Franchising your business

Franchise licensing in Belarus: what business owners need to check

A business owner’s licence does not transfer to a franchisee. How to check licensing and permit requirements and prepare your partner to open legally.

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Franchise licensing in Belarus: what business owners need to check

A successful business cannot always be handed over to a partner with every requirement for opening already met. This is particularly true where operations require a licence, staff with specific qualifications or other permits. When developing a franchise in Belarus, it is important to distinguish from the outset between the right to use a business model and the right to carry out a particular activity. For a prospective franchisor, these checks should come before any promises about opening dates or initial investment.

1. Distinguish between the franchise agreement and a state licence

Franchising in Belarus is specifically regulated by the Civil Code: Chapter 53 covers the ‘comprehensive business licence’, the legal term used for franchising. The agreement grants the franchisee a package of licensed rights for business use. It must be made in writing and registered with the National Centre of Intellectual Property. There is no separate franchising law, but this does not mean there are no specific regulations.

The word ‘licence’ can easily cause confusion here. A comprehensive business licence does not replace a state licence for a particular activity. Nor does registration of the franchise agreement confirm that the partner meets requirements relating to staff, equipment or premises.

The main legislation to consult when checking which activities require a licence is the Law of the Republic of Belarus No. 213-Z of 14 October 2022, ‘On Licensing’. For a particular business activity, you need to review the current version of this law and any applicable sector-specific regulations. For example, if you are franchising a healthcare business, the franchise agreement alone cannot establish your partner’s right to provide the relevant services.

A franchisee operates as an independent business entity. You therefore cannot assume that your company’s licence automatically covers their organisation. Even if the signage, equipment and range of services are identical, the legal basis for operating must be checked separately.

2. Map the requirements for the business model you are franchising

Start with a complete list of the activities your partner will carry out, rather than the name of the business. A description such as ‘service centre’ tells you nothing about licensing or permit requirements. What matters is precisely which services are provided, to whom, by whom and using what equipment.

Break down an existing outlet’s operations into individual processes: selling goods, providing services, storage, delivery and handling particular product categories. For each process, establish whether it requires a licence, another type of permit, a notification, or compliance with mandatory requirements without a separate approval procedure. Do not call every document a licence: their legal basis and the consequences of not having them differ.

Bring the findings together in a working table:

  • Activity: exactly what the partner does and whether it is a mandatory part of the franchise format.
  • Legal basis: the legislation and the specific requirement.
  • Responsible entity: who obtains the document or ensures compliance.
  • Conditions: the staff, equipment, documents and premises specifications required.
  • Evidence of readiness: how compliance with the requirement is verified.
  • Dependencies: which costs must be incurred and steps completed before applying for approval.

Check the requirements for the partner’s proposed operating model specifically. Your own company’s documents are a useful starting point, but not a universal template. The range of services, legal form of the business and other circumstances may all matter.

The result should be a clear distinction between activities that can be included in the standard franchise offering and those requiring separate legal and financial preparation.

3. Turn the requirements into an opening budget and timetable

Licensing and approval procedures affect the finances before the first sale. Your partner may need to recruit qualified staff, purchase equipment and prepare documents before they are legally entitled to serve customers. These costs should not be hidden within a general ‘preparation for opening’ budget line.

Itemise the initial investment: mandatory fees, external advice, preparation of supporting documents, equipment and the cost of retaining staff during the waiting period. Use verified calculations for the specific activity rather than a standard allowance for every partner.

Build the timetable around dependencies. If an application requires information about staff and equipment, submission cannot be scheduled before those preparations are complete. Bear in mind that the statutory processing period is not the same as the total time needed to open: gathering documents and correcting deficiencies also takes time.

Plan a response to each significant potential delay. For example, you could postpone the advertising campaign and the start of customer bookings. Launching with a limited range of services is acceptable only after checking that those services can genuinely be provided independently and without the outstanding approval. This must not be presented as a way to circumvent the requirements.

In your franchise offering, distinguish between the estimated opening date and the actions your team commits to taking. You should not promise that a public authority will approve your partner’s application.

4. Set out responsibilities and conditions for starting operations

The agreement should align with your requirements map. Specify which documents the franchisee must obtain, what support the franchisor provides and who pays for the preparation. If you provide templates or advice, define their scope: helping with an application does not guarantee that a licence will be granted.

Require the partner to report any refusal, suspension or termination of a licence, as well as any changes that could affect compliance with licensing requirements. The response procedure should take account of the law and the terms of the agreement, rather than simply imposing an automatic penalty for every delay.

Before opening, compile a separate set of supporting evidence. Check not only that a document exists, but also that it covers the relevant entity, activity and, where required, the location where that activity will be carried out. Assign responsibility for this check and for monitoring subsequent changes in legislation.

Practical takeaway: before selling a franchise, map the licensing and permit requirements, include the associated costs in the budget and define opening conditions that can be verified through documentary evidence. This gives your partner not just a business model, but a realistic route to operating legally.

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