Egypt’s Franchise Development Association Unveils First Accelerator and Saudi Partnership

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The Egyptian Franchise Development Association (EFDA) has announced a series of strategic initiatives designed to reinvigorate Egypt’s franchise sector, including the launch of the country’s first specialized franchise accelerator and a major Egyptian-Saudi international exhibition. The move signals a new phase of growth aimed at fostering local brands and expanding their presence regionally and globally.

A New Era for Egyptian Franchising

Dr. Hatem Moustafa Zaki, Chairman of the EFDA and former President of the World Franchise Council, stated that these developments come at a crucial time as the industry recovers from the slowdown caused by the COVID-19 pandemic. The association is focused on rebuilding momentum by creating institutional support tools to build competitive Egyptian brands.

This renewed push is also reflected on the global stage, with member states of the World Franchise Council requesting Egypt’s nomination to preside over the council once again, highlighting the country’s growing influence within the international franchise system.

Launch of a Specialized Franchise Accelerator

A key component of the new strategy is the launch of Egypt’s first business accelerator dedicated entirely to franchising. The program is designed to support promising companies looking to adopt the franchise model for expansion, both domestically and internationally.

The accelerator will provide technical, administrative, and operational support, in addition to assistance with business modeling, legal structuring, and connecting startups with funding and strategic partnership opportunities.

According to Dr. Zaki, the first cohort will consist of 10 companies, including one from the public sector. The support provided will be completely free of charge, aligning with the EFDA’s non-profit mission to build a strong base of competitive Egyptian brands.

Egyptian-Saudi Partnership to Revive International Expo

After a hiatus since 2018, the International Franchise Exhibition is set to return with a new Egyptian-Saudi partnership. The event, now named the “Egyptian-Saudi International Franchise Exhibition,” will take place from April 8-10 at the Al Manara International Conference Center in New Cairo.

The exhibition is organized in a strategic partnership with the Saudi National Franchise Company and under the patronage of Saudi Arabia’s General Authority for Small and Medium Enterprises (Monsha’at). It will also be sponsored by Egypt’s Micro, Small, and Medium Enterprises Development Agency (MSMEDA), the Union of Arab Chambers, and the Arab Union for International Exhibitions & Conferences.

The expo is expected to host around 260 companies across a 10,000-square-meter space, reflecting growing official interest in franchising as a driver of economic growth and job creation.

Regulating the Market

The EFDA continues to support the development of a draft law for commercial franchising in Egypt. The proposed legislation, which has been discussed in parliamentary committees, aims to create a balanced framework that protects the rights of the state, the franchisor, and the franchisee. The law seeks to regulate registration, disclosure, and contract termination, establishing a clear legal foundation for the industry for the first time.

Current estimates suggest there are approximately 1300 franchise systems operating in the Egyptian market, with local brands accounting for 42-45% of the market and foreign brands making up the remaining 55%.

About The Egyptian Franchise Development Association

Established in 2001, the Egyptian Franchise Development Association (EFDA) is a non-profit organization dedicated to the development and promotion of the franchise industry in Egypt. It serves as the primary sponsor for franchise activities in the country, working to support local brands, establish regulatory frameworks, and organize key industry events to foster growth and international competitiveness.

Source: Al-Borsa News

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