Franchise registrations in Saudi Arabia rose 53% in the first nine months of 2026, reaching 6,484 compared with 4,227 during the same period in 2025, according to the Ministry of Commerce.
The increase represents 2,257 additional registrations as franchising expands across the kingdom’s business landscape. Food and beverage recorded some of the highest activity, alongside fuel and petroleum, and fashion and apparel. The ministry said other sectors are also adopting the model.
Franchising allows brands to expand through partners that receive rights to use their name, business model and operating expertise under a contractual agreement. For franchisees, the model offers access to established brands and defined processes, while companies can grow their reach without directly operating every location.
The Ministry of Commerce said Saudi Arabia’s franchise law is intended to improve transparency, protect franchisors and franchisees, and clarify their rights and obligations. It also aims to support product and service quality and create a clearer environment for investment in the sector.
Source: Jawlah
