Economy

Panel SA: Franchise market expects 14 thousand new units in the year

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The franchise market is heating up again and seems to have overcome the most difficult moments of the pandemic, according to André Friedheim, president of ABF (Brazilian Franchising Association), which expects an 8% growth in the franchisee base for the year, with the sale of 14 thousand new stores.

According to him, higher unemployment scenarios tend to favor franchise entrepreneurship, and the closings recorded in the worst moments of the health crisis have already been stagnated.

At the end of 2021, the so-called mortality rate was 5.5%, returning to levels close to the pre-pandemic period. On the other hand, business transfers had a slight increase, with 2.8%, compared to 2.5% in 2020.

For Friedheim, the high dollar scenario also affects operations that are more dependent on imports.

He states that inflation has been an unknown challenge for younger franchisees, who do not have the experience for this type of adversity, but the franchise network operating model has been absorbing part of the impact due to scale gains.

Today, the most attractive segments are those of services in general, according to the president of ABF, who promotes a meeting of the sector this Friday (29) and prepares the resumption of the face-to-face version of the annual fair for June.

Businesses linked to the resumption of tourism and the real estate sector stand out. The food sector, despite the weight of food inflation and the impact of the pandemic, is also on the rise.

“Food is perhaps one of the sectors that has reinvented itself the most and resignified its models in the pandemic, with delivery, dark kitchens, marketplaces”, says Friedheim.

with Paulo Ricardo Martins

dollarfranchiseinflationipcaleafpandemicunemployment

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