Business Franchise Aus & NZ - May/June 2015 by CGB Publishing

T h e

m a g a z i n e

f o r

f r a n c h i s e e s VOL 09 ISSUE 04 may/june 2015

AUSTRALIA and NEW ZEALAND

CAFE2U a franchise on the go

do you know

where to find support? advertising, marketing & leads! LATEST NEWS

FINANCIAL ADVICE FROM THE BANKS

$4.95 (AUD), $6.95 (nz) inc. gst.

TOP LAWYERS’ ADVICE

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Increase productivity More financial control Greater efficiencies More control of inventory More control of staff

9826 RedCat Frantic Ad Paths.indd 1

6/08/2014 4:32 pm

There’s a lot of money in drugs.

We’ll help you get it! Workplace and pre-employment drug testing is exploding as a business in every state in Australia. Be quick to secure one of our exclusive franchise territories. With the right

We’ll you get it! motivation, a bithelp of hard work and our comprehensive 100-day training program, the ﬁnancial rewards will follow.

Workplace and pre-employment drug testing is exploding as a business in every state in Australia. Be quick ready to secure one of exclusive franchise in territories. With the right If you’re to jump onour board as a Franchisee our proven business motivation, a bit of hard work and our comprehensive 100-day training

model, we want to talk to you. Sooner rather than later. program, the ﬁnancial rewards will follow.

If you’re ready to jump on board as a Franchisee in our proven business

Email our Franchise Manager

model, we want to talk to you. Sooner rather than later.

glenn.dobson@tdda.com

Email our Franchise Manager

We’ll help you get it! glenn.dobson@tdda.com

Take a video tour on our website Take a video tour on our website

Workplace and pre-employment drug testing is exploding as a business

busi n ess fr anch ise aust r a l i a an d n e w ze a l an d

From the

Editor BUSINESS FRANCHISE AUSTRALIA and new zealand VOLUME 9 ISSUE 4, may / june 2015

As the financial year comes to a close business owners begin to take stock of how the last year has gone, and how they would like to move forward into the next financial year. Whilst all businesses are constantly aiming to work as effectively and as efficiently as possible, it’s franchisees that have the backing of a tried and true system which has been proven to be successful time and time again. In this issue of Business Franchise Australia and New Zealand we feature ‘Food and Beverage franchises’. This sector of franchising is reported to be worth $141.4 billion, with household expenditure on food and beverages estimated to be $255 a week. Given the growing demand and changing food industry, the customer demand and availability of so many systems, which one do you go with? Hopefully we can help! Showcasing a range of franchise systems including mobile coffee, stores and even spit-roasting, there’s

something to suit everybody’s tastebuds. Also, in this issue of Business Franchise Australia and New Zealand we have the best advice, covering areas such as financial, legal, along with sound business strategies, to help you achieve franchising success. The process of purchasing and running a franchise can be daunting and confusing. We hope that our expert advice writers, who are industry leaders with proven experience in the franchising sector, can help make this process easier for you. Joe Papadatos from Icon Visual Marketing answers the question, “Who takes what responsibility?” when it comes to advertising, marketing and processing leads and Robert Toth from Marsh & Maher lets you know when the best time to sell your franchise is. The FCA’s Chairman Warren Wilmot highlights the different sources of information and support available to you as you start your franchising journey.

EDITOR: Joanne Tuffy. editor@cgbpublishing.com.au SALES DIRECTOR: Vikki Bradbury. vikki@cgbpublishing.com SALES & marketing manager: Kathleen Lennox. kathleen@cgbpublishing.com.au SALES executive - Features: Christelle Rowley. support@cgbpublishing.com.au PRODUCTION: production@cgbpublishing.com.au ACCOUNTS: Renee Gould. accounts@cgbpublishing.com.au DESIGN: Jejak Graphics (03) 8790 8006

So enjoy our expert advice articles and have a look at the numerous franchise systems profiled and featured throughout the magazine. Who knows? Maybe one of them will be the perfect fit for you! Joanne Tuffy Editor

publisher: Colin Bradbury. colin@cgbpublishing.com

COVER IMAGE: cafe2u TO SUBSCRIBE: www.businessfranchiseaustralia.com.au or www.isubscribe.com.au CGB PUBLISHING PO BOX 968 MT ELIZA, VICTORIA 3930 TEL: (03) 9787 8077 FAX: (03) 9787 8499 Email: cgb@cgbpublishing.com.au www.businessfranchiseaustralia.com.au

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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.

Business Franchise Australia and New Zealand 3

busi n ess fr anch ise aust r a l i a an d n e w ze a l an d

Contents may / june 2015 On the Cover 16 Advertising, Marketing & Leads!

10 Cover Story: Cafe2U A Franchise on the Go!

12 Do you know where to find support?

Joe Papadatos, Icon Visual Marketing

Warren Wilmot, FCA Chairman

Who takes what Responsibility?

In Every Issue

Franchisor in Depth

60 The Sporting Globe Bar & Grill

Whatâ&#x20AC;&#x2122;s New!

Announcements from the industry

14 FANZ News

Franchise Association of New Zealand

41 Feature: Food and Beverage

Cover: Coast to Coast The Golden Roast

42 Feature: Whatâ&#x20AC;&#x2122;s New!

Focus Feature 72 Shape Shopfitters

Announcements from the industry

44 Feature: Cover Story

Snapshot

46 Serving up the best in Food Franchising

40 V.I.P. Australia

Coast to Coast The Golden Roast

94 Behind the Headlines

Jason Gehrke, Franchise Advisory Centre

96 Professional Services Listings

Have Your Say

98 Franchise Listings

22 Snooze

100 A-Z Franchise Directory

32 Hairhouse Warehouse

4 Business Franchise Australia and New Zealand

also in this issue:

Expert Advice

Appliance Tagging Services. .................... 100

24 License or Franchise? Is it worth the risk?

Battery World.......................................... 83, 100

Jason Gehrke, Franchise Advisory Centre

28 Why Employer Branding is vital for both Franchisors & Franchisees

Dan Ratner, Uberbrand

Crema Espresso............................................ 101

Hong-An King, Office of the Franchising Mediation Adviser

Domino’s Pizza....................................... 53, 102

50 The Choice is Yours

City Farmers Dogwash............................... 101 Clean Green Strata................................85, 101

36 Common Franchise Disputes

Bucking Bull..................................................... 100

Dream Doors................................................... 102

Gary Alford, Retail Food Group

Fasta Pasta...................................................... 102

56 Sales through Service: An Effortless way to increase Sales

Fastway Couriers.................................. IFC, 102

FC Business Solutions................................... 15

Tania Allen, Vision Alliance

64 Buying into the Food & Beverage Sector: A Financier’s Perspective

Hairhouse Warehouse.....................OBC, 103

Harmans Lawyers............................................96

Ian Watt, Westpac

70 Collaboration, Not Competition: Finding a Partnership that works

InXpress............................................................ 103

Jejak Graphics...................................................96

Chris Green, Red Rooster

76 When and how to sell your business

Robert Toth, Marsh & Maher

82 From Employee to Business Owner

Gavin Culmsee, Bedshed

86 Franchising & Super: Know your Obligations

Emma Haines, Australian Taxation Office

90 Hiring new Employees: What’s the Law?

Greg Jennings, Fair Work Ombudsman

Jump! Swim Schools................................... 103 Just Cuts........................................................... 103 Just Lashes. .................................................... 104 Local Appliance Rentals............................. 104 Luxaflex Window Fashions........................ 104 Madgwicks..........................................................96 Marsh & Maher Lawyers............................... 97 Primal Pantry................................................... 105 Redcat. ................................................................... 1 Rent the Roo........................................... 39, 105

Profiles

Scrooz................................................................ 105 Seven Seas Seafood Café......................... 106

20 Bridgestone Select

Shift8.....................................................................63

26 9Round 30 Minute Total Fitness

Skewerz Kebabz............................................ 106

54 La Porchetta 68 Xpresso Mobile Café 74 Franchising Expo 80 Mobile Test ‘n’ Cal

34 Wenatex

ShopInsurance.com.au..................................59 Snooze..................................................... IBC, 106

Spray Pave Australia.................................... 106 Taco Bill............................................................. 107

The Drug Detection Agency................. 2, 107 thebestof.............................................................. 37 Thermawood Retrofit Double Glazing Systems......................................................89, 107 Thexton Armstrong................................ 31, 102 Tu Projects. .........................................................67 Voyages................................................................ 19 Wisewould Mahony Lawyers..................97

what’snew! Top Snap Celebrates One Million Image Milestone Top Snap, a leading company in real estate visual marketing services, has this week processed over 1 million property images for over 84,000 listing campaigns. This success is a result of the company’s loyal customer base which includes just over 800 Real Estate agencies and over 7500 agents across Australia and New Zealand. “Top Snap has reached a significant milestone in the company’s flourishing operations in the Australian and New Zealand property market and it has been achieved in partnership with our professional photographer network of Top Snap franchisees that are an integral part of the brand, always offering exceptional support to their clients.” said Ralf Barschow, Top Snap Owner and CEO. “Contributing to this achievement is also Top Snap’s dedicated 24x7 production facility which provides timely, consistent and quality visual assets whether it be property images, virtual furnishings or CAD drawn architectural floor plans.”

