Global Franchising and Licensing Services
We have become very active in the past several years in assisting our hospitality and retail clients with their international expansion through a franchising and licensing model. While this model has less risk, it still creates significant challenges to the brand owner.
The majority of international franchising deals fail to meet the development goals stated in the initial legal agreements and can often end in divorce. This is usually some combination of poor partner selection, unrealistic expectations on the part of the franchisor, supply chain constraints, and a poor store-level economic model. Most of these risks can be assessed and managed before any agreement is signed.
We often recommend the brand owner to take some risk to open a few stores in new strategic markets to fine-tune the concept in terms of consumer attractiveness and store-level economics and then begin a sub-franchising program where & when it makes sense. We are taking this approach now for our Korean, Japanese and Mexican clients in the USA market, where they see significant development potential for their concepts.
Our long term relationships with the leading foodservice and retail operators in key regions enable us to identify the best partners for a particular concept and ensure that the parties are aligned in terms of responsibilities and expectations, thereby increasing significantly the probability of a long term successful partnership.
Ready to Expand Your Brand Globally?
Navigating the complexities of international franchising and licensing can be daunting, but with Canyon Spring Advisors by your side, you're equipped for success. We help you mitigate risks and overcome challenges to ensure a smooth and profitable expansion.
Leveraging our extensive experience and robust network of leading foodservice and retail operators, we identify the best partners for your concept and ensure alignment in responsibilities and expectations. This approach significantly increases the probability of long-term successful partnerships. Whether you’re looking to open initial stores in strategic markets or develop a comprehensive sub-franchising program, we have the expertise to guide you every step of the way.
Don’t let the challenges of international expansion hold you back. Contact us today to schedule a consultation and explore how we can help you achieve your franchising and licensing goals. Together, we can turn your global vision into reality.