Transcript Document

Development Programs of the
Nigerian International Franchise
Association
Folu Ayeni
Chairman
Seminar On: How to Support and Conduct
Franchising for Effective Economic Development
Cairo, Egypt
November 20 – 23, 2005
Joint Africa Institute
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Introduction
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The Nigerian International
Franchise Association (NIFA) is
the lead advocate of franchise
development in Nigeria
The organization was formed in
2002
NIFA has 52 Corporate,
Associate and Subscriber
members
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Introduction
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NIFA’s 10 member Executive
Committee is composed of
representatives from all
franchising stakeholders in
Nigeria: franchisors,
franchisees, financial
institutions, legal practitioners
and the government
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Progress made in 2005
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Folu Ayeni, owner of Tantalizers
Restaurant, second largest fast food
chain in Nigeria and second largest
indigenous franchisor was elected
NIFA chairman in May 2005
NIFA conducted merger talks with all
franchise splinter groups in Nigeria
that resulted in their agreement to
come under its umbrella
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Progress Made in 2005
NIFA created the following steering
committees:
 Membership: To expand membership,
recommend new members to the
board
 Legal: Work with relevant arm of the
government to create legal and
regulatory framework that will
enhance franchising best practices.
Advocate ethical conducts in all
franchise transactions
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Progress Made in 2005
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Professional Development
Initiate and organize franchising
workshops and seminars to
target member and non-member
franchisors, franchisee, small
business owners, intellectual
property attorneys, banking
executives and other
professional bodies contributing
to the Nigeria franchise sector.
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Progress Made in 2005
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The Professional Development
Committee is also responsible
for promoting NIFA programs to
the public through the media
and franchise expositions
Finance : Identify sources for
funding and ensure the
Association becomes selfsustaining
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Agenda for 2005 / 2006
Capacity Development Strategy
International Seminar on Franchising
 The 2nd Annual Seminar on
Franchising will be held in Abuja on
April 2006 in collaboration with the
National Office for Technology
Acquisition And Promotion – NOTAP
(Nigerian government agency that
regulates licensing and franchising
activities in Nigeria)
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Seminar On Franchising Contd.
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Purpose is to accelerate awareness
for the concept of franchising to the
Nigerian public
There will be a mini-exhibition to
introduce franchisor and franchisee
members’ products and services
1st in the series of NIFA seminars was
held in March 2004 in collaboration
with NOTAP with representatives of
World Intellectual Property, Nigerian
Franchise stakeholders, franchising
experts from Europe and Canada in
attendance
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Agenda 2005 / 2006
Technical Assistance
 Lack of financial and technical
resources is a major problem
facing NIFA.
 The Association has resolved to
to seek assistance for its
professional development
programs for members from the
following international bodies:
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Technical Assistant Contd.
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Joint Africa Institute
Franchise Association of South
Africa
International Franchise
Association, USA, has given
some assistance in the past –
provided free exhibition space at
the Annual International
Franchise Expo, Washington
DC, USA
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NIFA Members at the 12th International
Franchise Expo, Washington DC, USA
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Technical Assistance Contd.
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Professional Development
Workshops will focus on
franchising basics, operations,
sales, financing and legal.
Beneficiaries to include
Franchisors / small business
owners, franchisees, banking
executives and legal practioners
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Development of Nigerian Concepts
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A survey by NIFA puts the
number of Nigerian franchise
systems (business format and
trade name) at 3 with 50
franchise units(approx.)
Undetermined number of
Nigerian businesses has
potential for franchising
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Development of Nigerian Concepts
Contd.
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Foreign franchise systems in
Nigeria are estimated at 10 with
over 1000 units mostly trade
names.
When we compare these figures,
we can see that the indigenous
franchise systems represent 5%
while the foreign systems
represents 95% of total
franchise operation in Nigeria.
The gap is too wide
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Development of Nigerian Concepts
Contd.
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NIFA hopes to take a corrective
action by encouraging Nigerian
businesses to develop local
franchises
It must be noted that while NIFA
prioritize the development of
local concepts, it support the
expansion of foreign franchises
into Nigeria to enhance
technology transfer and know how
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www.nigerianfranchise.org
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