Education in India is primarily provided by the government, private sector, and nongovernmental organisations (NGOs). With the implementation of Right of Children to Free and Compulsory Education Act (RTE), in 2009 private sector participation in the education sector should have increased vastly. However, given the current legal framework, it is extremely difficult for private enterprises to start and operate an educational institution. This paper studies the existing regulations in Delhi and Gujarat and highlights the barriers faced by edupreneurs to enter the education sector.