Unlocking Growth Potential in the European Market

Why choose franchising: franchising offers one of the most powerful pathways for entrepreneurs to expand their reach, build lasting brand equity, and create sustainable, scalable businesses. For business owners in Europe, it’s a proven route to accelerate growth while mitigating many of the risks and costs associated with traditional expansion.

You’ve already built something special: a concept, a reputation, and a loyal customer base. But scaling one location at a time using only your own capital can take years. Franchising allows you to grow rapidly by leveraging the investment, local market knowledge, and dedication of independent owner-operators, all while keeping control of your brand and systems.

The European Franchise Landscape: Facts That Inspire

• Over 13,500 franchise brands operate across the European Union, with approximately 700,000 franchised outlets, employing millions of people in nearly every sector imaginable: from retail and hospitality to healthcare, fitness, and professional services.
• The European Franchise Federation estimates 14,900+ brands operate across the wider European continent, including non-EU countries, showing the sheer scale and diversity of opportunities.
• The EU’s consumer market of over 500 million people provides enormous cross-border expansion potential for scalable brands.
• France leads the way with around 1,900 franchise brands, over 78,000 franchisees, and nearly 670,000 employees.
• Germany has around 950 franchise brands and remains one of the most franchise-friendly economies in Europe.
• The UK is home to over 1,000 franchise brands and approximately 38,400 franchise units, contributing more than £17 billion annually to the economy.
• UK franchises are resilient: over 90% are profitable, and 98% are still trading after one year, far outperforming independent start-ups.

The Harsh Reality for Independent Start-Ups

Starting a business on your own is risky. Across Europe, statistics consistently show that:

• Around 50% of independent start-ups fail within the first three years.
• Many never reach profitability, with the majority of closures occurring within the first 18 months.

By contrast, franchises benefit from:

• Proven systems and a recognised brand from day one.
• Comprehensive training and support.
• Shared marketing and buying power.
• A network of fellow franchisees to share best practices.

This is why franchises have survival rates two to three times higher than independent businesses in the same sector.

Why Franchising Works

• Scalable Growth with Reduced Risk: Franchisees invest their own capital into launching and operating locations, allowing rapid expansion without the franchisor shouldering all the costs.
• Local Expertise: Franchisees bring invaluable market knowledge, helping adapt your brand to regional tastes and regulations while maintaining brand integrity.
• Enhanced Revenue Streams: Multiple income channels through initial franchise fees, ongoing royalties, and supplier agreements.
• Operational Consistency: A well-developed system ensures that each franchise delivers the same high-quality customer experience, regardless of location.
• Attractive Exit Multiples: Once established, franchise networks are attractive to private equity buyers, often selling at significant multiples of EBITDA due to their predictable revenue streams and scalability.

Turning Early Wins Into Lifelong Momentum

The magic of franchising isn’t just in selling locations: it’s in creating a network of owners who can’t wait to tell others about their success.

Your first wave of franchisees will be your strongest proof that the model works. When they’re profitable, happy, and willing to shout it from the rooftops, your recruitment efforts become easier, faster, and more cost-effective.

We work with you to ensure those first 5–10 operators are not only financially successful but emotionally invested in the brand’s growth. Their stories become your most powerful marketing asset: building confidence, credibility, and long-term brand equity.

Your Legacy, Your Brand, Your Future

Franchising isn’t just about growth: it’s about building something that lasts. It’s about:

• Creating generational wealth for your family.
• Cementing your brand as a household name in multiple markets.
• Ensuring your vision is executed consistently while expanding faster than you could on your own.

With the right systems, support, and strategy, your brand can transition from a single strong location to a thriving, multinational network, and FMS Europe is here to make that happen.