VOL 16 ISSUE 04 may/june 2022
cover story
REFUGEE WHO BUILT
mindchamps
a Global Education Movement
business optimism on show in 2022 i’m starting a franchise business -
what can i finance?
$4.95 (AUD), $7.95 (NZ) inc. GST.
Make RAMS home loans what you do! “If you want to be part of a business that supports your goals while helping your customers achieve theirs, talk to RAMS!” – Julie Lawrence, RAMS Franchisee Principal, Redlands QLD
RAMS is looking for passionate people to help Australians fulfil their dream of home ownership. With opportunities to join the RAMS franchise family right across the country, that could be you! We have all the specialist support you’ll need to help customers achieve their home buying dream. So, if you share a passion for home ownership and a dedication to expertise, you should give us a call. Talk to RAMS today. Home loans are what we do.
Why RAMS? • Iconic brand.
• Unique credit model.
• Owned by Westpac (Australia’s oldest company).
• National marketing strategy.
• Proprietary mortgage specialists.
• Growing business.
• Training and development.
RAMS.COM.AU/FRANCHISING
MYOB FCA Excellence In Franchising National Awards 2020
FCA Excellence In Franchising Regional Awards 2020
Winner: Excellence in Franchise Innovation Finalist: Excellence in Marketing Finalist: Single Unit Franchise of the Year, 2 or more staff (Hawkesbury/Blue Mountains)
Winner: NSW/ACT Single Unit Franchise of the Year, 2 or more staff (Hawkesbury/Blue Mountains)
More information: RAMS Financial Group Pty Ltd ABN 30 105 207 538 AR 405465 Australian credit licence 388065. Credit Provider: Westpac Banking Corporation ABN 33 007 457 141 AFSL and Australian credit licence 233714.
21300//0721
The secret of success is to do the common thing uncommonly well. John D. Rockefeller Jnr.
Becoming a Senior Helpers Franchisee and business owner will not turn you into another Rockefeller, but it will help you to build a future by providing great services to others, uncommonly well.
A Senior Helpers Franchise offers you the opportunity to create a great team of support staff who will provide extraordinary service and care of older Australians and adults living with disabilities in their own home.
To assist you on your journey to success, are training, support, mentoring and guidance in addition to access to internationally recognised programs on dementia care, Parkinson’s care and in 2022, our Successful Ageing program.
Be the difference in other person’s lives while earning a living and creating opportunities for others.
To learn more about Senior Helpers, submit an enquiry at:
www.seniorhelpersausfranchise.com.au
VOL 16 ISSUE
04 MAY/JUNE
2022
AUSTR ALIA and NEW ZEAL AND COVER STOR Y
REFUGEE WH O
VOLUME 16, ISSUE 4, 2022
A GLOBAL
PS
EDUCATION MOVEMENT
On the cover: mindchamps president: Colin Bradbury. colin@cgbpublishing.com
BUILT
MINDCHAM
“
While I always did well at school and enjoyed it, I saw that many students didn’t do so well. I became curious as to why. I began to suspect that it was because their education experience simply didn’t engage them. - David Chiem, MindChamps.
”
BUSINESS OP ON SHOW IN TIMISM 2022 I’M STARTIN G A FRANCH
ISE BUSINES S WHAT CAN I FINANCE?
Publisher: Vikki Bradbury. vikki@cgbpublishing.com.au editorial department: editor@cgbpublishing.com.au sales & marketing manager: Jason C. Bradbury jasonb@cgbpublishing.com Production: production@cgbpublishing.com.au accounts: accounts@cgbpublishing.com.au FEATURE WRITER: Renae Longworth DESIGN: Jejak Graphics. jejak@bigpond.com CGB PUBLISHING Canadian Office: Sidney B.C Canada TO SUBSCRIBE: www.businessfranchiseaustralia.com.au or www.isubscribe.com.au CGB PUBLISHING PO BOX 17 Pamona, QUEENSLAND 4568 TEL: (07) 5485 2704 Email: cgb@cgbpublishing.com.au www.businessfranchiseaustralia.com.au www.businessfranchisemagazine.co.nz
$4.95 (AUD),
$7.95 (NZ)
inc. GST.
Welcome to our May/June issue of
Business Franchise Australia and New Zealand Magazine! We recently attended the Melbourne Franchise Expo and it was great to see so many attendees showing interest in Franchising, our publications were all well received and we signed a host of new subscribers. So for all our news Readers, welcome and I hope you enjoy this issue. You will find a selection of articles from our expert contributors this edition discussing Business Optimism on show in 2022 by Mary Aldred of the FCA, What are the Key terms found in a Franchise Agreement, by Bianca Sevastos Baybridge Lawyers, How to avoid a costly mistake when you buy a Franchise, by Kate Groom plus much more to help you on your journey to Franchising. On the Front Cover we have Mindchamps and we meet David Chiem, MindChamps’ Founder CEO, who went from refugee to building a Global education movement. Our main feature this issue is Children’s Product and Services Franchising in 2022. Our Feature Cover and Cover story is all about FLIPOUT who began their franchising journey in 2014 in Penrith NSW. They currently have 17 operating franchises with a further 5 to open throughout 2022. So to say the least, Flip Out are hitting all the right goals and the right market for Children’s Product and Services. In our feature you will also find some great advice from experts such as Brian Keen, Founder of Franchise Simply who looks at Franchises focused on Kids. Our In-house featured editorial also covers some of the great franchises to consider if your interest is in Children’s Product and Services Franchising. Business Franchise Magazine has some of the latest news, featured brands, and some great editorials on franchise systems to peak your interest. Until next time, enjoy the read!
The information and contents in this publication are believed by the publisher to be true, correct and accurate but no independent investigation has been undertaken. Accordingly the publisher does not represent or warrant that the information and contents are true, correct or accurate and recommends that each reader seek appropriate professional advice, guidance and direction before acting or relying on all information contained herein. Opinions expressed in the articles contained in this publication are not necessarily those of the publisher. The publication is sold subject to the terms and conditions that it shall not be copied in whole or part, resold, hired out, without the express permission of the publisher.
Vikki Bradbury Publisher
SUPPLIER FORUM
contents
may / june 2022 Cover Story 12 MindChamps Refugee who built MindChanps A Global Education Movement
In evey issue 8
What’s New! Announcements from the Industry
14 FCA - A Message from the CEO Mary Aldred, Franchise Council of Australia 33 Franchising Feature Children’s Product and Services 62 Hot Topics: Behind the Headlines Jason Gherke, Franchise Advisory Centre 65 Professional Service Listings 66 Franchise Listings 68 A-Z Franchise & Services Directory
Snaphots 24 Just Cuts: Just right for you
12 18
24
28 Aramex: Drive your success with Aramex 48 Pack & Send: Announces Record Breaking 2021 Sales Results
56
6 business franchise MAGAZINE
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also in this issue: 7-Eleven...............................................................................................................................68 Aramex.................................................................................................................... IFC, 68 Banjo’s.....................................................................................................................................68 BK’s Takeaway.............................................................................................................68 Centrestage Dancewear........................................................................... 69 City Farmers Dogwash................................................................................ 69 Dairybell.............................................................................................................................. 69 Deckseal.............................................................................................................................. 69 Dymocks Tutoring.............................................................................................. 69
Focus
Expert Advice
26 RAMS: Supporting small business ownership
20 Bianca Sevastos: What are the key terms usually found in a Franchise Agreement?
50 Optus: Now’s the time to make a difference
Profiles 18 Dairy Bell Dairy Bell Ice Creamery Franchises revitalise a classic for today’s world 60 Franchising Expo: Franchising & Business Opportunities Expo Returns to live events in Melbourne
Have Your Say 58 Peter Mousaferiadis: A Leadership Journey in Business a and Life
Ecomist................................................................................................................................. 70
30 Kate Groom: How to avoid a costly mistake when you buy an established franchise 46 Robert Toth and Kristen Attard: Retail Leasing - Repair & Maintenance Obligations - Part 1 52 Stewart Germann: While you are sleeping your brand cold be destroyed 54 Andrew Watson: Tax Time - Get your business ready 56 Phil Chaplin: I’m Starting a Franchise Business What Can I Finance?
26
Flip Out................................................................................................................................. 70 Gecko Sports....................................................................................................34, 70 Home Caring....................................................................................................23, 70 InXpress............................................................................................................................... 70 IP Partnership............................................................................................................. 65 Jim’s Cleaning Group................................................................................... 71 Jim’s Pool Care.......................................................................................................... 71 Just Cuts.............................................................................................................................. 71 KUMON Education............................................................................................. 71 Laser Clinics Australia.................................................................................... 71 MindChamps.............................................................................................................. 72 MyFirstGym................................................................................................................... 72 Morgan Mac Lawyers.................................................................................... 65 Nene Chicken....................................................................................29, 72, IBC Optus....................................................................................................................................... 72 Pack & Send................................................................................................................... 73 Papparich...............................................................................................................25, 73 Rams...................................................................................................................................3, 73 Roll’d.......................................................................................................................................... 73 Ryco 24•7............................................................................................................................ 73 Senior Helpers.................................................................................................... 4, 74 Shop Insurance........................................................................................................ 65 Snap On Tools................................................................................................. 49, 74 Speed Queen.................................................................................................. 45, 74 Subway...................................................................................................................... 16, 74 Wollerman........................................................................................................... 64, 65
North Adelaide locals find their new home of fitness as SpeedFit EMS arrives in South Australia opened 13 new studios with seven of those outside of WA. The new studio is not only the first SpeedFit studio for South Australia but also the first EMS (electro muscle stimulation) workout available to Adelaidians. The new studio will be owned and operated by local Adelaide businesswoman and health enthusiast, Munira Hassan. Munira has spent the last 15 years working in the health space as a fitness instructor in Saudi Arabia and a Pilates instructor in London before moving to Australia in 2017 with her husband and two children.
North Adelaide locals find their new home of fitness as Australia’s largest EMS (electro muscle stimulation) personal training franchise company, SpeedFit, opens its first location in North Adelaide, SA,bringing the total number of open studios in the network to 30. SpeedFit began in Perth in 2013, started by
Matej Varhalik, who was inspired by his own use of EMS for injury rehabilitation. SpeedFit studios have become a fitness staple in Australia’s west and their popularity has continued to grow since their eastern expansion in 2017. Despite lockdowns across the country and interstate border closures, SpeedFit has
Munira Hassan, Owner of SpeedFit, North Adelaide, SA said: “I first got in touch with Matej Varhalik, SpeedFit, co-founder, in 2018, he was very transparent and honest when discussing the business partnership, he told me all of the ups and downs and he never hid anything. I had spoken to other EMS companies but Matej was very different, he knows we are both responsible for the success of the studio and we are working together.” https://www.speedfit.com.au/about/
New Guzman Y Gomez restaurant in Virginia, Brisbane breaks all records Guzman Y Gomez Virginia broke every opening record, the fast food giant tracks on their opening days, with the popularity of the restaurant also expected to increase in the coming weeks. The double lane drive thru, which is conveniently close to Nudgee College in Virginia, Brisbane, smashed GYG’s $5 opening days sales record and hit a new high for their $5 burritos and bowls with a whopping 6,401 burritos and bowls sold. They also set a new record for GYG recording the highest sales in a single restaurant which was previously held by GYG Cranbourne. “We love celebrating records at GYG, setting new records means we’re still growing and show’s our team what is possible,” said Steven Marks, Founder and CEO of Guzman y Gomez. “We knew this opening would be huge and had high expectations for the location. We have been blown away by the response! This is the first of many new GYG restaurant designs that further amplifies our brand personality. We have a huge capacity for volume in Virginia and we’re open for brekkie, lunch and dinner so we expect this restaurant to be in the Top 3 in the country”. 8 business franchise MAGAZINE
Viva Leisure opens seven new locations and rebrands Plus Fitness with edgy new look and club design
Viva Leisure Limited (ASX:VVA) (Viva Leisure), a leading, technology-focused Australian health club owner, continues to roll out its expansion strategy by opening seven new locations and rebranding Plus Fitness with an edgy new look and club design. The seven new locations have predominantly opened in Victoria and will take the Group’s corporate footprint to 145 locations nationwide, excluding the franchise network of ~200 locations. In addition, Viva Leisure has commenced revitalising its Plus Fitness brand and that will see its ~200 clubs receive an extensive makeover including industry-leading equipment, a new logo and colour scheme to elevate the brand’s service offerings to members and prospects alike.
Viva Leisure CEO and Managing Director, Harry Konstantinou said “It’s an exciting time to be part of the Viva Leisure journey as Australians more than ever, place increased focus on their health and wellbeing. Opening seven locations in a short period of time is a testament to each of our brands’ “It is an equally exciting time for Plus Fitness, with the brand approaching 200 clubs in Australia and entering its next stage of growth, we will elevate the brand into a new era. The new vibrant branding and state of the art club fit outs will ensure we come out more competitive and stronger than ever. We are excited for our Franchisees to come on this journey with us, and we can’t wait to showcase the new clubs to our members”.
Viva Leisure’s recently opened locations include: • Plus Fitness Tuggeranong (ACT) • Hiit Republic Coburg (VIC) • Club Lime Coburg (VIC) • Club Lime Nundah (QLD) • Hiit Republic Ballarat (VIC) • Club Lime Ballarat (VIC) and; • GroundUp Yarralumla (ACT)
Relive your favourite childhood memory with Muffin Break’s NEW Fairy Bread Duffin! Muffin Break’s all new Aussie creation is a FUN take on your favourite childhood party food. Covered in sprinkles, it’ll take you straight back to your fun-filled 8th birthday! Introducing the Fairy Bread Duffin. Baked fresh in-store daily, the Duffin is a mouth-watering donut and muffin fusion. The newest Duffin, the Fairy Bread Duffin, is the fourth addition to Muffin Break’s luxurious Fancy Collection – indulgence, partnered with a moment of joy!
business franchise MAGAZINE 9
Royal Stacks Mega Expansion Royal Stacks kickstarts 2022 with the opening of its’ second CBD restaurant at Emporium Melbourne, the city’s preeminent shopping destination. Mixing its iconic 90s Street flair with a dynamic burst of colour only reminiscent in arcade games. Melbourne Street Artist Drez, has added his artistic flair to the venue with bright neon tones, offering diners the sense of falling into another dimension. Royal Stacks partnered with the team from The Hour Group to push boundaries for this project, along with Studio Y. and Steve Harrop to make the dream come to life. Diners can expect to be submerged with the theme of early 1970 nostalgic gaming, with two new in-house arcade machines being implemented to the custom store layout. It will also include a retro camping experience with custom caravan booths. Royal Stacks is known to be tech-savvy and disruptive, and in keeping up with current trends installing their own podcast booth at
their Moorabbin venue. They have launched 5 locations across Victoria in five years and plan to open four new venues across Melbourne by June 2022. The brand has not only ventured out in the Australian market but has also gained attention from the Chinese market.
After partnering with DC Strategy, Royal Stacks has fast-tracked its premium franchise opportunities that are available around Australia, with a return on investment for partners within two and a half years. Learn more here: www.royalstacks.com.au/franchise/
Accor introduces leading Novotel hotel brand to Melbourne’s vibrant inner-north following multi-million dollar upgrade A multi-million dollar investment to transform an existing property into a new Novotel hotel has today been unveiled. “The hotel has been tailored to suit smart, successful business and leisure travellers who value great guest service and leading design.” Rising seven levels and offering captivating views of the Dandenong, the hotel comprises 383 guestrooms, suites and fully self-contained studio apartments and is ideally positioned on Bell Street at Preston – home to eclectic pockets of vintage shops, cafés, bars and a diverse range of restaurants. Novotel has one of the largest international brand footprints across the Pacific with more than 40 hotels in key metropolitan and leisure destinations. 10 business franchise MAGAZINE
The ground floor of the hotel has been activated with the addition of two new reception spaces, new grab and go Stampton & Co café, as well as an assortment of seating arrangements and furniture, offering guests a range of options from quick set down, lounge area, coworking and informal meeting spaces, plus large meeting tables with integrated power. The hotel will also be home to a new onsite restaurant, The Stampton, when it opens in April 2022. Serving a simple yet delicious all-day dining menu of fresh and local homestyle food with a bistro edge. STAY: Be among the first to experience Novotel Melbourne Preston with rates starting from $180* per room per night, including car parking, a bottle of wine and market platter on arrival. To book, visit all.com
7-Eleven supports The Salvation Army Australia to help flood impacted communities
7-Eleven is extending its support to local communities hit by the devastating floods in Queensland and New South Wales by giving a quarter of a million dollars to the Salvation Army’s Flood Disaster Appeal and $50,000 to the Australia Unites telethon appeal. 7-Eleven Chief Executive Officer and Managing Director, Angus McKay, said the disaster has had a huge impact on 7-Eleven’s customers, but the company’s people, franchisees and supplier partners are working together to support communities and emergency service crews. “The response from the emergency services
crews, community organisations and the residents has been amazing, and I want them to know 7-Eleven, in partnership with the Salvos, is there for the long haul. “We have supported The Salvos since 2014, partnering with them to support people experiencing homelessness and food insecurity. Being able to provide extra support for them to do their important relief work is a contribution we can make to helping the communities in which we operate.” The Salvation Army personnel are on the ground right now providing thousands of meals and emotional support for those
impacted by floods across the east coast of Australia, and we have begun our long-term recovery work in some areas. “7-Eleven’s donation of fresh food to our evacuation centres in QLD provided very necessary assistance to those impacted by the devastating floods and our teams on the ground. In addition to the fresh food deliveries, 7-Elevens financial contribution will enable The Salvation Army to provide ongoing support to the impacted communities. By working together, we can provide all those impacted with some hope and comfort. Thank-you 7-Eleven.”
ADP appoints new Managing Director, Australia and New Zealand (ANZ) leadership team to identify key growth opportunities while modernising ADP’s product offerings, including bringing Next Gen solutions to markets in the region. ADP (Automatic Data Processing), a leading global technology company providing human capital management (HCM) solutions, has appointed leading client experience executive Kylie Baullo to head the ADP ANZ region as Managing Director, Australia and New Zealand. In her role, Mrs Baullo will be responsible for defining and leading the business strategy for ADP in Australia and New Zealand. Mrs Baullo will work closely with the global
Prior to this appointment Mrs Baullo was VP, Client Services, Asia Pacific. In this role she reorganised the individual country and product-specific Relationship Management teams into a single, APAC Client Success organization with a product-agnostic, client-centric remit. She has also been instrumental in driving the client experience forward via the deployment of best-in-class service tools, product enhancements and digital automation initiatives that have enabled the APAC region to achieve a 100% paperless operating model and drive
significant improvements to the company’s Net Promoter Score (NPS). “ADP is committed to building a better world of work and even more so in this present climate,” said Peter Hadley, President – Asia Pacific for ADP. “With Kylie, who has been a tremendous resource for ADP since the day she joined, we have an accomplished leader with deep expertise in the business and a track record of driving consistent growth. We’re excited to see her leading the future strategy for the ANZ region.” Mrs Baullo will be reporting to Peter Hadley, and will continue to be based in Melbourne, Australia. business franchise MAGAZINE 11
cover story: MINDCHAMPS
REFUGEE WHO BUILT
MINDCHAMPS
a Global Education Movement The Personal Journey that Led to a Learning Revolution.
While the companies “ featured in my prior books (Mercedes-Benz, The Ritz Carlton Hotel Company and Starbucks) demonstrate impressive brand power, none has been in a position to fundamentally shape society on par with MindChamps.
”
- Dr Joseph A. Michelli, No. 1 Bestselling Author New York Times & Wall Street Journal
drilling and memorising content, why not help children to understand how to learn and more importantly develop the mindset of enthusiastic, life-long learners?
‘She’s asking what your name is, Stupid!’ David Chiem, MindChamps’ Founder CEO, can still clearly remember being called ‘stupid’. It was on his first day of school in Australia in 1978. David, aged 9, and his family had arrived in the country as ‘boat people’ after fleeing war-ravaged Vietnam, surviving a close encounter with murderous pirates and enduring life in a Malaysian refugee camp. “I arrived not speaking a word of English — not even hello,” he explains. “I can remember being called stupid in my own language by another student because the teacher was asking for my name, but I didn’t understand her.” Education was highly prized by David’s family, a mindset reinforced by their traumatic escape from Vietnam. “My father had a strong philosophy of never taking anything for granted, and my parents always 12 business franchise MAGAZINE
said that the one thing no one could ever take from you was your education,” he says. “This gave me a very strong mindset, and I was determined to make a contribution.” That strong focus on education, coupled with his earlier trauma, pushed David to excel in his studies because his father had always wanted him to be a doctor. At the age of 14, David landed the starring role on Butterfly Island, becoming the first Asian-Australian to be given a lead role on mainstream television and appearing on TV screens around the world. As a result, although he aced his Higher School Certificate, rather than studying medicine, he chose the path of his new-found passion to study acting and filmmaking. As he studied the craft of filmmaking, David had an epiphany. He became fascinated by the idea that there could be another way of teaching children. They faced far greater demands on their education than previous generations, so, instead of rote learning,
“While I always did well at school and enjoyed it, I saw that many students didn’t do so well. I became curious as to why. I began to suspect that it was because their education experience simply didn’t engage them,” he explains.
From the Stage to the Classroom In 1998 he decided to follow his passion and founded MindChamps — a ground-breaking early learning educational organisation based on strategies derived from research in ‘the 4 Domains’ of Neuroscience, Psychology, Education and Theatre. Since its inception in Sydney, MindChamps has grown from point zero to achieving the number one brand position in the highly competitive Singapore premium preschool space, with a market share of 38.5%.*
Preparing Children for Success in the 21st Century MindChamps makes a difference in the lives of children by providing the best in early childhood curriculum and care. By synthesising and distilling more than
MindChamps Founder CEO David Chiem with new franchisees who recently completed his leadership training.