“Finally this would not be possible without offering a seamless process to our clients with our custom online image management system Genie Pro.” The one millionth image was released to O’Brien Real Estate in Frankston, VIC. Andrew & Marinella Milne from O’Brien Real Estate commented, “Congratulations on

the one millionth image for your company. It is not surprising though with the exceptional service Top Snap has provided over the years. Thank you John Woolley for your flexibility, promptness, friendliness to both us and clients, obliging attitude and excellent results. Nothing has ever been too much trouble.”

Aussie pool franchise makes a big splash in the USA With the American pool industry over ten times larger than Australia’s, award winning pool and spa care franchise Poolwerx is set for major expansion after securing a solid footprint in the American market acquiring Cactus Valley Pool Supplies in Phoenix Arizona. Cactus Valley Pool Supplies has been in business for 17 years with franchising commencing in 2006. The business currently has nine company owned stores, seven franchised stores and nine mobile service units.

that has come up for our American entry, but it was the right one,” he said. “It’s not insurmountable to believe Poolwerx could become a major force in the pool industry in the USA, and in franchising, very quickly. In fact, with the great support we have been experiencing, our forecasts have us with a potential of 50 franchised retail stores and mobile units by this time next year and 300 by 2020.

John O’Brien Poolwerx Founder and CEO said entering the American market was the realisation of a vision 22 years in the making.

Mr O’Brien said they would convert the first store to the Poolwerx brand and be ready to launch in time for the American summer season. The rest of the corporate stores will convert to franchised stores over the next year.

“As the largest pool and spa care franchise in Australia, I’ve always wanted to take the company to America because of the sheer size and opportunities within the marketplace. This is not the first opportunity

“This acquisition is just the beginning for our brand overseas and we will eventually see more benefits for local franchise partners transpire particularly through an even stronger buying group, new learnings we can

6 Business Franchise Australia and New Zealand

bring back to Australia, sharing of resources and technology. It really sets us up to build on our 22 years of creating a great franchise system and take it global.”

DIACO’S GARDEN NURSERY NATIONAL FRANCHISE PROGRAM PLANNED Driven by a passion for plants and gardening, and the vision to bring back the local garden nursery, Diaco’s is committed to providing quality products, value for money, and “good old-fashioned service”. The Diaco family have worked with DC Strategy to prepare the business model for a launch into franchising, while retaining the atmosphere and culture of a local, family-run nursery.

Diaco’s Garden Nursery is excited to announce their plans for national expansion through franchising. Since opening their first store in Heatherton as a 4-day pop-up plant market in 2000, the company now has 3 stores open 7 days a week across South-Eastern Victoria.

Diaco’s Garden Nursery is a family business, the Diaco brothers Mario, Ricky and Tony currently running the 3 stores. As their father Bruno Diaco has no more sons to expand the network, franchising is an ideal way to expand nationally. General Manager of the group, Mario Diaco, says that franchising is the way to move forward for Diaco’s Garden Nursery, “People are sick and tired of experiencing

only a basic range of poor quality products, and little to no customer service. They are desperate for a garden nursery that cares about them and their needs. We are doing this for the garden nursery industry as much as for ourselves. By bringing quality products, value for money, and good old-fashioned service, Diaco’s will fulfil this need for people in Melbourne – and eventually all of Australia.” With three stores already operating in Heatherton, Lynbrook and Mornington, Diaco’s now have their sights set on the North and West of Melbourne, with plans to open a store in Keilor later this year. Their target locations for the next few years also include Altona, Geelong, Watsonia, Broadmeadows, Kilsyth, Burwood, Doncaster and Inner Melbourne.

Federal Court orders $500,000 penalty for cleaning franchise The Federal Court has ordered a $500,000 penalty against South East Melbourne Cleaning Pty Ltd (in liquidation) (formerly Coverall Cleaning Concepts South East Melbourne Pty Ltd) (Coverall Melbourne) for contraventions of the Australian Consumer Law (ACL), in proceedings brought by the Australian Competition and Consumer Commission. In October 2014, the Court declared that Coverall Melbourne had engaged in unconscionable conduct, made false or misleading representations, and had contravened the Franchising Code of Conduct in its dealings with two individuals who were prospective franchisees and subsequently signed up to the cleaning franchise. The Court found that Coverall Melbourne had made false or misleading representations concerning the income that the two prospective franchisees would earn. The Court also found that Coverall Melbourne

had contravened the Franchising Code by providing this false or misleading information to the two individuals and by failing to notify one of the franchisees of the need to seek independent advice before entering into the franchise agreement. Additionally, by failing to pay the franchisees for the work they had completed and continuing to demand payment for the initial franchising fee, the Court found that Coverall Melbourne had engaged in unconscionable conduct. “This significant penalty decision is important for all involved in the franchise industry. By imposing a penalty of $500,000, the Court is seeking to deter other franchisors from engaging in similar conduct. This is a clear message that franchise businesses must ensure they comply with their obligations under the Australian Consumer Law and Franchising Code of Conduct,” ACCC Deputy Chair Dr Michael Schaper said.

Justice Murphy had found that Coverall Melbourne “did not have in place a business system capable of collecting payment and actually paying its franchisees on time…nor did it have a willingness to implement such a system and to pay franchisees in accordance with their entitlements.” In relation to Coverall Melbourne’s contraventions of the Franchise Code of Conduct, His Honour noted that Coverall Melbourne “gave scant regard to the requirement that franchisees should be fully informed and given the opportunity to be independently advised before committing to the purchase of a franchise business.”

Business Franchise Australia and New Zealand 7

what’snew! team to informally assess the performance of the business. “We are often looking forward and planning and not celebrating our achievements and I think it’s allowed us the space to do that, even before we were awarded the prize. It’s helped to refocus everyone’s efforts on what else we might be able to do to continuously improve,” Mr Bellchambers said. National awards categories close on 8 June 2015, with full submissions to be provided by 19 June 2015. The awards will be announced at the MYOB FCA National Excellence in Franchising Awards Gala Dinner on Tuesday 13 October 2015.

2015 MYOB FCA Excellence in Franchising Awards national categories open! Following the success of the 2014 MYOB FCA Excellence in Franchising Awards, there has never been a better time to enter your system and people into the running for the 2015 edition of these prestigious awards.

market, and gain valuable insights into the mechanics of how it runs.

Success at the awards generates priceless publicity and promotion for individuals and their franchise systems – it is direct marketing exposure you cannot afford to miss.

“The awards are an excellent way for businesses to monitor their performance across a range of key areas, and to help drive continuous improvement to systems and processes. Should you be successful, it is also an opportunity to showcase your achievements, and market your awardwinning system to potential franchisees,” Mr De Britt said.

FCA General Manager, Kym De Britt, said the awards provide business owners the opportunity to take an indepth look at their business and how it operates in the current

Andrew Bellchambers of Shingle Inn Café, winner of the 2014 Australian Emerging Franchisor of the Year award, said that the awards were a great way for the management

National categories are: • Australian Established Franchisor of the Year • Australian Emerging Franchisor of the Year • International Franchisor of the Year • Excellence in Marketing • Excellence in International Franchising • Franchise Innovation • Franchisor Social Responsibility • Supplier of the Year This is an exceptional opportunity to recognise excellence within your franchise system and gain positive exposure for your brand within and beyond the sector. Go to www.franchise.org.au to read about the criteria and to download an entry form.

New Zealand franchise launches in Melbourne The Thermawood system was designed by industry professionals to create the best system for installing double glazing into wooden joinery, avoiding the inherent problems of double glazing failing due to improper installation and lack of drainage.

After successfully developing a nationwide presence in New Zealand, Thermawood have recently launched a franchise network in Melbourne Victoria.

