Despite the tough economic conditions of the past eight years, the franchise industry continues to show its resilience with great entrepreneurial spirit, contributing a healthy 11.6% to South Africa’s GDP. With an increase of 132 franchise systems from 625 to 757 (21%growth), an increase of franchise outlets from 31 050 to 35 111 (13% growth) and with turnover increasing by 6% from R465,27 to R493,19 billion rand, franchising remains one of the soundest business formats, structured to withstand economic challenges
The launch of the 2017 Franchise Manual, the official annual directory for the Franchise Association of South Africa (FASA) continues its 38-year commitment to promoting ethical franchising through its membership base.
According to Vera Valasis, Executive Director of FASA, “the continued growth of new franchise concepts proves that franchising is the entrepreneurial heart of any economy – its growth might be temporarily curbed due to economic influences, but it remains the one business sector that is always innovating and has the highest success rate.”
Vera Valasis believes that on a global front, our changing world is opening up opportunities on the franchise horizon. “As spending patterns change, entrepreneurs will be looking at business sectors where there is an appetite for franchising and flourishing new industries will start to see the light. Niche markets are also offering one-of-a-kind franchises that give one the opportunity to get in on the ground floor of a new franchise trend.”
The FASA Franchise Manual is a must-have reference book for anyone wanting to acquire a franchise. A ‘how to navigate the road to franchise success’ offers a complete analysis to owning your own business – from looking at whether you are cut out for self-employment to highlighting the pros and cons; from guiding you on the questions you need to ask to helping you understand the legal implications of franchising. The book explains the fundamentals of franchising and looks at what makes up a good franchise offer and gives guidance in areas such as financing, operations and viability.
More importantly, the FASA directory section lists all its members in their various categories, detailing their activities, their history, the opportunity they offer and the financial costs of the franchises. The members of FASA have all voluntarily submitted their credentials, in the form of their Disclosure Documents (a requirement of the Consumer Protection Act) and franchise agreements for scrutiny and all have committed to adhering to FASA’s strict Code of Ethics which is in line with the very best in the world.
For those considering taking that giant leap to being your own boss, either by starting a franchise or buying into a franchise FASA runs a number of events throughout the year promoting franchising including the annual Franchise Business Festival which took place from the 30th June to the 2nd July at the Kyalami Race Track Exhibition Centre, their annual convention and countrywide franchise workshops that offer valuable guidance on going the franchise route. Their website (www.fasa.co.za) has details on the workshops and lists their members and the range of franchise opportunities in all sectors to suit all pockets.