“The MindChamps Way is incredible and the way they view children and how they want to shape the early learning industry is something that the world needs. It truly feels like being part of a movement rather than a franchise.”
David with Minister Brad Hazzard and Champ Lucas Gulla at the Grand Opening of the MindChamps Early Learning & Preschool @ Frenchs Forest.
Jasmine Van Twest - Former financial auditor and new owner of a MindChamps Early Learning Centre and PreSchool
“There is nothing more important than an education and nothing more valuable than an educator who can inspire. The whole structure and ethos of MindChamps is built around that. This is an example of an Australian who has his own vision and brought it to the world. On behalf of the New South Wales Government and the community, we love having you here.”
two decades of research in cutting-edge enrichment programmes, the MindChamps research and programme development team developed a preschool curriculum that rapidly propelled the MindChamps model to its current industry-leading position. The MindChamps Global Research Advisory and Education Team is chaired by worldrenowned neuroscientist Emeritus Professor Allan Snyder, a Fellow of the Royal Society and Marconi Prize-winner. Professor Snyder is the researcher who studied and coined the term ‘Champion Mindset’, based on studies of the world’s great achievers, which enables every individual to become the best that they can be.
Creative Mind frees the imagination; and the Champion Mind instills perserverance and excellence. This 3-Mind model was introduced in the 2007 best-seller The 3-Mind Revolution, co-authored by David and Brian Caswell, MindChamps’ Dean of Research and Programme-Development.
The Intellectual Property Leader in Early Learning Unlike other Early Learning organisations, MindChamps has its own unique, researchbacked curriculum and Intellectual Property. This commitment to developing its own Intellectual Property resulted in MindChamps being accorded the WIPOIPOS IP Award in 2015 by the World Intellectual Property Organization (WIPO) and the Intellectual Property Office of Singapore (IPOS) for excellence in the brand’s Trademark Portfolio. As part of MindChamps V2.0, MindChamps Music, the world’s first integrated music-ineducation programme, was introduced last year as a key component of MindChamps’ core curriculum.
MindChamps PreSchool offers programmes based on its research-based, revolutionary 3-Mind model of education: The Learning Mind promotes academic excellence; the
A breakthrough synthesis of decades of research by Emeritus Professor Larry Scripp (of Harvard’s ‘Project Zero’ and the prestigious New England Conservatory, Boston, USA) together with the 3-Mind education model, this revolutionary programme has achieved patent-pending status in the U.S.A. and Singapore (U.S.A. Patent Pending: 17/644,293 and Singapore Patent Pending: 10202113952V), something unheard of in the education domain.
Honourable Brad Hazzard - New South Wales Minister for Health and Medical Research
A Vision that has Become a Worldwide Phenomenon is Now Coming Home What began as a research centre in Sydney, taking the number one market share in Singapore for premium preschools and expanding into Malaysia, Philippines, Myanmar and Indonesia, is now back home in Australia. The award-winning MindChamps franchise has a head office in Sydney and more than 20 MindChamps Centres operating in strategic locations across the city. It now has a pioneer batch of ten passionate franchisees, along with many more already in the pipeline. For David, this is very much a homecoming story. “To bring MindChamps back home and nurture Australia’s most important asset, the minds of its children, is a real privilege and lifetime honour.” mindchamps.org/au/ *Based on independent market research as of 15 September 2017
business franchise MAGAZINE 13
franchising council of australia (fca)
Business optimism on show in 2022 The first quarter of 2022 showed much more optimism in business than 2021 and I attended the IFA Annual Convention in San Diego, California in March to hear from leading international business experts and entrepreneurs re the post-COVID business landscape. The International Franchise Association’s IFA Convention is always one of franchising’s biggest yearly events, bringing together the true heavyweights of the international franchising community and providing a range of global perspectives on the year ahead. Taking place over the course of five days, the IFA convention featured countless meetings, seminars, and educational sessions and, along with 20 other Australian delegates, I tried to attend as many as possible with topics relevant to franchising in Australia. As well as robust education content and the opportunity to engage face-to-face with the franchising community, the atmosphere at the convention was extremely optimistic and attendees were buzzing with ideas about maximizing business development in 2022. A key theme was the use of technology to drive productivity, especially in retailing. The main technological challenge in retail post pandemic is to build loyalty and better databases mapping purchasing behaviour, introducing efficiencies without diminishing customer experience and better use of digital messaging.
14 business franchise MAGAZINE
On workforce capacity, a shared view was that retailing cannot continue to rely on unskilled labour that may not see a future career in retail. Unemployment is at its lowest rate in history in the US and the minimum wage is lower than Australia (e.g. $20.50 per hour at an in-and-out burger store) but workers are less efficient. In terms of Australia, our country is seen as one of the most challenging economic markets to deal with because of the cost of labour, red tape and commercial leasing arrangements. The US perception is if you can succeed as a brand in Australia, you have a good chance of making it in the US. Feedback to me was to promote that there will be an Australian management team when launching in the US because Australia is so highly regulated it gives US stakeholders assurance of compliance. Based on the information I gathered and the input from attendees at the conference, I am considering forming an international working group for FCA members. As Franchise Council of Australia members look ahead throughout 2022, the FCA remains committed to delivering value through advocacy, education and support activities and initiatives. Engagement across our membership continues to inform the FCA’s policy approach, with committees including the FCA Franchisee Advisory Committee, CEO Policy Advisory Committee and State Chapter Committees providing opportunities for members to engage in dialogue on key
Mary Aldred is the CEO of the Franchise Council of Australia, the peak body for the nation’s $155 billion franchise sector. Mary commenced in the role in April 2018, bringing with her extensive experience across government, industry and the corporate sectors. As CEO, Mary has led the FCA in developing and delivering strategic priorities to strengthen the FCA’s role as an effective peak business organisation and advocate for a complaint, sustainable and profitable franchise sector. Franchise Council of Australia: Phone: 03 9508 0888 | Email: info@franchise.org.au | Web: www.franchise.org.au
issues and topics facing franchising and small business. With a Federal Election imminent, the FCA will continue to engage with politicians and policy makers to ensure the valuable economic, employment and community contribution of franchising is understood by decision makers. In April we held the National Franchise Convention 2021-22, the most comprehensive professional development event on the FCA’s annual calendar. The NFC is the first in a series of national events the FCA has planned this year that will provide a deep dive into core topics for franchises as they look to consolidate and grow.
Building on the success of the national webinar program in 2020-21, a series of informative webinars is planned to compliment resumption of face-to-face events in 2022. The FCA’s focus on informing and educating franchise professionals has also recently been expanded with the launch of the FCA Academy. The academy provides member organisations with online access to learning and development content specifically tailored for franchise networks, with courses on topics such as employee compliance, sales and general business skills. I look forward to continuing to deliver positive outcomes for the franchise sector throughout 2022. business franchise MAGAZINE 15
Hungry? 16 business franchise MAGAZINE
Great, you’re exactlythe sort of person we’re looking for! Hungry to make a difference in the QSR world. Hungry to make customers happy, every single day. Hungry to turn your business into a global success story. Hungry to join a fresher franchise business that treats you as an individual. Hungry to be part of a new generation of Subway® fame. Ready to tuck in? subway-franchise.com
profile: Dairy Bell
Dairy Bell Ice Creamery Franchises Revitalise A Classic For Today’s World
Dairy Bell franchisees too, are in for a treat! By offering new store outlets as franchises, people wanting to own a business of their own now have a perfect opportunity to combine self-employment with a recognised and respected Aussie brand icon.
Dairy Bell managing director, Sam Fisicaro, describes his vision as follows. “We want to bring back the ice creamery tradition; to see the delight as we pass a bright and colourful ice cream across the counter to excited children. To welcome customers who come in for an after-lunch dessert in the afternoon, and to send people home with an ice cream tub for the family to share.
In an ever-changing world, some things never change. Like the delight on children’s faces when they are treated to an ice cream on an outing with their parents. For 50 years Dairy Bell has been creating these delights and kids everywhere grow up with happy memories of ice cream treats. Today, this tradition continues. Dairy Bell ice cream is as popular now as it was a generation or two ago. And in keeping with the changing retailing environment, Dairy Bell is returning to high street shopping centres with a fresh and vibrant remake of the classic ice cream parlour. As the post-pandemic world re-starts, Dairy Bell is on a mission to open brand new ice cream shops in high traffic retail precincts across the city. 18 business franchise MAGAZINE
“We are very excited about the future, and we have a business plan to deliver it. Dairy Bell’s new retail expansion plans include franchising its high street locations and revamping its product and service offering to appeal to customers everywhere. “In addition to a fresh new in-store experience, we are gearing up to match people’s expectations,” says Sam. “We see more and more people shopping on-line so we are introducing an efficient and fast ordering systems that links in with the popular food delivery services, like Uber Eats.” But there’s more to the Dairy Bell franchise experience than just changing delivery patterns. Dairy Bell has built its reputation on its most popular flavours, and these continue to be the backbone of its stores. “We know there is increasing demand for alternatives,” says Sam. “Not everyone wants dairy products. So, to keep pace with evolving trends, Dairy Bell now offers a range of vegan ice creams but retaining essence of our unique flavours.”
Dairy Bell franchises come with a researched and carefully chosen location, and a premises lease that’s been negotiated and secured by the company. The franchisee takes over a brand-new shop that is fully fitted out with Dairy Bell décor and in-store equipment, including the latest Point-of-Sale systems. Centralising the ordering, deliveries and daily trading operations allows franchisees to concentrate on that all-important customer service, ensuring the Dairy Bell tradition of delighting customers by creating memories, continues. Dairy Bell franchises represent the ideal family business. Sam explains, “We align our trading hours with our customer’s expectations, and this means an owneroperator franchisee based on a family is an ideal situation. A husband-wife team, possibly with teenage children, or perhaps hiring casual staff to balance out the week, makes for a very family-friendly small business. “We see a bright future for customeroriented retailing, and we have re-cast our business model to capture the best of this. We welcome expressions of interest from motivated people looking for a move into their own business by becoming a Dairy Bell franchisee.” For more information about franchise opportunities with Dairy Bell, contact the company’s franchise marketing consultants: Colin Crawford National Franchise Manager Wollermann Franchise Developments 0425 838 800 ccrawford@franchisedevelopments.com.au
READY FOR SOMETHING Special?
FRANCHISES ARE NOW AVAILABLE
THE RETURN OF THE
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A Dairy Bell retail franchise blends an Aussie icon with the IDEAL FAMILY BUSINESS! WANT TO FIND OUT MORE? $POUBDU VT UP EJTDPWFS IPX ZPV DBO CFDPNF B %BJSZ #FMM JDF DSFBNFSZ GSBODIJTFF Call or email: $PMJO $SBXGPSE BU 8'% 8PMMFSNBOO 'SBODIJTF %FWFMPQNFOUT 0425 838 800 ccrawford@franchisedevelopments.com.au business franchise MAGAZINE 19
expert advice: Bianca Sevastos | Partner | Baybridge Lawyers
What are the key terms usually found in a Franchise Agreement?
Before entering into a Franchise Agreement, it is imperative that you understand all of your rights and obligations under the agreement. It is here that you will find all of the commercial terms relevant to your relationship as well as your legal obligations for the term of the franchise and beyond.
Term The “term” of the Franchise Agreement refers to length of time that the Franchisee is permitted to operate its business utilising the Franchisor’s name, brand and system. Most, but not all, Franchise Agreements also contain a renewal term which can be exercised at the Franchisee’s option. The critical point to understand here is that you are being granted a specific and defined term, there is no entitlement for the licence to continue in perpetuity.
Financial obligations The Franchise Agreement and Disclosure Document should set out all payments required to enter and exit the franchise, as 20 business franchise MAGAZINE
well as any recurring payments required over the life of the franchise. Such payments will likely include a royalty fee and a marketing fee, either expressed as a percentage of the Franchisee’s sales or as a flat fee, payable on a weekly or monthly basis. Additionally, there may be a requirement to upgrade the
premises at your cost, pay a renewal fee at the beginning of any renewal term of the franchise, and attend any ongoing training and annual conferences. All of these fees add up to your cost of doing business and need to be factored into your business forecasting at inception.
Marketing Fund Many Franchisors operate a marketing fund whereby they collect a prescribed percentage of the Franchisee’s sales, or a flat fee amount, to market and promote the franchise network at large. You should be aware that most Franchisors are not obligated to spend the marketing fund monies to benefit your particular franchise.
Bianca Sevastos is a Partner at Baybridge Lawyers where she specialises in franchising and licensing. Bianca advises on all aspects of franchising compliance with the Code, day-to-day management of franchise systems and relationships with suppliers and franchisees. Baybridge Lawyers is a corporate and commercial law firm with a strong focus on franchising, support for real estate agencies and dispute resolution and litigation. They provide interconnected legal, strategic and advisory services to a range of commercial and private clients both nationally and abroad.
Minimum Performance Criteria Many Franchise Agreements stipulate that the Franchisee must achieve a certain set of minimum performance requirements which will either be articulated in the Franchise Agreement itself or in the operations manual. Such requirements may be as basic as “the Franchisee must complete the store opening training program during the first year of operation” or be financial in nature such as “the Franchisee must achieve gross sales of at least 95 percent of the previous year”. It is important that you carefully consider whether the minimum performance criteria are reasonable and achievable. Failure to meet the minimum performance criteria can result in further training costs and, in a worst case scenario, termination of the Franchise Agreement.
Supply of Goods and Services Most Franchisors require their Franchisees to purchase the goods and services sold in the business from the Franchisor or a nominated supplier to ensure consistency of supply and quality throughout the network. Such arrangement will also provide the Franchisor, and the network at large, with greater economies of scale or “buying power” which will result in a lower cost of goods and services to the Franchisees and a higher profit margin. In turn, this arrangement may allow the Franchisor to clip the ticket on the supply of goods and services down to the Franchisee or to receive rebates from nominated suppliers. Under the Code, any rebates received by the Franchisor must be disclosed in the Disclosure Document.
Records and audits Most Franchisors will require its Franchisees to provide them with the records of the business including profit and loss statements and balance sheets on a monthly basis. Such records may also include any reports, sales information, invoices or bank statements as required by the Franchisor. If the Franchisor suspects that the records are not a true reflection of the sales of the business the Franchisor will most likely have the right to inspect the records and have
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Franchisors are very protective of their intellectual property and will require its Franchisees and any key personnel of the business to hold any such information in strict confidence which obligation survives the termination of the Franchise Agreement.
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them audited by an independent auditor. You should be aware that in most cases if there is a reasonable discrepancy in the records the costs of such audit will be passed on to you as the Franchisee.
by the Code and apply only where the Franchisee:
Confidential Information
• Becomes bankrupt, insolvent under administration or a Chapter 5 body corporate; or
In essence, a Franchise Agreement grants the Franchisee a licence to use the brand, trade marks, systems and any other intellectual property of the Franchisor for the operation of the business for the term of the franchise. Franchisors are very protective of their intellectual property and will require its Franchisees and any key personnel of the business to hold any such information in strict confidence which obligation survives the termination of the Franchise Agreement.
• No longer holds a licence that the Franchisee must hold to carry on the franchised business; or
• In the case of a franchisee is a company - becomes deregistered by the Australian Securities and Investments Commission; or • Voluntarily abandons the business or the franchise relationship; or • Is convicted or a serious offence; or • Operates the business in a way that endangers public health or safety; or
Default and termination
• Acts fraudulently in connections with the operations of the business..
In special circumstances, the Franchisor may terminate the Franchise Agreement by providing seven days’ notice of their intention to terminate the Franchise Agreement to you in writing. Such circumstances are prescribed
In all other circumstances, if you are in default or breach of your obligations under the Franchise Agreement the Franchisor must provide you with written notice that you are in default, set out the nature of the default business franchise MAGAZINE 21
expert advice: Bianca Sevastos | Partner | Baybridge Lawyers
Entering into a Franchise Agreement “ may seem daunting but can be managed with the right expert advice to guide you through the documentation and process.
”
and what you must do to rectify the default within a reasonable period of time. If the Franchisor provides you with such written notice and you fail to rectify the default within the allotted time, the Franchisor may have the right to terminate your Franchise Agreement.
Sale or transfer of your business If you wish to sell your franchise during the term, the Franchise Agreement will set out the procedure that must be followed which will include seeking the Franchisor’s consent. It is likely that the Franchisor will have the right of first refusal to purchase the business which means that you must first offer to sell the business to the Franchisor. In accordance with the Code, the Franchisor may not unreasonably withhold consent to you transferring or selling your business. Notwithstanding, there are certain circumstances where the Franchisor may withhold its consent which includes where the purchaser is unlikely to meet the financial obligations of the Franchise Agreement, or such transfer will have a significantly adverse effect on the franchise system, or the Franchisee is in breach of the Franchise Agreement among others.
Non-Compete Most Franchise Agreements contain provisions that will preclude Franchisees from setting up, operating or holding any 22 business franchise MAGAZINE
The Franchise Agreement and Disclosure Document should “ set out all payments required to enter and exit the franchise, as well as any recurring payments required over the life of the franchise.
”
interest in any competing business during the term of the franchise and for a period of time following the end of the franchise relationship. As the Franchisee, you will have the benefit of the Franchisor’s intellectual property, systems and know-how and the Franchisor will want to be sure that you or any of its Franchisees do not use such information to set up a business in competition with the franchise network. The “non-compete” or restraint of trade provisions within a Franchise Agreement are often confusing to Franchisees. Several options may be provided in respect to the period of time (eg, twenty four months – twelve months – six months) and in respect to the geographical area (eg, 5km radius – 3km radius – 1km radius) in which you may not operate, or hold an interest in a competing business following termination of the Franchise Agreement. Clauses drafted in this manner are called “cascading provisions” or “ladder clauses.” The purpose of such drafting is so that if a court determines that the period of time or geographical area stipulated in the restraint of trade provisions are unreasonable, the provisions can be read down so that the lesser period of time and smaller geographical area may be enforced.
Disputes Where disputes cannot be resolved informally between the parties, the Code provides that parties to a Franchise Agreement are required to first trigger mediation before going to court over the dispute. The dispute resolution provisions of the Code clearly set out the procedure which must be followed including formal written notice outlining the nature of the dispute, the desired outcome of the dispute, and a timeframe within which it should occur. Should the dispute progress to a point where mediation is required, it is advisable to then engage a specialist franchising solicitor to assist in your preparations for mediation or to enter into direct negotiations with the Franchisor to settle the dispute. Entering into a Franchise Agreement may seem daunting but can be managed with the right expert advice to guide you through the documentation and process. v This article and its contents are for educational and explanatory purposes only and is not intended to be, or be construed as, legal advice. If you would like specific legal advice on your particular circumstances, please contact Baybridge Lawyers.
Disability and Aged Care Specialists
Disability and Aged Care Specialists
business franchise MAGAZINE 23
SNAPSHOT: Just Cuts
Just Cuts isn’t a franchise “ that’s just for right now, because our solid business fundamentals never go out of style.
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Global Franchise Award for Best Lifestyle Franchise in 2021, and our Cool Mint Shampoo won the 2021 Australian Modern Barber Award for Best in Care.
A franchise that suits any style of business owner
Just Cuts Just right for you Many Australians are evaluating their career choices and prospects as we emerge from the pandemic, and Just Cuts is here to help you embrace the next normal in small business ownership. Just Cuts is a flexible, proven business model that’s stood the test of time, so you can build your own small business dreams on our longstanding success in the Australian hairdressing industry.
We’re the largest hairdressing franchise in the southern hemisphere because we’ve been the best choice for over 90 small business owners across Australia for over 30 years, and over the pandemic we’ve continued enhancing our systems to ensure we’re the best choice for decades more. With 189 salons performing over 100,000 Style Cuts for our Clients each week, there are concrete benefits to you joining an established brand that’s the biggest player in the national marketplace.
Hair never stops growing, neither do we Now at 150,000 registered users, our Just Cuts App provides Clients with contactless check in at their local salon on the day they’d like to visit from the comfort of home. The app has a variety of loyalty rewards and birthday vouchers, plus we’ll be rolling out new features like push notifications to enhance Client engagement in the middle of 2022 on iOS and Android.
Why now is a great time to open your Just Cuts salon Just Cuts isn’t a franchise that’s just for right now, because our solid business fundamentals never go out of style. 24 business franchise MAGAZINE
Younger generations are demanding more transparency around values and ethical practices, and franchise networks are no exception. That’s why we’ve removed plastic bags from our salons and our entire haircare range is animal cruelty free and 100% Recyclable. Our recent efforts were recognised globally last year, when Just Cuts won the 2021
Just Cuts is a family friendly business because Just Cuts is a family owned business that caters to families –our Stylists cut the hair of parents, their children and their children’s children every week. Strategic planning across every aspect of running your salon means we offer you the same flexibility we offer our Stylists, the freedom that comes with just following our proven systems rather than spending time and money inventing your own. You don’t need to be a hairdresser or have any business experience to own a Just Cuts. The Just Cuts Academy Team support you during every step of your small business journey – from opening and running your salon, improving sales, managing busy periods and LAM campaigns. Just Cuts Owners can work on their salons without being in them. Our competitive franchise fee structure means more than half of Just Cuts Owners choose to operate more than one salon, which can be done remotely, with completely digital sales and compliance tracking tools available.
