Franchises in South Africa: Profitability and Sellability

Franchises can also be a fantastic investment and are easy to sell should you want to cash out at any point.

Inika Pieters

17 August 2022

Summary

Franchises in South Africa: Profitability and Sellability

Franchises are everywhere! Whether you are making use of one for entertainment purposes, such as going to the movie theatre or doing your weekly grocery shopping, chances are you are supporting a franchise at some level. Franchises can also be a fantastic investment and are easy to sell should you want to cash out at any point.

In this article, we will discuss franchises in South Africa and how profitable they are.

What Franchises Are Available in South Africa?

There are a multitude of franchises available for purchase in South Africa. Typically, the most successful franchises in South Africa consist of fast-food franchises. Some of the more popular fast-food franchises include Steers, KFC, Chicken Licken, Mc Donalds, and Nandos. There are other franchises available in other industries such as Pick ŉ Pay, Battery Centre, Sorbet, and more.

What is the Most Profitable Franchise to Own in South Africa?

As far as the most popular and one of the most profitable franchises in South Africa goes, KFC is the winning franchise. It is definitely the most popular franchise in South Africa as there are more than 960 outlets across South Africa. It has a large customer base that is extremely loyal and rarely finds itself without at least one customer in-store, with the queue oftentimes stretching out of the allotted drive-through area.

It is important to remember that a franchise is only as successful as its owner “allows” it to be. Therefore, if you as a franchise owner are not interested in the industry within which your franchise is positioned, you might not be able to manage it to its full capacity.

Should You Sell a Franchise When It is Making Money?

Before deciding if you should sell your franchise or not when it is making you money, one should ask yourself a few questions. These questions should include whether or not you are passionate about your franchise and the industry, have you perhaps grown bored, or is it time to cash in and retire?

If your answer is that you feel like you are ready to retire, and your franchise is booming with business at that moment in time then it would be wise to sell when your franchise has reached its peak.

Where to Find a Franchise for Sale in South Africa

As franchises are extremely popular and typically make a lot of money if it is in the correct location and is run well, franchises are easy to sell. As they are great investment opportunities, they sell quickly which means you need to keep an eye out for franchises that are for sale. Business For Sale has an entire section devoted to selling and buying franchises. This ensures that a buyer can keep their eye out for the perfect purchase, while the seller knows that they have an attentive list of buyers at all times.

To find out more about selling and purchasing franchises, contact Business For Sale.

Author: Inika Pieters

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