Franchising In Canada: Considerations For U.S. Franchisors

Canada is an attractive market for U.S. franchisors who are looking to expand their business internationally. Canada is generally quite open to foreign investment (particularly from the U.S.), and there are many similarities between Canadian consumers, business practices and legislative frameworks, and those in the U.S. From this perspective, expanding into Canada can be an easier undertaking for many U.S. franchisors than expanding into other countries. However, there are a number of important differences between Canadian and U.S. franchise laws, and U.S. franchisors should ensure that they know and understand how Canadian franchise laws differ and how they will affect their business before taking any steps to enter the Canadian marketplace.