Just can’t wait for 2022 2022 forecasts are predicting 20% sales growth for Just Cuts, and last year, Just Cuts had the highest website visitation in our 32 year history. We’re excited to be offering 8 salon opportunities this year in Australia. At Just Cuts, we use digital modelling developed in house to map local demographics around prospective sites to analyse foot traffic and identify prime locations for salon ownership. Just Cuts is just right for you because we offer a flexible, award winning franchise system that’s still evolving today which you can drive and scale up with ongoing training from our Academy Team.
business franchise MAGAZINE 25
focus feature: RAMS
RAMS –
than any other employment type, while also creating economic growth,” says Jake
supporting small business ownership RAMS Managing Director Jake Bromwich is passionate about small business, after all, he spent the first 10 years of his career in business banking. Now, after 4 years at the helm of arguably one of Australia’s most recognisable home loan brands, Jake has RAMS Home Loans on a growth journey and he wants to encourage prospective small business owners who are motivated and passionate about customer service to make contact. 26 business franchise MAGAZINE
Under its franchise model, RAMS is represented in every state and territory around Australia, and in the last 12 months the franchisor has welcomed 17 new franchise owners as part of their growth strategy, taking them to 62 franchise territories. In fact, Jake has set a goal to reach 80 approved franchise territories by the end of 2022, effectively doubling the footprint of the business from when the target was set; a target he’s confident of achieving. “Small business is the backbone of our economy, collectively hiring more people
“At RAMS we have an important role to play here, enabling driven, customer-oriented people to channel their energy into helping customers realise their home ownership dreams. Through ownership of their own business, each of our franchisees can then not only generate an income and lifestyle, they can also offer employment opportunities as they hire staff.” “We’ve been delighted to welcome our new franchisees to our RAMS family and I look forward to seeing their journey as we help them build their businesses. I always say, our franchisees’ success is our success, and it’s important to us, and ultimately our customers, that our valued network succeeds.” It would seem Jake’s mantra holds merit given a third of the RAMS franchise network has remained loyal to the brand for over ten years, with 10 of those being with RAMS for over 15 years, a point certainly not lost on the highly regarded franchise industry executive. “I’m really proud that we are not only able to attract amazing people to our business, but when we do, they want to stay for the long term,” says Jake.
been delighted to welcome “ We’ve our new franchisees to our RAMS family and I look forward to seeing their journey as we help them build their businesses. I always say, our franchisees’ success is our success.
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Donna Turner, Franchise Principal at RAMS Newcastle West NSW, has customer service in her DNA, but unlike Sonia who came fresh to RAMS, Donna has a long term history with the RAMS brand having worked as a Home Loan Manager in Newcastle as far back as 2006. Sonia Ghaneh, Franchise Principal at RAMS Dandenong District Vic.
Donna Turner, Franchise Principal at RAMS Newcastle West NSW.
was the culture from the “ It outset, pure and simple...
I love having control of my “own destiny. I know it’s just
Now I’m looking forward to bringing my business building skills to my new RAMS Franchise.
early days and I’m not afraid of hard work, which I know as a small business owner is what’s required.
”
”
“Combined, that equates to well over two centuries of home lending experience, and that’s just our longer term RAMS family members. That’s invaluable as a specialist home loan provider, and our new-to-RAMS recruits come into the business with all that experience to tap into, to learn from. You simply can’t buy that experience.”
to start up and operate their businesses more efficiently and effectively. Sonia is also well qualified academically, holding Masters Degrees in Accounting and Finance, as well as a Bachelor of Business Administration with a specialisation in Human Resource Management. With so many career options available, why then choose RAMS?
One particular statistic stands out for Jake, and that’s the fact that 35% of the business’ new franchisees are women. Jake is proud that RAMS can support female small business owners; in fact RAMS now has more female franchisees than ever.
“It was the culture from the outset, pure and simple,” says Sonia.
“Diversity within our network is extremely important, and to know we are supporting women in business is something that makes us really proud.” Indeed, from seasoned business owners to those who are taking those first big steps, RAMS has welcomed a diverse range of women franchisees in the last 12 months. While their business ownership experience may vary, they all have one thing in common; a passion for helping people. Take Sonia Ghaneh, Franchise Principal for RAMS Dandenong District in Victoria, who commenced in March this year. Sonia is no stranger to business ownership, having run her own consultancy business for nearly 10 years and helping many individuals as well as company directors from different industries
“I’ve loved setting up and building my consultancy business, which I still run, however I was seeking a newer business opportunity, a new challenge. I’d had some interactions with RAMS previously and they were all positive, so I was well aware of the brand, but I hadn’t really considered working with them at that time. However, my interest in customer interaction, numbers, and finance in general, was the main reason I chose to explore this new field.” “From the very beginning of this new journey I’ve loved the inclusivity. The interactions with everyone I’ve spoken with have been so positive and supportive, even down to other RAMS franchisees who spoke highly of the way things are run. They were so helpful.” “Now I’m looking forward to bringing my business building skills to my new RAMS Franchise while also helping customers in my community achieve their home ownerships dreams.”
At just 15, Donna completed a traineeship with the Dept. of Housing before moving across to insurance as a broker where she worked with the same company in her native Dubbo for 8 years before moving to Newcastle and working with a very large broker firm. “But the call of home lending was strong, and it wasn’t long before I joined the initial RAMS office in Newcastle. It was a wonderful time where I not only fell in love with the RAMS brand, I also developed the skills and business sense that tempted me to take the leap into owning my own business,” says Donna. And since that day in mid-September last year, when Donna officially became the owner of her own small business at RAMS Newcastle West, she says she couldn’t be happier. “I love having control of my own destiny. I know it’s just early days and I’m not afraid of hard work, which I know as a small business owner is what’s required, but I’m also adventurous. In fact I recently bought a caravan with my husband; we love camping. So I look at my RAMS business as a way to work hard, but it also allows me to play hard.” If you’re anything like Sonia or Donna, or any of RAMS’ current network of 62 franchisees for that matter, and want to own and operate your own small business helping Australians into the home of their dreams, RAMS would love to hear from you. v If you’re ready to apply to join the RAMS family, get in touch and we’ll take you through the steps. 1800 616 082 franchising@rams.com.au rams.com.au/franchising/ RAMS Financial Group Pty Limited ABN 30 105 207 538 Australian credit licence 388065. Westpac Banking Corporation ABN 33 007 457 141 Australian credit licence 233714 is credit provider for RAMS home loans.
business franchise MAGAZINE 27
SNAPSHOT: Aramex
Did you know delivery and logistics is one of the fastest growing industries in the world? At a time when many sectors are downsizing, the demand for couriers has never been greater. Driven by unstoppable growth in e-commerce and online shopping, couriers are the delivery experts that retailers need to get their goods to customers. Right now, Aramex Australia and New Zealand has opportunities for new Courier Franchisees to join our rapidly expanding network. With almost 40 years of expertise in local franchising and delivery, our network in Australia and New Zealand has grown to include 40 Regional Franchises and more than 1200 Courier Franchisees. In 2016 we became part of global logistics, courier and delivery powerhouse Aramex. Now with the reach of a truly international business, we deliver to more than 220 countries. More than 40,000 businesses of all sizes rely on us to deliver, and that number keeps growing. We have seen exceptional growth during the past two years, with the pandemic motivating many businesses to switch from bricks-and-mortar shops to online retail websites. That means big opportunities for our Courier Franchisees and we are actively recruiting for an immediate start. If you’ve always wanted to run your own franchised business, we invite you to fasttrack your success with Aramex. Coming from many walks of life, our Courier Franchisees enjoy the freedom to be their own boss and the opportunity to grow. 28 business franchise MAGAZINE
Drive your success with
Aramex People like Darek Pinkowski, whose courier franchise covers six suburbs in the Newcastle region of NSW. After joining Aramex seven years ago, Darek has enjoyed owning a thriving franchise with the support of the local community. With his friendly manner and dedicated work ethic, Darek has expanded his business so much he is able to subcontract some of the delivery work to the Aramex crowd-sourced ondemand fleet, Blu Couriers. Things are going so well, Darek forecasts he’ll soon be in the position to sell half of his exclusive territory to a new Courier Franchisee, a profitable process known as splitting a territory. “Aramex has been fantastic for me, it’s given me the opportunity to really be my own boss and work hard for my future,” Darek says. “I’ve even managed to lose 10 kilograms by not sitting behind a desk all day.” An Aramex franchise may be right for you, if you’re ready to enjoy the fruits of your own labour like Darek. Aramex Courier Franchisees benefit from an award-winning franchise system, training, development and a thriving demand for delivery services. Dedicated, customer-focused and ambitious
people who want to manage their own exclusive territory are invited to call us today. To drive your success to greater heights, the time is right to become a Courier Franchisee. No prior experience is needed, so it’s the perfect franchise ownership opportunity for someone who doesn’t yet have business experience. Join our successful network and profit from the e-commerce revolution! For more information visit our websites: aramex.com.au aramex.co.nz
LEARN MORE ABOUT NeNe Chicken is one of the top tier chicken franchises in South Korea, serving authentic Korean fried chicken. NeNe meaning “Yes Yes,” is simple and yet the purpose is so much more. Eating well, being happy and playing it forward has been the mantra that has allowed the brand to grow in presence to over 1,100 outlets across South Korea alone. Now recognised as an international restaurant franchise; NeNe Chicken launched in Australia in 2015 and has rapidly grown to more than 30 stores! NeNe Chicken is a brand all about creating excitement through our crispy and fresh Korean fried chicken. The fundamental appeal that makes Nene Chicken so special is the way the chicken is prepared through its marination process which increases the juiciness of the chicken, its unique batter mix that makes the chicken crispy on the outside and juicy on the inside and lastly its wide variety of authentic Korean ÁDYRXUV VXFK DV %XOJRJL 6QRZLQJ &KHHVH DQG )UHDNLQJ +RW All key proprietary products such as the marinate batter mix and sauces are all from NeNe Chicken Korea. This ensures WKDW 1H1H·V DXWKHQWLF ÁDYRXU LV DOZD\V DW D FRQVLVWHQWO\ KLJK quality.
WHAT KIND OF EXPERIENCE IS REQUIRED TO BE A NENE FRANCHISEE?
INTERESTED IN BEING YOUR OWN BOSS AND JOIN OUR NENE CHICKEN FAMILY?
Our franchise system does not require existing hospitality
The NeNe Chicken brand popularity is strongly growing and
NeNe Chicken offers professional and comprehensive training
new location opportunities are constantly arising. Our franchise system has proven to be popular with both new and existing franchisees. A number of our franchisees have been so happy that they have opened their second and even third franchise outlet!
experience, just a passion for the brand and diligence for operating your own business. and will support you all the way from site development, operations and sales & marketing. In addition, our “SOP” manuals enable easy training of your staff and our business franchise model provides for excellent potential returns on LQYHVWPHQW <RX ZRQ·W IHHO DORQH ZLWK 1H1H
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Scan QR Code For Further Information business franchise MAGAZINE 29
expert advice: Kate Groom | Co-founder and Director | Franchise Accounting and Tax
How to avoid a costly mistake when you buy an established franchise An established business can be a good option for a franchise buyer, but it’s possible to make an expensive mistake and pay too much. The right professional advice can help you reduce risk and increase the chance of making a good return on your investment. The franchise wasn’t going as Steve had hoped. Far from it! After just two weeks he’d encountered multiple problems: the wages bill was eye-wateringly huge, the monthly recurring revenue was 20 percent lower than he’d expected, and there was a problem with the lease which meant he’d need to find and fit out a new location. Steve was in despair and wondered whether he’d end up losing the $300,000 he’d paid for the business. Here are two steps that would have helped avoid Steve’s expensive problem.
Carefully assess the business value “Is the price reasonable?” This is a question we’re often asked by franchise buyers. It’s an important question to consider because it’s all too easy to end up paying too much 30 business franchise MAGAZINE
Kate Groom is co-founder and director of Franchise Accounting and Tax. She has previously worked for franchisors and as a business adviser. Kate’s focus is on helping clients understand the financial aspects of running a business and on business planning and coaching. She is also a director of a number of ‘not for profits’. https://www.franchiseaccountingandtax.com.au/
and leaving yourself with no upside for your efforts.
• The pattern of sales revenue over the last few years.
There are several factors to consider when you’re deciding what a business is worth, including:
• What’s expected to happen to revenue and costs in the future.
• The value of the fixed assets that you’ll be acquiring, including the equipment, fitout and furniture. The assets have a value in themselves, but it will be affected by any refurbishment requirements made by the franchisor or landlord. • The cost of any refurbishments or repairs needed to bring the equipment and fitout up to scratch. • The ordinary operating profit that the business has made after paying the wages of the owner for the job they do in the business.
• The amount of time left on the lease and franchise agreements. • The up-front fees that the buyer will need to pay to the franchisor. • Whether there are good staff in place and the likelihood of being able to retain them. • The track record and experience of the franchisor. • Your ability to sell the business as part of your exit strategy. Based on this information, you and your accountant can create a financial forecast of the future profit of the business and assess the potential for making a reasonable return on
You’re probably thinking that all this advice sounds time “ consuming and expensive. The truth is that proper advice does take time and costs money. Buying a business is a serious thing (as well as an exciting thing) and it pays to do your due diligence to increase your chance of a good outcome.
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In addition, it’s often important to work out the cash flow of the business. For instance, cash flow forecasts are essential if it takes months or years to reach the point where monthly income exceeds costs, or if you’ll need to spend money on refurbishments. If the financial side stacks up, it’s time to get legal advice. your investment. If needed, you can use this work to help negotiate a better price!
Get thorough professional advice No matter how savvy you think you are, business, accounting and legal advice are an essential part of the franchise buying process. It’s not just another box to tick. It’s a core part of the due diligence process. Your financial advice should help you work out whether the franchise can at least make enough money to cover the cost of operation, pay you a wage, and repay the money you invest in the business. If the financials don’t work out on paper at the start they are unlikely to get better later!
Legal advice is not just a lawyer telling you what the contractual obligations are. It’s important to understand the practical implications of being in the franchise, including: • What the franchise agreement means for the day-to-day operation of the business e.g., your choices of staff and suppliers, and your ability to market and promote the business. • Your options for exiting the franchise and the costs associated with exit. • Under what circumstances the franchisor could terminate your franchise agreement or refuse to renew it. • Whether the franchisor can increase their fees or impose additional charges.
• Any requirements to upgrade equipment or premises. If you operate from physical premises, it’s vital to obtain specific advice on the lease and ensure nothing is in the way of you being able to continue to operate from the premises. Your lawyer can also advise you on terms that you might want to include in the contract of purchase from an existing franchise owner, for instance: • The obligations of the outgoing owner to assist you on handover of the business • The process for valuing any stock on hand • The outgoing owner’s obligations regarding the condition of equipment on handover You’re probably thinking that all this advice sounds time consuming and expensive. The truth is that proper advice does take time and costs money. Buying a business is a serious thing (as well as an exciting thing) and it pays to do your due diligence to increase your chance of a good outcome. v business franchise MAGAZINE 31
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cover story
FLIPOUT Never Stop Creating Fun
Fr
Franchising business
focused on kids products and services to benefit our children
business franchise MAGAZINE 33
FOLLOW YOUR DREAM, OWN A KIDS SPORTS COACHING BUSINESS! Create a rewarding career and have fun along the way, where no day is the same. Get active, outdoors and help Aussie kids stay active, healthy and happy! GeckoSports are Australia’s multi-sports and fun fitness experts for primary school aged kids (5-12).
N JOI N! U F THE 34 business franchise MAGAZINE
Through our scientifically designed, Government funded and curriculum aligned programs you can run:
With a low investment, overheads & risk, a GeckoSports franchise business will be the change you have been looking for!
• School clinics • After-school classes • Holiday programs • Parties • Community events and more! For more info email: franchise@geckosports.com.au or call: 1300 432 565
contents
children’s products & SERVICES 36
Cover Story 36 Flip Out Never Stop Creating Fun
In Every Issue 38 Franchising Featured Article Children’s Products & Services Franchising Education, Sport and Health
Expert Advice 40 Brian Keen: Franchising Business Focused on Kids
38
42 Doug Downer: Products and Services to Benefit Children
Snapshot 44 Centrestage Dancewear Time to Put on your Dancing Shoes
44
40 business franchise MAGAZINE 35
franchising feature
cover story: FLIP OUT
FLIP OUT Never Stop Creating Fun
Flip Out began their franchising journey in 2014 in Penrith NSW. They currently have 17 operating franchises with a further 5 to open throughout 2022. So to say the least, Flip Out are hitting all the right goals and the right market for Children’s Product and Services. But wait, its not just for Kids… it is for Families alike as a fun Active Indoor Entertainment Zone for 2-16 or for the Kidults of the house for ages 16 to 22 yrs and beyond. Flip Out is an indoor recreation service. Flip Out provides a fun and safe space to play and even achieve your fitness goals for everyone who walks through our doors. Our franchise fits a diverse range of skills, 36 business franchise MAGAZINE
people and cultures. From IT, trades, parents to grandparents. We are seeking franchise partners who are disciplined, can follow a process and enjoy being around a fun energetic outfit. If you or someone you know is looking for an indoor activity, (doesn’t matter if its rain, hail or shine), where adults and children alike leave with endless smiles and happiness in their souls, this is the place to be. We currently have Franchises across Queensland, New South Wales, Victoria, SA and WA. We also have a number of upcoming locations which include Melbourne, Brisbane, North Perth, South Australia, Darwin and Tasmania. Plus more to come as we are on the look out for our next 5 new destinations.
Traditionally indoor recreation has always been aimed at toddlers and mum’s who need a ‘coffee break’. Not only do we offer this service, what makes us different is we cater from 2-16 and the kidults 16-22 year olds. We are available 7 days a week and we cater for individual play, kids parties or private hire. We offer everything from warrior courses, climbing walls, dodge ball arenas, clip and climb, slam dunk basketball, parkour arenas, battle beams, slides and soft play. Flip Out HQ provides end to end support for all franchisees from site selection, design, install, opening and ongoing support, bespoke software and we ensure every centre is easy to operate and franchisee partners have automated performance data at their fingertips each morning via text message.
“
Our three main goals are to ensure franchise partners deliver a fantastic customer experience, make the business easier to operate and continue to improve profitability.
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Safety First - Flip Out franchises are heavily invested in our learning management system (LMS) which is mandatory for each staff member to complete successfully before commencing on any work station. We have plans for a new systems concepts in 2022. Our first concept opened at Flipping Golf within Marsden Park at the end of April 2022. We are also aiming to launch our lighter model in Perth later this year. The lighter models require a smaller footprint and less capital expenditure. Flip Out Pumped Up is our new direction which is under development and will be launched later this year and will cater for mobile services that will have no property lease required. Pumped Up will provide mobile inflatable services with Flip Out Party in a Box (full of flippin cool party merchandise).
Where do you see the franchise in the next five years? Our network continues to strengthen and mature. Our plan is to broaden opportunities for current and new franchisees across Australia. Our advice for those looking to be involved in potential franchising is to seek external validation to ensure your prospective franchise is profitable. Understand what support can be provided and how the site selection will work. Most importantly discuss with your franchisor on how they can assist with entry, exit and capital gain. Every franchise partner enters our network with skill sets. Some stronger than others. At Flip Out we want to understand franchise partners comfort skills and further develop
those skills that are more challenging through process driven practices and utilising technology. Our three main goals are to ensure franchise partners deliver a fantastic customer experience, make the business easier to operate and continue to improve profitability. So in summary, now is the time to flippin jump on board this new Australian concept that will take children’s entertainment to the next level. This is something that is not weather dependent, school holiday reliant or fitness graded. It is a great opportunity for people of all ages to get involved, have fun, increase their fitness level and enjoy what their community has to offer. Contact us today for more information. https://flipout.com.au/ business franchise MAGAZINE 37
franchising feature
FEATURE ARTICLE
children’s products & services Franchising education, sport and health Children’s Products and Services Franchising in 2022 - what you need to know about this great business choice for budding franchisees. Families are forever thinking of new ways to make memories, engage with their kids and offer them support through education, sport and health. Not only are children’s services franchises a great business opportunity they also offer an extremely rewarding career choice. From tutoring, to fitness and health the range of choices when it comes to Children’s Products and Services Franchising offers many opportunities for you to start your path into entrepreneurship.
Proven Brands Kids franchises often have a clear brand identity. Parents know and recognise the brand names they trust and will return time and time again. Franchising offers you a piece of that instant recognition so you don’t need to worry about marketing, branding and building a reputation as a children’s services provider. Be sure to do your own research before you decide on the brand you would like to work with. Whichever franchise you choose make sure to do your due diligence and make sure you share the same vision and values and you truly believe in the services offered, this will help you in your success.
Kumon Kumon is the largest after-school learning programme and one of the most established franchise businesses in the world. There are currently more than 4.2 million students studying Kumon across 49 countries and regions and almost 50,000 students enrolled across 330 Kumon Centres in Australia and New Zealand. Kumon’s unique method of learning helps children of all ages and abilities develop fundamental reading comprehension and 38 business franchise MAGAZINE
calculation skills. The Kumon programmes enable students to study at a level where they build confidence from day one, developing discipline, time management skills and essential study habits. Over time, students are able to study advanced material confidently and independently, for success in school and everyday life.
Dymocks Tutoring Another respected franchise has progressed from books to education. Operating two outlets since 2018 and a large online business as well. Dymocks are expanding and they also would be a great way to get on and start the learning wave. If you have a passion for education and have a teaching degree and would like to go out on your own and start your own franchise, then Dymocks could be the best way in utilising your skills. A recent study, which was released by the Australian Institute of Health and Welfare stated that only 17 percent of children aged 2-5 met both the physical activity and sedentary screen-based behaviour guidelines on all seven days. Children’s fitness and activity franchises have been working to ensure children are getting enough activity and exercise. Children’s franchises are an excellent option for creative minded people, as many of the options available incorporate art and encourage the franchisee to embrace their inner creative.
Jump! Swim School
activities offered in Australia, our beaches, our nipper programs, Surf Life Saving to name a few.
NinjaParc As Australia’s largest indoor obstacle course provider, Ninja Parc attracts hundreds of thousands of individuals and families. There really is no better time to invest in a NinjaParc franchise, to invest in our younger generation to stay fit and healthy. NinjaParc also offers the opportunity for programs for schools together with programs for kids and parents so they can grow and learn together providing multiple avenues for income, birthday parties, school programs, kid health programs, activities as a family. According to facts from Ibis World Report 2019 the total revenue for NinjaParc Annually is 2.9 billion, new business plus 7.6% and general participation is plus 7.4%. Their franchises are offered around Australia and they have a team to help you get started.
