Franchise Center

The Franchise Center is a center that reinforces the concept of franchising among individuals and enterprises, enabling them to adopt it. This assists in the expansion of brands locally and globally, increases investment opportunities, and contributes to the achievement of Saudi Vision 2030.

The Franchise Center was established within the Small and Medium Enterprises General Authority based on the Council of Ministers Resolution No. 122 issued on October 8, 2019.

It is the right granted by a franchisor to a franchisee to operate a business independently under the trademark or brand name owned by the franchisor or licensed for use. This right includes providing technical expertise, know-how, and the methods of business operation. The right may be granted in exchange for financial or non-financial consideration, excluding any payments the franchisee makes to the franchisor for goods or services.

It aims to activate and reinforce the franchise sector, increase the number of local franchisors, expand the number of franchisees and franchise units, contribute to raising the success rates of franchise units, and increase the presence of local brands in international markets.

The work areas include spreading culture and awareness about franchising, streamlining and supporting franchise businesses through collaboration with relevant entities, and providing access to data, research, studies, and statistics related to the franchise industry. Additionally, the center offers a comprehensive digital platform that serves as a one-stop shop for franchise-related services, programs, and resources. It also focuses on delivering various services to franchisors, franchisees, and individuals interested in the franchise sector.

The center includes four work tracks: the track of collaboration with related entities, the track of support for enterprises and individuals, the track of raising awareness and promoting franchising culture, and the track of knowledge and skills capability building.

The Franchise Center offers several services to beneficiaries, including franchise registration, check brand's readiness for franchise, brokers licensing,"Tomoh" Franchise, Franchise Manager, amicable settlement, support for transforming brands into franchise, and facilitating franchise funding.

The Franchise Center offers several training courses, including developing a franchise strategy, technical study of franchising, transition into franchise, franchise contracts, evaluating offers and financial analysis for franchisees, and expansion through franchising for franchisors.

The center targets several beneficiary groups, including: Entrepreneurs who wish to start their businesses, implement their innovative ideas, or adopt others' ideas for investment, with the goal of expanding the franchise. Investors looking for investment opportunities in brands that offer franchises. Practitioners in the franchising field, such as individuals, enterprises, and experts in legal, consulting, and marketing fields. Global brands that have not yet entered the local market, as well as those that have entered through local enterprises. Local brands that offer franchises and are expanding independently. Stakeholders from government and private entities who participate in supporting and reinforcing the franchise ecosystem.