Lawson to Provide Aid to Franchise Owners
Tokyo, Feb. 7 (Jiji Press)--Japanese convenience store operator Lawson Inc. <2651> said Friday it will provide franchise store owners with subsidies totaling 40 billion yen, starting in fiscal 2020, in an effort to maintain its store network.
The company will give 40,000 yen in aid per month to franchise owners who run one store for a period of one year. Owners who start running multiple stores within a year will be able to receive the aid money for up to three years.
The measure will cover some 1,200 franchise stores nationwide. It comes as franchise owners face difficulties securing successors due to an aging society and a tough work environment.
"Store owners are increasingly concerned about their future due to low profitability," Lawson's president and chief executive officer, Sadanobu Takemasu, told a press conference in Tokyo. "I hope owners will use the aid money to stabilize finances."
Lawson will also give a five-year franchise contract as an option in addition to the 10 years currently available, a step designed to help increase new entrants.
[Copyright The Jiji Press, Ltd.]