JUMP! Swim Schools has nearly 19,500 little swimmers enjoying lessons in an innovative learning environment purpose-built for young children.
But what if your looking for kid friendly places for the young at heart and also their parents?
What better way to contribute to our society to help others then to offer a fundamental necessity to all, swimming lessons.
MyFirstGym
In this beautiful country Australia we like to call home, there is a significant importance for our kids and adults to learn to swim so they can participate in all the fabulous
MyFirstGym is the perfect opportunity for those looking to escape the corporate rat rate or those with young families. Be as involved as you would like. Through MyFirstGym, you now have an opportunity to be part of something more than a commercially
for early learning, preschool and occasional care. MindChamps has really thought of every avenue in learning and care for children giving patents ease of mind that every aspect of a child’s start to this world in education is covered.
GeckoSports
successful business franchise. You have the chance to drive the change that the world needs by moulding the minds and bodies of our future leaders. Enjoy the benefits of an extensive support and can take pride in the fact that through cutting edge insights, your business will change the way children learn, move and interact. With a growing network across two states, MyFirstGym is a proven concept with strong roadmap to success. Passionate about growing a successful business and improving the lives of children through health and fitness? Enquire now to learn more about becoming a MyFirstGym Franchisee
Centre Stage Dance Wear Centre Stage Dance Wear is Australia’s leading dance wear provider. Within this great franchise you will have access to create one of their pop up shops which are established all across Australia. With low cost start-up and part-time hours to suit, you can grow your business and become a part of the CSD Family. With a start-up guaranteed income of $70,000 per annum the only way is forward.
Families are forever “ thinking of new ways to make memories, engage with their kids and offer them support through education, sport and health.
”
Flip Out Flip Out is an action packed indoor fun franchise for kids, also known as Australia’s favourite place for active indoor fun. This franchise already boasts 16 locations across Australia. The reason for this is because of what Flip Out has to offer and that list is impressive. Flip Out has been designed to cater for all ages from playgroup sessions for bubs, Mini Ninjas from 2 to 6 year olds, Ninjas classes for school aged kids, school groups which include excursions, sports classes and end of term parties, all the way down to fundraising for sports clubs schools, community groups and wait for it the favourite for all, your child’s birthday party. Flip out is a model for success and they continually invest in research and development to deliver the cutting edge in innovation.
MindChamps MindChamps is another fantastic franchise on offer providing our young people the opportunities to succeed. MindChamps was founded 20 years ago on the belief that if we understand how we learn, we can unleash the potential in every child. MindChamps is based on the 3-Mind approach to education which is outlined in the book “The 3-Mind Revolution” written by the founder David Chiem and Brian Caswell. When it comes to teaching our young MindChamps are a revolutionary act. Their emphasis is on how to learn rather than what, and in this modern era that is why MindChamps is already a success. Offering 22 locations in NSW and more abroad, MindChamps caters
GeckoSports is a family-friendly business offering multi-sports and fun fitness programs in our communities and schools. GeckosSports has been in operation for over 14 years and began franchising in 2016. They currently have 12 franchise partners operating across 19 locations in Qld, NSW, Vic and TAS. Why do we need GeckSports in our community, well its simple, screens have become the dominant factor in our children’s lives and we need to change that up for their health and to build connections within their families and at school. GeckoSports offer a range of activities to entice every young mind from mini olympics, basketball, boxing, athletics, cricket and soccer which are all run by industry professionals.
Stagecoach Performing Arts If your interests include stage performance and giving our children the tools to develop creative courage for life then this is where that is. Children will learn to perform through dance, song and acting. These skills will lead them through their future, installing confidence which in turn will give children the beginning to their life’s journey to greatness. Stagecoach Performing Arts is an internationally recognised brand with over 30 years of experience in franchising, which means, they can guide you and advise you every step of the way. The team at Business Franchise Australia are excited to watch the journey unfold for Children Products and Services along with feeling grateful we have had the opportunity to show you some of these great children’s franchises. Check out our Franchise Directory www.businessfranchiseaustralia.com.au/ franchise-directory/ business franchise MAGAZINE 39
franchising feature
EXPERT ADVICE: Brian Keen | Founder | Franchise Simply
Franchising business
focused on kids subjects. Sports organisations covering everything from gymnastics and swimming to footy, karate and athletics. Music lessons of every kind. Drama and theatre. Party franchises. Toys, clothes, equipment for hire and sale – both educational and not so educational. Photography for kids and there’s even a franchise offering 3D and 4D Prenatal Imaging. The list goes on. Mostly the product being delivered is being delivered to kids. And so, there is no doubt someone in the organisation needs to get on with kids – in most cases they must be happy. Mostly also, the product being delivered is specialised and there is no doubt someone in the organisation needs to be trained, probably qualified in some way, and know what they’re talking about. But most of all, usually the person buying the product and assessing the outcome is an adult - a parent or grandparent.
Which takes me to the question of who will make the best franchisee? On the surface there’s not much difference. A business focused on kids is run much like any other after all. But there are two things that differentiate… The question on who’s the client? And the associated question on who should be the franchisee? Both revolve around the central tenant we preach here at Franchise Simply – franchising is all about people and you need to structure and manage your franchise group around your people – both customers and franchise partners.
So, who is your client? I researched franchised businesses focused on kids and the options are many and varied. Childcare outfits. Tutoring businesses covering pre-schoolers being given an enhanced environment within which to learn all the way to Year 12’s advanced STEM 40 business franchise MAGAZINE
If you are just thinking of product and service delivery, then there’s no question. Someone with the skills and personality to make the kids happy. Most people attracted to working with kids and who are good at the job tend towards a supportive personality. They have lots of empathy and are good at building relationships with the kids. They are drawn to working with kids because they love what they do and the outcome they can achieve through their work. Here’s the rub though. A person buying into a franchise group as a franchise partner is buying a business. So, they need to make the sale to adults (parents and grandparents) not looking so much for fun, empathy and understanding. They want to buy a great product. We find a rapidly growing number of franchisors in this digital time bringing in the leads for everyone in the group. Most then send the lead to the appropriate franchisee and it is the franchisee’s task to convert the
sale. Over time it is also the franchisee’s job to build a reputation and a network in their local area. They must be out and about showing off the brand and getting to know other kids’ organisations along with their primary contacts – teachers, other kids’ business owners. As franchise owners, they also must be good at business. Making sure the money is working, getting the sales, managing staff, keeping an eye on how everything is going. The rub is that most supportive personalities are great at delivering the product in an environment such as kids’ franchises are terrible at looking after business – they just don’t like the hard bits and avoid them. Networking meetings, cold calling for sales, doing the bookkeeping are all too difficult. This problem exists with any group where the person delivering the product generally needs to be a supportive personality – nursing, teaching, massage therapists, social media… Even Jim in the early days found this with his lawn mowing franchises. He wanted his franchisees to be pushing the mowers, bringing in the money and not distracted with business responsibilities. So, he took every call, made every booking, took all the money, and allocated it as required, did all the invoices, and generally made sure business worked all round.
So, what are the options? It’s tricky. Especially in the early days when a franchise group is just getting going. Most would be franchisors who have come to us insisting they need to have their franchise
Brian Keen has been involved in the franchise industry for more than 30 years and, today, is the Founder of Franchise Simply. His on-theground business experience as a multi-unit franchisee, franchisor and consultant helping many of the big names create their own franchise systems and growth over the years has been fed into Franchise Simply, helping today’s SMEs grow their business by franchising. www.franchisesimply.com.au
“
partners be a nurse or massage therapist and have had to completely rethink their business model in the first year or two. And it is agonising. It often involves buying back the first lot of franchises simply because they are not performing and it’s evident that they never will.
Option 1 – the franchisor takes on the tasks the franchisee can’t do This is the Jim option. The franchisor picks up most of the business operations for the franchisee. And I have to say, in the early days when you are just building the group this can be very effective. Initial training through
induction and commencement focuses on the technical and customer service bits, making sure delivery is done well. Experience tells us, however, that many of your franchisees will want to progress from that point. Many people attracted to buying a franchise do not have business skills and are looking to get this experience in a safe environment which is why they are attracted to this business model. They will be looking for business training and it is in your best interests to give it to them, or they will tend to go elsewhere. As they build their business skills with your help, these franchisees will become very valuable business partners, many growing
You will be looking for people who can manage business, sales, build networks, manage other franchisees, staff, tricky adult customers, the money – be a leader for their region.
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to become multi-unit franchise owners, managing their own suite of managers and staff delivering your product your way.
Option 2 – set up master franchises with the skills to run the business for a region As the group grows, this is probably the option you will be looking for. In the early days though, it is expensive to set up – will there be enough money in the group to keep a third layer supported financially. If you do take this route though, your master franchise partners will have completely different personalities and skill sets. You will be looking for people who can manage business, sales, build networks, manage other franchisees, staff, tricky adult customers, the money – be a leader for their region. With this layer in place, your franchise partners at the delivery level can do just that – focus on delivering your great product or service to the happy kids in your franchise family. Before you take this step though, just make sure you understand how much money it is going to take to successfully put this layer in place. And, right up front, make provision for this next level in your strategic planning. v business franchise MAGAZINE 41
franchising feature
EXPERT ADVICE: Doug Downer | Franchise Ready
Products and Services to benefit our Children Imagine having 380,000 more customers coming into your marketplace every year, with an existing marketplace made up of over 5 million existing customers. In Australia over 300,000 babies are born each year whilst New Zealand welcomes over 60,000 new babies each year, add to this the migration of children into these two countries of over 20,000 and this is an ever-growing market, Australia and New Zealand are enormous markets in terms of the children’s sector. It’s often said that any business that services the children’s products and services sector is a good one to be associated with. Some corporates come under criticism for marketing their products and services to this sector and some will blame parents for the choices they make when it comes to their children. Thankfully the franchise sector has taken a responsible approach to creating business opportunities within this sector and in so doing has supported parents and their decision making and provided invaluable products and services to benefit children. Within our business at Franchise Ready we are fortunate to work across all industry sectors and are proud to have launched and supported over 85 brands to grow through franchising but those that give us the greatest sense of pride and satisfaction are those that make a difference in the lives of children. “The question is not whether we can afford to invest in every child; it is whether we can afford not to.” Marian Wright Edelman Providing excellent quality products and services to children just makes sense, after all what parent doesn’t want the best for their children? When we look at this sector and specifically the clients that we work with that have an offering in this sector, we are fortunate to have clients and brands that service children and their families from birth through to adolescence.
42 business franchise MAGAZINE
Doug Downer an experienced Business Developer and Coach with an impressive 30+ year senior management history in developing and leading businesses within the Franchising sector. He has been recognised in the Top 30 Franchise Executives in Australia in 2019, 2020, 2021 and 2022 and in the Top 100 Global Influencers in Franchising in 2022. Doug owns five franchises as a franchisee and has been responsible for the establishment of three start-up franchise systems including all aspects from strategy through to market entry. Doug has operated at CEO and Director level in eight franchise systems. He also started, owns, and operates five successful SME Businesses of his own, so he is well versed in all aspects of franchising.
The clients that we work with follow the adage of Benjamin Franklin’s quote “Tell me and I forget, teach me and I remember, Involve me and I learn”. That is the key to engaging children and helping them to love the activities that they undertake, do this and you should have a sound business.
It starts at the beginning The most important years in a child’s development are from birth to age five. Children’s experiences and relationships that are formed during these years determine how their brain develops. In fact, by the time children reach age five, 90% of a child’s brain is already developed. Preschool is the perfect place for your child to build the connections needed for healthy development and a successful future. For many families having your children attend childcare or early learning centres provides the perfect environment for developmental growth but many of these centres have very little substance to their curriculum or pedagogy as it is known within the early childhood sector. As parents we have an expectation that these carers will do just that, provide high quality care to our children, this should be a given. There is one organisation in the market that does so much more than this, MindChamps Early Learning and Preschool. MindChamps started as a research centre right here in Sydney in 1998 before taking their findings to Singapore – one of the
The formative years or the “ early stages of childhood are between 0-8 Years of a child’s life where they learn more quickly than at any other time in life.
”
most demanding educational systems in the world – to measure their unique teaching and learning approach against the traditional models. MindChamps holds the number one position in the Premium pre-school market in Singapore and in 2017 they returned to Australia to benefit Australian children with their break-through philosophy and pedagogy by incorporating the ‘3-Mind Movement’ and use of the four domains of education, neuroscience, psychology and theatre into its curriculum. The MindChamps point of difference is their dedication to helping each and every child realise and unlock their true potential by teaching them learning foundations and the love of learning. An early education business is financially rewarding with significant government subsidies that makes childcare more affordable for all families which assists with optimising occupancy and ultimately profitability. All business owners want the opportunity to build equity in an asset that can be sold at some point in the future, the beauty of the Childcare sector is that the business value multiples of earnings is higher than every other franchise opportunity in the market, so
not only does a business owner do ‘Good’ but they have a very ‘Good’ business. The industry is heavily regulated which it needs to be, after all they are looking after our children, our most prized possessions, so not everyone can enter this sector but for those that do, it is very rewarding.
The formative years The formative years or the early stages of childhood are between 0-8 Years of a child’s life where they learn more quickly than at any other time in life. These are the years in which a child experiences rapid cognitive (intellectual), social, emotional, and physical development. It is estimated that the average Australian and New Zealand child will spend between 15-20 hours per week on some form of screen device whether that be television or other technology. This can be a frustration for parents, so any business that can tear children away from these devices to engage in activities that will stimulate their children socially, emotionally, physically and intellectually has a strong chance of receiving a parent’s blessing, but in order to convert this into a successful business it needs to engage the child and make them want to continue with that brand, product or service, ultimately it has to be enjoyable. Five of our clients have successfully achieved this, they have made their products and services fun whilst improving children’s social, emotional, physical and intellectual needs. The services that they offer compliment the foundations that MindChamps lays in those first 5 years.
Ninja Kids Ninja Kids is the home of Australia’s most loved “Ninja Warrior” style gym for kids, its mission is to get children out of the house and into physical activity. A physically active child is a healthy child. Physical activity strengthens a child’s muscles and bones, prevents excessive weight gain, and reduces the risk of diabetes, cancer, and other conditions. Physical activity is also beneficial to the mental health of a child and experts say physical activity allows children to have a better outlook on life by building confidence, managing anxiety and depression, and increasing self-esteem and cognitive skills. Some children try team sports but may not be cut out for it, Ninja Kids is designed for every child no matter their skill level, every child has the chance to participate and better their previous best, whilst they may be working
We want them to have all the positive attributes we enjoyed “ in our childhood and to protect them from the things we didn’t enjoy, we want to give them the best chance at life and if we can do that in a way that they enjoy, everyone wins.
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individually, they are working within a group, so the benefits socially are enormous. Ninja Kids offers regular program, school holiday camps and birthday parties and is consistently in demand, it’s a solid business opportunity with benefits for the children that attend and provides some respite for their parents all the time knowing that their children are in good hands, having fun and learning key skills that will benefit them in all aspects of their life.
Stormer Music Did you ever notice that the kids that did music in school also happened to be the smartest kids in school? There are significant benefits to music and the impact that it has on children and their development. Studies in neuroscience show that music can enhance brain function in children. Musical activities (such as playing an instrument, singing or just listening to music) stimulate the brain, and this brain workout leads to improved brain structure with the formation of new neural connections. Music can help with the Memory, Attention and Concentration, Increased Coordination, Achievement and Discipline, all great benefits but what’s even better is there’s now an opportunity for musicians and those with a love of music to make a business out of it, Stormer Music is a family business with generations of Muso’s coming together to bring music to the world in a business format franchise and with 9 locations up and running, they’re making beautiful music together.
Skill Samurai We already established that children are spending way too much time on screen devices and a lot of time on gaming and computers. Skill Samurai is helping kids channel their obsession with technology into something that helps them expand their knowledge instead of simply distracting them or entertaining them. Skill Samurai provides after school and school holiday programs for children and teaches them coding and essential computer skills that will benefit them well into the future, with future programs being launched to target the development of IT related work
and preparing students for a career within the IT sector. Skill Samurai turning a fixation with technology into a practical, educational and fun outlet with real tangible educational benefits for children whilst having fun.
Success Tutoring There are so many tutoring services available for primary and high school students, the difference with Success Tutoring lies in their mission of motivating, uplifting and inspiring students to enjoy learning. The educational model is research-backed, ‘inspired learning’ teaching method. This method suggests that inspired students are more attentive and engaged in their lessons, which correlates with an improvement in their academic performance and grades – That’s the Success difference. As the only tutoring company that uses motivation to unlock students’ maximum academic potential, Success Tutoring’s impact extends far beyond the four walls of a classroom by transforming students into active life-learners. They understand that the traditional, onesize-fits-all approach to learning limits the academic potential of some students. Success Tutoring tailors each lesson to the immediate needs and characteristics of the student. Tutors curate a lesson plan that facilitates the basic psychological need for competence, connection and autonomy to achieve academic success, in accordance with the principles of the Self-Determination Theory. Every business needs to make money and it needs to stand for something, the beauty of the Children’s Products & Services category is that what it does resonates with us all, we can all relate to our own experiences of growing up, the highs and the lows and as the carers, families and parents of children we all want the best for our children, we want them to have all the positive attributes we enjoyed in our childhood and to protect them from the things we didn’t enjoy, we want to give them the best chance at life and if we can do that in a way that they enjoy, everyone wins. business franchise MAGAZINE 43
franchising feature
snapshot: Centre Stage Dancewear
Time to put on your
dancing shoes
each other and offer support and connection through each other’s franchise. Offering better communication to our franchisees gives them increased productivity, improves morale and increases creativity and motivation.
Where do you see the Franchise in the next five years? Centre Stage Dance Wear (CSD) which has been in operation for over 20 years with franchises offered throughout Australia and New Zealand are now offering the opportunity to franchise their pop up shops.
What type of person would ‘fit’ your franchisee profile?
Business Franchise Australia/NewZealand caught up with Centre Stage Dance Wear’s Kassandra Stewart to talk about the benefits of becoming part of the CSD team.
Centre Stage Dance Wear is looking for people who have energy, that are self motivated, want to interact and communicate and be part of their community and can work with people from all cultures. If you are looking to work for yourself, be your own boss then jump on in and grab this opportunity. The CSD family can show you how you can go from a 9-5 repetitive job, to feeling inspired and working part time hours, bringing in more financially, hence giving you more freedom to live and love what you are doing and building resilience with a brand that will also become like family.
Kassandra tells us about your franchise
Where are your current locations and Plans for 2022?
CSD is a stand out franchise, the reason being is simple, we supply all local dance schools and the community in the area with stock from multiple brands like Energetic, Studio 7, Blocks and Capezio. We cater to more than just one brand which means we are a one-stop shop for all our customers Dance Wear needs, our competitors cannot offer all brands to their customers like we do which gives CSD the leading edge.
Centre Stage Dance Wear has franchises across NSW and are very excited to branch out in 2022 and offer their franchises across Australia and New Zealand. We are branching out nationwide to grow the franchise part of the business and we are working on new avenues to go down, eg, break into different genres. CSD currently offers tap, ballet and hip hop, but we want to start offering different genres like ballroom and contemporary dance.
There has never been a better time to put on your dancing shoes and grab this opportunity.
What is your main product/ service? Centre State Dance Wear’s main product is definitely dance shoes! Dance Shoes will give you the right amount of traction to move around the floor and practice your dance skills. We fit the ‘foot to the shoe’ not the “shoe to the foot. CSD caters for all ages and we have a great range to choose from. 44 business franchise MAGAZINE
What support/training/back-up do you offer your franchisees? We supply it all, we offer our franchisees full training along with advertising material and $20,000 in retail to get you started. CSD also offers 24/7 availability to discuss training, we meet face to face with all our franchisees as a group to bounce ideas off
I would like to see CSD become the franchise everyone is talking about in the DanceWorld. So you will find us anywhere when you think of Dance Wear Supplies, accessible to all of Australia and New Zealand. We want to do more for each community as well by raising funds through CSD and offering our support as a business to the community.
What is your advice for those exploring franchise opportunities? Look into the benefits of owning your own franchise. Take the leap! The benefits definitely out-way working 9-5pm in a field you have no passion or desire to be in. Back yourself and we will be there with you, give yourself that boost and remember what you do and how you work your children see. Let them see you strive and enjoy your job and in turn you will provide them with the confidence to follow their dreams when their time comes. To sum it all up CSD is offering you an opportunity to thrive running your own business along with inspiring children to learn great skills and fitness. CSD can offer mums, dads, single parents, grandparents the opportunity to start a business that will offer great financial support for their family and the time to attend their children’s activities while operating their business hours around their families. We are keeping families together and children active and confident. How could you not love what you do if you become part of our CSD Family. For all initial enquires contact Kassandra today at: kassandra@centrestagedancewear.com.au www.centrestagedancewear.com.au/
SPEED QUEEN LAUNDROMAT OWNER HARD AT WORK The hardest part of owning a Speed Queen self-service laundromat is deciding how you will spend your “work” day. If you are looking for a truly passive income with an excellent UHWXUQ RQ LQYHVWPHQW JHW LQ WRXFK WR ÀQG RXW PRUH DERXW 6SHHG 4XHHQ ODXQGURPDWV
sqcommercial.com.au/franchise business franchise MAGAZINE 45
expert advice: Robert Toth and Kristen Attard | Sanicki Lawyers
RETAIL LEASINGREPAIR & MAINTENANCE OBLIGATIONS - Part 1 Who is liable for repairs and maintenance costs when the roof is leaking, the roller door jams, and the air conditioning stops working? Disputes between landlords and tenants in relation to repair and maintenance obligations continue to be an active area of dispute. This article focuses on retail premises covered by the Retail Leases Act (Vic) 2003 (RLA). Whilst the RLA is Victorian legislation, there is similar legislation in each State and Territory. Post Covid, retail tenants who managed to survive and were able to obtain rent relief from their landlords have then had to deal with issues regarding repair and maintenance costs of their leased premises. We have been involved in several Small Business Commission (VSBC) mediations where landlords have refused to undertake necessary repairs, or a dispute has arisen as to who is liable for the cost of those repairs.
