Franchising 2026 Edition by SundayTimesZA

FRANCHISING

The FASA Conference & Expo, 19 February 2026 “Building the South

SUSTAINABLE SUCCESS

The Franchise Association of South Africa (FASA) is the leading industry body dedicated to the development and protection of ethical franchising in South Africa. Founded in 1979, FASA has spent over four decades serving as the of cial representative of the sector, ensuring both franchisors and franchisees adhere to international best practices. With franchising contributing roughly 15 per cent to South Africa’s gross domestic product, the association plays a critical role in driving economic growth, nurturing entrepreneurship and facilitating large-scale job creation.

MISSION AND ETHICAL STANDARDS

At its core, FASA is the guardian of the industry’s Code of Ethics. It was one of the rst associations globally to adopt such a code, which has since been integrated into the South African Consumer Protection Act. This framework ensures

that members operate with transparency and integrity, providing prospective business owners with reliable disclosure documents and fair agreements. By maintaining these high standards, FASA gives investors the peace of mind that they are entering into a viable, vetted business system.

THE ANNUAL CONFERENCE AND EXPO

The association’s agship events –the Annual Franchise Conference and the International Franchise Expo (IFE) – serve as the premier meeting grounds for the industry, connecting established brands with the next generation of business owners.

The annual conference, held on 19 February 2026 at Birchwood Hotel & OR Tambo Conference Centre, is designed for high-level strategy and networking among current franchisors, policymakers and industry experts.

It serves as a forum to discuss the state of the industry. While themes evolve, such as the 2026 focus on “Building the South African Economy through Franchising”, the core objective remains constant: to identify economic trends, lobby for favourable business regulations and share innovations in technology and operations.

While the conference is strategic, the expo is an interactive showcase. It enables entrepreneurs to meet face-to-face with brands across diverse sectors – from fast food and retail to education and automotive services. Visitors can explore various opportunities.

Together, FASA’s advocacy and its marquee events create a robust ecosystem for small and medium enterprises (SMEs).

For anyone looking to enter the world of business “for themselves but not by themselves”, FASA remains the essential gateway to sustainable success.

Freddy Makgato, chief executive of cer, FASA. www.fasa.co.za

Freddy Makgato

BUILDING THE ECONOMY

Franchising as South Africa’s strategic engine for 2026

As we navigate the opening months of 2026, South Africa stands at a pivotal economic crossroads. While global markets grapple with volatility, our local mission remains clear: we must move beyond mere recovery towards a period of sustained, inclusive growth.

By THE FRANCHISING ASSOCIATION OF SOUTH AFRICA

At the Franchising Association of South Africa (FASA), our overarching focus for 2026 is “Building the Economy through Franchising”.

This is not just a slogan; it is a call to action. We believe franchising is the most underutilised mechanism for job creation and entrepreneurship development in our country. In a landscape where independent start-ups often struggle, the franchise model provides the “systematised success” essential for fortifying our national economy.

THE ECONOMIC PULSE: BY THE NUMBErs

The franchising sector continues to be a heavyweight in the South African landscape, serving as a barometer for the broader economy.

• GDP contribution: currently, the sector contributes approximately 15 per cent to South Africa’s gross domestic product (GDP) – an output valued at nearly R999-billion. We have set a bold target to increase this contribution to 18 or 20 per cent to yield even more substantial economic bene ts.

• The job multiplier: franchising supports nearly 500 000 direct jobs, accounting for roughly ve per cent of national employment. Crucially, for every 14 direct jobs created in franchising, another seven are generated in the broader supply chain.

• A homegrown success story: while many view franchising through the lens of international brands, 88 per cent of franchise systems in South Africa are homegrown. We are building our economy with local ideas, managed by local talent.

OUTLOOK FOR 2026: NAVIGATING THE FUTURE

As we look ahead, our strategic roadmap is de ned by ve key pillars that will ensure the industry remains a resilient force in the South African economy:

1. Policy and ﬁnance: we are dedicated to exploring further regulatory enablers and tailored nancial solutions that cater speci cally to the franchising ecosystem.

