outlet features of the starting the business?

  • The franchise opened by the postal department will get facilities of courier service. The task of distribution and transmission will be done by the postal department itself.
  • The franchise will get permission only in the developing cities like the big metros and town. It shall help in providing fast service to common people.
  • The postal department will be responsible to review the functioning of the franchise’s twice in a year. The postal department will review it after first six months of opening the postal office. After this, if the work of the franchise is found to be complete during the final review, the review duration would be extended.
  • The earning commission will depend on the outlet franchise. However, your earning will be set as per the rules of the commission. The price of the goods that you sell will be given to you only. The profit that you earn from the selling will be your income.

What are the goods allowed to sell through post office outlets?

From the post office outlets, you can sell the following items and ear money.

  1. E-governance project
  2. Registered article
  3. Stamp and Stationery Goods
  4. Bill and tax collection work
  5. Postal Life Insurance Business
  6. Speed ​​post article
  7. Payment Services Business

What are the eligibility criteria to apply for the Indian Postal Department?

  • The eligibility to start with the post office franchise business is 18 years whereas, there is no such maximum age. The candidates have to produce relevant documents at the time of registration for the business.
  • Individual should have minimum education of eighth grade in order to start with this post office franchise business. The minimum level of education will help the persona to carry out the business smoothly.
  • If a person is running any business, they can start with the post office franchise business. These franchises will run in the rural, urban and the newly coming urban townships.
  • Even students studying in colleges, universities, polytechnics and professional colleges are eligible to start with this form of business. They have to make arrangement to start with the business.
  • In case, any member of your family is already in the Indian postal department, they are not eligible to start with this franchise business. So, every individual has to provide relevant documents at the time of registration for the business. This will help the higher authority judge whether the person is capable of starting the business or not. However, similar to individuals, organizations can also start applying for franchise business. In such cases, the agreement should be done with the head of organization.

How can you apply for the post office?

For starting the franchise business, you have to apply via the offline mode. For this, you have to fill in the application form and submit it to the higher authorities. However, for the application form, you have to visit the official portal of department of posts. Therefore, by clicking on the right link, you can get hands on the form link. Then, you have to download it. Other than this, you can also go to the postal divisional office and get the application form to start your franchise.        

What is the process of filling up the form for starting the business?

  • When planning to apply for franchise of post office service, you have to visit Following this, you have to download the agreement form by clicking on the right link and fill it.
  • The person who is willing to start with the post office franchise business have to provide relevant details in the application form such as nationality, location of franchise, including his home address details.
  • After the person fills up the application form, they should submit the same in the department of post office and superintendent of the particular area in which you wish to open the post office franchise service.

What are the important documents required for starting the business?

At the time of submitting the application for opening post office franchise, you have to submit important documents such as birth date proof, PAN card along with residential details. Along with filling up the application form, you should have photocopy of vital documents that you have to submit along with the application form of the franchise. 

How the selection procedure starts?

  1. If you have selected the area in which you wish to open your franchise, you have to submit a report in relation to opening post office service. The report will be given by the ASP or SDI to the divisional head who will select the eligibility of the person to start with the franchise business.
  2. The divisional head of post office department will receive reports given by ASP or SDI on basis of information that is provided in the application.
  3. Within 14 days after you submit the application, it will be submitted to the ASP or DSI to the divisional head. This shall help to forward the proceedings of opening the franchise easily.
  4. The divisional head shall select the person eligible for opening the franchise business and they have to sign a memorandum of agreement. In this agreement, the person will have to sign two witnesses. Therefore, it is vital that you should check the agreement properly before you sign it.
  5. You will be rewarded with prize after you sign the agreement. In addition, you will also get training in which you will get to know on how someone is employed in the post office services.
  6. If you wish to open the postal service franchise, you will get preference compared to postal pensioners. Also, if you apply for the franchise business, you should have good knowledge of working with computers. Therefore, with computer knowledge you will get preference when starting the franchise business.

What kind of training is required relating to franchise?

  • Individuals who get the permission for franchises of starting post office will be provided with suitable training that shall help them to run the business properly. Whoever takes the charge of running the business will be given suitable training.
  • Some vital details such as duration of training, time, place, selection procedure will be conducted by the postal department. In case, the training takes place in some other state, the cost of traveling to the city and staying over there will not be sponsored by the department of posts.
  • The sub-divisional field inspector will provide the training. In case any person’s conduct is not correct is relation to opening the franchise, the agreement of the franchise will be terminated soon. Therefore, the person willing to open the franchise business has to prove themselves with better performance during the training period.
  • The training period shall teach the individual on how to run the post office smoothly. In addition, they will be taught to know about maintaining products, services and maintaining the premises.
  • Only after going through the training session and passing it, the franchiser can start with the business. The training would be conducted by department of posts from time to time for the help of the business persons.