The Starting Point When retail leasing laws came into being, most people assumed a landlord had a common law obligation to provide a tenant a wind and watertight premises. However, it may come as a surprise this is not the case. This may be why commercial leases have contractual obligations in the lease that states the landlord will provide a “wind, watertight and structurally sound” building. Tenants expect this to be the case when they lease premises. A non-retail lease can exclude obligations on a landlord for structural repairs. Retail Leases legislation was enacted to give some protection to retail tenants around disclosure and the legislation has (in a rather complex way) sought to clarify these obligations. However there continues to be confusion and 46 business franchise MAGAZINE
we have had to rely on a number of VCAT decisions to clarify where the obligations for repairs and maintenance actually lie between a landlord and tenant. Many landlords and their agents may be surprised as to their responsibilities to repair and will often seek to pass costs of repairs and even maintenance on to their tenant when they have no right to do. Many responsible landlords will do what is required to maintain a positive relationship with their tenant, but many do not. In addition to the retail leasing legislation, there are a number of other laws that can
impact on the landlord’s obligations under the Victorian Building Act 1993, and the OH&S Legislation (with similar legislation in each State and Territory). Although there are some differences between the various State Acts, largely the obligations on landlords are the same but landlords and tenant need to ensure they seek legal advice in their own State or territory.
Basic Principles Ok so hold on and take a seat! Section 52 of the RLA provides a landlord is required to maintain the following items
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Disputes between landlords and tenants in relation to repair and maintenance obligations continue to be an active area of dispute.
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Robert Toth is a Partner of Sanicki Lawyers, with over 35 years’ experience in Franchise, Licensing and Distribution law acting for both local and International franchisors, franchisees and master franchisees and with expertise in dispute resolution. Robert is an Accredited Commercial Law and Franchise Specialist, a member of the Franchise Council of Australia (FCA) and the International Franchise Lawyers Association (IFLA) and regularly writes for franchise and corporate journals online. Contact: Robert@sanickilawyers.com.au or even call him on mobile 0412 67 37 57.
A landlord is not responsible for maintaining those items if the need for the repair arises out of the tenant’s misuse of that item or the tenant is entitled or required by the lease to remove the item at the end of the lease (section 52(3) RLA).
Kristen Attard is a senior associate with expertise in franchising, leasing and sale of business. Contact: kristen@sanickilawyers.com.au Office: 03 9510 9888. https://sanickilawyers.com.au/
A tenant is responsible for keeping the premises clean and in good order, subject to ‘fair wear and tear’ over the term of the lease.
in the same condition as when the lease was entered into: • the structure of the premises (the walls and the roof); • fixtures in the premises (items belonging to the landlord); • plant and equipment at the premises (air conditioning system); • appliances, fittings and fixtures provided by the landlord under the lease relating to services such as gas, electricity and water (power boards, water pipes and the hot water system).
The thing to note here, is that the obligation on the landlord is to “maintain” that equipment that is, to service it and ensure it is in working order. Does it go as far as replacing the equipment it if it breaks down completely? There are cases that suggest that may well be the case.
Tip As a retail (or any commercial tenant) you should ensure you complete a condition report (with photos and even a video) at the start of the lease on the building and plant and equipment at the start of the lease. That report should be signed off by both the tenant and the landlord and perhaps even annexed to the lease. This will greatly assist if a dispute arises down the track.
A new report should be obtained at the commencement of each option. Seems relatively straight forward doesn’t it but it can be a minefield!
Summary Landlords have greater obligations for repairs and maintenance under the Retail Leases legislation and tenants should seek advice if a landlord refuses to carry out necessary repairs and maintenance and also ensure they are not being charged for outgoings or maintenance charges that the landlord is liable to pay. Seeking specialist advice may well save a tenant a considerable amount of money and also prevent a landlord from being made liable for a breach of the retail tenancy laws. v business franchise MAGAZINE 47
SNAPSHOT: PACK & SEND
Australia’s leading “ courier and logistics franchise PACK & SEND continues to smash sales records, achieving AUD $91.1 million global sales revenue in 2021.
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PACK & SEND
Announces Record Breaking 2021 Sales Results PACK & SEND is Australia’s leading and most recognised parcel courier and freight delivery reseller. They have been providing pack and send services to businesses and consumers since 1993, including providing a whole range of value-add services such as packaging solutions. PACK & SEND are heading the top of their field with their latest record breaking press release for the Year 2021 with outstanding growth and sales records. See below for the details: Australia’s leading courier and logistics franchise PACK & SEND continues to smash sales records, achieving AUD $91.1 million global sales revenue in 2021. This amounts to 26% growth over the previous year’s record sales of AUD $72.4 million. PACK & SEND franchise partners also reported substantial lifts in profits in 2021 as Average Australian Franchise Partner sales grew by 37% YOY, on a business model with relatively fixed operating costs. The strong sales and profit performance helped stimulate the sale of 24 franchises in the 2021, including numerous franchisees who made the investment to acquire their 2nd, 3rd or 4th Service Centre. 48 business franchise MAGAZINE
Servicing the high growth parcel, freight and eCommerce fulfilment market with a network of 152 retail service & logistics centres across Australia, New Zealand and the United Kingdom, the double-digit growth was achieved across all three global operating territories. Off the back of the 2nd consecutive year of exceptional sales and relentless growth in customer demand, PACK & SEND is planning to grow its network beyond 170 outlets in 2022. PACK & SEND also cemented its position as providing the best customer service for courier and freight solutions in Australia, taking out the 2022 ProductReview.com. au Award in the “Couriers” category for the 3rd time in 4 years. ProductReview.com.au is Australia’s most comprehensive consumer opinion site. Customers rate, review and compare the services of hundreds of courier companies. PACK & SEND achieved over 2000 new reviews on the platform in 2021 with an average review rating of 4.5 out 5, placing it well ahead of category rivals, including the world’s largest courier brands. PACK & SEND’s Country Manager, Nicholas Woodward said “We are very pleased with another year of record growth and we are anticipate 2022 to be an ever bigger year again. Our focus on enhanced technology, marketing efforts and industry leading service levels are enabling our franchise partners to grow their business at an
Our focus on enhanced “ technology, marketing efforts and industry leading service levels are enabling our franchise partners to grow their business at an unprecedented pace.
”
unprecedented pace. Customers looking for a better parcel delivery service, more options and fewer headaches are discovering PACK & SEND and once they try us, they never look back.” As the ecommerce landscape continues to flourish, PACK & SEND’s parent company, MBE Worldwide recently acquired Prestashop, a popular open-source ecommerce website solution. Last year, Prestashop’s 300,000+ customers generated over AUD $35 billion in sales through the platform. The synergies of ecommerce, logistics and retail are expected to hold the business in great stead for years to come. If you’d like to learn more about PACK & SEND Franchise opportunities, visit www.packsend.com.au
DRIVE YOUR OWN SUCCESS
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Contact�us�today�for�more�details �800 762 766 sota.franchise@snapon.com snapontools.com.au business franchise MAGAZINE 49
focus feature: OPTUS
Now’s the time to make a difference Across the country, Optus Business Partners provide support in challenging times for Businesses.
At Optus we’re committed to helping every Australian business have the confidence to say yes more often. Built to provide support to businesses, our Optus Business Centres offer tailored assistance and solutions to help businesses make sound decisions. We want to support our business customers though technology based applications, allowing them to meet and exceed their business goals. We sat down with Linton Parker, Managing Director Optus Business Centre Surf Coast & Vic Regional West, to understand how the pandemic has affected small business, and how they’re bouncing back. The pandemic has taught us that in life, and business, we never really know what’s around 50 business franchise MAGAZINE
an Optus Business Centre “Aspartner, we understand the nuances of telco solutions. The way we differentiate is we can sit there, with a customer, and discuss solutions. We’re the communication experts.
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the corner. This stark realisation comes after both worlds - life and business – were forced to stand still, and the subsequent interruption for businesses has forced a rethink, as leaders recharge and roar to life. Some customers are optimistic about how businesses are bouncing back after Covid. 12 months ago businesses were hesitant about long term contracts, with no certainty of returning to ‘normal’ trading, a lack of optimism about growth, business, plans, the future. Businesses might share some common ground, but none have identical needs when it comes to technology
We’re the communication experts, “whether that’s because we found a way to save them some money, or to improve their efficiency or to give them a completely different way of achieving their results.
”
and communication tools. Linton said, “As an Optus Business Centre partner, we understand the nuances of telco solutions. The way we differentiate is we can sit there, with a customer, and discuss solutions. We’re the communication experts.” Linton adding, “All the value that we add to our customers is through face-to-face meetings. Whether that’s because we found a way to save them some money, or to improve their efficiency or to give them a completely different way of achieving their results, it has to be a face-toface.” “Customers want to be able to change gears at the flick of a switch to keep their business lean and agile,” according to Linton. Optus began commercial operations on 31 January 1992 having been awarded Australia’s first competitive carrier licence on 19 November 1991. From the early days Optus’ primary purpose was to provide customers with choice, better value and
improved customer service, a focus which remains true to this day. From its humble beginnings in 1992, Optus has grown to become a company which today supports more than nine million mobile services, one million fixed and broadband customers and thousands of Australian businesses. Optus Business Centres provide telecommunication solutions for businesses, from 1 to 300 FTE. You will work closely with customers to understand their telecommunication needs, and provide tailored solutions to help your customers grow their busineses. Partners are provided an assigned local customer base that needs to be proactively managed to drive growth and retention. Opportunities to market your business to acquire new customers within your local territory. Co-create a local brand, where you are the face of Optus Business.
Optus is a key challenger brand, providing businesses with a diverse range of Telecommunication solutions. To be the company we want to be, we know we need the right partners. Optus is currently seeking to expand their distribution network. As an Optus Business Partner, here are a few ways Optus will support you: • Territory model with customer base to get you started • Training and mentoring from our experienced Sales team • Competitive commission structure • Business and marketing support Optus knows running a business means having the confidence to take bold steps. It’s why they’re committed to helping Australian businesses, big and small, take those steps more often. It starts with yes. business franchise MAGAZINE 51
expert advice: Stewart Germann | Franchising Lawyer | Auckland, New Zealand
WHILE YOU ARE SLEEPING YOUR BRAND COULD BE DESTROYED Franchisors who embark on franchising have to monitor and handle the impact of social media on their brands on a daily basis as a brand can be destroyed overnight. Facebook is a useful tool but it can be very damaging to any brand and something can go up overnight which has major impact. How do you deal with it? A typical clause in a franchise agreement might read as follows: “The franchisee acknowledges that in relation to the business and the franchisor’s intellectual property it will act with care when using any social media and it shall always do its utmost to look after the best interests of the franchisor and anything to be published, circulated, transmitted or disseminated in any way by or through social media shall be subject to the franchisor’s prior written approval.” Consideration should be given to many factors including the need for a franchisor to 52 business franchise MAGAZINE
manage, update and control the content of all electronic communication which includes all websites and social media. In the online world the lines between public and private and personal and professional are blurred. By identifying themselves as an employee of your business, your staff are creating perceptions in the minds of customers and the public at large. It is important for all franchisors to have a social media policy in place which should include the following: (i) Staff are personally responsible for the content they publish on blogs, wikis or any other form of users-generated media. Be mindful that what you publish will be public for a long time so you must protect your privacy. (ii) Avoid posting work issues or frustrations in public forums. If franchisees have any concerns in this area, then the franchisor should deal with them privately. (iii) Always respect your audience and don’t use words that can be construed as racist or discriminatory.
Despite the increased activity and budget allocation focused on social media, only a small percentage of franchisors who utilise social media to attract franchise buyers can actually attribute franchise sales directly back to their social media efforts. Lawyers should draft social media clauses very carefully. Most franchisors allocate specific funds to cover social media and should be aware that all social media postings have the potential to impact the brand, both positively and negatively, so all social media content and posts should be frequently checked and updated. When comparing options such as Facebook, LinkedIn, Instagram, Tik Tok, and any other social media sites, franchisors need to recognise that social media which consumers use is likely to be different than social media that franchise prospects will use. While many people may look to social media for deals and discounts, in the area of franchise sales, it is mainly used as a first stop on the way to the franchisor’s website. Recent data shows that social marketing is not replacing
Stewart Germann founded Stewart Germann Law Office (SGL) in 1993 as a boutique law firm at Auckland, New Zealand, specialising in franchising, licensing and business law. Stewart has over 40 years’ experience in franchising law and acts for franchisors in New Zealand, Australia, USA and the UK. SGL also act for franchisees and provides legal advice. Stewart has spoken at franchising conferences in New Zealand, Australia, Italy, South Korea and USA and he was on the Board of the Supplier Forum of the International Franchise Association (“IFA”) for 6 years until March 2007. Email: stewart@germann.co.nz | Web: www.germann.co.nz
media sites rather than having one central site for the brand. However, even with policies in place, franchisors need to continually monitor a franchisee’s use of social media much like they would any other form of local marketing. Technology is finding its way into many of the matters we deal with. Some of the terms you may come across include the following: Bit v Byte; Deepweb and Darknet; Distributed Denial of Service Attack (DDoS); domain name; internet of things (IOT) and Voice Over Internet Protocol (VOIP).
traditional media but rather enhancing it. Franchise industry surveys show a relatively low percentage of franchise sales can actually be attributed to social media which cannot be relied upon alone and should instead be blended with a variety of other media options. Usually franchisors will allow franchisees to establish their own local social
In the Australian case of Seafolly v Madden social media and brand damage are discussed. In this case the owner of a small swimwear business posted on her Facebook page a number of extracts from the Seafolly catalogue of the Seafolly designs with the question: “The most sincere form of flattery?” and the equivalent names for her designs. The owner also contacted various media outlets and the story quickly spread. Seafolly sued the owner, Madden, for misleading and deceptive conduct in breach of the Australian consumer law. Madden maintained that her comments were personal in nature and not business related but the Court disagreed and found Madden liable for misleading and deceptive conduct. Because Madden posted comments on her Facebook page there was also brand damage. Social media poses a significant reputational risk to companies and negative online content can go viral very quickly. Just as I said earlier, it is crucial
for every franchisor to have policies and procedures in place to deal with any attack on its brand. The manuals of a franchisor should also cover social media and they may prescribe what should happen on a day to day basis. If you ignore social media and do not monitor it closely you will do so at your peril as while you are sleeping your brand could be destroyed. A few examples of recent negative comments on social media are: “It looks nice in the picture but nothing like that when you buy it!” “Not as good as what I had thought, not that hot either - was disappointed.” “I made a complaint online a few weeks ago and still no reply. Very disappointed and a waste of money and a waste of half our meal!” Social media, including networking sites like Facebook, Twitter and LinkedIn, has increasingly become an HR issue around the world. While such online tools have created opportunities for employees to connect with other people and share information and ideas, both within and outside the organisation, they also pose a number of risks to the business. The issue of who has ownership of professional social media accounts has emerged, particularly who gets to keep then when the employment relationship ends. There have been several cases in USA where ownership of such accounts has been in dispute. In one case involving a tech review company called PhoneDog, the employee gathered 17,000 followers while tweeting on behalf of the company. When the tweeter left, he changed the Twitter handle to his own name (removing the PhoneDog part) and thus took the followers with him. In conclusion, social media in the 21st century is a powerful tool to be used by franchisors in making the brand more well known and by obtaining direct and time feedback from franchisees and members of the public. From a legal point of view, it must be carefully monitored and franchisors should have a dedicated person on the team to monitor and control social media on a daily basis. Negative comments can destroy the brand and dealing promptly with customer complaints is essential. v business franchise MAGAZINE 53
expert advice: Andrew Watson | Assistant Commissioner, Small Business | Australian Taxation Office
Get your business ready The past two years have been a very challenging time for small businesses, with COVID-19 and natural disasters affecting many people.
sneeze or cough guards, other personal protective equipment and cleaning supplies.
While tax and super may not be on the top of your mind during these times, at the ATO we want to support you and your small business to get your tax and super right. We have a range of information, digital tools and services to make things easier for you to get ready this tax time and keep your business on track.
Work out your motor vehicle expenses the right way
Take advantage of small business concessions You may be able to reduce your tax bill if you are eligible for concessions such as immediate deductions for prepaid expenses. You may also be able to save time by estimating the value of your trading stock instead of doing a stocktake. Find out more about the different types of concessions at ato.gov.au/concessionsataglance
Follow the three golden rules when it comes to claiming deductions You can claim a deduction for most of the costs of running your business. But it’s also important to remember the three golden rules so you only claim what you’re entitled to: 1. The expense must have been for your business – not for private use. 2. If the expense is for a mix of business and private use, you can only claim the portion that’s used for your business. 3. You must have records to prove the expense and show how you worked out the business portion of an expense. If you’re in an industry that requires physical contact with customers, such as healthcare, retail or hospitality, you can claim deductions for expenses related to COVID-19 safety. This includes hand sanitiser, 54 business franchise MAGAZINE
Find out more at ato.gov.au/businessdeductions
The method you use to calculate your motor vehicle expenses depends on your business structure and the type of vehicle. For example, if you operate your franchise as a sole trader or partnership and the vehicle is a car, you can use the cents per kilometre method or the logbook method. However, if you operate your franchise as a company or a trust, you can’t use either of these methods and can only claim the actual costs based on receipts. There is a limit on the cost you can use to work out the depreciation of passenger vehicles (except motorcycles or similar vehicles) designed to carry a load of less than one tonne and fewer than nine passengers. The maximum value you can use for calculating your claim is the car limit (irrespective of any amount you were paid for a trade-in) in the year in which you first used or leased the car. The car limit for the 2021–22 income year is $60,733. Find out more at ato.gov.au/motorvehicleexpenses
You may be able to claim home-based business expenses If your home has been your main place of business (for example, if you relocated your base of operation from an office to your home because of COVID-19), you can claim deductions for the portion of expenses that relate to running your business. Your business structure also affects how and what you can claim. Find out more at ato.gov.au/homebasedbusiness
Andrew Watson is an Assistant Commissioner in the Small Business area of the ATO. His role involves engaging and supporting small businesses so it’s easier for them to meet their tax and super obligations, and they get the help and support they need. He is also focused on driving the ATO’s digital services and helping small businesses manage their cash flow.
Remember to include all your income Include all your income in your income tax return, including cash, coupons, EFTPOS, online, credit or debit card transactions, and income from platforms such as PayPal, WeChat or Alipay. You may also have income from business assets, other business activities or capital gains. Getting your income and expenses right, and keeping good records of them, will also help you keep track of your turnover and cash flow. Find out more at ato.gov.au/businessincome
Find out about the tax implications of government grants, payments and stimulus Generally, grants or support payments from the government are taxable and need to be included as assessable income in your tax return, unless they are specifically made non-taxable. This will include help provided as a one-off lump sum or a series of payments. You don’t need to pay tax on some COVID-19 payments you receive from the government to support businesses. Eligible payments will be non-assessable non-exempt (NANE) income for tax purposes. To find out more, visit ato.gov.au/COVID19supportpayments
Keep track of losses so you can claim a deduction for it later If your business makes a loss, you can generally carry forward that loss and claim a deduction for your business in a future year. How you can claim a tax loss depends on your business structure. Visit ato.gov.au/businesslosses for more information.
See if you’re eligible for the loss carry back tax offset The loss carry back tax offset is a refundable tax offset that corporate entities may be eligible to claim in their company tax return. This may result in a cash refund, a reduced tax liability or a reduction of a debt owed to the ATO. Our tool at ato.gov.au/LCBtool can help you work out if you are eligible to claim this tax offset and the maximum you can choose to claim if you’re eligible.
Know how to report the use of business money or assets for private purposes There may be tax consequences if you use money or assets from your company or trust for private purposes. You need to know how to report and record different transactions correctly. Find out more at ato.gov.au/businessmoney
Check that your records are complete and accurate It’s important that you understand what records you need to keep, and they are complete and accurate. You need to keep most records for five years, store them in a safe place, and they must be in English (or
easily converted to English). Check out ato.gov.au/recordkeeping. You can also use our record keeping evaluation tool at ato.gov.au/ recordkeepingevaluation to help you check how well you’re keeping your business records so you can make improvements in the future.
Get expert help if you’re having trouble with cash flow Good cash flow means having enough cash at the right time to pay bills and meet your tax, super and employer obligations. You can prepare a cash flow projection (find out how at ato.gov.au/ managecashflow) to help you see your likely cash position at any time. You can also talk to a registered tax professional about managing your cash flow and they can help you work through the Cash Flow Coaching Kit (find out more at ato.gov.au/cashflowcoachingkit).
Look after your mental health In tough times, it’s more important than ever to look after yourself and the people around you. There are many organisations out there that can provide information and support to help you with your mental health and wellbeing. For a complete list of organisations, and information about the support we can provide you, check out ato.gov.au/support If you are a small business owner, you can also consider NewAccess. Developed by Beyond Blue, NewAccess is a free mental health coaching program developed for small business owners by coaches with a small business background at beyondblue.org.au/newaccess. You can also check out the Australian Small Business and Family Enterprise Ombudsman’s My Business Health portal at asbfeo.gov.au/my-business-health for practical tips.
