With over 570 franchises in 80 countries, Belgium is a key player in international franchising. This dynamism testifies to the expertise and attractiveness of Belgian franchises abroad. For entrepreneurs wishing to enter the Belgian market, it’s crucial to understand the guidelines to follow in order to guarantee lasting success. From legal aspects to location strategies, every step must be carefully planned to align with Belgian standards and maximize the chances of success.
Are you thinking of exporting your franchise to Belgium and wondering about the regulations and procedures involved? Here’s how it works.
Positioning your franchise against the competition in Belgium
Before exporting a franchise to Belgium, it’s vital to understand the competitive landscape specific to this market. The activities of brands and franchises in Belgium vary, and a careful analysis of the competition will help determine how your franchise will stand out. By identifying the strengths and weaknesses of your main competitors, you’ll be able to adjust your offering and position your franchise to effectively meet the needs of Belgian franchisees, ensuring successful expansion in this dynamic market.
Choosing the right franchisees: the cornerstone of expansion in Belgium
When exporting a franchise to Belgium, it’s crucial to choose your franchisees carefully. These local partners must not only share the franchise’s vision and values, but also have solid business experience and in-depth knowledge of the Belgian market to effectively manage the outlet’s activities. In addition, they must have the financial resources to invest in the franchise and ensure its development in the country. By carefully selecting franchisees, the success and smooth expansion of franchising in Belgium can be assured.
Several solutions can be considered for exporting to Belgium: master franchise agreements, which delegate the management and development of the franchise to a local partner with territorial exclusivity; joint ventures, which enable you to join forces with a Belgian company to benefit from its local expertise while sharing risks and investments; and direct franchising, which consists of opening your own outlets before franchising to fully understand the market and establish the brand locally before looking for franchise partners.
Defining the rights of franchisees and the franchisor
To expand a franchise in Belgium, it’s essential to have a fair and comprehensive franchise agreement. This legally binding contract clearly and precisely sets out the rights and responsibilities of both franchisor and franchisee. It must address a multitude of aspects, including the protection of intellectual property, rigorously delimiting the use of trademarks and logos. Terms and conditions for franchise fees and royalties need to be defined, as do operational and quality standards. Appropriate training and ongoing support for franchisees are also crucial to their success.
Franchising in Belgium: comply with local laws to succeed
As a foreign franchisor wishing to operate in Belgium, it is imperative to comply with local regulations. This involves registering your company with the relevant authorities and obtaining the necessary licenses and permits, tailored to your business sector. For example, if you’re opening a restaurant franchise, you’ll need to obtain a business license from the municipality where you operate. This often requires regular health inspections to ensure that food safety standards are respected. What’s more, if you operate an alcoholic beverage franchise, you’ll need to obtain a specific license to sell alcohol, which is subject to strict public health and safety regulations.
In addition, it is essential to scrupulously comply with current tax and labor laws. For example, a fast-food franchise will have to charge VAT to its customers and declare this VAT quarterly or monthly, depending on its sales. In Belgium, companies must register for VAT if their annual sales exceed a certain threshold (currently 25,000 euros for small businesses).
Adapting your foreign concept to the local market is essential to the success of your franchise in Belgium. A precise understanding of the law’s scope of application, combined with consideration of the particularities of national chains, is also important. Candidate franchisees must be carefully selected to ensure that they fully understand the legal provisions and requirements of the Belgian market.
Developing your franchise in Belgium: expert advice
To ensure the success of your franchise expansion in Belgium, it’s essential to use local professional advice. Our legal and tax experts will help you navigate Belgian regulations, draw up compliant contracts and structure your franchise in a tax-efficient way. With their help, you’ll be able to draw up a solid business plan, define your franchise network, boost your know-how and address issues relating to business practices in Belgium.