2. Innovation and tech: 2026 is the year of execution for arti cial intelligence (AI) and digital transformation. We are helping

multi-unit systems address cybersecurity risks while leveraging AI to streamline operations and enhance customer experiences – without losing the “human touch”.

3. Sustainability: compliance with ESG (environmental, social and governance) frameworks is no longer optional. The association is focusing on renewable energy adoption to mitigate the impact of load shedding and ensure long-term operational viability for our members.

4. Operational excellence: by sharing data-driven industry trends, we are empowering franchisors and franchisees to build resilient systems that can weather economic volatility through diagnostic frameworks and real-time analytics.

5. Labour and compliance: we are committed to helping our members navigate the complex legal frameworks of the franchisor-franchisee-employee relationship, especially in light of evolving employment law and the unique needs of the South African workforce.

KEY INITIATIVES: GROWING THE ECONOMY THROUGH SMES

Our focus in 2026 is on inclusive entrepreneurship. FASA is aggressively promoting the franchise model to small and medium enterprises (SMEs) as a “business-in-a-box” solution that mitigates the risks of traditional entrepreneurship.

1. Breakthrough in funding: the FASA and DSBD MoU

One of the most signi cant milestones in our mission occurred with the signing of a landmark Memorandum of Understanding (MoU) between FASA and the Department of Small Business Development (DSBD) in May 2025.

Research indicates that over 63.6 per cent of aspiring entrepreneurs cite access to nance as their primary barrier. This MoU addresses the “missing middle” by ensuring that potential and

FASA’s regional breakfast sessions proved to be an essential cornerstone for growth, offering a vital space for franchisors and franchisees to connect, share insights and strengthen the local business ecosystem.

deserving franchisees are funded through a structured mechanism developed by government. Key features include:

• De-risking MSME ﬁnance: utilising credit guarantees like the Khula Credit Guarantee scheme.

• Alternative collateral: implementing the Movable Asset Collateral Registry, allowing entrepreneurs to use inventory or machinery as security instead of traditional property.

• Direct funding channels: working with the Small Enterprise Development and Finance Agency (SEDFA) to provide both asset nance and working capital. We are also now partnering with the Ekurhuleni Municipality to develop a programme that will assist small, medium and micro enterprises in the city to become franchiseable while also assisting small manufacturers or product developers to access markets.

2. Skills development and training: empowering the workforce

At the heart of “Building the Economy” is the transfer of skills. Franchising is, by nature, an educational system.

• Services SETA partnership: FASA has strengthened ties with the Services SETA, facilitating access to 2026/27 discretionary grant applications. This funding allows members to implement workplace-based learning and learnerships.

• Standardised curricula: we are developing franchise-speci c training to ensure management and operational excellence are consistent across the sector, providing young South Africans with structured pathways into ownership.

FRANCHISING QUALIFICATION

We have nalised the process of formalising franchise education by having the Franchise Manager Occupational Training accredited by the SA Quali cations Authority and administered by the Quality Council for Trades and Occupation. We are at the stage where we are engaging with educational institutions to prepare the modules and rating for the manual.

GOVERNMENT ENGAGEMENT: THE VOICE OF THE INDUSTRY

FASA remains the premier voice for franchising in high-level policy discussions. Our government engagement strategy is focused on creating a seamless regulatory environment. We have nalised our code of conduct and all internal processes. We are excited to report that the code is ready to be published by the

• FASA Golf Day: in October, we hosted a very successful golf day at the Glendower Golf Course. Absa co-sponsored the event alongside our other valued partners and many of our members in various sectors, including fast food, automotive, health and beauty, education and training, and nancial and legal services.

MEANINGFUL ENGAGEMENT: TAKING FASA DIRECTLY TO YOU

Networking remains the ultimate catalyst for collaboration, fuelling the connections that drive long-term success across the franchise community.

THE FRANCHISING SECTOR CONTINUES TO BE A HEAVYWEIGHT IN THE SOUTH AFRICAN LANDSCAPE, SERVING AS A BAROMETER FOR THE BROADER ECONOMY.