Ask for help if you need it We want to work with you to solve problems before they escalate; it’s never too late to speak with us. If you’ve been affected by COVID-19, or the recent floods, and need some help with reconstructing records, we have information available at ato.gov.au/reconstructing-your-tax-records If you need some extra help with your tax and super affairs, you can contact us or your registered tax professional. We’re here to help. Visit ato.gov.au/SBsupport our one-stop shop for tools and services to help make it easier for you to get your tax and super right. v business franchise MAGAZINE 55
expert advice: Phil Chaplin | CEO | CFI Finance Group
I’m starting a Franchise Business – What can I finance? When it comes to funding the expenses associated with your business start-up it is sometimes easy to think ‘it’s all the same pile of sand’; you’ve got all your costs (franchise fees, legal costs, equipment, property bond, fitout, stock, working capital) and you’ve got some money to cover those costs (savings, friends & family, investors, landlord contributions, external finance). Whilst it might be easy to think that so long as money-in equals money-out everything will be fine, the reality is a little more complicated. Knowing what you need to spend your capital (cash) on versus what costs you can borrow for could be the difference between getting your new venture off the ground or not.
Working Capital It’s tempting to leave working capital to last, after all for most people ‘working capital’ simply means the cash you’ve got left over
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If you are going to purchase “ or take over an ongoing
for running the business once you’ve paid for business,else. you need to look everything It can pay however to deal with workingof capital Most lenders do at many the first. individual not want to provide working finance component parts in capital a critical to brand new businesses, you’ll usually manner. This may involve a need at least 6-12 months trading and often more. major accounting company Give your lenders (and investors) confidence reviewing the for business. that you’ve planned enough cash to cover the all-important first six months in business. Having a detailed cashflow forecast can be a big help here and remember to build in a buffer if your revenue in those early days isn’t what you’re aiming for. Aim to have the right amount of money in the bank the day you open the doors and tell your lender “I’m saving that for working capital”.
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Franchise Fees This is another big-ticket item that is often hard to finance. The franchise fee is usually your first major expense and a big chunk out of your cash savings going out the door. Having paid your franchise fee shows your commitment to your new business and of course secures your new territory. Most financiers will not want to fund franchise fees however there are exceptions, and it pays to ask a few questions. Firstly ask the franchisor if they work with or recommend any particular financiers. If the lender has a good relationship with the franchisor they may be more willing to take on the risks of funding ‘intangibles’ like franchise fees. If you need to prioritise cash-flow you can also ask the franchisor if they have any arrangements around split or deferred payments for franchise fees.
Property Bonds If bricks and mortar premises are part of your new enterprise then some form of rental security bond is pretty much a given. For smaller bonds it’s often easier to use cash but if you do then that’s a chunk of money you can’t access for a long time. Most larger bonds are managed with a bank guarantee. With a bank guarantee your bank provides the landlord with a document confirming that they will make payment on your behalf for any amount owed up to the guaranteed amount, you’ll pay interest on that guaranteed amount for as long as the guarantee is in place. Typically, you’ll need to already have a relationship with the bank and they will need some sort of collateral for the guarantee, for example, you may be able to tie the guarantee to your personal mortgage. Although there are fees and interest to pay it does mean that you conserve your cash.
Phil Chaplin is the Chief Executive Officer of the CFI Finance Group, a specialist finance company servicing Australia’s franchise, accommodation, and fitness sectors as well as small businesses more broadly. Phil has over 20 years’ experience in providing finance to businesses across Australia and New Zealand and has managed finance companies in the private and banking sectors, he is a former chair of the Equipment Finance division of AFIA.
Fitout and landlord contributions Fitting out your new business can be an expensive exercise. Typically banks shy away from funding fitouts but you may have more success with an independent lender, particularly if they’re familiar with your franchise system or have a relationship with the franchisor. When you’re looking for funding for your fitout it pays to remember that a fitout by itself may be harder to get finance for than a fitout plus all your equipment, even if you’re borrowing more. This is because lenders generally consider fitout to be “unrecoverable”. That is, it can’t be sold on to someone else for good value if you run into trouble. The lender will look at the overall security position of the loan, so in practical terms a lender may be more willing to loan you say $100,000 to cover $50,000 of fitout and $50,000 of equipment, than just $50,000 for the fitout. A trap that many new businesses fall into is finding a lender for all of the equipment component and then realising that no other lender will finance the fitout component by itself, so make sure you have all of your finance requirements met before your start drawing down funds. Landlord contributions can significantly offset the cost of your fitout. A landlord contribution is often negotiated as part of a property lease where the landlord will pay a portion of certain fitout costs. If you are receiving a landlord contribution you need to look carefully at when the funds will be paid. It’s common that you will not receive the money until you have completed the fitout, and it’s up to you to pay all the costs to builders and other contractors along the way. If this is the case some specialist lenders may provide you with funding to bridge that gap and to make payments along the way, with the landlord contribution being paid straight to the lender on completion. This is often referred to as bridging finance or landlord contribution funding.
Asset / Equipment Finance I’ve already touched on this when looking at fitout finance above. Banks and finance companies are usually most comfortable funding assets that are referred to as tangible and recoverable. This basically means things that the financier could resell the assets in the event that you fail to repay the loan. There are still some bases to cover when it comes to asset finance. Firstly, many banks have tight restrictions on the types of assets they can finance, and they may not be comfortable covering costs like installation or shipping. To avoid surprises, it pays to give the financier a copy of your quotes or invoices to make sure they’re going to lend you the full amount. Secondly, most financiers have strict rules around supply of assets, if you’re buying any assets privately, directly from overseas, or if you’re buying used assets you need to cover this off with your financier early and ensure you understand any special terms and conditions that apply. Finally, it can be very useful to understand the finance product offered and how it can be used to your advantage, for example a loan might allow you to buy equipment and claim depreciation, whereas a lease could mean the financier is willing to lend you’re a little bit more in total. So, some tips in summary: • Talk to your franchisor about who they recommend or look for a specialist financier that understands the franchise industry. • Try to plan all of your costs and finance before you spend or borrow any money. • Don’t rush to finance your assets if you haven’t arranged finance for other things (like fitout), you may get a better deal bundling all of your requirements together. • Financiers want to see that you’re spending (and conserving) your cash wisely. They’ll often lend a little bit more to someone that is saving their pennies and has a clear plan (cashflow forecast) than to someone that’s spent everything they have and then gone looking for more. v business franchise MAGAZINE 57
have your say: Peter Mousaferiadis | Founder and CEO | Cultural Infusion
A LEADERSHIP JOURNEY IN BUSINESS AND LIFE word ‘power’ can be substituted with a range of alternative words including ‘potential’, ‘ability’, ‘strength’, ‘vigour’, ‘realisation’, ‘recognition’, and ‘opportunity’. Recognising that each individual has their own lived experience - social movements, ethno-religious-linguistic backgrounds and worldviews, among other factors. I am forever striving to approach encounters from a non-socially normalised, non-ethnocentric, non-value-centric position. Every setting is different. The challenge of the increasingly globalised world we are finding ourselves in will require new forms of communication, forms of language that are able to overcome what sometimes seem to be incommensurate differences.
Symphonic conducting was the first style of leadership I was acquainted with, when I found myself studying it in my youth in the early 90s. The Western Classical Orchestra tradition is probably the only leadership position left in western society which will tolerate a dictatorial approach to leading.
In my case, I have found it helps to make a regular admission of vulnerability. The more I learn the more I realise I don’t know. It’s this approach that allows me the room to grow in my role every day.
Can you imagine if our Prime Minister, or any other liberal country leader, attempted to rule this way?
As with most things, language is an important aspect of leadership. Language defines and shapes our reality because it gives expression and shape to how we think. It defines how we behave towards each other, but often is unconsciously deeply interconnected to colonial history.
Suffice to say, I do not imagine it would go over well! Almost three decades on, I now know there are many more styles of leadership available to me, fortunately, with our ever-changing environment and the emergence of different waves of social justice movement. Most recent, and most notably particularly in the business world, there has been an explosion of diversity, equity and inclusion leaders. This has given leaders, from CEOs to politicians, no choice but to adopt a more adaptive and consultative leadership style than ever if they want to succeed. 58 business franchise MAGAZINE
As a leader, I find that the best ideas are those that include everyone so keeping in mind that we all start from different places and perspectives is important to creating inclusive environments which can foster innovation, growth and acceptance that all opinions are valid.
I strive daily to decolonise the language embedded in our unconscious - for example, the word ‘power’ is one I avoid. Why, you may ask? The word ‘power’ lends itself to weaponisation - the dominance of one party over another. Historically, this dynamic has led to misuse and abuse, so we prefer to use other terms to describe leadership and those working in the DEI space. Depending on the context the
The global pandemic is hurtling us ever forward and creating history at what seems to be a fast-tracked pace. I find every single one of us is surrounded not only by uncertainty, but by lightning pace change. Countless decisions are required by every individual on a daily basis - possibly the same number of decisions a contemporary adult makes daily, is as many decisions our grandparents made in a lifetime. I have adopted the daily mantra that the only sustainability is adaptability. This is the only way I find strength in change and living in the moment. How, then, do we deal with change being so constant? Social theorists hypothesise that the amount of change that will happen in the next 10 years will be more than humanity has experienced in the last 1,000 years. Change is a reality, for governments, organisations and individuals all. We have a choice - we can resist, and be left behind, or we can embrace change with positivity and enthusiasm. There is uncertainty, yes, but we need to see the opportunities opening up to us. Change is so ubiquitous that strategic plans become redundant before they are even finalised. I now like to think of life as a journey and that every moment of it is a destination. Adopting this thinking allows me to incrementally build and pivot in an appropriate way to the changes in my environment that turn up in rapid succession.
I would like now to return to the concept of vulnerability. All humans are vulnerable, to some extent, and always have been. The recognition of this is vital in developing a culture of trust. Recognising vulnerability as a virtue stands alongside other such virtues as respect, inclusiveness and kindness, which I hold dear. The unwillingness of people to acknowledge vulnerability means we are not genuinely open with each other. If we cannot admit our mistakes, shortcomings, concerns and weaknesses, we cannot build on a foundation of trust. This failure to build trust invariably sets the scene for fear of conflict. If we lack trust, then we are incapable of unfiltered conversations and unable to debate our ideas with genuine conviction. The veiled discussions and guarded comments that will occur erode trust further. A lack of healthy conflict means a lack of commitment. Within organisations, this might manifest itself as feigned agreement during meetings and the harmony that seems to pervade the organisation is superficial at best, artificial at worst. This is not the culture in my organisation that I aspire to. Lack of commitment sets the tone for lack of accountability and some of us may hesitate to liaise with each other. This cannot lead to productivity. When we fail to hold each other accountable, and raise issues - with kindness, not confrontation - this will result in inattention to detail, the rise of individual egos, division. In other words, the opposite of collectivist co-operation for the betterment of the organisation.
Photo courtesy of Cultural Infusion
one is left out by providing baseline data from which organisations can aspire to work towards creating equitable, inclusive and representative spaces. It also provides a snapshot of opportunities for business growth. The ideals of diversity, equity and inclusion underpin every aspect of our organisation. Not only in the range of services and products we offer, but in the way we aim to better ourselves as a group of people. Reflecting on the work I was doing three decades ago and the work I am doing today, there would seem to be so many differences - but with one, static and singular vision as a consistent thread. The products and services we offer may have
Photo courtesy of Cultural Infusion
changed, but the ‘why’ behind them has not. Recognising diversity means recognising in particular diversity of experience, thought and cultural background. Understanding this has allowed me to adapt to my environment. I have come to observe from my own practice that the more diverse an organisation, the more resilient it is - when we pool our diversity, we aggregate strength, resilience and the capacity to innovate. We are able to more successfully respond to challenges. As for my life as in classical music… That dictatorial form of leadership will always be necessary for a conductor, however to lead successfully in my current role, I’ve had to put down the baton.
There is nothing too complicated about the ideas I have espoused here - but in practice, it becomes much more difficult to maintain. In order to live these ideals, it requires discipline, persistence and, above all, patience. As a leader, I am forever trying to co-create a culture and an organisation where everyone continues to feel valued, appreciated and always never losing sight of our organisation’s vision. It’s reinforcing the vision that keeps us on track and focused. This coupled with leaning in with a heavy heart I feel gets the best out of my staff. Cultural Infusion, the organisation I founded and am CEO of, strives for a world that is culturally and socially cohesive. Our core values are based on the richness of our collective cultural heritage. The range of products and services we have developed includes our flagship offering, Diversity Atlas. This world-first diversity mapping platform ensures no-
Photo courtesy of Cultural Infusion
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profile: Franchising Expo
Franchising & Business Opportunities Expo returns to live events in Melbourne! Visitors to the Franchising & Business Opportunities Expo in Melbourne in April welcomed an incredible two days on the show floor with the return of live events. Exhibitors and visitors were pleased to be back face to face and to get down to business. “It was RAMazing to be back at the franchising expo engaging with franchiseminded people who are ready to become their own boss and carve out their future success for themselves and their families. We were energized by the buzz in the hall and delighted with the interest in our franchise offering. Well worth coming to Melbourne for, and can’t wait to get to Brisbane and Perth later in the year.” said Lisa Jackson from Rams. Susan Toft from the Laundry Lady said it was an exciting couple of days. “We found the Franchising Expo a great experience to get our brand in front of motivated people who are looking to start their own business.”
“I think it goes to show how vibrant and successful this industry really is,” says Exhibition Manager Fiona Stacey. “We were quietly confident, but it was still a huge relief to see crowds lining up for the opening. It marks the return of live events to Melbourne and huge interest in working for yourself.” Choosing the right franchise is about matching your personality, skills, experience and motivation to a particular franchise. It’s about getting a good fit between you and the business. The Sydney Franchising Expo in August will offer exciting concepts like Dream Doors, Fernwood Fitness, Noddle Box, Ogalo, Oliver Brown, Pizza Hut, Poolwerx, Signarama, Snap Fitness and The Graffiti Eaters. “We are thrilled to bring the Franchising Expo to Sydney” says Fiona. Like its sister Expos in Melbourne, Brisbane and Perth, the Sydney event will offer visitors a forum to compare and research a diverse range of franchise opportunities, with investment levels from under $10,000 to more than $500,000. There will also be legal and financial advice to buy and set up your new business or franchise and the Franchise Council of Australia (FCA) will be on hand to provide information and answer any franchising queries. One of the most popular features of the Franchising Expo is the free seminar series at the centre of the show. In Melbourne, the seminars featured keynote speakers Andrew Morello from The Entourage, Diana Williams
Reader special: Register to visit any Franchising & Business Opportunities Expo in 2022 for HALF PRICE at: www.franchisingexpo.com.au by using promo code: CGB 60 business franchise MAGAZINE
from Fernwood Fitness and Marcel Lal from InXpress with interesting panel sessions with David Mansfield from Quest Apartment Hotels, Darren Lane from Degani, and Sean O’Connor from Craveable Brands. Gain the freedom and flexibility of being your own boss with an established brand and support network behind you. Visit the show to explore a wide variety of franchises, advisors and business ideas, all under one roof. Now is the time to book and secure your place in our Sydney, Brisbane and Perth shows. Contact Fiona Stacey for more information on exhibiting Phone: 03 9999 5464 Email: fiona@specialisedevents.com.au www.franchisingexpo.com.au
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Choosing the right franchise is about matching your personality, skills, experience and motivation to a particular franchise. It’s about getting a good fit between you and the business.
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diary dates: sydney: 5-6 August ICC Sydney
Brisbane: 14-15 October Brisbane Convention & Exhibition Centre
perth: 13 November Crown Perth
melbourne: Returns in 2023
20222022 NewNew World World ewNew Opportunities Opportunities
dvice•from Free the advice experts from the experts he people • Meetbehind the people the brands behind the brands eminars • Free daily seminars daily
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Melbourne 1-2Melbourne April 20221-2 | Sydney April 2022 5-6 August | Sydney 2022 5-6 August 2022 Brisbane 14-15 Brisbane October14-15 2022October | Perth 13 2022 November | Perth 13 2022 November 2022
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ENDORSED BY
ENDORSED BY
business franchise MAGAZINE 61
hot t0pics
behind the
headlines Jason Gehrke is the director of the Franchise Advisory Centre and has been involved in franchising for more than 30 years at franchisee, franchisor and advisor level. He advises both existing and potential franchisors and franchisees, and conducts franchise education programs throughout Australia. He has been awarded for his franchise achievements, and publishes Franchise News & Events, Australia’s only fortnightly electronic news bulletin on franchising issues. In his spare time, Jason is a passionate collector of military antiques. www.franchiseadvice.com.au
Franchise Disclosure Register website now online The Australian Government’s new Franchise Disclosure Register that was legislated into existence by the latest changes to the Franchising Code of Conduct on March 31 is now available online at www.franchisedisclosure.gov.au Franchisors will be required to upload certain information to create a profile on the Register by logging-in with a MyGov ID, and publish disclosure information about their franchise no later by November 14. The Register will go live and be searchable by potential franchisees and others from November 15. The online Register will be operated by the Government, but will not vet or check documents before they are uploaded. Franchisors will be responsible for the accuracy of all information contained in their disclosure documents, with access to the online register available for free to any member of the public. The Register will require franchisors to keep their information up to date, and must be updated at least once a year by the 14th day of the fifth month following the end of the financial year (ie. within two weeks after the franchisor updates their disclosure document each year). Failure to provide this information will be a breach of the Code and incur a civil penalty. The Code changes state that the Register may contain a franchisor’s disclosure document, key facts sheet and standard form agreement, although at the very least a franchisor must provide their name, trading name, ABN, 62 business franchise MAGAZINE
office address, phone and email contacts, and ANZSIC division and subdivision codes for the industry in which the business operates. To see the Register website, visit www.franchisedisclosure.gov.au
Increased Code penalties up to $10m commence From 15 April 2022 penalties for breaching the Franchising Code increase and more clauses of the Code carry a penalty, according to an Australian Competition and Consumer Commission (ACCC) statement. In most cases where a penalty for breach of the Code is incurred, the maximum penalty will be up to $133,200 according the ACCC, however for certain provisions, greater financial penalties apply. These provisions are: • the disclosure of materially relevant facts (cl 17(1) and (2)) • restricting the freedom of association of franchisees or prospective franchisees (cl 33) • terms of agreement for new vehicle dealership agreements (cl 46A(1)-(3) and cl 46B). For these seven provisions there are greater maximum pecuniary penalties per contravention, which for corporations, will be the greater of $10 million, or three times the value of the benefit received, or 10% of annual turnover in the preceding 12 months, if a court cannot determine then benefit obtained from the offence. For individuals, breaches of these seven provisions will be up to $500,000.
Franchisors are also reminded that if someone expresses an interest or formally applies to buy a franchise, franchisors must give them a copy of the information statement, and from 15 April 2022, this must happen no later than 7 days after a prospective franchisee expresses an interest.
Macca’s knockoff trademark appears in Russia A local alternative to burger chain McDonald’s is gearing up to open in Russia, complete with a yellow and red logo that looks almost identical to McDonald’s golden arches, according to a media report. Russian burger restaurant chain Uncle Vanya filed its trademark, which resembles the golden arches albeit tilted 90 degrees to the right, on March 12 after McDonald’s suspended operations in the country in response to the war in Ukraine. Uncle Vanya’s arches form part of a letter “B” in the Cyrillic alphabet, corresponding to “V” in Vanya. A parliamentary speaker and officials in Russia have encouraged Russian brands to take over McDonald’s locations and ignore patents and trademarks owned by entities from countries deemed hostile by the Russian government.
of the Code, as well as expanded the range of breaches for which penalties could be applied, and introduced a new mega penalty of $10 million, or three times the value of the benefit derived from the contravening behaviour, or 10% of the franchisor’s turnover, whichever is the greater. The second changes issued just two weeks later on March 31, enshrined the concept of a Franchise Disclosure Register into the Franchising Code, which had been announced by the Government last year in response to the 2018 Inquiry into the Franchising Code of Conduct. The new Register is mandatory from November 14 this year, and will require franchisors to provide certain prescribed information for inclusion in the publicly-searchable register.
Convenience chain delivers 300 tons of aid to Ukraine A convenience retail chain in Poland with more than 4,000 stores has provided almost 300 tons of food and essential hygiene products to Ukraine, with the latest delivery of 60 tons sent direct to Ukraine’s capital Kyiv, according to a media statement.
Franchise class action settles for $98m
Lawnmowing franchise ditches petrol mowers
Convenience retail franchisor 7-Eleven has agreed to pay $98 million to settle a class action lodged by franchisee entities encompassing 600 stores which claimed the company misled them about the accuracy of labour costs and average wages, according to a media report.
New Zealand lawnmowing franchise LawnRite has swapped petrol-powered lawnmowers and gardening equipment for solar rechargeable battery-powered equipment, for both economic and environmental reasons, according to a media report.
The class action resulted from a 2015 investigation into underpayment breaches by 7-Eleven franchisees, which the franchisees claimed the franchisor was aware of, and the subsequent back-payment of more than $170 million by 7-Eleven to the underpaid workers.
Over the last six months, LawnRite operators have had their trailers modified to become solar powered charging stations for their equipment. The switch to solar costs around NZD$2,500 but will reportedly save franchisees up to NZD$40 per day in fuel. LawnRite’s parent company, Rite Group, is investigating how its other brands, including CleanRite and WashRite, could also switch to renewable energy.
Lodged in 2018, the lawsuit alleged 7-Eleven provided prospective franchisees with misleading documents and records relating to the profitability of stores, and that they knowingly offered franchise agreements for stores which could only turn a profit if staff were underpaid, not paid, or paid below award rates. Franchisees were reportedly told employee costs would be around 7%t of business costs, when in reality they were around 13%. The settlement is inclusive of all legal costs without any admission of fault by 7-Eleven.
Franchising Code changes twice in just two weeks Franchising regulations in Australia were amended twice within 14 days in March as the Australian Parliament rose ahead of the upcoming federal election. The first changes were issued on March 17 and doubled financial penalties for breaches
In Poland, the Zabka chain is ubiquitous, with about 15.5 million Poles living with 500m of a Zabka store. The nation shares a border with Ukraine and has been flooded with more than 1.5 million Ukrainian refugees fleeing the war. Zabka franchisees are providing humanitarian support, while the chain is also collecting donations for charities including the Red Cross and company staff are encouraged to assist in aid efforts.
