In 2022, 83% of franchise chains in Brazil had entrepreneurs managing multiple operations. This number rose to 87% in 2024, according to data from the Brazilian Franchising Association (ABF). The ABF estimates that there are about 2,828 multi-franchisee networks, with 1,103 of them involving single-brand operators and the rest embracing multi-brand models. These multi-franchisees manage roughly 30% of the 197,000 franchise operations across the country. “We are seeing more entrepreneurs entering franchising with the intent to operate multiple units, either within the same brand or across different ones,” says Cristiane Martins, director of ABF’s franchisee commission.

A 2024 survey by CommUnit, an ecosystem founded in 2023 to support multi-franchisees through content, events, and networking, found that 48% of the more than 550 respondents are negotiating franchise groups simultaneously. This suggests that they are considering opening more than two units at once. “Brazilian franchisees are increasingly adopting the characteristics of American multi-franchisees, who are highly professional and understand the dynamics of their relationships with franchisors,” explains Denis Santini, CEO of CommUnit. While the Brazilian franchise sector generates R$273 billion annually, the U.S. market is expected to reach US$900 billion by 2025, according to the International Franchise Association (IFA).

Rivaldo Guedes, one of Brazil’s largest multi-franchisees, manages 49 Microlins schools. He joined the network in 2001, opening his first unit in Colatina (ES) just six months after starting his search for a business venture, following a 15-year career in the meatpacking industry, where he became general manager, overseeing a team of 800. Although he didn’t initially plan on becoming a multi-franchisee, Mr. Guedes credits franchising with shaping his entrepreneurial path. “I had no prior knowledge of franchising, but the model started to shape my life and routine,” he says. “It’s the path I learned to follow to achieve success.” His operations now span across Bahia, Espírito Santo, Mato Grosso, and Rondônia.

In addition to managing Microlins schools, Mr. Guedes has ventured into the beauty, health, and wellness industry with his own franchise brand, Spazzio Beauty. The chain currently has 10 operations, all based in Espírito Santo. He has also diversified his portfolio by investing in health and urban mobility startups. “I diversify my investments,” he says.

According to the community survey, 46% of respondents are looking for a return on investment, seeking a percentage of the capital invested. Meanwhile, 31% are more focused on earning a monthly income. Among these, 38% expect monthly revenues of more than R$25,000 per operation, 18% hope to earn between R$15,000 and R$20,000 per unit, and another 18% aim for monthly earnings between R$10,000 and R$15,000.

Operating multiple units offers significant benefits for franchisees by increasing earnings and optimizing costs. “The manager of a multi-unit operation benefits from a shared service center, where staff support all the brands. The costs for finance, marketing, purchasing, personnel, and technology are distributed across the various operations, giving greater scale,” explains Mauro Nomura, a multi-franchisee managing 35 operations under brands such as Adidas, Arezzo, and Schutz. With 38 employees working across his office and operations in three states—Santa Catarina, São Paulo, and Rio de Janeiro—Nomura’s business saw revenues surpass R$300 million in 2024, a 30% increase over the previous year.

Mr. Nomura entered franchising in 1998, when his mother, no longer a partner, ran a multi-brand shoe store selling Arezzo products. When Arezzo began expanding through franchising, he opened his own franchise. “I opened more operations to achieve scalability and volume,” says Mr. Nomura, who has never worked in a formal employee role.

He views the franchisee as a “light entrepreneur” and advises aspiring mega-entrepreneurs to avoid franchising if they aim to create their own brand. “Franchisees follow a pattern and are primarily executors,” he explains.

Mr. Santini, the author of The 7 Franchise Habits of High-Performance Franchisees, highlights several key traits shared by successful multi-franchisees. These individuals are typically closely aligned with the franchisor, actively contribute to the business, and strongly believe in the brand. They place high value on people—both their own development and that of their teams—and prioritize solutions, always seeking alternatives to problems rather than excuses or blame. Additionally, they think big, with ambitions to grow, expand, and professionalize their operations. “High-performance multi-franchisees are increasingly sought after by franchisors because they help elevate the network as a whole,” he says. “They raise the level of other franchisees by introducing good practices and strengthening the brand.”

