Is my business able to be franchised?

Is your business franchisable? The answers may surprise you

www.thefranchiseinstitute.com.au

Franchising enable you to leverage your success while

maintaining control

The Australian franchise industry

turns over in excess of

There are approx. 1500 franchise systems in Aus

$130,000,000.00


SOME OF OUR RECENT CLIENTS INCLUDE:

SALTS OF

THE EARTH

RESIDENTIAL

GARAGE

DOORS

IT’S BIN

CLEANED!KUBARZ

BEVERAGE

CATERING


Why franchise?

Because it’s one of the most cost effective and efficient methods of growing a business


Franchising offers business owners:

capital with which to expand

network of motivated owners operators

group buying and advertising power


The franchisor (business owner) is paid an

upfront fee in exchange for granting the rights to

another party (franchisee) to operate a new

business using the franchisor’s name, business

systems, knowledge and experience.

What is a franchise?


The franchisor also receives ongoing royalty

fees, weekly monthly or yearly, for the duration

of the franchise agreement. Usually 4-5 years +

4-5 yr option.

Ongoing income


• Regulated by a mandatory Franchising Code of Conduct.

• There are compliance costs – but regulates industry

• Easier to sell as they offer total turn key solutions

• Franchisor retains control of the business

• Great for building a brand in multiple locations

THINGS YOU SHOULD KNOW…


What the difference between franchising and licensing?

Licensing is OK but NOT if your main reason is to

avoid costs and compliance

If your business has these 4 criteria then the LAW

deems it as a franchise & it MUST comply with the

Franchise Code of Conduct.


1. An Agreement between the parties, written or oral.

2. A payment either up front or ongoing for the

provision of goods or services.

3. A marketing plan determined or controlled by the

franchisor.

4. Use of trademarks ,brands or names owned by the

franchisor.

WHEN IS IT A FRANCHISE?


What does franchising a business involve?


1. Franchise offering

2. Documentation of business systems

3. Training program

4. Code Compliant Legal documents

5. Franchise recruitment strategy

6. Marketing plan & collateral

7. Protect IP

8. Correct structure and model.

Every franchise business that turn over millions of dollars started off as an idea or a

small business (think McDonalds, Boost Juice or Jim’s

Lawn mowing).

Could your small business or business idea be the next big thing?

Is my business franchisable?


profitable track record

market demand

long term potential

business systems - easily taught

franchisor has leadership skills

Is my business franchisable?


20% Aus bus – trade day 1 as a franchise

19% franchise within 1st 12 months

Set up as company owned franchise - pilot

New businesses can also franchise


Find out by having a Franchise Feasibility Review Process conducted for your business.

Is YOUR business franchiseable?


1300 855 435www.thefranchiseinstitute.com.au

Business

Is my business able to be franchised?