New Zealand franchise award winners announced The winners of the Westpac New Zealand Franchise Awards were announced in an online event held on March 6. The Franchise System of the Year award was won by commercial cleaning brand CrestClean, and the Franchisee of the Year was awarded to Gary and Kirsten Camoin, franchisees of rival cleaning chain Paramount. The awards were due to be held in 2021 but were delayed until this year due to the pandemic, and recognised 75 finalists across all categories. Franchise New Zealand was awarded Service Provider of the Year for its magazine and website which promotes franchising and educates franchise buyers in New Zealand. business franchise MAGAZINE 63
What is the best What is the best What is the best way to expand way to expand way to expand your business? your business? your business? Licensees, network members or franchisees? Licensees, Licensees, network network members members or or franchisees? franchisees? With 25 years in the industry, we know how to successfully grow a business locally, nationally and internationally. With 25 years in the industry, we know how to successfully grow With 25 years in the industry, we know how to successfully grow a business locally, nationally and internationally. Let’s work out the best locally, expansion systemand for internationally. your business. One that’s a business nationally built around your products and business systems. Let’s work out the best expansion system for your business. One that’s Let’s work out the best expansion system for your business. One that’s built around your products and business systems. built around your products and business systems.
Putting it all together is our responsibility.
Contact Colin Crawford National Franchise Manager 0425 838Colin 800 Crawford Contact Contact Crawford FREECALL 1300 249 276 National Colin Franchise Manager National Franchise Manager 0425 838 800 0425 838 800 FREECALL 1300 249 276 FREECALL 1300 249 276
Our team of specialist consultants provides a Putting it all together is our responsibility. one-stop-shop for business planning, system Putting it all together is our responsibility. manuals, documentation, andprovides most a Our team legal of specialist consultants Our team of recruiting specialist consultants provides a will importantly, suitable candidates that one-stop-shop for business planning, system one-stop-shop for business planning, system build your network. manuals, legal documentation, and most manuals, legal documentation, and most that will importantly, recruiting suitable candidates importantly, recruiting suitable candidates that will www.franchisedevelopments.com.au build your network. build your network.
Melbourne www.franchisedevelopments.com.au I Sydney I Gold Coast I Adelaide I Hobart I Perth www.franchisedevelopments.com.au Melbourne I Sydney I Gold Coast I Adelaide I Hobart I Perth Melbourne I Sydney I Gold Coast I Adelaide I Hobart I Perth Franchise Mag Ad Press Ready - Apr 2022.indd 1
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professional services listings
Level 3, 145 Eagle Street, Brisbane QLD 4000 P 07 3221 2221 E info@morganmac.com.au https://www.morganmac.com.au/ We are a boutique firm specialising in Commercial Litigation, Dispute Resolution and Franchising; with extensive experience in complex commercial litigation involving disputes between franchisors and franchisees and in providing legal advisory services to franchise businesses.
Level 6, 64 Marine Parade (PO Box 10857) Southport Qld 4215 P 07 5591 2522 F 07 5591 2511 Contact Sam Rees E sr@ippartnership.com.au www.ippartnership.com.au A specialist Franchising and Intellectual Property legal firm, providing advice for Franchisors from conception to recruitment and ongoing management.
The franchise related legal services we provide include: • Commercial litigation • Dispute resolution and franchise mediation • Franchise Dispute solutions and strategies • Corporate and business structuring • Purchase or sale of franchise businesses • Advising on franchise documents • Advising on franchise renewal or exit • Preparing franchise documents • Risk and compliance advice • Commercial and retail leasing • Privacy and privacy policy advice
The firm takes great pride in its long term relationships with Franchisors and providing clients with expert, tailored and cost-effective advice. Expert advice and assistance is also provided to Franchisees buying & selling businesses as well as in relation to disputes.
Commercial litigation and franchising are complex areas of law. We help our clients to resolve or navigate legal matters and obligations in the context of their businesses. We recommend strategies to clients that minimise and manage the risks of legal non-compliance and legal disputes.
Suite 13, 317 Whitehorse Road, Nunawading VIC 3131 P 1300 123 300 Contact Fred Nadde E fred@steadfasteastern.com.au fred@steadfasteastern.com.au
Offices: VIC – NSW – QLD Licensed: SA – WA – NT – TAS P 1300 249 276 Head Office + 61 3 9999 5488 Contact Colin Crawford E info@franchisedevelopments.com.au www.franchisedevelopments.com.au
Shopinsurance has been looking after the needs of franchisees and franchisors for over 15 years. We offer via our website automated business insurance solutions backed by “one on one” personal advice, to ensure all our customers receive a personal level of care. We look after the needs of franchisees such as Just cuts, Hairhouse Warehouse, Gloria Jeans, AFL stores, Michel’s patisserie, Subway and Schnitz. All it takes is one phone call or email and we take the worry out of what insurance coverage you need, how much it costs and best way to structure your insurance for one shop or for a franchisor insurance facility for all.
We work with our clients to implement their commercial objectives. Our aim is to achieve the best possible outcome for our clients.
Franchising involves having a reproducible profitable business system that can be taught to keen and enthusiastic franchisees. Sounds simple doesn’t it. But successful franchising involves empowering franchisees with better business strategies, better buying, better marketing and, for the franchisor, better franchise recruitment. With 26 years in the franchise industry, WFD’s role involves putting it all together with better: • Franchise Expansion Planning • Franchise Legal Documentation • Franchise Manuals / Systems • Franchise Recruitment Looking to grow your business? Contact us today. ‘Franchising businesses…Locally, nationally, internationally.’
Give our Director a call on 1300 123 300 Australia wide.
business franchise MAGAZINE 65
franchise listings FRANCHISE 7-ELEVEN Building 2 658 Church Street, Richmond, Victoria, 3121 Phone: (VIC) 03 9550 0600, (NSW) 02 9798 1200, 07 3291 9400 (QLD) Website: www.7elevenfranchise.com.au
ARAMEX Level 9, 491 Kent Street, Sydney, NSW 2000 Phone: 1300 3278 929 (AUS) 0508 692 726 (NZ) Email: fso@fastway.com.au (AUS) recruitment@fastway.co.nz (NZ) Website: www.aramex.com.au www.aramex.co.nz
BANJO’S BAKERY CAFE -Banjos Corporation 85 Liverpool Street, Hobart. Tasmania, 7000 Ph: 03 6210 5000 Website: www.batteryworld.com.au/Franchise-Opportunities
BK’S TAKEAWAY 95 Princes Highway, Trafalgar VIC 3824 Ph: 0408 129 035 Email: grant@bkstakeaway.com.au Website:www.bkstakeaway.com.au
CENTRE STAGE DANCEWEAR Shop 1, 35-43 Monaro Street, Seven Hills, New South Wales 2147 Phone: 02 9624 3335 Email: Kassandra@centrestagedancewear.com.au Web: www.centrestagedancewear.com.au/
CITY FARMERS DOGWASH Quarter One, Level 2, 1 Epping Road, North Ryde, NSW 2113 Ph: 0402 902620 Email: scott.mcintosh@cityfarmers.com.au Website: www.cityfarmers.com.au/dogwash
DECKSEAL PO Box 4093, Burwood East VIC 3151 Ph: 1800 332 525 Email: admin@deckseal.com.au Website: www.deckseal.com.au
DYMOCKS TUTORING Level 3, 1-3 Fitzwilliam Street, Parramatta NSW Ph: 02 8774 2626 Email: franchising@dymocks.education Website: www.franchising.dymockstutoring.edu.au
Dairy Bell Franchising Pty Ltd 96 Barkers Rd, Coburg VIC 3058 Ph: 03 9350 1800 Email: sam@dairybell.com.au Website: www.dairybell.com.au
ECOMIST 25 Hargraves Place Wetherill Park NSW 2164 Ph: 1800 243 500 Email: info@ecomist.com.au Website: www.ecomist.com.au
FlipOut Adventure Park Level 3, 490 North Bourne Ave, Dickson, ACT, 2062 Phone: 0418 620 680 Email: info@flipout.com.au Website: www.flipout.com.au
GeckoSports Melbourne VIC Ph: 0405 001 870 Emaill: franchise@geckospots.com.au Website: www.geckosports.com.au/joinus
HOME CARING 4/327 Woodpark Road, Smithfield, NSW, 2164 Phone: 1300 640 887 Email: info@homecaringfranchise.com.au Website: www.homecaringfranchise.com.au
INXPRESS 3/14 Burke Crescent, North Lakes, QLD 4509 Ph: 1300 097 857/0434 111 985 Email: Sales.au@inxpress.com Website: inxpress.com.au
JIMS’S CLEANING GROUP D5, 1-13 The Gateway Broadmeadows VIC 3047 Ph: 131 546 Email: admin@jimscleaing.net.au Website: www.jimscleaning.com.au
JIM’S POOL CARE 48 Edinburgh Road, Mooroolbark VIC 3138 Ph: 131 546 Email: info@jimspoolcare.com.au Website: www.jimspoolcare.com.au
JUST CUTS Level 1, 4-6 Kingsway, Cronulla NSW 2230 Ph: (AUS) 1800 334 498 (NZ) 0800 100 114 Email: bdm@justcuts.com Website: www.justcuts.com
KUMON EDUCATION PO Box 5363, West Chatswood, NSW 1515 Ph: 03 9684 8700 Email: recruitment.vic@kumon.com.au Website: kumoninstructors.com.au/Franchise
LASER CLINICS AUSTRALIA Unit 21, 39 Herbert Street, St Leonards, NSW 2065 Ph: 0400 303 272 Email: Franchising@laserclinics.com.au Website: www.laserclinics.com.au/franchise-opportunities
MINDCHAMPS EARLY LEARNING AUSTRALIA PTY LTD Suite 1, Ground Floor 92-94 Norton Street, Leichhardt, New South Wales 2040 Ph: 1300 646 324 Email: tinat@mindchamps.org Website: au.mindchamps.org
My First Gym Australia/New Zealand Ph: 0434 071 536 Email:Dan@myfirstgym.com.au Website: myfirstgym.com.au
NENE CHICKEN AUSTALIA 120 Turner Street, Port Melbourne, Vic 3207 Ph: 03 8526 4488 Email: info@nenechicken.com.au Website: www.nenechicken.com.au
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NATURE OF BUSINESS
OUTLETS
ASSOC MEMBER
INITIAL FEE
MIN INVEST
RETAIL
700 OUTLETS
FCA, AACS
Site Specific
$400,000$1,000,000 (site dependant)
FREIGHT & LOGISTICS/ COURIER
29 (AUS) 18 (NZ)
FCA
Available upon application
Dependant on territory
FOOD-BAKERIES
96
-
-
-
FOOD TAKE-AWAY
2
FCA
$30,000
$150,000 + GST
RETAIL DANCEWEAR
5
-
No Ongoing Franchise Fees
$34,990
mobile dog wash
21
FCA
$20,000
$30,000
DECK AND TIMBER RESTORATION
14
FCA & AIG (Australian Industry Group)
$33,000 + GST
$65,000 + GST (incl Franchise Fee) + vehicle
TUTORING
2
FCA
$40,000
-
Retail Food Service
6
None
$290,000 $350,000
HYGIENE PRODUCTS & SERVICES
33 in AUS, 18 in NZ
FCA
None
$10,000 - $300,000
Indoor Recreation
17
FCA, ACAA
VARIES
Varies $200,000 – 1.2 Million
SCHOOL KIDS’ SPORTS & FITNESS PROGRAMS
18
FCA, ACAA
$40,000 + GST
$20K Franchise Fee + $20K Start-up Kit, everything you need.
HEALTH/AGED & DISABILITY CARE
40
FCA
-
$50,000-$100,000 (in partnership with the franchisor)
INTERNATIONAL AND DOMESTIC FREIGHT CONSULTANTS
48
FCA, IFA
$64,950
-
HOME SERVICES
1,050
-
$20,000 -$30,000
$20,000
MOBILE POOL SHOP & POOL SERVICE
100+
FCA
$69,000
$69,000 + Vehicle
HAIRDRESSING
210+ across Australia, NZ & UK
FCA
$18,000-$35,000
$80,000-$240,000
AFTER SCHOOL TUITON
322
FCA
$5,000
$4,000-$30,000
LASER, INJECTABLES, SKIN TREATMENTS, BODY
180 +
FCA
$60,000+GST
$290,000+GST
Early Childhood Education Services
21
-
-
-
ChiLdren’s Fitness Franchise Business
13
-
$50,000
$450,000 - $550,000
RESTAURANT/QSR
23
-
-
Franchisees can expect from $400,000 - $650,000 for outlet development
FRANCHISE OPTUS business centre Email: bradley.tattam@optus.com.au Website: https://www.optus.com.au/business/business-centre/partners
PACK & SEND Unit 3C Mfive Business Park, 1 Moorebank Ave, Moorebank, NSW 2170 Phone: 0447 711 353 Email: luke.martin@packsend.com.au Website: www.packsend.com.au
PAPPARICH 120 Turner Street, Port Melbourne, Victoria Ph: 03 9645 4667 Email:business@papparich.net.au. Website: www.papparich.net.au
RAMS Level 12/321 Kent Street Sydney NSW 2000 Ph: 1800 616 082 Email: franchising@rams.com.au Website: www.RAMS.com.au/franchising/
ROLL’D Head Office: Waterman Business Centre, Level 2, UL40/1341 Dandenong Road, Chadstone, VIC 3148 Ph: 03 8564 8186 Email: franchise@rolld.com.au Website: rolld.com.au
RYCO 24•7 99 Calarco Drive, Derrimut VIC 3026 Ph: 1300 111 247 Email: sales@RYCO247.com Website: www.RYCO247.com
SENIOR HELPERS Level 3, 63-65 Cameron Street, Launceston TAS 7250 Phone: 03 6333 4575 Email: lwilliams@seniorhelpers.com.au Website: www.seniorhelpers.com.au
SNAP-ON TOOLS PO Box 6077, Seven Hills NSW 2148 Ph: Aus: 1800 762 766 NZ: 0800 762 766 Email: sota.franchise@snapon.com Website: www.snapontools.com.au
SPEED QUEEN 67 Colebard Street, Acacia Ridge, Qld 4110 Phone: 1800 304 030 Email: sales@andrewbarton.com.au Website: www.sqcommercial.com.au/franchise
SUBWAY SYSTEMS AUSTRALIA PTY LTD Level 1, 42 Amelia Street, Fortitude Valley QLD 4006 Ph: 1800 630 355 Email: australia_development@subway.com Website: www.subway.com.au
NATURE OF BUSINESS
OUTLETS
ASSOC MEMBER
INITIAL FEE
MIN INVEST
Local telco support for Business
35
-
-
-
LEADING PARCEL & FREIGHT RESELLER
115 +
-
$77,000 ex GST
From $230,000 for a Greenfield Service Centre
HOSPITALITY AND RETAIL
32
-
Included in the Investment
$500,000
FINANCE
50
FCA
$35,000 + GST
$200,000
FOOD – RESTAURANTS AND DINING
95
FCA
$50,000
$400,000 plus
HYDRAULIC SERVICE AND MOBILE CONNECTOR SPECIALISTS
120
-
$15,000
Various Options
Home care for aged and adults with disabilities
14
FCA
$65,000
-
MOBILE TOOLS AND EQUIPMENT FRANCHISE
175+
FCA / FANZ
Start-up cost from $50,000
-
self serve LAUNDromats
200+
-
20%-30% Deposit
$75,000
FOOD - QUICK SERVICE RESTAURANT (QSR)
1354* (AU) 263* (NZ), 41,526* in 108 countries *as of 5 Sept 2019
-
AUD15,000 + GST (Australia), USD12,500 + GST (New Zealand)
AY W REAT G A ARE S G N ESS N SI A-Z LISTI U B R U O Y TE O M O R P O T
For more information call 03 9787 8077 (or +61 3 9787 8077 from outside of Australia) and speak to one of our Sales Executives or go to: www.businessfranchiseaustralia.com.au
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A-Z franchise directory
7-eleven Looking for your next move? Your opportunity awaits with 7-Eleven Australia. 7-Eleven operates a growing network of more than 700 stores in Victoria, New South Wales, the Australian Capital Territory, Queensland and Western Australia. A franchise with 7-Eleven means owning your own business with a success proven model and the ability to create a work-life balance that suits you. When you
Aramex Aramex has been operating internationally for almost 40 years. In New Zealand and Australia, we began as Fastway Couriers over 35 years ago, joining the Aramex family in 2016. The Aramex network across New Zealand and Australia now includes 28 regional franchises and over 1200 franchise partners. We offer our franchise partners an awardwinning system, world-class technology,
Banjo’s Bakery Café A family-owned Tasmanian staple since 1984, Banjo’s Bakery Café is a place to come together and enjoy quality, freshly-baked savouries, breads, sweets and barista-made coffee. With over three decades of baking experience and 7 million customers each year, Banjo’s currently has over 44 successful franchise stores across Tasmania, Queensland, Victoria, New South Wales and South Australia.
BK’S TAKEAWAY BK’s Takeaway is a retail food outlet specialising in hot and tasty ready-to-go food and also offering a variety of dine-in options.
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buy a 7-Eleven franchise, you buy two things. Firstly, a brand name that’s recognised around the world, and secondly a business system that works. It’s your opportunity to be a part of your local community, interact with customers every day, and build something that’s yours. We’ll help you at every step of the way, from setup and training, to marketing and even bookkeeping, we’ll help turn your new investment into a solid investment. Email: 7elevenfranchise@7eleven.com.au www.franchise.7eleven.com.au
training and support to help them to run their own rewarding business in their local communities. For more information contact: AUS: 1300 327 892 fso@aramex.com.au www.aramex.com.au NZ: 0508 692 726 recruitment@aramex.co.nz www.aramex.co.nz
Committed to the community that has supported our brand since its inception, Banjo’s has never lost sight of our family values, donating over two million dollars of product to local community organisations each year. Our bakery strives for customer satisfaction through a modern approach to traditional baking, a unique product offering and iconic Tasmanian hospitality. https://banjos.com.au/
place to enable franchisees to build highly profitable businesses.
BK’s Takeaway is all about traditional Australian fare – from hamburgers, potato cakes, and fish and chips, to sandwiches, coffee, and lots more. BK’s Burgers were also voted one of Victoria’s top 5 burgers.
Becoming a franchisee with BK’s gives you the advantage of learning from our industry experience team to help you get started in your new venture. Not only will you receive on-going support from us, but you’ll also be part of a growing family of franchisees sharing similar goals and objectives.
The BK’s Takeaway franchising system is based on over 20 years experience in the food and beverage industry. This means we have the right systems and processes in
Contact: Grant Garraway 0408 129 035 Email: grant@bkstakeaway.com.au Web: www.bkstakeaway.com.au
business franchise australia and new zealand
For more information call 03 9787 8077
A-Z Listings are a great way to promote your business,
speak to one of our Sales Executives or go to
giving you a presence within our publication and also
www.businessfranchiseaustralia.com.au or
the Business Franchise website.
www.businessfranchisenz.co.nz
(or +61 3 9787 8077 from outside of Australia) and
CENTRE STAGE DANCEWEAR Centre Stage Dancewear is now offering a unique & exciting opportunity to Franchise our Pop Up Shops all across Australia. There are a lot of reasons to invest in a Centre Stage Dancewear Franchise starting with a guaranteed turnover of $70,000 for the first 12 months*, low overheads leading to increased profit margins and no excess stock to hold.
CITY FARMERS DOGWASH Be part of the City Farmers Dogwash franchise system with all the support that comes with it, it allows you to concentrate on your business;
One of the many perks of owning a CSD Franchise is the flexible working hours and the opportunity to build your own CSD family with your studio owners. Do you think you would have what it takes to be a part of our CSD family? For all initial enquires contact Kassandra today. kassandra@centrestagedancewear.com.au www.centrestagedancewear.com.au/
• Lowest franchisee fee in this market • Initial & ongoing training & support. Be part of a team of like-minded franchisees. We also have back-up equipment should you have a breakdown you can use to keep you working, including a spare van!
• Group marketing power to support your business
• Take a holiday knowing your fellow franchisees can help look after your customers when your away and they are still yours on your return
• Managed website including optimized search engine listing and adwords
• Group buying power for equipment and consumables saving you $ that no independent operator could ever receive.
• 24/7 call centre
• We use a van, not a cumbersome trailer. The hydrobath comes out of the van so the dog is washed in its yard and is more relaxed. The van is much easier to drive and reverse than a trailer too!
• Work your own hours
• Social media management and support, we can do it all for you • Lead generation • LARGE EXCLUSIVE TERRITORY – ALL LEADS COME TO YOU with NO COST PER LEAD FEE
For more information call Scott McIntosh on 0402 902 620 or visit www.cityfarmers.com.au/dogwash.