The Patented Thermawood retro fit double glazing drainage system is the most advanced double glazing system for installing double glazing and draft seals into existing and new timber joinery. By installing double glazing into your existing windows this allows the home owner

8 Business Franchise Australia and New Zealand

to retain character, reduce noise, be more energy efficient and save on energy costs. The newest thing in the building industry, with proven systems, processes, tooling, marketing and business support franchises are now available for the greater Melbourne now with plans to also grow the network to other cities and states within Australia. Become part of the success story, contact Thermawood and find out more about this exciting opportunity. www.thermawood.com.au

of luxury and fashion eyewear, with 60% of the store’s range being luxury frames and sunglasses from the likes of Bvlgari, Dolce & Gabbana, Giorgio Armani, Michael Kors, Miu Miu, Oliver Peoples, Prada and Versace. OPSM on Collins will stock the Bvlgari Le Gemme optical frames priced at $7500 – the most expensive pair of optical frames currently available in Australia. Also available for purchase is one of the most expensive pair of sunglasses in Australia, the Dolce & Gabbana Mosaico valued at $7800. OPSM Senior Buyer, Rebecca Demetriou scours the world securing the latest and greatest in fashion-forward sunglass and optical styles. She says the focus when building the offering at OPSM on Collins was to showcase the best-of-the-best and highlight the delicate craftsmanship and materials used to create the luxury pieces on range.

NEW LUXE OPSM BOUTIQUE STOCKS AUSTRALIA’S MOST EXPENSIVE FRAMES OPSM has introduced a new luxury store situated in the heart of Melbourne’s premium fashion precinct – OPSM on Collins. The boutique houses an array of frames from a number of coveted brands, including some of Australia’s most

expensive optical frames and sunglasses. Located at 233 Collins Street, OPSM on Collins is a premium eyewear destination for the fashion-focused, whilst providing high quality eyewear and eyecare services. The store features a tightly curated range

“There are 20 pairs of sunglasses and optical frames priced at over $1000 in addition to our broader luxury offering. We are extremely excited that we have created a home for the most exclusive styles and our largest luxury brand offering,” concluded Demetriou. OPSM on Collins has adopted the new OPSM store design and will be the second store with this look and feel after the opening of Macquarie Centre in September 2014.

MINIMEE NATIONAL FRANCHISE PROGRAM PLANNED Babies are big business, with Australians spending around $3billion on baby products and clothing a year*. Now for the first time, renowned babies and kids store Minimee has launched their franchise rollout program to the Australian market. This trusted and Australian owned company is offering an exciting business opportunity, the chance for potential franchisee owners to tap into this lucrative market. Minimee Co-Founder and Director, Meri Mardon said, ‘Owning a Minimee franchise is an ideal way for savvy entrepreneurs and mumpreneurs to set up under an already proven business model. We have had constant enquiries from business owners and mothers who have wanted to set up a profitable baby business, but don’t want the risk of the unknown and the difficulty of breaking into the market. With our years of combined experience we have done all the ground work, we know what works and what doesn’t. With our franchise program we take the stress and guess work out of the equation.’ The flagship franchise store, Minimee Crows Nest, has grown with the exponential growth of young families in the Lower North shore. Sales have more than tripled since the first year of operation, in 2008 and so has the number of customers.

Minimee opened their first store in Leichhardt, Sydney, in 2006. The business has grown into two huge Sydney stores in Camperdown and Crows Nest and an online shopping portal that ship across Australia. Minimee are one of the largest providers of baby brands in Australia, stocking over 100 trusted baby and child brands, such as BabyBjorn, Bugaboo, Phil and Teds, and Boori, to Mamas&Papa’s, Joolz, Storksak and Oeuf. *(not including food and childcare) Source IBIS World.

Business Franchise Australia and New Zealand 9

cover story: Cafe 2U

A FRANCHISE ON THE GO! with in the Cafe2U system (recruitment team, trainers, support staff, fellow franchisees and suppliers), everyone wants you to succeed and is there to help you along the way. “It’s a challenge going into business on your own, which is why opting for a franchise was so appealing to me. I felt I had a very clear process to follow – a process that had been tried and tested over 170 franchisees.” Recently Damien won the 2014 Australasian Franchisee of the Year Award. John Stanton, General Manager for Cafe2U has nothing but praise for Damien as a franchisee, who is exemplary at sticking to a successful system, and thriving.

“Australian-born and already the world’s largest mobile coffee franchise, Cafe2U is wooing Victorian franchise investors.” The recent acquisition of Cafe2U by the Retail Food Group (RFG) means one thing for Victoria - more high quality coffee on the go, courtesy of an expansion drive across the state. As one of Australia’s largest multi-food franchise operators, RFG purchased Cafe2U in September 2014 and made further headlines with the recent acquisition of Gloria Jean’s.

Australian-born and already the world’s largest mobile coffee franchise, Cafe2U is wooing Victorian franchise investors with renewed vigour given the extra brand power RFG now bring to the equation. For Damien Tyler of Bayswater North in Melbourne, making the shift to Cafe2U has been a positive experience. After 20 years in a large corporate company, he made the move to franchising. “When it came to choosing Cafe2U, compared to other franchises, the decision was a no brainer. The franchise has a very strong brand and I’ve had nothing but good experiences with the people I dealt with, from our initial enquiry until now - two and a half years on. Regardless of who you deal

10 Business Franchise Australia and New Zealand

“Since launching his business in October 2012 we have seen Damien’s franchise continue to improve, to the point where he was awarded Australasian Franchisee of The Year. Damien has shown that following a proven system truly works. He doesn’t stray from the system or the recommendations of the support staff. “As his speed and barista skills improved after his first few months in the business we have seen consistent, incremental growth in a very competitive territory. That is the way to build a business. Damien has a very high attention to detail and most importantly understands the importance of high quality customer service.” John’s years at Cafe2U have taught him a thing or two about a successful franchisee. “As we say, follow the system and do it with a smile and you can’t go too far wrong in a Cafe2U franchise. Damien is a great ambassador for our brand, we are very grateful for having franchisees of this quality to represent Cafe2U.” For Damien, the biggest challenge was mastering the art of coffee. Having zero experience with a coffee machine, he was starting from scratch. “It’s certainly intimidating, given the skill of the barista often determines whether customers will keep visiting the van. I found

“Damien is a great ambassador for our brand, we are very grateful for having franchisees of this quality to represent Cafe2U.” the training to be exceptional and any time I had any questions or hit a bump in the road, I had the support. “Customers are happy to see their Cafe2U van arrive every day and along the way I’ve been fortunate to meet some fantastic people.” As Franchisee of the Year, he has picked up a few pearls of wisdom along the way. “Each individual is different. Success is what you want it to be – it’s not set by the franchise you work with. You will work out what you want to get out of it and you will achieve that. Make it what you want it to be. “It may sound strange, given that deciding to run your own business is a big decision, but once you make that call – have fun with it! If you get out there, enjoy yourself and engage with new customers, people will enjoy your daily visit, you’ll be enjoying yourself and business will thrive.” Since RFG’s acquisition, the company has been working hard to improve Cafe2U’s operating procedures and running costs, including a host of integrated services under RFG’s stewardship, and the prospect of increased profit through benefits of scale for items like disposable cups and coffee. This will see Cafe2U present an enhanced investment opportunity when unveiling 20 new Victorian territories. “For Cafe2U, the RFG acquisition has been an exciting development. We will retain the essence of our existing business model with regards to training and operational support, but RFG will bring new benefits to the table for franchise investors,” said Derek Black, Managing Director of Cafe2U. “With RFG now behind the brand, Victoria is the key market in our plans for 2015. The franchise has proven to be extremely successful in other areas of Australia, as well as internationally. We believe our new offering will appeal to Victorians like never before.” From a one-van coffee business, a decade on Cafe2U has become a bona fide global franchise operating in seven countries including Australia, New Zealand, the UK, South Africa and the United States. “In the past ten years we’ve seen the

Australian coffee drinker change a lot. The most common order used to be a cappuccino; we’ve seen consumers tastes develop. They expect a range of variety, not to mention quality. As a company we’ve had to develop and change our product to ensure our survival.”

The spread of Cafe2U franchises across Australia and beyond can be attributed to the low cost and low risk investment opportunity. More than 98 per cent of all of its franchisees have achieved or exceeded the level of success they aimed for prior to starting their business.

Cafe2U’s state of the art equipment housed in a Mercedes Benz van has been instrumental in raising the standard of mobile coffee products, along with constant staff training aiding the evolution of the ‘mobile barista’.

“For 90 per cent of our franchisees, it’s their first business. Many have never made an espresso before joining. They’re looking to work hard and grow their business, with the support of Cafe2U management.”

