‘Franchising need expertise’

Manama : Bahrain’s economy is missing out on a good chunk of revenue because of local entrepreneurs’ lack of grasp in franchising, according to an expert. Despite plentiful opportunities and even interest from GCC investors, Bahraini entrepreneurs rarely franchise their businesses, according to Khalil Al Qaheri, an expert entrepreneur coaching. Local entrepreneurs should take a leaf out of the books of their GCC peers in ‘franchising’, he said. According to him, local business owners lack the know-how or even the awareness about franchising. Speaking to Tribune, he explained how Bahrain is lagging behind in franchising.

“The lack of grasp of franchising is hurting our chances of nourishing a thriving economy; a great number of opportunities are missing out. The entrepreneurs from other countries are not so weak in this area,” Al Qaheri  said. “There are thousands of entrepreneurs in other GCC countries active in franchising. Not so long ago a famous coffee shop from Kuwait opened in Bahrain. They have realized the benefits from franchising and are becoming very successful at it. Many such businesses have started franchising all around the GCC,” he said. “There are many success stories in Bahrain, many talented businesses with unique ideas, it is time that we take these out of Bahrain and replicate those successes in other countries. This can bring a lot of money to the Kingdom and help the economy thrive,” he told Tribune. 

“The issue with the startups here is that they are not consistent in all its branches. In many of the businesses that have more than one branch, one branch will differ greatly from the other. It is especially apparent in the restaurant sector. In many cases, one branch of the restaurant will have a different tasting food compared to other branches. This is not up to the mark; you will never see international franchises having such a large degree of variations. A burger franchise will always have the same taste, feel and ambience across all its branches,” he said.

“It is essential that the bodies concerned in entrepreneurship and SMEs develop a roadmap enabling Bahrain to export trademarks rather than just import them. I work with many Saudi investors who have expressed to me their desire to invest in Bahraini businesses but they find it difficult to find those who are talented and willing to have franchises. The entrepreneurs here need more support and coaching to understand how franchising can be done and how they can benefit from It,” he added.