Department of Trade, Industry and Competition for public comment. Thereafter, we will host workshops for comment and clari cation of any issues or concerns.

2025 HIGHLIGHTS AND NOTABLE ACHIEVEMENTS

The past year was de ned by high levels of engagement and successful industry gatherings:

• Regional breakfast sessions: we held four fully booked breakfast sessions in Bloemfontein, Gqeberha, Johannesburg and Benoni. Absa sponsored all the sessions.

• Inaugural World Franchise Day: we hosted the rst World Franchise Day on 11 June 2025, sponsored by Masisizane Fund, at the Old Mutual head of ce in Sandton.

At FASA, we believe meaningful engagement drives mutual success. Our management team has launched an innovative member outreach programme to deepen relationships and foster collaboration across the franchising community. Taking FASA directly to you: recognising that face-to-face connections create lasting impact, the FASA leadership has embarked on a nationwide member engagement journey. Our team is visiting member locations to:

• provide personalised updates on association programmes and initiatives.

• share critical industry developments and market insights.

• gather valuable feedback directly from business leaders.

• strengthen the partnership between FASA and our member community. Learning through dialogue: these on-site engagements have already yielded invaluable insights into member priorities and challenges. This knowledge is shaping our strategic direction and informing our service delivery. We recognise that an informed and connected membership is fundamental to the continued growth of the sector.

THE SPRINGBOARD TO AFRICA: FASA’S CONTINENTAL ROLE

South Africa remains at the forefront of franchising on the continent. Through the Pan-African Franchise Federation, FASA is playing a key role in ethical standards across borders. We are helping countries, such as Nigeria, Egypt and Mauritius, develop sustainable models, positioning South African brands as the primary exporters of business excellence under the African Continental Free Trade Agreement.

A BLUEPRINT FOR PROSPERITY

Building the economy is a collective endeavour. It requires capital, skills and the courage to innovate. Through our landmark MoU with the DSBD, our continental leadership and our commitment to taking FASA “directly to you”, FASA is providing the blueprint for a more inclusive South African economy.

In recognition of the profound impact of the franchise business model on global economies and entrepreneurship, World Franchise Day was inaugurated on 11 June 2025.

WELL-PITCHED FOR GROWTH AND EXPANSION IN 2026

The strong customer loyalty MOCHACHOS has engendered over 31 years classifies it as a national brand of immense commercial opportunity

The robust Mochachos network of successful businesses compels property owners and investors alike to view Mochachos as a brand of strong potential. Mochachos is a hardy brand with an inimitable meal offering that has consistently tantalised its patrons’ palates for over 30 years. Mochachos’ unique meal offering is a powerful differentiator, enabling the brand to stand out consistently in a competitive market.

A FIESTA OF FLAVOUR AND COLOUR

Mochachos’ exciting Mexican avours offer a truly delectable feast. Freshly prepared to order, the menu is healthy, zesty, avoursome and satisfyingly spicy, with a choice of seasonings ranging from lemon and herb and mildly spiced to medium, hot, very hot, and the ultimate Dynamite – which speaks for itself. Mochachos is renowned not only for its open- ame, spicy and ery grilled butter y chicken, but also for its traditional Mexican favourites, including fajitas, burritos, enchiladas, chimichangas and quesadillas. The wide-ranging menu appeals to individuals, families and groups alike.

Guests are greeted and embraced by enthralling decor with the lighting, sound effects and colours setting the tone and mood for a superb dining experience. Energetic, lively and friendly staff welcome you to the avours and the magic of Mexico in a unique dining experience.

The Mochachos logo is strongly associated with a brand that offers healthy, freshly prepared, bigger portions and avoursome meals. These are indeed commendable attributes that have made Mochachos the popular national household brand it is today.

