In 2024, Ukraine saw a significant decline in franchising market activity compared to the previous year. According to the consulting company Franchise Group, only about 1,500 new franchise businesses were opened during this period, which is a noticeable decline compared to 2023, when almost 7,500 new projects were opened.

The widespread slowdown in the pace of franchising development is explained by various factors. According to the PR director of Franchise Group Anastasia Sarakuz, entrepreneurs have become more cautious in financial investments, postponing the start of new projects for several months or even a year.

The same trends are confirmed by representatives of the company FRANCH, which specializes in consulting on franchise business development. According to the company's CPO Maria Dorosh, some clients are already ready to launch, but are postponing the announcement due to difficult conditions related to mobilization and instability of the energy system in Ukraine.

Currently, there are about 600 companies operating in Ukraine that sell their franchises. At the end of 2022, this number was approximately 550 companies that were actively developing their networks using the franchise model.

Despite temporary difficulties, experts believe that the franchise market in Ukraine has the potential for further development. Attracting new investors and introducing stable business conditions can contribute to the restoration and activation of this industry in the future.