Raising franchise standards in Guatemala

Guatemala’s experience of franchising stretches back to 1969, when Pizza Hut opened as the country’s first US franchise. International names helped establish the model, while Guatemalan businesses subsequently adopted franchising as a route to expansion. A particularly strong period of development came between 2002 and 2007. The founding of the Asociación Guatemalteca de Franquicias (AGF) in 2007 gave the growing franchise community a national organisation to represent its interests at home and abroad.

The AGF is a non-profit, non-political association that supports ethical franchising, domestic growth and the international expansion of Guatemalan brands, alongside the arrival of foreign franchises. Guatemala’s market now combines local and international businesses across food, services and retail. A 2024 market assessment put the total at approximately 450 franchises, with almost half food-related. Restaurant brands have also expanded beyond the capital, reaching other major cities where new shopping centres are opening.