FRANCHISEE SUPPORT

Franchisees can expect full operational support from the start. Mochachos offers a comprehensive training programme to ensure each store maintains its high standards. With hands-on training, continued mentorship and expert guidance, new franchise owners will be well-equipped to manage their outlets with con dence. Mochachos assigns each franchisee a dedicated operations manager

who provides ongoing assistance, ensuring all aspects of the business – from food quality to valuable resources – are part of the package, helping franchisees stay competitive and successful.

The brand can operate in various con gurations, from stand-alone drive-thru outlets to food courts and full-service restaurants. If you’re looking for a dynamic, fast-growing franchise opportunity in the food restaurant industry, look no further than Mochachos. With its unique blend of avours, vibrant atmosphere and robust business model, Mochachos is ready to welcome the next generation of passionate franchisees.

A BRAND THAT INSPIRES PRIDE

Philip Kara lakis, director of Mochachos, says there are vast opportunities to open Mochachos stores nationally. The opportunities for premium locations are endless. Mochachos is growing fast and rapidly increasing its market share. “As we move into 2026, the demand for Mochachos continues to rise, and with it, the need for passionate and driven franchisees. The brand offers a full sensory dining experience – from its bold avours to its vibrant store designs – and customers keep coming back for more.”

The continued success of Mochachos is built on more than just great food. It is also underpinned by a commitment to the highest standards of customer service, operational excellence and a comprehensive franchise support system.

Mochachos is a proud member of SANHA (South African Halaal Association) and FASA (Franchise Association of South Africa).

VISIT WEBSITE FOR FURTHER INFORMATION ABOUT THE MOCHACHOS COMMERCIAL OPPORTUNITY, EXPRESS YOUR INTEREST VIA THE APPLICATION FORM

For more information: www.mochachos.com info@mochachos.com 011 450 2145

Follow: www.facebook.com/mochachos www.x.com/mochachos?lang=en

RUN YOUR OWN BUSINESS WHILE UPLIFTING OTHERS

Maid4U offers female entrepreneurs an opportunity to become business owners by acquiring a franchise of this expanding business, offering high returns and the joy of helping others.

By LINDIWE SHIBAMBO, founder of Maid4U

Maid4U is a premier domestic worker, nanny, au pair, cleaner and home-based care worker training, recruitment and placement agency.

Maid4U provides a safe and secure platform for households, SMMEs and retirement homes to source reliable, screened and trained employees.

MAID4U prides itself on having built strong operational recruitment and staf ng software that is user-friendly and ef cient for both clients and candidates.

With over seven awards for Good Service, Job Creation, National Business Champion and a Premier Award, the agency is expanding its offering throughout South Africa.

SEIZE A MICROFRANCHISE OPPORTUNITY

Maid4U recently launched a microfranchise opportunity offering affordable start-up costs and high returns. Maid4U is looking

for female entrepreneurs with the drive, discipline and passion to build their own legacy while uplifting the lives of others. Franchisees will receive a full seven days of training before launching, and ongoing training and support from the head of ce experts. Franchisees’ focus is on servicing clients in their assigned location and the head of ce takes care of the rest.

Maid4U houses a world-class system developed and managed by international IT specialists, This platform affords our franchisees an opportunity for rapid growth within their area without attracting any huge additional costs.

Maid4U’s head of ce takes care of all IT, marketing, HR, payroll and legal aspects as well as planning and executing recruitment marketing and training campaigns within the franchisee’s area. The head of ce is responsible for management and accounting to ensure compliance, operational licence

WHY JOIN MAID4U?

• Established business that has been in operation for more than 15 years.

• Ongoing support and training provided.

• You earn a passive income from day one.

• Options and marketing campaigns tailored for your area of operation.

• Wide range of services.

• Proﬁtable.

renewals, client queries, compilation and registration of all employees and their pay slips, legal aspects, such as a lease, assisting franchisees with applicants’ training, moderation and assessments of trainees, national advertising, marketing, sales, IT aspects and assistance with branch opening dates and campaigns.

WHAT YOU NEED TO INVEST

The required investment for a franchise branch is R750 000 – a deposit of R250 000 and capital of R500 000. VAT and all related costs are included, excluding your working capital. A small price to get involved in an established and expanding business offering good returns.