Serving up 32,000 espressos every day, Cafe2U has also won numerous awards in mainstream coffee competitions beating many industry heavyweights to medal at this year’s Australian International Coffee Awards (AICA) awards. As the first mobile coffee franchise to launch in Australia, the company recognised two things - the demand for high quality coffee and the time poor nature of the average person.

Cafe2U franchisees are from all walks of life, including recently redundant babyboomers looking for a fresh start, young families striving to achieve work/life balance and budding entrepreneurs. If you too would like to join the world’s largest mobile coffee franchise, contact John Stanton on: T: 1300 223 328 E: franchises@cafe2u.com.au W: www.cafe2u.com

Business Franchise Australia and New Zealand 11

fr anch ise cou nci l of aust r a l i a

Do you know where to find support? At the time of writing, the Federal Government has announced a consultation period on changes being made to the Office of the Australian Small Business Commissioner.

The Government plans to transform the Commissioner to a Small Business and Family Enterprise Ombudsman, who will be a Commonwealth-wide advocate for small business. The soon to be Small Business and Family Enterprise Ombudsman is just one resource available to franchisees and franchisors as they navigate the small business landscape in Australia.

12 Business Franchise Australia and New Zealand

There are a number of places you can go for support if you find yourself with questions regarding regulation or in a stalemate with a supplier, client or franchisor. Small Business in Australia is known for being heavily regulated. You will need to consider tax, wages, insurance, HR and BAS to name just a few. If you are new to working for yourself, keeping everything in order can be a full time job before you actually serve a customer.

“If you are new to working for yourself, keeping everything in order can be a full time job before you actually serve a customer.” Warren Wilmot | Chairman Franchise Council of Australia

The Government and associations like the Franchise Council of Australia are committed to ensuring a strong, profitable and ethical small business sector. To that end, there are a number of resources, Government funded and otherwise you can utilise for advice as you build your business.

Small Business and Family Enterprise Ombudsman (Formerly Small Business Commissioner) The new office of the Small Business and Family Enterprise Ombudsman (the Ombudsman) is expected to be operational from 1 July this year. The Ombudsman’s office will extend the role of the Small Business Commissioner and be an advocate for small businesses Australia-wide. The Ombudsman is an office of the Australian Government and part of the Department of Industry. It is designed to help businesses and individuals understand their obligations under federal regulation. It will also act as a ‘concierge for dispute resolution’. Currently there are a number of resources available to deal with disputes including industry-based mediators (see OFMA) and State-based Small Business Commissioners. The Ombudsman is intended as a go-to for those experiencing disputes. From there they will be directed to their most appropriate resolution resource and counselled in how to deal with disputes. The office will also act as an information source to make smaller businesses aware of other advice, programmes and services available from the Government. Go to www.treasury.gov.au for more information.

Australian Tax Office (ATO) Though everyone is familiar with the ATO, many do not know the support they provide for those starting out in small business.

Many of their services are available online via interactive tools, there is also a dedicated helpline for those needing further advice and you can even book a site visit.

any small business owner who has questions about how to comply with workplace laws. Visit: www.fairwork.gov.au.

Franchisees just getting started can go to the Australian Business Register (abr.gov.au) and register for an Australian Business Number (ABN), Goods and Services Tax (GST) and an AUSkey which protects your security and privacy when dealing with the ATO online (www.ato.gov.au).

The Office of the Franchising Mediation Adviser (OFMA)

Small business assist is an online interactive tool. Here, you can type in your tax or superannuation question and get an answer in real time. For hands-on advice book an assistance visit, on 13 28 66 and a staff member will come to your premises and show you how to: • keep adequate records; • complete and lodge Business Activity Statements (BAS) on time; • meet Pay As You Go Withholding (PAYG), Fringe Benefits Tax (FBT) and Capital Gains Tax (CGT) obligations; • claim fuel tax credits (if you’re eligible) to help cut transport costs; and • manage cash-flow to meet tax and superannuation payment obligations. You can also book an after-hours call-back on 13 28 66 so as not to interfere with the running of your business. And the ATO App for smart phones and tablets helps you keep on top of tax and super obligations anytime, anywhere.

Fair Work Ombudsman (FWO) The Fair Work Ombudsman (formerly Fair Work Australia) has a number of tools to help you understand employee entitlements and awards, termination, leave and HR issues in your small business. FWO is the go-to for

The OFMA was established in 1998 under the Franchising Code of Conduct, and works to regulate the conduct of franchisees and franchisors during the dispute resolution process. The OFMA handles low cost face to face mediation, early intervention services over the phone, as well as general information on section four (dispute resolution) of the Franchising Code of Conduct and best practice mediation. In certain cases, the OFMA may try to assist in reaching a resolution before two parties enter mediation. To find out more about the OFMA’s services, you can visit www.franchisingmediationadviser.com.au or call 1800 150 667. Though many of the above are regulators, they are also available as resources for your business. In the interest of compliance, each of these departments will assist you in setting up your business correctly, treating your employees fairly and staying on the right side of regulation, should you decide to go into business for yourself. Of course, the Franchise Council of Australia (www.franchise.org.au) is here to assist you with all questions pertaining specifically to franchising. With so much support available to you, along with your franchisor and network of other franchisees all invested in your success, you certainly have the right guidance to thrive. W: www.franchise.org.au

Business Franchise Australia and New Zealand 13

FC_A

fanz

fr anch ise associ at i on of n e w ze a l an d

NEWS

WFC Joint Declaration Over 60 delegates from the 43 member country World Franchise Council (WFC) attended the two days of meetings to discuss and exchange information on franchising in their respective countries. Faced with challenges by the jurisdictions in a number of countries to the fundamental principles of the symbiotic relationship between franchisors and franchisees, the members of the WFC signed a Joint Declaration urging restraint in government intervention in franchised businesses. (See page 18 for more). They concluded that franchising provides powerful economic benefits to a society that should not be interfered unless there is overwhelming evidence of the need to do so.

Franchise Association of New Zealand (FANZ) re-elected to the role of General Secretariat. FANZ has already served two terms of two years as the General Secretariat, the body that has the responsibility for co-ordinating the WFC’s activities and was honoured to be elected to serve a third term from 2015 – 2017 in this important role within the international franchising community.

The agenda will be packed with the information; resources and tools needed to grow and take care of your business. Speakers already booked include: Brendan Thompson, Specsavers NZ; Jewli Simpson, The Franchise Relationship Institute Plus live from America by AV link: Melanie Bergeron, Chair of Two Men and A Truck Todd Rowe, Managing Director, Google SMB Global Sales.

The full delegate package includes: 2 Day Conference 1 Gala Dinner - Thursday 30 July 1 Speaker Breakfast - Friday 31 July

The Franchise Association of New Zealand Annual Conference 2015 Franchisees, franchisors, and suppliers from all over New Zealand will get together to network and make new business connections that will help them succeed at the 19th annual Franchising Conference, which is to be held at the Distinction Hotel, Rotorua, on the 30th and 31st July 2015.

14 Business Franchise Australia and New Zealand

1 Networking Dinner - Friday 31 July 2 Nights’ Accommodation at the Distinction Hotel Rotorua 1 Breakfast Saturday 1 August $1,200 plus GST per person (member of FANZ) $1,500.00 plus GST per person (non-member) Further information and online booking facilities can be found at the FANZ web-site www.franchiseassociation.org.nz

FC_AD-Franchising_JAN2015.qxp_Layout 1 5/02/2015 1:16 pm Page 1

WE ARE A FULLY INTEGRATED CONSULTANCY FIRM, SPECIALISING IN DEVELOPING, GROWING AND MARKETING FRANCHISE SYSTEMS FC Business Solutions is the only integrated consultancy focused exclusively on the franchise community. Our team of professionals has been providing specialised and expert services to franchises for many years. System Development FC Business Solutions provides a range of business services for new, emerging and mature franchisors. Health Check The FC Business Solutions Business Health Check delivers a comprehensive review of the franchise system. Business Operations FC Business Solutions provides operational direction and solutions to help you grow your business to the next level.

Manuals and Documentation FC Business Solutions offer expertise and resources to franchise systems in the documentation of standards and procedures. Marketing, Communications & PR FC Business Solutions provide dedicated, fully integrated marketing, communications and PR services for franchise networks. Human Resource Solutions FC Business Solutions focuses on helping franchises maximise exceptional engagement and professional development of their Human Resources.

Training Solutions FC Business Solutions provides professional and relevant training programs for franchisors, their teams and the franchise network to improve the performance of the brand. MEET THE TEAM Contact the FC Businessďż˝ďż˝Solutions team today to find out how we can help your business. ISO 9001:2008 Certification Quality ISO 9001

Our management system has been certified to meet ISO 9001:2008 standards.