Leandra Bisi Priante, owner of 14 operations, including 5àsec (laundry) and Havanna (food) stores, all in Pará, entered the franchising world in 2012 after spending 15 years in the multinational footwear sector. Starting with a single store, she had already planned her path to becoming a multi-franchisee. Her initial strategy was to grow in the mono-brand model, with 5àsec stores. “Starting with a mono-brand multi-franchisee model allowed us to deepen our understanding of the market and business model, focusing on building the brand in the region, consolidating expertise, and optimizing operations with a solid foundation,” she explains.

Ms. Priante believes that the maturity of her business has created the opportunity to diversify her portfolio. “Market analysis and identifying new opportunities are essential to ensure strategic expansion, especially in a market characterized by constant change, which drives behavioral and social shifts that directly influence consumer habits,” she adds.

When deciding to start her own business, Ms. Priante considered other investment opportunities but ultimately chose franchising because of its structured and proven business model. “A franchise minimizes investment risks by balancing risk and return, leveraging the know-how and reputation of established brands,” she says. “Franchises also offer ongoing support from the franchisor, which simplifies business operations.”

However, she emphasizes that franchising, like any investment, involves risks and requires careful analysis. “It’s essential to operate the units efficiently and profitably, always adhering to the company culture, standards, and the identity of the franchising brand,” she advises, noting that her franchise group experienced a 23% growth in 2024 compared to the previous year.

Ms. Martins, from ABF, emphasizes that multi-franchisees are deeply involved in their businesses, often working on a day-to-day basis. “In some cases, the multi-franchisee has grown so much that they form a back office to manage their operations, but their involvement generally exceeds that of an angel investor,” she explains, drawing a comparison between entrepreneurs and investors. “The angel investor typically isn’t directly responsible for the business they invest in, but they may serve in an advisory role.”

Ana Paula Braga, owner of eight Morana women’s accessories stores and three Outer Shoes stores in Brasília, reflects on how her role has evolved over time. Although she now holds a managerial position and no longer spends time at the point of sale, she notes that her hands-on experience in the stores was crucial in understanding the challenges faced by sales assistants and managers. “You need to have that experience,” she says.

Ms. Braga entered the franchising sector in 2003, opening her first store at the age of 17. Today, she focuses on analyzing key indicators to enhance business efficiency and ensuring the well-being of her team. “We’ve had managers with us for 10 years,” she shares. “You can’t grow without people.”

Juliana Campello da Costa Ribeiro, manager of seven Buddha Spa units in Rio de Janeiro, explains that her decision to join the franchise sector in 2021 was driven by her desire to become a multi-franchisee. “Despite the work involved in operating multiple stores, being a multi-franchisee allows us to establish a back office, which only becomes financially viable when you have enough operations to share the costs of administrative services,” she says. According to Ms. Ribeiro, this structure “makes a huge difference” by enabling her to focus on more strategic tasks where she can add the most value. Before venturing into franchising, Ms. Ribeiro co-owned a communications agency.

She highlights several advantages of managing multiple units, such as flexibility in team management. “For example, I can relocate staff between units as needed,” she explains. With the combined workforce of the seven stores and the administrative department, Ms.Ribeiro employs more than 100 people.

Ms. Ribeiro believes that the franchise model offers a higher success rate compared to independent businesses, mainly due to the quicker growth and maturity of the venture. “The risk of a startup failing is high, and an independent business takes years to establish,” she notes. Her Buddha Spa units generate monthly gross revenues ranging between R$150,000 and R$250,000.

According to ABF, the closure rate for franchises in 2024 stood at 6.4% across all 197,000 units. In comparison, Sebrae—a social service to foster small businesses—reports that small businesses outside the franchise model have a survival rate of 95.7% in their first year, 91.8% in their second, and 88.3% in their third.