PERU Trends and Developments Contributed by: Walter Aguirre, Aguirre Abogados & Asesores
Introduction Franchising was introduced in Peru over 40 years ago with the arrival of US chains such as KFC and Pizza Hut, which marked the beginning of the popularisation of this model for business development, management and expansion. Although the Peruvian franchise sector has experi - enced steady growth since its initial entry into the market, its development was severely impacted in March 2020, when the Peruvian government declared a national state of emergency and imposed manda - tory lockdowns lasting for several months due to the COVID-19 pandemic. In fact, the franchise sector was one of the hardest hit nationwide, primarily because most franchise systems were related to the retail and gastronomy sectors, and their commercial prem - ises were largely located in shopping malls, which remained closed for more than six months. Never - theless, starting in early 2023, the franchise sector began to recover, particularly in the areas of gastron - omy, education, technology and healthcare. It is worth noting that there has been a significant increase in the number of franchises requiring lower investment to operate in the market. At the beginning of 2025, the Peruvian Chamber of Franchises (CPF) reported that there are over 500 franchise systems operating in Peru, approximately 50% of which are foreign franchises; the remaining 50% are domestic. Among foreign franchises, those originating from the United States are the most prevalent in the Peruvian market, representing nearly 40% of the total, fol - lowed by franchises from Argentina, Spain, Brazil and Colombia. As for domestic franchises, over 60% are in the gastronomy industry, while the remaining 40% operate in other commercial sectors, including apparel and accessories, beauty and health, educa - tion, handicrafts and jewellery, among others. The internationalisation of Peruvian franchises continues to benefit from the global popularity of Peruvian cui - sine, with more than 30 domestic restaurant brands having established a presence abroad in countries such as Argentina, Bolivia, Brazil, Colombia, Spain, the United States, Mexico, Paraguay and Portugal, among others.
In Peru, the pioneer in adopting the franchise busi - ness model was the DELOSI Group, which currently operates brands such as KFC, Pizza Hut, Burger King, Chili’s and Starbucks, among others. Another key franchise operator is NG Restaurants, part of the INTERCORP Group, which operates brands such as Papa Johns, Popeyes, Dunkin’ Donuts, Bembos, Chinawok and Don Belisario. Other operators include the David Group, which manages brands like Bath & Body Works, American Eagle Outfitters and Victo - ria’s Secret. In the hospitality sector, the Breca Group manages brands such as Westin, JW Marriott and AC Hotels by Marriott. The Yes Group operates several well-known apparel brands, including Armani, Armani Exchange and Hugo Boss. Leading Spanish brands from the INDITEX Group, such as Zara, Zara Home, Stradivarius, Massimo Dutti and Oysho, also operate in Peru under franchise agreements. Given the strong influence of retail on the growth of the franchise sector, it is worth highlighting that, according to the Peruvian Association of Shopping and Entertainment Centers ( Asociación de Centros Comerciales y de Entretenimiento del Perú ACCEP), there are currently more than 90 shopping centres in the country that are open to the public and operating at full capacity. A significant number of domestic and international franchise systems operate within these venues. Moreover, there are numerous ongoing devel - opment projects involving new shopping centres and expansions of existing ones. These developments are expected to further promote and consolidate the fran - chise sector in Peru over the medium and long term. Regulations Applicable to Franchises in Peru There is no specific legal provision regulating fran - chises in Peru. Nonetheless, under a well-established legal doctrine, a franchise is understood as a business model whereby the franchisor grants the franchisee the right to replicate, within a specific territory and with the franchisor’s technical assistance, an already- developed business. This system is distinguished by the franchisor’s trademark. Since there is no specific franchise law in place, fran - chisors and franchisees are not required to register the franchise system with any supervisory authority, or to disclose related information, unlike in other jurisdic -
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