Development Programs of the

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• 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

• 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

• NIFAs 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

• 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

• 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

• 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 self-sustaining

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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.

• 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.

• 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.

• 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

• 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.

• 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.

• 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