Business Franchise Australia and New Zealand 15

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Advertising, Marketing and Leads!

Who takes what responsibility?

The terms marketing and advertising are often used in place of each other, leaving a confused state where franchisors and franchisees are unsure of their role in building the brand as well as trying to deliver leads that convert to sales.

Expectations of roles and activities vary widely as brand position and brand awareness needs to be established for the franchised brand, while leads and sales need to be delivered to the individual franchisee businesses. Establishing the roles and responsibilities for developing strategic marketing plans to grow a franchised brand, while also delivering sales, can be complicated. New platforms such as social media can often blur individual responsibilities and the ability to act on behalf of the brand or your individual business.

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So who does what? It is the franchisorâ&#x20AC;&#x2122;s job to grow their brand and offer a quality product or service that matches expectations. Franchisee holders are responsible for delivering the product or service to customers, generating leads and sales to grow your business, as well as growing the individual business the assigned territory. How you appoint the roles, responsibilities and accountabilities for developing the marketing plan makes all the difference in results, as well as creating a harmonious

“Franchisees that take on the responsibility of building a strong local marketing platform do much better then those who rely upon the franchisor.” Joe Papadatos | Managing Director Icon Visual Marketing

relationship between the franchisor and the franchisee holders. So back to the first point; marketing in its essence is about answering one simple question. Why should I buy your product? Every purchasing transaction seeks to answer this fundamental question. However, answering this question has several layers.

Building the brand Building the brand is essentially the responsibility of the franchisor, seeking to deliver a position in the market for which the brand represents and is known for. Essentially, delivering real clarity to the public as to why you should buy or use us. As well as building the asset value of the franchise, brand awareness activities are also used to attract enquiries from potential new franchisees. Marketing and advertising activities at this tier one level traditionally include mass advertising, with key messages around what does the brand stand for, and the overall services offered. In advertising terms, TV, radio, billboards, print, vehicle signage and some digital marketing are used to deliver these messages.

Product marketing Product marketing seeks to clearly identify what products and services people can buy from you. This second stage of building the marketing

• Local area digital marketing campaigns

plan includes the development of key messages around the product itself and how to communicate these messages to consumers.

• Involvement with local clubs and groups • Sponsorship of local events or teams

At this tier two level, communications are typically led by the need of the consumer and how your product or service can fulfil their needs. In old-fashioned terms it’s selling the features and the benefits. Product marketing activities can again include mass advertising but they should start to be a little more localised, providing territory support for individual franchisee businesses. This could include database marketing, local digital campaigns, local billboards and signage activities to name a few.

Local area franchisee marketing The development of local area marketing is the third tier of the marketing plan; and it’s the real powerhouse for the local franchisee. It is in this space that the marketing moves from branding and product awareness to the Holy Grail of any business – activities that deliver more customers. Some of the activities that you can leverage to grow your business locally can include, but are not limited to: • Mailbox direct marketing • Database print or email marketing • Customer referral campaigns • Shopping centre promotions • Local cinema advertising • Local transit advertising

• Social media that focuses on the local area such as Google +. Research has shown franchisees that take on the responsibility of building a strong local marketing platform do much better then those who rely upon the franchisor. Marketing is a process to uncover the jewels of your business. Building a marketing plan is fundamental to the success of your business. Before you spend any money on any form of advertising, know why you are doing this. Know the role and the responsibilities of the franchisor and the franchisee before developing a detailed action plan that support the corporate message with strong call to action advertising that helps grow the individual businesses. Joe Papadatos is Managing Director of Icon Visual Marketing, a full service marketing agency that for over twelve years has been equipping businesses with the marketing and sales tools to help them reach their next customer. Joe focuses on delivering strategic marketing programs that deliver cut through for businesses looking to create a difference. For more information contact Joe on: T: 1300 138 984 W: www.iconvisual.com.au

Business Franchise Australia and New Zealand 17

fr anch ise associ at i on of n e w ze a l an d

WFC Joint Declaration Urging restraint in government intervention in franchised business. Government actions should not unjustifiably interfere with the franchisor-franchisee relationship. The relationship between the franchisor and the franchisee is characterized by a well-designed balance that has proven successful over many decades. This relationship is symbiotic, it works, and overreaching governments that interfere with this private business relationship are pursuing a dangerous path. If the franchisor is allowed total control, the franchisee is reduced to an afterthought, and few businesspeople will be attracted to the model. Conversely, if the franchisee is allowed to dictate terms of the relationship, franchisors will shift to corporate-owned units, and fewer businesses will be attracted to franchising. Both parties recognize this balance, which is why franchising has proven so successful. The proof of this balance is through the open marketplace: in most cases where franchising is a maturing sector, it has successfully grown faster than the rest of the economy. If franchisors and franchisees reach their own collective decisions on what works best for their industry, it will lead to enhanced operations and greater opportunity for expansion, serving the interests of both parties, and thus society at large. Governments should avoid actions which damage the proper balance in this relationship. â&#x20AC;˘ Governments should not regulate franchising unless there is strong evidence that franchisors who do not comply with those regulations will be unable to

conduct the franchise business reliably and effectively. â&#x20AC;˘ Governments should not dictate the terms of agreements unless there is demonstrable evidence that particular prohibited provisions lead to results which are contrary to the best interests of society. â&#x20AC;˘ Governments should not limit to whom franchises may be granted, how many franchises may be granted, where the units may be located, what models of expansion may be used, how rapidly a system may grow or from whom the parties must acquire the goods and services necessary to sustain the business, unless the economic, social and political objectives sought to be achieved by these measures are of such overriding significance to the country that they justify the interference with the freedom of the parties to contract. Whatever objectives governments seek to achieve by such steps must be balanced against the detrimental effects of tampering with the agreement the parties have freely struck, or with the business model upon which the franchise concept is based. Franchising provides powerful economic benefits to a society; it should not be interfered with in the absence of overwhelming evidence that doing so is necessary in the interests of an orderly society. Franchise-specific regulation not generated by government does not mean that no regulation should frame the franchise industry. The franchise communities in the member countries of the World Franchise Council support franchise-specific self-regulation, which is not in contradiction with national business law, as the best collective framework for defining the balance that must be sought

18 Business Franchise Australia and New Zealand

between any franchisor and its franchisee in their respective relationships. The World Franchise Council supports self-regulation by means of its Principles of Ethics for franchising.

About the World Franchise Council The World Franchise Council is an international entity that unites the franchise associations of 43 countries. The World Franchise Council supports the development and protection of franchising and promotes a collective understanding of best practices in fair and ethical franchising worldwide.

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Business Franchise Australia and New Zealand 19

PROFILE : B RIDG ESTO N E SELECT

BRIDGESTONE SELECT

THE INDUSTRY LEADER When you’re weighing up the options of purchasing a franchise, one very important consideration is the power of the brand you’re buying into. Having a global reputation as the tyre industry market leader, the Bridgestone brand is synonymous with quality products and being at the forefront of technology, innovation and continuous improvement. The Bridgestone brand is the most recognisable tyre brand with Australian customers and it’s this brand power that sets Bridgestone Select apart from other franchise systems giving you a significant advantage.

A revolutionary concept In 2005, Bridgestone Australia conducted an extensive consumer research project that showed many consumers wanted a comfortable tyre purchasing environment. Traditional outlets were viewed by consumers as masculine, intimidating, cold and uninviting and made them feel disempowered. Consumers wanted access to more userfriendly information in the purchase process, telling Bridgestone they were more interested in a buying experience that helped them choose a tyre that was right for them, not just their car.

Bridgestone Select believe their franchise system is the best in the industry. A core component of the success of Bridgestone Select is the ability to offer consumers a one-stop-shop for all their tyre and auto servicing needs. This allows franchisees to improve customer loyalty and retention by engaging with their customers throughout the year which generates additional revenue. Joining Australia’s Bridgestone Select network is like joining a family, with support and advice being shared freely. Once you join you’ll experience a level of support that’s unparalleled among automotive franchises. Bridgestone Select ensures their franchise training, marketing, promotions, research and product development is industry leading, believing that their success only comes from your success.

Proven systems

In 2006, after listening to the research, the Bridgestone Select concept was launched which revolutionised the industry. Today, the Bridgestone Select franchise network exceeds 140 stores nationwide and caters for around 300,000 tyre and auto service customers each year.

