LOWERING the “entry barrier” to the franchise business – from a six-figure financial outlay to five figures – will be a key part of the country’s 2021 to 2025 franchise masterplan, Domestic Trade and Consumer Affairs Minister Alexander Linggi said today. 

Linggi said it was important for the ministry to bring the financial investment, which currently runs into a few hundred thousand, down to around RM50,000. 

Speaking to reporters after his pocket talk dialogue with franchisors and franchisees in Kuching this afternoon, he said a lower entry point would definitely assist many young people to be entrepreneurs in the RM11 billion industry.

“We are now looking at how we can do that. It is important to create opportunities for young people, whether they are from urban or rural areas.” 

Linggi said there are many franchise businesses that could start with a RM50,000 investment. 

He said the list of businesses would also be made known later.

The masterplan will likely be unveiled in the middle of next year. 

The pocket talk, hosted by one of Sarawak’s most successful franchise businesses, Sugar Bun, is to get feedback from people in the industry on what should be incorporated into the masterplan. – July 3, 2020.