Free guide · no login · checked 4 Nov 2026
Kirana or general store
Run a neighbourhood shop for groceries and daily needs.
Money to start
Up to ₹5 lakh
Time it needs
Full time
Risk
Medium
Works from home
Mostly outside
Explore
What it is, who it suits, what it can pay, how soon, the upside and the risks.
A kirana sells daily needs to a fixed neighbourhood: groceries, snacks, toiletries, recharge. Margins per item are thin, so income comes from steady daily volume, credit control and smart stocking.
Who it suits
- People with a shop space or savings for rent and stock
- Families who can share shop hours
- Anyone good with people and numbers
Upside
- Daily cash flow
- Loyal local customers
- Add-ons like home delivery, ONDC and bill payments
Risks to know
- Thin margins
- Competition from quick commerce
- Udhaar that never comes back
What it can pay
We do not publish a number without a reliable source.
What drives it: Location and footfall, the margin on each category, how fast stock moves, rent, and how much credit (udhaar) you give.
Time to first income
From the first day the shop opens; setting up takes two to six weeks.
Assess
Skills, money, tools, hours and registrations you need, and a five question fit check.
Skills
- Buying and stock control
- Friendly service
- Daily cash counting
Money to start
Shop deposit and rent, racks, a fridge, and opening stock. Mudra loans can help.
Tools
- Racks and a fridge
- Billing app on a phone
- UPI QR
Time per week
Long days, seven days a week, unless family shares shifts.
Licences and registrations
Tick each one as you get it. Your ticks stay on this device.
Quick fit check
- 1.Do you have or can you rent a shop with footfall?
- 2.Can you keep the shop open most of the day?
- 3.Are you careful with cash and credit?
- 4.Can you arrange stock money for at least two weeks?
- 5.Do you enjoy dealing with neighbours every day?
Answer all five to see how well this fits you.
Run
Your first 30 days to the first rupee: set up, price, get paid, find customers, keep records.
Days 1 to 7
Set up
Days 8 to 10
Price it and get ready to be paid
Days 11 to 24
Find your first customers
Days 25 to 30
Record and review
Nurture
Grow and stay compliant: tax, GST, government schemes and the help that fits.
Grow it
- Add home delivery on WhatsApp
- Sell on ONDC
- Add a second counter: dairy, vegetables or stationery
Tax: Small business on presumptive tax
Return: ITR-4 (Sugam) if total income is up to ₹50 lakh; otherwise ITR-3
- This is business income. With turnover up to ₹2 crore (₹3 crore if at least 95% comes in digitally) you can use Sec 58 of the Income-tax Act 2025 (old Sec 44AD): declare 6% of digital receipts and 8% of cash receipts as profit, or more if you earn more. No detailed books needed.
- If you leave this scheme after using it, you cannot come back to it for the next five years. Choose with care.
- Under the new regime, total income up to ₹12 lakh usually means no tax after the rebate. You still file, to show the income and claim back any TDS.
- Pay advance tax in one go by 15 March if the year's tax is ₹10,000 or more.
GST on goods
Register once turnover from goods crosses ₹40 lakh in most states (₹20 lakh or ₹10 lakh in some special category states). Selling goods to other states usually needs registration from the start. Composition (1% for traders) keeps it simple up to ₹1.5 crore.
Government schemes that help
- PM Mudra Yojana ↗Loans without collateral for small non-farm and allied businesses: Shishu up to ₹50,000, Kishore up to ₹5 lakh, Tarun up to ₹10 lakh, Tarun Plus up to ₹20 lakh.
- ONDC ↗Open network to sell online through many buyer apps at lower commission.
- CGTMSE ↗A government guarantee so banks can lend to micro and small units without collateral.
Make it official
Only what this way of earning needs. Free tools are marked; services are done by a TaxSavvy CA.
Questions
How much can I earn from kirana or general store in India?
What drives it: Location and footfall, the margin on each category, how fast stock moves, rent, and how much credit (udhaar) you give.
How long until the first income?
From the first day the shop opens; setting up takes two to six weeks.
What do I need to start?
Shop deposit and rent, racks, a fridge, and opening stock. Mudra loans can help. Registrations: PAN, Bank account and UPI, Shops and establishment registration, FSSAI registration, Udyam registration, GST registration.
Which ITR form do I file for this income?
ITR-4 (Sugam) if total income is up to ₹50 lakh; otherwise ITR-3. This is business income. With turnover up to ₹2 crore (₹3 crore if at least 95% comes in digitally) you can use Sec 58 of the Income-tax Act 2025 (old Sec 44AD): declare 6% of digital receipts and 8% of cash receipts as profit, or more if you earn more. No detailed books needed.
Do I need GST?
Register once turnover from goods crosses ₹40 lakh in most states (₹20 lakh or ₹10 lakh in some special category states). Selling goods to other states usually needs registration from the start. Composition (1% for traders) keeps it simple up to ₹1.5 crore.
Which government schemes can help?
PM Mudra Yojana, ONDC, CGTMSE. Each scheme has its own eligibility; check the official site before applying.
Sources
Read on 4 Nov 2026. Limits, rates and fees change: check the official site before you rely on them.
- FSSAI FoSCoS: food registration and licences
- Udyam Registration portal, Ministry of MSME
- ONDC: open network for digital commerce
- Income Tax Department: Income-tax Act 2025 FAQs
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