The International Franchise Entrepreneur

Culture and internationalization of Brazilian franchises

By Daniel Alberto Bernard

Unlock global growth with Brazilian franchises. Discover key trends, market data, and how 263+ brands are expanding into 126 countries.

Brazilian franchises continue to be very successful, both in Brazil and abroad! It represents an attractive and promising segment, offering excellent business alternatives for those who want to set up a Brazilian-origin business in other countries.

Based on the 2026 economic outlook from the International Franchise Association (IFA) and related industry statistics, the franchise sector is experiencing steady global growth, particularly within the United States. While the IFA primarily focuses on North American data, they represent international franchising interests and report on global trends.

Top Franchise Markets & Data (2025-2026)

  • United States: The IFA predicts 845,000 franchise establishments in 2026, with an economic output of $921.4 billion.

  • Canada: Recognized as the world's second-largest franchise industry, contributing $120 billion to the national economy in 2024.

  • South Korea: Reported 12,429 unique franchise brands in 2023, mostly focusing on microfranchising.

  • India: Has over 4,600 franchise brands, with roughly 300 new systems established annually.

  • France: The franchise sector boasts a turnover exceeding EUR 88 billion and employs nearly one million people.

  • Australia: Features a low market share concentration, with 60% of franchisors operating for over a decade.

Key Global Franchising Trend: International Expansion: High-growth areas for international franchising include Brazil and Spain, with a focus on master franchise agreements.

FRANCHISING IN THE U.S. AND IN FRANCE VS. IN BRAZIL

With over 3,300 franchisors and 197,709 franchised units, Brazil ranks among the markets with the largest number of franchise networks, which in 2024 generated approximately R$ 273 billion in revenue (or USD 53.2 billion, equivalent to 2.6% of Brazil´s GDP) and created 1.7 million direct jobs! This is far behind the USA, of course, where in 2026 it is estimated to reach a total of USD 907 billion in revenue and 832,000 franchised units, employing 8.8 million people! In terms of revenue, in hard currency, Brazil lag behind several countries, such as France, where in 2025 90,588 units out of a total of 2,089 networks generated €88.64 billion in revenue and created 962,000 jobs.

There are far fewer franchise networks in the world than people use to imagine. It is estimated that there are around 40,000 franchise networks in operation worldwide, and specific legislation on franchising exist in only 43 countries. According to the IFA, franchises operate in at least 65 different sectors of the economy.

FRANCHISING IN BRAZIL

In addition to representing one of the world's largest markets, both in terms of the number of franchisors and franchisees, Brazil is today a franchise exporter. Among the 3,300 franchise networks operating in Brazil in 2024, the ABF (Brazilian Franchising Association) counted 263 genuinely Brazilian networks with units abroad that year. These Brazilian-origin franchisors with operations abroad exported their business concepts to 126 countries, totaling over 2,100 operations. Not bad, as in 2000 only 15 Brazilian franchisors had units abroad! But numbers shall grow steadily with new global market opportunities.

Unlike what happens in almost all countries, the vast majority of franchise networks operating in Brazil, or 93% of the networks, are of local origin. Brazil owns know-how and expertise in franchising regarding sales and export, and tends to only import established brands from abroad well known by Brazilian tourists! Because Brazil have a large domestic market and a small pool of qualified business executives with international experience, several structural factors hinder the export and import of franchise networks.

Brazilian Franchisors - Internationalization Rankings

The ranking by number of operations abroad among the registered brands showed significant progress by Brazilian chains. Smart Fit leads with 986 units, followed by Oakberry Açaí Bowls, which reached 620 operations. Next are Kumon (337), iGUi (275), and O Boticário (153), all with a consolidated presence in multiple markets. The group of the ten most internationalized brands is completed by Acium (151), Havaianas (138), Localiza (86), Espaçolaser (77), and Chilli Beans (67), which continue to expand their operations abroad.

The ranking by number of countries confirms the geographic reach of national franchises. iGUi remains the most globalized Brazilian brand among those registered, with a presence in 50 countries, while Oakberry Açaí Bowls follows closely behind with 47 markets. Among the other chains with the widest global reach are Chilli Beans and Smart Fit (both with 15 countries), Acium (12), O Boticário (10), CleanNew (9), Doutor Sofá (9), Havaianas (8), and Açaí Concept (8), all demonstrating capacity for adaptation and consolidation in different regions.

INTERNATIONAL EXPANSION REQUIRES MANAGING CULTURAL DIFFERENCES

Every international franchisor ought to be very prepared to deal with exchange rate fluctuations, political and tax risks, and other uncontrollable variables that characterize international markets. "Culture eats strategy for breakfast," as Peter Drucker reminds us. The most difficult countries to do international business are those with very particular cultures that almost always require adjustments to the product and communication or completely new products, such as Japan, India, Israel... and Brazil! Definitely, exporting in a globalized and increasingly competitive world is not an undertaking for amateurs!

On the other hand, the favorable exchange rate for exports and specific demands have led many networks to venture out and approach global market, seeking to follow in the footsteps of thousands of good brands already established abroad. Selling businesses, and not just products, abroad represents added value and a strategic step of utmost importance. Marketplaces, e-commerce and IA tools have made products of any origin accessible with a click.

This cross-border move started with international franchising consulting firms like ours in the 80s and 90s, and by franchisors who visited specialized events abroad and began addressing specific demands; this all involved a long and no linear process! Lately, this internationalization process of franchising networks has been encouraged through actions involving the Brazilian Franchising Association (ABF) and the Brazilian Trade and Investment Promotion Agency (Apex-Brasil), through the Franchising Brasil program. SEBRAE is an entity that also help to promote Brazilian franchises abroad. Any structured initiative in this sense should be supported by networks that need to overcome their natural barriers to growth and development.