The Indian education ecosystem today consists of the government, private sector, and nongovernmental organisations (NGOs) that have helped provide education to millions of children. The enactment of the Right of Children to Free and Compulsory Education Act (RTE), in 2009 should have enhanced private sector participation manifold. However, given the current legal framework, the environment is not conducive for the entry and sustenance of private players. Given this context, this paper seeks to examine the current legislative framework in Delhi and Gujarat, which is acting as a bottleneck for edupreneurs to enter the education sector.