FNB Zambia are successfully supporting the growth of over 40 franchisees in Zambia through a dedicated Relationship Management team that attends to all their needs.
In the 10 years since its first in-country franchise deal, the bank has provided over K12m in financing support to these franchisees. These include Steers, Debonairs, Milky Lane, Fishaways, O’hagens, Mugg & Bean, Wimpy, Panarottis and Keg & Lion.
Traditionally, entrepreneurship has involved starting a new business with a fresh new brand. However, over the decades, the concept of franchising as a viable avenue for entrepreneurship opportunity has gradually increased in popularity.
“The immediate benefit is the ability to start a popular and recognisable business with pre-established quality and product expectations without the hard task of building brand trust and reliability over many years”, says Yokonia Ngoma, Head Business & Commercial Banking, at FNB Zambia.
Franchises are tested systems which have undergone continuous improvement to achieve success. A quick internet search will bring up thousands of stories on why this works, but here are four (4) key reasons why franchisees have a head start on profitability:
1. Preparation and training: the ideal franchisors often provide training on every aspect of the business to ensure that franchisees are well-equip to operate the business long before the grand opening. Most franchisors also provide full ongoing training and support to ensure that optimal standards and best practice are maintained.
2. Insight for success: as a franchisee, you’ll learn what to avoid and how to maximise output from your resources, automatically benefiting from your franchisor’s experience to reduce expenses and increase revenues.
3. Reduced capital requirements: despite additional cost of franchise fees and royalties, the required investment capital for franchising is often lower when you offset expenses such as: trademark registration, logo and marketing campaign development or cultivating effective supply chain relationships.
4. Immediate recognition/ credibility: franchising brings instant credibility and recognition to your business. Leverage this goodwill to give your new business strong start.
Ultimately, franchise businesses are designed to help you get cash-flow-positive in the least amount of time. So, why don’t we see more people getting into franchising?
“A simple answer is opportunity. This is a gap which FNB is fully committed to addressing through main sponsor status at the first-ever FNB Franchise Show, slated for 8-9 February 2019”, adds Ngoma.
Following numerous impactful events of this kind across the globe, this premier Franchise Show will provide a coordinated platform for would-be franchisees to advance or develop an interest in a franchise brand, learn about brands which are expanding to the Zambian market and offer direct networking opportunities with established franchisors and franchisees. As a single point of inquiry, you have everything at your fingertips to make an informed decision on your investment.
The FNB Franchise Show will tap into the most recent shifts in the local and global franchise industry.
With growing middle-class, coupled with full franchisor and FNB’s support, owning a franchise could be as easy as attending this industry-shaping event.
Attendees are guaranteed a wealth of localised information and the ideal opportunity to engage with industry experts and players to explore Zambian franchise opportunities in depth.
For more information on the bank’s capabilities in this industry, contact the FNB Zambia Franchise specialists.