Franchises as an engine of transformation of local commerce: the Role of Municipalities and the Cities and Franchise Forum
Madrid, July 31, 2025
In a context of urban transformation and the need to revitalize local commerce, city councils across the Spanish geography are discovering in the franchise model a powerful tool for economic and social development. Franchises not only represent a lower-risk entrepreneurship formula, but also an opportunity to improve employment, revalue commercial areas and renew the aesthetics and vitality of many streets in our cities, large, medium or small.
The Cities and Franchising Forum, an initiative framed within the Franchise Innovation Summit (FIS) —which will be held on October 15 and 16 at the Riyadh Air Metropolitano in Madrid, and promoted by the Spanish Franchise Association— stands as a bridge between local administrations, area entrepreneurs, and major brands. Cities like Toledo, Pozuelo, La Nucía, Palencia and Chiclana have already joined this movement, each with their own commercial particularities and consumption profiles, which demonstrates the versatility and inclusive potential of the franchised model, thanks to local entrepreneurship.
“Franchises allow major brands from any sector to land in medium or small cities, generating added value for local commerce and facilitating access for entrepreneurs to proven and sustainable projects,” highlights Eduardo Abadía, Executive Director of the Spanish Franchise Association (AEF). “The support of city councils in this type of initiative not only strengthens the business fabric, it also conveys confidence and projection toward national investors and operators.”
The essence of the Forum is twofold: on one hand, to promote local entrepreneurship, facilitating access for professionals, investors and the self-employed to consolidated business, service and commerce models; and on the other, to position cities as attractive destinations for franchise expansion, improving their commercial offering and generating quality employment.
Additionally, FIS proposes an innovative reverse mission strategy, inviting entrepreneurs from these cities to travel to Madrid to hold direct meetings with brand expansion managers. This allows for real, inspiring and effective contact, where real opportunities for investment and collaboration are created. Reverse missions also promoted by public administrations, local chambers of commerce, business associations… highlight the importance and value of public-private collaboration.
One of the model’s strong points is its capacity for adaptation: from sectors such as supermarket chains, restaurants, beauty, health, training, education or technology, to emerging concepts of social or sustainable impact. This diversity allows each city to identify the brands that best align with its identity and needs, with its city strategy.
The recent joining of cities like Palencia, Toledo, La Nucía, Chiclana, Pozuelo… to the Forum, is an example of the type of commitment that makes the difference. “It is an opportunity to present cities as a hub attracting major retail groups expanding under the franchise model and connect with prestigious brands seeking to expand with local partners,” states Raul Calleja, FIS Director.
Additionally, informational sessions will be held in these cities to bring the franchise model closer to local business owners, featuring roundtables, presentation of economic data and testimonials from local franchisees. These sessions prepare the ground for active participation in FIS and contribute to consolidating a network of cities driving commerce.
The Cities and Franchising Forum is more than an event: it is a public-private collaboration platform that bets on local talent, urban modernization and the reactivation of small commerce from a strategic, professional vision connected to the real market.
From FIS and the AEF an invitation is extended to all city councils that want to boost their local commerce, to join this network of cities that understand that the future of economic development involves adding alliances, opening opportunities and betting on local entrepreneurial talent.
The meeting is in Madrid, on October 15 and 16. Local commerce, investment and employment have a new opportunity: they choose franchising.