Franchising is contributing an estimated
R256bn annually to SA’s gross domestic product, according to research by Standard Bank.
These findings were presented last week at a conference assessing the contribution that franchise retail chains make to Africa’s economies.
The research found that in 2008 there were 26000 franchise outlets in SA employing about 460000 people.
The retail sector was the most popular choice among entrepreneurs choosing franchising as a business format.
Companies have different views about franchises. Grocery chain Spar and restaurant company Famous Brands do not have any corporate-owned stores and work only with franchisees.