Banks Uninterested in Franchise Business

The Croatian Association for Franchise Business, in collaboration with the Franchise Center of the Entrepreneurship Center from Osijek, Pro Maturo Center, and the Center for the Policy of Development of Small and Medium Enterprises and Entrepreneurship, CEPOR, held a brief lecture today at the premises of the Economic Institute on franchise business, as an introduction to the 4th International Franchise Forum that will take place at the Dubrovnik Hotel on the 9th and 10th of next month, on the topic “Challenges of Building Franchise Business in Croatia”.

Prof. Ljiljana Kukec, president of the Croatian Association for Franchise Business and the Pro Maturo Franchise Center, Ms. Mirela Alpeza from the Franchise Center in Osijek and a professor at the Faculty of Economics, and Nikola Oršanić, owner of two successful master franchises ‘I quit smoking’ and ‘Dama toneri’, briefly informed journalists about the issues of franchise business. The forum will consist of an exhibition and advisory part, and participation from companies and guests from the entire region is expected. The idea is to connect all those interested in franchises, exchange experiences, establish contacts, and explain to people the issues of franchise business.

The Franchise Center is the only NGO in this area and has been functioning as part of the Entrepreneurship Center in Osijek since 2003. They are the owners of the seminar/franchise “Franchise from A-Z” at the Franchise Center at the University of El Paso, Texas, one of the best seminars of its kind in the world. The speakers highlighted the technical and practical virtues and shortcomings of franchise business and placed it in the context of the Croatian economy. Nikola Oršanić emphasized the lack of knowledge about the concept and purpose of franchises in Croatia and noted, which other speakers also confirmed, the disinterest of financial institutions, primarily banks, in investing and financially supporting this sector, which constitutes over 50% of business in developed countries and shows a high statistical degree of success compared to independent activities. (Vanja Figenwald)