Monday, April 16, 2012

Franchise business to contribute RM22.5b in revenue

Source From (The Malaysian Insider): http://www.themalaysianinsider.com/business/article/francise-business-to-contribute-rm22.5b-in-revenue/

Published: on 16 April 2012

KUCHING, April 14 — Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Ismail Sabri Yaakob expects the franchise industry to contribute RM22.5 billion to the national coffers this year compared to last year’s RM21.48 billion.

“We are targetting RM50.5 billion from this industry in 2020,” he said at the Sarawak Franchise Community Programme, according to Bernama Online.

He added that to reach the target the ministry has introduced the Micro Franchise Loan Scheme to assist small-and-medium enterprises venture into the business.

“RM8 million has been set aside to help entrepreneurs meet their initial capital requirement of RM50,000 and below,” he said.

“If possible, we want many more entrepreneurs to come forward and obtain financing and if the funds are inadequate we will apply for a bigger allocation,” said the minister.

He said 359 entrepreneurs have been identified as potential franchisees under this programme which was launched last year, of which 121 have obtained loans totalling RM2.8 million.

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