Achieve international expansion with FDS
Franchising is not only a methodology that can help you expand your business nationwide, but worldwide as well. There are a number of methods your business can use to develop international operations and build a global brand, and FDS has been assisting brands to do this for over two decades.
Master, Regional, Area Development or Direct Franchising
A number of different structures have been developed to deal with the difficulties in overseeing international franchise networks, the simplest being Master Franchising. In this situation the franchisor awards a Master Franchise to a suitable indigenous individual or organisation in the target country, often in return for a significant investment. The Master Franchisee secures exclusive rights to develop that country under the franchisor's brand, trading style and system either by establishing a sub-franchised network, Master Franchisee-owned outlets or a mixture of the two.
In some countries (such as the USA) one Master Franchisee may not be able to manage the entire territory. The Regional Franchising approach divides the target country into regions, for example dividing the USA into states, which are treated as mini Master Franchises. These Regional Franchisees must cooperate on national initiatives such as marketing.
In some companies or industries where sub-franchising is not permitted and the franchisee must own all new outlets opened, a whole country may not be the most efficient size of license and the territory is divided, much like in Regional Franchising. Where no sub-franchising is taking place, this practice is usually called Area Development Franchising.
If the franchisor is capable of providing the support, it may opt to Direct Franchise a country, taking direct responsibility for recruiting, training and supporting a franchise network through long-distance control from the headquarters, a subsidiary office in the target country or an appointed agent.
FDS International Development
Acknowledged as an international expert in international franchising, FDS has assisted numerous important brands to achieve global growth through its network of offices in Europe, Russia and the Middle East. With our detailed International Franchise Development Programme, we can assist your business from research through to recruitment.