Dairy Bell
Dairy Bell franchise provides you with the following advantages in a business that you own: • Fully setup retail shop • State of the Art Systems • One-stop ordering • Premium products • Staff training • Local Area and Social Media marketing • Ongoing support
With over 50 years of retailing experience, Dairy Bell is one of Australia’s most experienced companies in the food service sector. During that time, Dairy Bell has evolved and adapted to changing conditions and today is no exception. Our business model turns the customer experience into memories that keeps them, and their family, coming back again and again. As a Dairy Bell franchisee, you are investing in a company that knows how to support its people. You will directly benefit from our focused and practical support with training and systems designed to make you money. Your
DECKSEAL DeckSeal help homeowners and commercial clients around Australia, transform their outdoor living spaces by restoring old timber and preserving new timber. Low start up cost, mobile business and a proven established model – it’s the perfect opportunity to seal your future with a DeckSeal Franchise. The restoration and preservation of timber structures and decks is a niche business, placed within a significant growth market. Now more than ever, people will be entertaining at home and utilizing their outdoor areas. A timber deck is an iconic part of the Australian outdoor lifestyle and a key feature in countless homes across the country. Our franchisees love what they do. The satisfaction they get out of their work and business is endless, from seeing the deck at the beginning of the project to the final result is amazing! We undertake a wide range of projects including decking, cladding, screens, fences, seats, handrails, posts, outdoor furniture, planter boxes and garden edges and with
DYMOCKS TUTORING Dymocks Tutoring is tutoring business owned and operated by one of Australia’s oldest franchises, Dymocks. We’ve made the logical leap from books to education. Operating two outlets since 2018 and a large online tutoring business, Dymocks Tutoring is now ready to start expanding our local learning hubs! We’re looking for franchisees who are excited to help students maximise their marks and see tangible change in their grades. At Dymocks Tutoring we believe in accessibility so we’re about making tutoring affordable and more available to more students across the country.
Phone: 03 9350 1800 Email: sam@dairybell.com.au Web: www.dairybell.com.au
a continual flow of enquiries, repeat business and an overwhelming demand for our services, a DeckSeal franchise should not be missed. DeckSeal offers everyday people the perfect opportunity to capitalise on their existing skills or quickly build a new set without the burden of learning a new trade. Full training and ongoing support are provided with operational manuals. DeckSeal currently has territories available in NSW, QLD, WA, SA and TAS. Our current franchisees are from all different employment backgrounds and possessed varied business capabilities, but all reap the rewards of owning a DeckSeal franchise. If you’re a motivated, honest and organised person who wants to own a business that enables you to have more flexibility in your life, have control over your income, and bring a smile to your client’s face – then we want to talk to you. Now is the time to buy into the home improvement market, so get 2021 back on track and contact us today – email admin@deckseal.com.au or call Danielle on 1800 332 525
If you want to get involved in your own Dymocks Tutoring franchise, we’re looking for people with a passion for education. You don’t need to be a qualified teacher, or educator. We supply all your notes and materials and help you hire qualified tutors, you just need to have a drive to help your local community learn better and a drive to run your own business. For for information: 02 8774 2626 franchising@dymocks.education www.franchising.dymockstutoring.edu.au
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A-Z franchise directory
ECOMIST AUSTRALIA Established in 1994, Ecomist Australia is a leading provider of premium quality hygiene products and services, specialising in Odour Control and Insect Control. Our core product is an innovative programmable aerosol dispensing system that won an award for the Best New Product from The Aerosol Association of Australia and New Zealand. Our aerosol products are manufactured in New Zealand and we offer a natural insect killer and over 30 fragrance options with French perfume.
flipout Be part of the Flip Out Global Success story. Invest in an experience that brings people of all ages and communities together in a fun, safe & healthy environment. Flip Out is so much more than a business, it’s a community, bringing people together in a happy, fun and adrenaline filled environment! The popularity of the Indoor recreation sector is rapidly growing and Flip Out is a market leader.
Over the last 23 years we have developed a secure and proven franchising business model. Each Ecomist franchise has its own exclusive territory based on post codes and purchase price is generally 2x the net income of the existing business. If you are interested in finding out more, please contact Gary Vandoros on 1800 243 500, email info@ecomist.com.au or visit www.ecomist.com.au
adventure parks have a broad offering from parc or to ninja warrior, soft play and climbing. Benefits of a Franchise System: • You’ll be entering into a proven business model. • You don’t need prior industry-specific experience to own a Flip Out Franchise. • All training is provided. Phone: 0418 620 680 Email: info@flipout.com.au
Flip Out’s target customer market is all-inclusive. The
Website: www.flipout.com.au
GeckoSports
Reasons to invest in a GeckoSports Franchise...
KIDS SPORTS & FUN FITNESS Own a GeckoSports Franchise today!
• Low level investment • Low overheads • Multiple channels of revenue • Excellent margins & profitability • Non-seasonal -> operate all year round • Weekly and monthly cashflow • Accredited Government funded programs • Website referral system • Supportive operating system & environment • Scientific multi-sports and fun fitness programs • Diversity -> no day is the same • FUN + ACTIVE + REWARDING!
Do you find the traditional 9-5 job stuck indoors all day unappealing... you’re not alone! A GeckoSports franchise instantly gives you the work/life balance you’ve only ever dreamed of. Become your own boss where you have the autonomy to work within your local community engage with kids, families, schools, sports clubs, councils and more delivering fun active kids sports and fitness programs! Imagine being able to follow your life’s passion and desire to keep kids active while improving their health and wellbeing!
Home Caring Pty Ltd Proudly Australian owned, Home Caring provides professional and compassionate personalised care services in the home and community and is seeking franchisee with health experience who can build a solid financial future combining their local networks and the national marketing of the Home Caring and Dementia Caring brands. We are seeking high achievers, preferably registered nurses who want to make a difference in the community by providing excellent quality of care to clients.
INXPRESS InXpress is one of the world’s largest logistics franchisors. Our innovative proprietary shipping platform allows small to medium businesses to easily book and track their domestic and international shipments online, whist receiving local support from their freight consultant (franchisee). Our global buying power means that our franchisees can offer their customers great rates from a choice of world-class carriers such as DHL, TNT, Startrack and UPS. With 400+ franchises globally, operating in 14 countries, InXpress continues to grow its Australian footprint.
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Our ultimate aim is to enhance the environments of our customers through our high quality products and excellent after-sales service.
For more information contact our Franchise Manager Alex Johnson on 0405 001 870 Email: franchise@geckosports.com.au
The active franchisee partner manages the daily operation of the branch, sourcing new clients, ensuring existing clients’ needs are being met, recruiting and training care workers and managing a team of people. A comprehensive training program, ongoing operational support and a full suite of cloud-based business management tools assist with the growth and success of your home care business. Contact Bill Lockett for more information on: info@homecaringfranchise.com.au 1300 640 887
A global leader with a proven franchise business model developed over 20 years, InXpress Australia is looking for motivated individuals, with a passion for business and sales, to join our thriving franchise network of freight consultants, with low investment and minimal risk. You’ll benefit from comprehensive training and ongoing coaching, an automated user-friendly system and established carrier partnerships, all fully supported by our experienced operations, coaching and service support teams. Phone: 1300 097 857 Email: sales.au@inxpress.com Website: www.inxpress.com.au
Jim’s Cleaning Group Jim’s Cleaning for home and office cleaning, domestic and commercial cleaning. From windows to blinds, from cars to kitchens, from carpets to driveways, from factory floors to office floors – Jim’s Cleaning does it all. Jim’s Cleaning is Australia’s leading home and commercial cleaning service with services available in every state and our reputation is top class. We cater for both home and business owners and
JIM’S POOL CARE MOBILE POOL SHOPS Join our team and Australia’s largest franchise system to build a business that suits your goals and lifestyle. Owning a Jim’s mobile pool shop means you can earn money from multiple streams. You charge for your time and charge for the lucrative pool items such as chemicals, pool equipment and pool accessories. This means your income is not limited by how many hours you can work and gives you scope to grow the business to a level that suits you.
JUST CUTS™ Just Cuts has over 30 years’ experience across Australia and New Zealand. Now the largest hairdresser in the Southern Hemisphere. Embracing business management and training Technology allows owners to remain on the pulse of the business remotely, and hence over 55% of Just Cuts owners are multi salon operators. The dedicated Academy Team provide Operations and Marketing support and the Justice Product range is providing our owners with secondary income stream in each salon.
KUMON EDUCATION In 1954, Toru Kumon, a high school maths teacher in Japan, found that his year two son had done poorly in a mathematics test. Slow, imprecise calculation skill was the reason. This concerned Toru Kumon as a parent, and as a mathematics teacher. He had taught many high school students who struggled with mathematics for the same reason. So, he began to hand write worksheets so his son could practice calculations by himself for half an hour every day. Day after day, he carefully matched the content to his son’s improving ability. Soon, his son progressed beyond school grade level. By the end of primary six he could solve calculus equations. Encouraged by his son’s progress, in 1958, Toru Kumon released his worksheet-based, home-study method. And today, more than 3.72 million students, in over 57 countries, study Kumon worksheets every day. There are more than 42,000 students studying with Kumon in Australia, each progressing according to ability.
LASER CLINICS AUSTRALIA Laser Clinics is the largest retail cosmetic clinic company globally, now with over 165 clinics across Australia, New Zealand, and the United Kingdom. Our successful 50/50 partnership has also won several franchising awards for this growth and innovation. With this unmatched scale comes unmatched experience. No two of our clients are the same. Therefore, the entire Laser Clinics business is built around understanding our clients not just as a group of people, but as unique individuals. This understanding finds its way into all that we do, from staff training, new products, customer service and more. Laser Clinics has a Medical Advisory Board made up of leading Dermatologists and a Medical Director who are at the forefront of innovation, new technology, as well as safety and ethical standards.
provide 6 specialist cleaning divisions to ensure that your home, car or commercial property is clean from top to bottom, inside and out. Jim’s Cleaning is a national award winning company dedicated to cleaning Australian homes and businesses. We pride ourselves on our enthusiasm to perform and complete the best job possible for you. Phone: 131-546 Email: admin@jimscleaning.net.au Website: www.jimscleaning.com.au
Another great bonus is our FLAT franchise fee. Yes, our fee is a flat franchise fee system so you can work hard and earn as much as you like and pay the same at fee with all training and ongoing support included. If you are ready for a change then you need to put us on your list. We have selected opportunities around Australia so give us a call and come for a ride along. For more information ph: 131546 or visit www.jimspoolcare.com.au
A recent study conducted by the Franchise Relationships Institute, franchisee satisfaction with the Just Cuts™ System was rated higher than any other franchise group in the benchmark. Style your work and life your way with Just Cuts. You don’t have to be a hairdresser to own a Just Cuts. Contact: Zenardia Anderberg 0488 600 036 or 1800 334 498 Email: bdm@justcuts.com Website: justcuts.com/franchising LinkedIn: Just Cuts™ Franchising
The most advanced students are extended and the least advanced supported. Each student makes progress at their own pace, not bound by age and school grade. Kumon franchisees have the opportunity to build an exciting and worthwhile business that contributes to their local communities. Kumon is searching for potential franchisees with a strong desire to work with children and high regard for education. Proficiency in both mathematics and English, and an undergraduate degree is required. Business acumen, including strong communication and customer service skills will also help to run a successful business. Become part of our global movement and provide the Kumon Mathematics and English programmes to children within your local community. For more information please contact Jaqueline Robles/Michael Susanto at: recruitment.vic@kumon.com.au https://www.kumoninstructors.com.au/Franchise
This expertise shapes all that we do in our clinics, with nothing going to our clients that hasn’t been quality controlled first and also influences the highest standard of training for our Franchisee’s, Therapists, Doctors and registered Nurses. We also have a Nurse Council, to ensure that all Nursing Standards, codes and guidelines are adhered to. Across all products categories we only use the highest quality supplier’s and the most advanced machines, with a dedicated team looking at new technology and product development to deliver the best results for our clients. All our clinics use medical grade Candela lasers and were currently introducing CoolSculpting across the network, the worldwide leader in fat reduction . www.laserclinics.com.au/franchise-opportunities
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A-Z franchise directory
mindchamps Have you ever wished you could make a difference through education? Here’s an unique opportunity to be a part of the MindChamps movement and kick start your education business.
Our long list of international awards speaks volumes for the quality and success of our education approach. Surveys conducted among parents show that the strength of our brand name is synonymous with solid scientific research, quality learning strategies and a caring child-centered environment.
Originally developed in Sydney and based on over two decades of research, our unique 3-Mind approach forms the foundation of our educational programmes in over 80 MindChamps Early Learning and Preschool centres across Australia, Singapore, the Philippines, Myanmar and Malaysia.
It’s time for Aussie kids to realise their full potential – it’s time for them to experience MindChamps!
As the only early learning organisation to develop education initiatives based on research, our programmes are backed by the work of world experts in Education, Neuroscience, Psychology
Phone: 1300 646 324 Email: tinat@mindchamps.org Web: au.mindchamps.org
business franchise australia and new zealand
For more information call 03 9787 8077
A-Z Listings are a great way to promote your business,
speak to one of our Sales Executives or go to
giving you a presence within our publication and also
www.businessfranchiseaustralia.com.au or
the Business Franchise website.
www.businessfranchisenz.co.nz
My First Gym MyFirstGym (MFG) is a fitness and wellness franchise business, set up to serve children, families and communities through offering a wide range of classes & other unique products such as birthday parties, date nights, school holiday programs and more The MFG facilities and programs are designed to support physical activity and physical literacy
NeNe CHICKEN AUSTRALIA NeNe Chicken is a popular authentic Korean Fried Chicken brand that originated in South Korea and now has 23 stores across Australia. The brand is all about creating and experiencing excitement through its’ crispy and fresh Korean fried chicken. NeNe means Yes! Yes! in Korean, represents your reaction to the crunchy on the outside, juicy on the inside fried chicken.
(or +61 3 9787 8077 from outside of Australia) and
for kids from 7 months to 15 years of age. At MFG, the Ethos is to Inspire Movement and the Mission is to be the Leader in Children’s Fitness, Internationally. For more information contact: Dan Newton 0434 071 536 Dan@myfirstgym.com.au www.myfirstgym.com.au
its unique batter mix and its authentic Korean flavours that come from NeNe Chicken Korea. NeNe Chicken is known for its wide range of unique Korean fried chicken flavours such as Freaking Hot, Snowing Cheese, Bulgogi and Snowing Chilli flavour, just to name a few. As NeNe Chicken continues to expand Australia, new potential sites are constantly becoming available. So what are you waiting for? Join our NeNe Chicken Family today!
What makes NeNe Chicken stand out is the way the chicken is prepared through its marination process,
For more information visit: www.nenechicken.com.au
Optus Business Centre
• Territory model with customer base to get you started
At Optus Business we want to change the way we service our business customers, providing the best products and value in market just isn’t enough.
• Competitive commission structure
We want to support our business customers though technology based applications allowing them to meet and exceed their business goals.
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and Theatre. We are also the only organisation worldwide to work with Professor Emeritus Allan Snyder FRS, founder of the Centre for the Mind at the University of Sydney and the Australian National University.
• Training and mentoring from our experienced Sales team • Business and marketing support
To be the company we want to be, we know we need the right partners.
We know running a business means having the confidence to take bold steps. It’s why we’re committed to helping Australian businesses, big and small, take those steps more often. It starts with yes.
We are currently seeking to expand our distribution network, here are a few ways we can support you to grow your business with Optus:
Brad Tattam bradley.tattam@optus.com.au www.optus.com.au/business/business-centre/partners
PACK & SEND PACK & SEND is equipped with the technology, systems and resources to handle the movement of parcels, freight and packages for clients located anywhere worldwide. We service the Freight, Logistics and eCommerce Fulfilment Markets.
PAPPARICH The PappaRich story began with a simple idea: to create a modern version of the traditional coffee shops in Malaysia. We strive to provide our customers a taste of Malaysian culture and cuisine, whether through a plate of Nasi Lemak or a crunchy, buttery Roti Canai, all with a cup of Teh Tarik.
With our ‘No Limits’ business model we can send & receive anything, anywhere. We save customers Time, Trouble & Money. Phone: 0447 711 353 Email: luke.martin@packsend.com.au Website: www.packsend.com.au
savoury Satay to the unforgettable Char Koay Teow, our food reflects the balance and harmony of the different cultures in Malaysia that have combined to give us the distinctive, unique taste of Malaysian cuisine. With over 30 stores in Australia with the intention to grow further, PappaRich aims to deliver quality Malaysian food to all our customers, and to be a brand that is genuinely Malaysian.
Our delicately crafted dishes never fail to deliver bursts of flavour and colour because we use only an authentic mix of herbs, spices and fresh produce, cooked according to traditional recipes. From the fiery sambal of the Nasi Lemak to the silky smooth Curry Laksa, from the
For franchise enquiries contact Mitesh Krishna at: 03 9645 4667 business@papparich.net.au https://www.papparich.net.au
RAMS
• Powerful online and TV presence
RAMS is a recognised, iconic brand – we’ve helped hundreds of thousands of Australians buy their own home.
• Designate territory • Owned by Westpac, Australia’s oldest company • Ongoing training and development
RAMS is unique.
• Build your own successful and motivated team
Residential mortgages is all we do, which makes us experts at helping customers into their new home.
• Support your local community
• Build yourself a business for yourself but not by yourself
For franchise enquiries please email
• Strong upfront and trail commission
call 1800 616 082.
ROLL’D
Why us
Roll’d offers Vietnamese street food, with a modern Australian twist. With over 90 locations and plans for an international location this year, we aim to enrich lives by bringing memorable family food to the world. Food is everything in our family. It’s what we laugh over, cry over, fight over and have done since we were kids. Everything worth sharing has always been done over the dinner table, and through Roll’d it’s now our mission to share the things that matter through great food and even better memories. We’re not shy in saying we have big dreams. We have led the way in bringing Vietnamese food to the masses, making it a popular dining option in Australia, with flavours that are as vibrant as the bustling streets of Saigon.
RYCO 24•7 If you are looking for a business opportunity that offers incredible job satisfaction and the potential for high rewards, a RYCO 24•7 Franchise business is the right fit for you. RYCO 24•7 franchisees can start with one van, with the ability to expand to offer multiple service vans.
• Enjoy the comraderie of a large RAMS family franchising@rams.com.au or
Roll’d is one of few genuine family businesses and our proven system, know-how, goodwill and reputation will allow you to create your own success, whilst upholding the brand. Franchising allows you to be in business for yourself, not by yourself. Last year we served over over 6 million hungry customers! Our established network means that you will always have the support of our team and our strengths make us a truly unique franchise. We have the buying power to create a more efficient supply chain. Our network also creates positive competitive environments that encourage our leaders to excel and succeed. For franchising enquiries email franchise@rolld.com.au or call 03 8564 8186 www.rolld.com.au
As a RYCO 24•7 Franchise Operator, you can also grow your business into a full RYCO Service Centre which offers over-the-counter service as an added level of support for your fleet of vans. For more information contact: 1300 111 247 sales@RYCO247.com Website: www.RYCO247.com
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Senior Helpers
services to those who really appreciate their work AND you get to build an investment in your own business and become your own boss.
Home care is in a growth phase at the moment and has a strong future. The Senior Helpers network is growing nationally, offering families and business partners a great future. Our franchise owners manage a team of support staff who provide in-home support to older adults and adults with disabilities. As a franchise owner, you get the best of both worlds – employing great people to provide
SNAP-ON TOOLS Snap-on Tools Australia & New Zealand leads the way in innovation to providing technicians, engineers and other professional tool users the gold standard in tools, tool storage, equipment, diagnostics, repairs information and management systems. Snap-on Tools continues to grow and perform with a network of over 180 franchisees across Australia and New Zealand.
speed queen
Senior Helpers have unique international programs that will put you ahead of the competition – dementia services, Parkinson’s Disease support and our newest program, Successful Ageing. For more information contact: Dr Leonie Williams Phone: 03 6333 4575 Email: lwilliams@seniorhelpers.com.au Website: www.seniorhelpers.com.au
We are a complete retail mobile showroom that brings high quality tools and equipment to customers at their place of work. Our highly targeted marketing techniques promotes our Snap-on Tools brand so it reaches your customers. Each month, we develop specials to give customers a reason to buy immediately. With extensive training and ongoing support, Join the world’s largest tool franchise and drive your own success www.snapontools.com.au
Owners of Speed Queen laundromats enjoy true passive income. They earn while they travel, go fishing, spend time with family…
All you need to do is to find a great location (we’ll even tell you exactly what to look for) and then we will help you do the rest. Laundromat owners come from all walks of life… real estate agents, CFO’s, bakery or dairy owners.
We provide a total turn-key service, from scoping to design, project management and build.
Your required investment depends on the size of your laundry – but around $75k is the starting point.
Our equipment is the world standard for quality – it is tough as. Our cashless payment solution, auto timed doors, video security systems and remote machine control means you never have to visit your site.
We’ve helped hundreds of people achieve their dream lifestyle – earning a passive income. Get in touch to find out how we can make that happen for you.
Everything can be managed remotely. Our laundromats deliver an excellent return on investment (ROI). You simply won’t find another opportunity this good.
SUBWAY SYSTEMS AUSTRALIA PTY LTD Subway® offers a fresh alternative to traditional fast food. Guests can choose from 37 million combinations of premium-quality meats, cheeses, fresh vegetables, and cookies & bread baked daily.
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(or +61 3 9787 8077 from outside of Australia) and
For more information contact: Mark Easton Phone: 1 800 30 40 30 Email: sales@andrewbarton.com.au Website: www.sqcommercial.com.au/franchise
With more than 1,350 locations across the country, Subway® is Australia’s largest restaurant chain*, serves nutritious and delicious subs, salads and wraps along with its iconic cookie range. For franchise inquiries, please contact Michelle Milne at 1800 630 355 or australia_development@subway.com. *based on number of restaurants.
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BE A BOSS! OWN A NENE STORE Want to be part of a business with an easy operating model that doesn’t require any prior experience?
BUILD YOUR FUTURE WITH NENE CHICKEN!
WHY NENE CHICKEN? 26 STORES NATIONALLY IN AUSTRALIA AND GROWING PROVEN BUSINESS MODEL STORE LOCATIONS READY FOR YOU TO VIEW COMPREHENSIVE TRAINING FOR YOU AND YOUR STAFF OUR LEADERSHIP TEAM WILL HELP GUIDE AND ASSIST YOU ALONG THE WAY PROVIDING ONGOING SUPPORT FOR YOUR GRAND OPENING AND NATIONAL PROMOTIONS
SERVING AUTHENTIC KOREAN FRIED CHICKEN 03 8526 4488 | FRANCHISE@NENECHICKEN.COM.AU