As a Bridgestone Select franchisee, you’ll benefit from an established, proven system that provides everything you need to succeed. This includes:

Part of a family

• National and Local Area Marketing

Being associated with the industry’s strongest brand is a good start but if that brand is leveraged through a truly great franchise system, it becomes an unbeatable combination. With processes and systems honed over 30 years of retailing in Australia,

• An extensive franchisee Induction Programme • Ongoing Training and Support

• Access to exclusive tyre products • Signage and branding funding • Immense group buying power

• A proven business system developed over many years

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• Exclusive geographical marketing zone • Auto Services program and team • Rebates and buying packages at attractive market leading rates • Premises • Industry-standard Point of Sale system • Comprehensive Operations Manual. As Bridgestone is also a manufacturer, the ongoing levels of support may be high but the fees are not. With a low ongoing franchise fee of 3.5 per cent, calculated on sales of all qualifying products and services, they don’t charge a separate marketing levy like many other franchise systems. The investment required to open a Bridgestone Select store depends on the size and location of the property and whether you’re purchasing a new or existing store. Indicative cost of setting up a new store or purchasing an existing one is from $285,000 including your franchise fee. Only you can know for sure whether being a Bridgestone Select franchisee is the right choice. Previous experience in the automotive industry might be useful but it’s not essential–all training is provided but management capabilities and a commitment to fantastic customer service are essential. For further information contact: T: 08 8206 0200 W: www.bridgestonetyres.com.au/ franchise-opportunity

An opportunity to join the Bridgestone Family. Bridgestone is Australia’s most trusted tyre brand and market leader. Right now we’re looking for enthusiastic people to join our successful franchise network. With Bridgestone Select franchise opportunities available in every state, we offer a great lifestyle with;  a 5-and-a-half day trading week  low entry cost and low ongoing fees  full training and ongoing support from Australia’s strongest tyre brand. For initial enquiries, please call 02 8756 4516 or visit bridgestonetyres.com.au/franchise-opportunity to submit an enquiry form.

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h ave your say: Snooze

MULTI-UNIT FR ANCHISING

Be prepared! Running your own business is one thing, but what does it take to successfully manage multiple franchise sites? Snooze Franchise Partner Andrew Beecroft shares his business journey and sheds light on the rise of the multi-site Franchise Partner at Snooze. During his eight years as a Snooze employee, Andrew gained extensive experience working at various stores across the country. The Snooze brand, its values and people had always resonated strongly with Andrew, so much so that becoming a Snooze Franchise Partner was an obvious conclusion. “After spending nearly a decade working closely with other Snooze Franchise Partners,

I felt I knew the business inside out and had a great understanding of working within a franchise business model. Running your own business is vastly different, but there comes a time in your professional life when you’re ready to take on the next challenge,” said Andrew. For Andrew, the next challenge came in 2009 when he made the transition from Snooze employee to Snooze Franchise Partner of the Crows Nest site, alongside his partner and long-standing Snooze employee, Zhong Zhu. Equipped with 13 years’ combined experience, the duo had a solid foundation for business success which was enhanced by the Snooze comprehensive Franchise Partner support strategy, including: • Access to exclusive and industry leading products and services; • Initial and ongoing sales and product training; • Business management support; • National PR, marketing programs and support;

22 Business Franchise Australia and New Zealand

• IT support; • Benchmarking & KPI measurement and comparison; • Site selection and property negotiation; • Store design and layout; and • Vendor finance assistance. “The team at Snooze have always been a huge support. From the very first conversation, through to signing the paperwork and still, today, we continue to benefit from the genuinely supportive Snooze network,” said Andrew. In 2009, the pair took over the Crows Nest store with a longer term vision in mind. In fact, after just seven months, Andrew and Zhong had their eyes on a brand new site – Snooze Artarmon. “We’d bought into Snooze Crows Nest on a 12 month lease; however our long term plan was to buy the new Snooze Artarmon store – which successfully came to fruition in 2010. After which, the opportunity arose to extend our lease at Snooze Crows Nest too, which we did right up until 2014,” said Andrew.

“Before you open your second (or third) set of doors, make sure that all systems across the business are sufficiently in place, as it’s easy to let your excitement get the better of you.” For Andrew and Zhong, things weren’t about to slow down, in fact they were only just getting started. Within a year of their Artarmon acquisition (and continued investment in Crows Nest), the duo had invested in their third site, Snooze Penrith – and haven’t looked back since.

Q & A with Andrew Beecroft 1. How has your role changed since becoming a multi-site Franchise Partner? The major difference between being a single-site Franchise Partner and a multisite Franchise Partner is the level of time you invest. I like to be involved in every aspect of the business and, with that, you have to be prepared to put in the long days and sometimes even longer weeks. While I like to be involved in all areas, I’ve had to take a less ‘hands on’ approach. Not only is it important to help my team grow, it’s vitally important to shift my focus from the granular day-to-day operations to seeing the bigger picture and paying specific attention to the business’ performance and profitability.

3. How did you fund the acquisition of a third store?

Additionally, and it may sound obvious; make sure you’re set up for success financially too. Use your experience from site one to plan ahead, assess the business’ profitability and, if in doubt, seek advice from the Head Office team. After all, what you don’t want is for your second site (or third) to be a financial burden. 5. What does the future hold?

Snooze Artarmon was performing well when the Snooze Penrith opportunity arose in 2011. We took out a loan to fund the purchase of the Penrith site and, thanks to a positive cash flow from all sites; we were able to pay the loan off within three years. We now own the Artarmon and Penrith stores, debt-free.

We’re very open to increasing our site ownership, which is becoming an increasing trend at Snooze. In recent months, the business has seen a number of its Franchise Partners build their portfolio with multiple sites – in fact I believe there’s even one partner with four or more sites.

4. What advice do you have for other Franchise Partners considering multisite ownership?

In the six years that we’ve been Franchise Partners, Zhong and I have successfully owned and managed three sites, and we’re eager to continue expanding our business. If the right opportunity arises, we will absolutely consider expanding our site ownership – after all, we do love a challenge!

The best advice I can give is to be prepared; I can’t stress that enough. Before you open your second (or third) set of doors, make sure that all systems across the business are sufficiently in place, as it’s easy to let your excitement get the better of you. Key systems include: • Business structure and personnel; • Warehouse logistics and operations; • Inventory control; and • Staff training.

For more information contact Snooze Franchise Development Manager, Alistair Browne: T: 03 9830 4166 E: alistairb@snooze.com.au W: www.snooze.com.au

2. What challenges have you faced as a multi-site Franchise Partner? The biggest challenge I’ve found is managing people. As a multi-site Franchise Partner, it’s vital to have teams that you can rely on because you can’t be at every store for every moment of each working day. I’ve had to learn how to delegate responsibility and, to a certain extent, hand over parts of the business to others. When it’s your own business, it’s very hard to do this but it’s just not viable to singlehandedly run two stores. With employees, you get out what you put in. I’ve discovered that it’s not about finding the perfect team but being the best mentor you can be and equipping your team with appropriate training and counsel for them to excel – which will likely reflect in the business results too.

Business Franchise Australia and New Zealand 23

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Is it worth the risk to continue as a license rather than a franchise? Since the new Franchising Code of Conduct came into effect on 1 January this year, businesses which have operated under a license arrangement are encouraged to seek advice to ensure that they are not at risk of incurring major financial penalties.

Licensing is considered as a common alternative to franchising, although one is basically an extension of the other. Licensing is where the business (ie. the licensor) grants (under certain conditions) rights to a licensee to use a trademark and sell a product or service. Licenses may also be known as distributorships, or even agencies. Some business definitions of franchising would say that any grant based on conditions

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“Any business that calls itself a license but meets the criteria for a franchise outlined in the Code is still a franchise.” Jason Gehrke | Director Franchise Advisory Centre

is a ‘franchise’. Under this definition, conditional grants including agencies, distributorships and licenses are ‘franchises’, however the Franchising Code of Conduct includes a legal definition of a franchise that applies under Australian law. A large part of this definition relates to the extent to which one party substantially determines controls or suggests how the other party operates their business under the terms of the agreement. (Other factors include the requirement for an agreement to exist between the parties, for one party to grant the other conditional rights to use a trademark or marketing system, and there must be a commercial exchange between the parties before or during the operation of the grant).

I’m not a franchise because I call myself a license Any business that calls itself a license but meets the criteria for a franchise outlined in the Code is still a franchise, no matter what the owner calls it.

