Scots’ Love Affair With Franchises Paying Off

Scotsman:

Franchised businesses in Scotland grew last year at more than treble the rate of the Scottish economy, according to figures published today.

Scottish franchising grew by 7.1 per cent while Scotland’s gross domestic product (GDP) rose by 2.2 per cent, research by the British Franchise Association (BFA) found.

The association reports that there are 2,959 franchised units operating in Scotland, with an average reported turnover of £384,600, £24,600 more than the overall UK figure.

And the number of chains using franchises has grown from 346 to 493 in the past decade, making the sector worth £1.47 billion.

The figures were released ahead of Scottish Franchise Week, which starts on 9 June.

Bill Hendrie, chairman of the BFA’s Franchise Group for Scotland (FGFS), said: “I think the research shows franchising is still buoyant and the franchise system model is a less risky way of starting and running a business than going out on your own.

“Of the franchisees surveyed, only 14 per cent thought general economic conditions will improve over the next 12 months and 68 per cent said they believe conditions will worsen. Read more.