Discusses opportunities for U.S. franchisers and legal requirements in the market.

Franchising has become a well-known, successful, and popular concept in the Czech market and is poised for further growth. After a rather moderate start in the 1990s, franchising grew rapidly, especially after the Czech Republic’s accession to the EU in 2004. Czechs have seen the success of the foreign franchising systems and have started to establish domestic franchising concepts and to expand abroad. According to the portal Franchising.cz - not available in English), in 2017 there were more than 260 fully functional franchised brands and 30 new brands about to be launched in the Czech Republic. It is expected that the total number of intenational and Czech brands will reach 300 by 2020. In 2017, the number of foreign brands was estimated to be 98, which represented a 27 percent market share. The Czech market for food franchises dominates with 15 percent of the market, but it has slowed down and other franchise opportunities are expected to grow in the future. The Czech legal system places no barriers to entry and operation of a franchise.

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.