Franchise resales gain ground and attract new operators in Brazil

Taking over an established franchise has opened doors both for new entrepreneurs and for those already managing other outlets. According to the Brazilian Franchising Association (ABF), transfers of existing businesses accounted for 4.0% of activity in the franchise sector in 2025, up from 3.4% in 2024. Accounts published in October 2026 show how a change of operator can combine business continuity with a turnaround.

An entry route that requires careful assessment

A franchise resale involves transferring an existing outlet to another entrepreneur. Rather than setting up the entire operation from scratch, the incoming operator takes over an established set-up that may include staff, processes and a customer base. This does not, however, remove the need to assess each business on its own merits.

The 0.6 percentage-point increase in the share of transfers came in a year when Brazil’s franchise sector recorded turnover of R$301.7 billion (Brazilian reais), representing nominal growth of 10.5%. At the end of 2025, there were 202,444 franchise outlets operating in the country, according to ABF.

The cases reported reflect different reasons for taking over a franchise: expanding a portfolio of outlets, drawing on professional experience or turning around a struggling business. This is therefore not a single type of investment. The condition of the shop or school being acquired and the buyer’s management capabilities emerge as central factors in these experiences.

Retail highlights the work involved in a turnaround

In Manaus, Isis de Fátima Bandeira de Melo took over a Calçados Bibi outlet alongside her business partner and nephew, Victor Bandeira. With 15 years’ experience in franchising and six outlets of the brand under her management, she found a shop facing a challenging period.

Her approach involved promotional activity, partnerships with the shopping centre, closer engagement with customers and hands-on oversight of the operation. According to the published account, sales grew by 61% in the first nine months. This result is specific to that outlet and does not constitute a forecast for other franchise resales.

At Mundo Verde, Estefany Brandão da Silva and Luís Gustavo Araújo Pereira took over a shop at Shopping Imperial in August 2024. When assessing the outlet, they found low stock levels, demotivated staff and limited customer footfall.

The couple decided to invest in transforming the operation while making use of its existing set-up. Their experience highlights an important distinction: taking over a fully equipped shop does not mean acquiring a problem-free business. Turning it around may be the incoming operator’s main task.

Education combines expansion with professional experience

At Prepara IA, Thiago Souto uses franchise resales as a means of expansion. Involved with the network since 2013, he manages five outlets: three acquired through transfers and two opened from scratch.

When he took over a school in Prazeres, in the municipality of Jaboatão dos Guararapes, he found high levels of overdue payments, outstanding deliveries of teaching materials, low advertising investment and difficulties generating sales. According to the published account, within just over two months the outlet was exceeding expectations and recorded a result almost twice that of the previous month. The report does not specify which measure was used, so this cannot be interpreted as either profit or turnover.

Another example is Sandra Maria Guimarães, an educationalist with a master’s degree in psychopedagogy and specialist training in neuropsychopedagogy. She took over an Ensina Mais Turma da Mônica outlet in August 2026, after six years running a multidisciplinary clinic. At the start of this new phase, her reported challenge was to adapt her educational experience to the franchise model.

Rosi Fernandes, meanwhile, entered franchising during the pandemic by taking over two Rockfeller Language Center schools in Santa Catarina, in Estreito and Centro. According to the figures published, the schools now have more than 800 students between them and generate combined monthly turnover of around R$120,000.

What to check before a transfer

These experiences illustrate the possibilities, but they do not replace thorough due diligence. At a legal event held in 2025, specialists highlighted the importance of transparency and franchisor involvement in resale negotiations.

The assessment should cover financial history, contracts, staff, business premises, liabilities and the outgoing franchisee’s reasons for leaving. These factors help distinguish an operation that needs adjustments from one requiring a more extensive turnaround.

In practice: before taking over an outlet, check the results presented against its historical performance and assess the problems that will come with the transfer. An existing set-up is a starting point, not a guarantee of performance.