Brazilian franchising crosses borders and consolidates itself as one of the world's largest exporters of brands. Currently, national networks are present in more than 100 countries, with highlights in Portugal, the United States, and Argentina. According to the Brazilian Franchise Association (ABF), this movement accompanies the robust growth of the sector, which generated over R$ 273 billion in 2024. However, expanding a franchise to another country requires meticulous and strategic planning.
According to Lucien Newton, Vice President of the 300 Franchising Ecosystem Consulting Vertical, internationalizing a network goes far beyond simply replicating a successful model. "The expansion outside Brazil must consider three essential pillars: cultural adaptation, market intelligence, and financial structuring. Without this well-defined tripod, the risk of failure increases considerably," explains Lucien.
Step by step guide to taking a franchise to another country
- Market analysis and local legislation
Before any movement, it is essential to understand the regulations of the target country. Franchising in Brazil is highly regulated, but not all markets have such a structured legislation. Additionally, it is necessary to assess the local demand and competition to ensure there is room for the brand. - Choosing the expansion model
There are different formats for internationalization, such as master franchise, where the franchisor works on expansion by granting the brand management rights to a third party;joint ventures, characterized by a commercial partnership or alliance between companies; and direct opening of own units. The choice should consider the franchisor's management capacity and the level of investment. - Adapting the brand to the local public
Each market has its own cultural and consumption particularities. "What works in Brazil may not be as attractive in another country. Testing the model, adjusting the product mix, and paying attention to communication are fundamental steps," emphasizes Newton. - Formation of strategic partnerships
Having local partners facilitates market entry and reduces operational risks. Companies with experience in the sector can assist with logistics, distribution, and franchise operations. - Financial plan and franchisee support
International expansion requires detailed financial planning, considering exchange rates, taxation, and operational costs. Furthermore, it is essential to provide ongoing support to franchisees to ensure brand standardization.
Opportunities for the futureBrazilian franchising continues to be on a full global rise. Segments such as food, beauty, and education are among the most promising for international expansion. For Lucien Newton, internationalization is no longer an option, but a natural path for networks seeking sustainable growth.
“The world is increasingly globalized. Those who know how to position themselves and create intelligent strategies to scale internationally will be ahead of the competition,” concludes the expert.