Monitoring procedure

  • The individual who will start the franchisee would be monitored by inspector from postal department on how the person is running the business. This shall help the person to maintain proper working in the postal departments. In case, the inspector finds out any flaws in the functioning of the post office, strict action will be taken against the owner of the franchise business.
  • The task of monitoring will be done by the inspector every month and this shall help in proper running of the business. The franchise can also be managed well by means of electronic surveillance facilities.

What are the basic Features of the Postal Agent Plan?

  • In the franchise, stationery items and postage stamps will be available. However, these facilities will be made available both in the urban and rural areas.
  • So, when planning to start the business, the agents have to decide whether they wish to start the business in the rural or urban areas.
  • As per the postal agent scheme, the agents can sale only stationery items and postal stamps. The agents have to buy the items from local store depending on the requirements of the items. So, they have to purchase the item from the local store to meet its demand in the market.

What are the eligibility criteria of postal agent?

  • Any individual can choose to become a postal agent. However, the selected person will be given a photo identity card that they have to produce at the time of starting the business as a postal agent.
  • For working as a postal agent, the minimum age limit is 18 years. However, as per the rules of the scheme, there are no such maximum limits of the scheme.
  • In case any members of the agent’s family are working in the postal department, the individual cannot start the business of post office franchise. They cannot work in the postal department.
  • No basic rules for education qualification have been set up by the postal department for the agents who are planning to start the business. In case, a person does not know how to read can also apply for the scheme.

Details of selection procedure

  1. If you wish to become a postal agent, you have to fill up form and submit the same in the department of posts. After this, the head of the department will select the agent on the basis of the application submitted.
  2. For selection of the postal agent, the head of postal department will go through the identity card details of the agent.
  3. After submitting the photo identification, the department head will be responsible to issue the application within one week of application submission. After the agent has been selected, the individual has to sign agreement. However, he should sign the same only after going through it on a thorough note. So, for becoming postal agent, you do not have to make any investments.

Need of photo identity proof

  • When planning to become postal agent, the candidate has to provide photo identity proof at the time of submitting application form. It will be required for verification as the card will be issued in the name of the person who will take charge as a postal agent.
  • In case an organization wish to become postal agent, the identity card will be issued either in the name of the transition or an individual who will be the representative of the organization.

What accessories you can get from post office?

  1. The postal agent has to visit link post office after becoming postal agent. From the office, the person has to buy postage stamp along with stationery items. However, the responsibility of providing the goods in the post office will be part of the duty of the postal agent appointed in the post office.
  2. The link office in-charge will be responsible to provide ready supply of stamps and stationery items to the post office agent and make sure that the agent does not face any trouble in maintaining the stock of items.
  3. The postal agent has to make the expense of stamps and stationery items. Also, the agent should ensure that the items should be paid only in cash and no other means.
  4. As per scheme rules, the postal agent has to make a minimum purchase of rupees 300 at one time. However, at the time of purchase, the items will be given to the agent only after checking his identity card.
  5. Whatever commission amount the agent is responsible to pay will be subtracted from payment amount. Therefore, when purchasing the items, the agent only have to pay the amount that comes up after subtracting the commission money from the value of the goods.
  6. Whatever items and tickets are purchased by the agent will be recorded by the link post office. However, the postal agent will purchase the link from the post office.
  7. The postal agent should ensure that he sells stamps and other stationery items only in the area that has been allotted to him. However, he is not allowed to sell his items outside the allotted area.

What would be the duration of license?

  • The postal agent will get a license of one year from the postal department of India. However, the license period can be extended depending on the conduct of work of the postal agent during its first year of work.
  • After completion of first year, the license can be extended for another three years. However, after completion of three years, the license can be renewed if only agent has been successful in maintaining a good conduct of running the post office franchise for the past three years.
  • The license can be terminated at any point of time depending on the quality of the work that the postal agent does. His way of running of business will determine whether he is eligible to get extension on his license or not.

Details of application procedure for license extension

  • If you wish to become a postal agent, you have to click on By visiting the link, you can get the application form that is known as postal agent contract. 
  • After this, you have to fill up the form and after this, you have to deposit the same to nearest postal department for further proceedings of the application procedure.
  • Other than opting for the online mode of application, you can also submit the form via the offline mode where you have to buy the form.
  • Usually, the form is available in Hindi language. However, you can also get the form in the language of your preference. This shall help you in filling the form properly.
  • Therefore, after you submit the form, if you are selected as postal agent, you will be informed about the same including other information.

However, if you wish to work with the postal department and start working as postal agent by opening post office franchise, you have to follow the above mentioned steps. If someone in your area has already applied for this kind of business, your postal department franchise can be sanctioned easily. 

Other Articles:

Leave a Comment