Can’t the government tell us if we are a franchise or not? Unfortunately no. The Australian Competition and Consumer Commission (ACCC) which enforces the Franchising Code of Conduct has no mandate (or the resources) to advise every business that calls itself a license whether or not they are subject to the Code. In other words, there is no registration or other approval process required before a business commences offering franchises or licenses. The applicability of the Code has always been self-assessable, with businesses determining for themselves, or taking

external advice as to whether or not the Code applies. If for some reason the ACCC did agree to a request by a licensor to determine whether or not it is a franchise, it may lead to the ACCC then prosecuting a licensor who it finds to be a franchisor.

What are the consequences of continuing to operate as a license? The risks of continuing to operate as a license are significantly greater following the introduction of a new system of penalties to apply under the new Franchising Code from 1 January 2015. Under the former Code, the ACCC would need to take a matter to the Federal Court to get a ruling on whether or not a breach of the Code had occurred. This is timeconsuming and costly to the ACCC, and therefore tends to be used where there is significant detriment to the affected parties (ie. franchisees). The court would then determine an appropriate remedy, which might involve a number of outcomes including injunctive relief, the voiding of clauses or entire agreements, the requirement to undertake trade practices or Code compliance training, or the refund of any moneys paid under an agreement, etc. Generally court action of this nature often starts in response to a complaint by a franchisee to the ACCC. However, in addition to the existing remedies available through the Federal Court, the ACCC now has powers to issue fines of up to $8,500 per breach of the Code, and if need be, seek pecuniary penalties of up to $51,000 per breach through the Court.

If the ACCC took a closer look at a licensed business opportunity, and found that the licensor exercised substantial control over the licensees’ operations, then it may determine that the business is in fact a franchise. This would leave the business open to one of the most serious breaches of the Franchising Code – the failure to provide a disclosure document - which is a fundamental requirement of franchisors in their dealings with potential and existing franchisees. The maximum penalty for this particular breach is $51,000 per instance, so if there are 10 licencees who have never been issued with a disclosure document, the maximum potential financial penalty would be as high as 10 x $51,000 = $510,000 (plus the associated risk of a court ordering that those license agreements be struck down). The substantial risk of incurring significant financial penalties alone should encourage anyone who calls their business a license to urgently review the nature of their license agreements. Jason Gehrke is the director of the Franchise Advisory Centre and has been involved in franchising for 20 years at franchisee, franchisor and advisor level. He advises both potential and existing franchisors and franchisees, and conducts franchise education programs throughout Australia, and publishes Franchise News & Events, a fortnightly email news bulletin on franchising issues and trends. Contact Jason at: T: 07 3716 0400 E: jason@franchiseadvice.com.au W: www.franchiseadvice.com.au

Business Franchise Australia and New Zealand 25

profile : 9 ROU N D 30 MI N UTE TOTA L FIT N ESS

knock out the competition

“We brought the 9Round Total Fitness model from the US in 2014 and have spent time on refining the model to suit the Australian marketplace. We recently launched our first club in February 2015.”

Secondly, we stay focused on our product. We have combined strength training using heavy bags, medicine balls, kettle bells, and dumbbells along with aerobic activity to create an amazing 30-minute workout. Our motivational trainers work with the customer every step of the way.

The 9Round Fitness Franchise Opportunity is breaking the mould in the fitness industry. We are dedicated to keeping the business model simple and the costs low. Our goal is to let people experience the dream of business ownership with a proven model and plan of action. As the saying goes, “You’re in business for yourself, but not by yourself”.

• The right industry – The fitness industry is currently experiencing a boom, with an ageing population and more health conscious society being key contributing factors.

With a proven business model, a network of dedicated support staff, and hundreds of other franchise owners, 9Round owners always have someone to turn to for support and guidance. We are in your corner every step of the way including finding and negotiating a lease, software and client management, build-out support, marketing support, a 3 Day intensive training at the corporate office, and operational support for running the club. There are several reasons why choosing to partner with 9Round knocks out the competition. First, our overheads are low. Our business model requires minimal equipment and a small number of staff, while only requiring small sites approximately 100-140m2. Keeping the overheads low is the key to keeping a small business profitable.

If you’re looking for a business that’s simple, profitable, and exciting then 9Round is for you! For potential franchisees, 9Round ticks all the boxes.

• The right concept – no set-time workouts, in and out 30 minute workouts, high-energy sessions. • The right player – 9Round franchises are easy to own, easy to manage and easy to market. No experience required, 9Round’s turn-key system supports franchisees for the long term. Franchisees receive the following benefits:

Be your own Boss Break free from the rat race and become your own boss today. Most 9 Round franchisees don’t have to actually work after a few months!

Full Turn-key solution 9Round will source all the leasing, equipment, and fit-out to make everything from start to finish as smooth as possible.

26 Business Franchise Australia and New Zealand

Low cost startup There are a range of options out there to suit you. 9 Round will help you all the way.

Locations Selling Fast Be sure to get in quick and secure your area - Australia Wide. Opportunity waits for nobody.

Marketing Support With the backing of an extensive national marketing plan - encompassing digital, social and traditional media – 9Round’s marketing will drive members through your door.

Low Stress and Effort 9Round Total Fitness’ Franchise Support team will help you with financial spread sheets and forecast so you can go approach your bank with confidence.

Investment 9 Round is an affordable investment. To qualify, potential franchisees need to have 150K net worth and 25K + liquid assets. Total investment is between $100K and $180K*(not guaranteed). If you are interested in finding out more about becoming a 9Round Total Fitness franchisee contact Catherine McGill: T: 07 3331 1400 E: cmcgill@9round.com.au W: www.9round.com.au

™

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Why employer branding is vital for both franchisors and franchisees The recruitment challenge Contrary to popular belief, a brand is not what the organisation says it is. Rather, it’s what people think it is. This applies to everyone that comes into contact with the company – consumers and employees alike. Good branding happens when people think of you in a similar way. Great branding happens when people’s thoughts are aligned to the goals and aspirations of the organisation. To achieve this, a franchisor must have a clear image of who the brand is, what the brand does and where the brand is going. This idea must be communicated across everything your organisation does – through what you look like, what you say and what you do. A key part of this includes the behaviours of your people. For franchisors, this means that all franchisees and employees must share this understanding of your brand. To achieve this well, a brand must be able to be defined and translated into an internal value proposition for employees and representatives of your brand. This is particularly beneficial for the franchising sector, as the ability to attract the best franchisees has a direct impact on the growth of the system. Franchisors must also compete with larger organisations to attract highly experienced staff and potential franchisees. This is one of the sector’s greatest challenges, as the quality of the staff a franchisee can attract will affect its success. However, if franchisors focus on creating a positive internal brand and back it through establishing an internal proposition they are more likely to overcome this challenge.

28 Business Franchise Australia and New Zealand

“In the age of social media, there’s a myriad of opportunities for employees to share their experiences.” Dan Ratner | Managing Director uberbrand

The importance of the employer brand Brands and their reputation act as a shortcut for decision making. This is not only for consumers, it also applies to job hunters. Companies that have a strong reputation for providing things that are important to job seekers can drive them towards one organisation over another. Australia’s relatively low unemployment rate means that competition for talent is fierce. Therefore, a franchise that is better-known for having desirable working conditions can win the attraction race. For example, Google is well known for its products and services but equally its fun, creative work environment and progressive work-life balance initiatives. As a result it has become a highly desirable company to work for. This means that they have their choice of the best candidates, which in turn, contributes to the innovative work they do. While it is essential for the business to promote their working conditions, it’s just as important for the company to live up to these promises. Doing this will mean that the employer brand will be strong and positive.

Using an internal value proposition to build and promote your employer brand Where a brand is formed by the collective perception of customers, the employer brand is formed through the collective experiences of employees. It is the perception of what it is like to work at a company. Your internal proposition should be lived every day by everyone associated with the organisation so that it becomes an entrenched into its culture. Even more importantly, in the age of social media, there’s a myriad of opportunities for employees to share their experiences. This is

a double edged sword because while it can make it difficult for organisations to control their internal brand, if harnessed correctly it allows word to spread. There are a number of actions you can take to create a desirable employer brand that attracts the right candidates for your franchise.

• Brand and organisational values – the belief systems and principles that the organisation must live by to ensure the desired emotional outcomes.

2. Aligning your brand to your ideal candidates

1. Clearly define the internal brand value proposition The internal brand proposition explains what the organisation delivers to its employees and what it expects in return. It can include benefits such as ongoing training opportunities or performance bonuses. An internal proposition also covers “soft” benefits such as social workplace culture or relaxed dress code. Much like a business’s unique selling proposition (USP), the internal proposition must be unique, relevant and compelling enough to dive candidates’ interest in becoming a franchisee, or an employee. An internal proposition is set through articulating why franchisees or employees benefit from working with the business. From this, unique policies, processes and programs are set that demonstrate the franchise’s commitment to the organisations values and expected behaviours. Things to think about include: • External emotional outcomes - the feelings that we want our customers and stakeholders to experience from the organisation and its people. For example we might want our stakeholders to feel happy. • Personality traits – the state of mind that we want our people to be in so that they deliver on our desired emotional outcomes. For example if we wanted people to feel happy, we might be positive or encouraging.

