Ministry’s new programme focuses on affordable franchise package

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DESPITE being good income generators, franchise business is shunned by middle and low-income wage earners due to perceived high risk and large capital needed to participate in them.

The Domestic Trade, Cooperatives and Consumerism Ministry, however, is set to change this through the introduction of a new community franchising programme.

Its deputy secretary-general Datuk Daud Tahir said the programme would offer various micro franchise business opportunities, which required start-up capitals of just RM50,000 and below.

This, he said, would open up opportunities for the middle and low-income groups to take up franchises.

The programme also sought to provide participants with more information and advice, he added.

“The franchise businesses offered under the programme will be more systematic and organised with guidance provided by the franchiser.

It’s official: Daud during the statelevel launch of the programme. Looking on are (from left) Perbadanan Nasional Berhad managing director Syed Kamarulzaman SZK Shahabudin and state Domestic Trade, Cooperatives and Consumerism director Mohd Hilmi Mohd Noor.

“Our goal is also to encourage these companies to provide an affordable franchise package and encourage entrepreneurship among the community,” Daud said when representing deputy minister Datuk Tan Lian Hoe at the state-level launch of the programme in Ipoh recently.

Daud said the ministry’s franchise investment corporation Perbadanan Nasional Berhad, would provide those interested with start-up loans.

Applicants must be between 21 and 60 years while the franchise package taken up must not exceed RM50,000, he said.

No guarantors or collateral were necessary to secure the loans, he added.

“We want the rakyat to be confident in starting up their businesses, which the Government hopes will improve their quality of life and increase their household income, and contribute to the country’s economy,” he said.