RELIANCE Shipping & Travel Agencies aims to take its franchise business to Indonesia by mid-2011. This will be the company’s first franchise foray out of Malaysia.

Reliance Pacific managing director (travel division), Tan Sin Chong, said the company had chosen to enter the Indonesian market through franchising because of its proximity to Malaysia, which will result in easier management as well as similarity in language, culture and travel needs. There are also presently no competitors in the franchise business.

Reliance Travel is a subsidiary of Reliance Pacific.

Once the Indonesian franchise is successful, contributing 20 to 40 per cent revenue to Reliance, the company may set its sights on Singapore and Hong Kong.

Reliance Travel is the first travel company to introduce travel franchise in Malaysia in 2000. Other local travel companies with franchise businesses are Mayflower Acme Tours and Sri Sutra Travel.