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After the pilot project of the Inter-American Development Bank (IDB) and 10 Colombian Chambers of Commerce (2006-2009) to foster the development of franchising, an increasing number of companies have adopted franchising recognizing it as a safe and less complex way of expanding their business. This increase was reflected by 425 brands which registered in 2010 compared to 427 in 2011.
2010 presented an interesting upsurge with respect to 2009.
The bylaws, letters of acceptance, and additional forms for tax purposes (RUT and NIT if any) must be filled out indicating the taxes to which the company is subject to and must be registered with the Chamber of Commerce assigned to the address where the branch is located.
Registry in the Chamber of Commerce is subject to payment of registration tax, equivalent to 0.7% of the amount of capital allocated to the branch.
Along with some chambers of commerce of the major urban cities the IDB provided the funds necessary to streamline the franchising sector and create franchise concepts typically Colombian with international projection.The number of franchises in Colombia has more than doubled over the past 10 years.This boom has been driven by a better understanding and acceptance of the concept of franchising by many local firms, and by the improvement in international perception of the business environment associated partly associated with the implementation of the many newly-signed free trade agreements.At the end of 2011, domestic companies led 51.3% of franchisees in the country, while the remaining 48.7% corresponded to foreign companies that had a presence in Colombia through franchises.United States with 20.4%, led the foreign participation in the Colombian market followed by the European and Latin American countries that participated with a market share of 13.62% and 5.4% respectively.
In 2010, the franchise industry showed signs of recovering and experienced a growth rate of 10%.