The brand exists to service its stakeholders and this is true for your internal candidates as well. Therefore understand what the ideal candidate is likely to be looking for. This can depend on a number of factors including the franchise industry, operating procedures, types of skills needed, trends in the industry, competitor activity and much more. An employer brand that is mismatched to the target audience can result in recruiting the wrong types of people. In some franchises, state-of-the-art technology and opportunities for national or even global expansion may be important selling factors. In others it might be a family-friendly environment with regular hours.

3. Get leadership buy-in Culture starts at the top, which is why it’s essential for company leaders to fully support the employer brand. One of the benefits of having a clearly articulated internal value proposition is that franchisees are clear about the working conditions they can set. However, leadership must be willing to put policies in place for things like working from home, flexible hours, flexible teams, special projects, bonuses and any other initiatives that provide a positive working environment for employees and reflects the employee brand.

4. Communicate the brand and pique the imagination of potential employees Franchisors should be explicit about the culture and brand they are trying to promote, rather than simply putting policies in place

Business Franchise Australia and New Zealand 29

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“Franchisees can benefit from the fact that they carry the employment branding of their parent franchise.” in keeping their end of the bargain with their employees. Having checks in place ensures that the employees of any individual franchisee receive the same benefits and working conditions as employees of other franchisees. This is because franchisees can benefit from the fact that they carry the employment branding of their parent franchise. Although they fit the definition of a small business they can capitalise on the wider reputation of the franchise employer brand. This can make it easier to attract good staff and why a good employee brand across the whole business is important.

6. Become an employer of choice by living up to expectations Franchisors that live up to their promises and deliver a consistent experience to all their employees will develop a strong brand. Set KPI’s against your internal value proposition to help maintain standards across the franchise. Doing this will ensure you find it easier to both attract and retain top talent. Employer branding gets candidates through the door. The rest is up to you.

and hoping the culture develops organically. It takes proactive work to set and maintain a positive culture, which feeds into the employer brand. This will reflect this in their own comments about their workplace, helping to cement a positive employer brand. Establishing a positive internal value proposition means that social media can be used to the franchisor’s advantage. It provides a window for potential employees to see what it’s like to work for the organisation. When franchisees can get a real taste of the company culture through blog posts, videos,

photos, social media and more, it becomes easier for them to sign a contract.

5. Focus on the franchisee but don’t forget their employees Don’t forget that employee perception is a powerful driver of the employer brand. A negative employee experience at the hands of one franchisee can taint the entire system. By contrast, a positive experience can make it easier for newer franchisees to attract talent. Although it’s a valid approach to focus on the franchisee and not their employees, it’s critical that the franchisee has support

30 Business Franchise Australia and New Zealand

Dan Ratner is managing director of branding and communications agency, uberbrand. He has more than 15 years’ experience in marketing, communications and branding and is passionate about branding as an enabler to fulfil organisational objectives. Working closely with uberbrand’s clients, Dan works to understand the current customer perception in the context of business goals. Dan works with well-known Australian brands across a variety of sectors including financial services, travel and education. For more information contact: P: 02 9331 7001 W: www.uberbrand.com.au

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Business Franchise Australia and New Zealand 31

h ave your say: h a i r h ouse wa r eh ouse

spreading the

power of good hair

across the nation

Hairhouse Warehouse’s expansion rollout offers people not only the opportunity to run their own successful business, but also to be multiple franchise owners if they desire. “There are so many opportunities to run your own business whilst being connected

to a strong national brand across not only metropolitan but regional areas,” says Peter Fiasco, Franchise Development Manager for the Hairhouse Warehouse Group. Craig Kazakoff and his wife, Shaneen, invested in their first Hairhouse Warehouse franchise two-and-a-half years ago to help Shaneen realise her goal of running her own business. The Gungahlin store, located north of Canberra, also provided an incentive for the couple’s two daughters to move to the ACT. Following their success with the Gungahlin store, the Kazakoffs saw a new Hairhouse Warehouse store in Tuggeranong (twenty

32 Business Franchise Australia and New Zealand

kilometres south of Canberra) as an opportunity to grow their family’s wealth and provide a future for their daughters. “The proposed store was well located,” Craig says. “The area was poorly serviced, and we saw an opportunity that would be beneficial to us and to our customers. We see Hairhouse Warehouse as a very strong brand. It’s a wellrun company and the support we get from Head Office is absolutely fantastic. “This is a brand that invests heavily in marketing and support to its franchisees,” Craig adds. “I have been consistently amazed by the calibre of people Hairhouse Warehouse has been able to attract.”

“We see Hairhouse Warehouse as a very strong brand. It’s a well-run company and the support we get from Head Office is absolutely fantastic.”

Warehouse Dream Team 2014–15. Amanda has five years’ experience managing a Hairhouse Warehouse outlet, and will be operations manager for the new store, while Shaneen will do the buying for both stores.

Melissa spent a day in Melbourne with the Head Office team, finding out what Hairhouse Warehouse was all about. She then spent a couple of weeks training in-store with another franchisee.

“This has enabled us to get every member of our family into roles they enjoy, and to mutually support one another,” Craig says. “We have all settled in wonderfully to Canberra, and into the businesses. We couldn’t be happier!”

“Head office staff are now training with us, and will stay on for two weeks after we open,” Melissa says. “The people at Hairhouse Warehouse are so genuine. As a franchisee, you’re never just a number in the system. The owners are still involved in the business, and everyone we’ve dealt with is passionate about what they do and about the brand.”

While the hairdressing gene runs strong through the women in Craig’s family, Peter Fiasco points out that it is not a prerequisite for success with Hairhouse Warehouse. “We look for people with good leadership skills, a passion for excellence, and an understanding of how business works,” Peter says.

The newly opened Tuggeranong store is very much a family operation. “The work that needs to be done can be shared around,” Craig says. “It helps unite our family around common goals.” Craig will continue to run his civil engineering consultancy business while he oversees the administrative side of the two franchises. The couple’s youngest daughter, Rebecca, an apprentice hairdresser who had been working at the Gungahlin store for two years, will manage the new Tuggeranong store. Rebecca’s older sister, Amanda, is a qualified hairdresser and member of the Hairhouse

Hervey Bay local, Melissa Krisanski, hails from a franchising background in the fast food business, and is excited about the opening of her new Hairhouse Warehouse store in Hervey Bay. “There is nothing in Hervey Bay or the surrounding area that even comes close to what Hairhouse Warehouse offers,” Melissa says. “Also, there are a lot of home hairdressers in the area, so there’s an opportunity to supply them with product.” After identifying the gap in the market, Melissa carried out extensive online research on the Hairhouse Warehouse brand, and also went into stores to speak with business owners directly. “It was the training and support that really sold us on the brand,” Melissa says. “It’s quite amazing what they offer in help, guidance and support.”

Melissa plans to work in the store’s retail area, and has employed five local hairdressers to run the salon and also work in the retail side. Melissa’s business partner, Doug Fogg, already has a Hairhouse Warehouse franchise in Western Australia, and will oversee the operation. “We definitely want to open more outlets,” Melissa says. “We’ll work hard in this store and aspire to get a group of stores.” With Hairhouse Warehouse’s plans to add a further ten stores to its group by the end of this financial year, Melissa’s dream may be well on its way to becoming a reality. For a confidential discussion please contact Peter Fiasco on: T: +61 451 370 060 E: franchising@hairhousewarehouse. com.au W: www.hairhousefranchising.com.au

Business Franchise Australia and New Zealand 33

profile : w enat e x

Partnering with Wenatex as a Sales Presenter Adam Rowe, Long-serving and successful Sales Presenter, and Sales Team Leader (New South Wales) talks about what it is like to partner with Wenatex. Q. Tell us about what you do for Wenatex? A. In my Team Leader role, I am responsible for overseeing the NSW sales operation and coaching the team to assist them in optimising their sales results. I have been in this role since 2012. For the past ten years and presently, I am also a Sales Presenter conducting Wenatexâ&#x20AC;&#x2122;s healthy sleep seminars in Sydney and surrounding areas. For those of you who are not familiar with Wenatex, Wenatex manufactures highquality mattresses, quilts, pillows, bed bases and other sleep products at its factory in Europe. The company doesnâ&#x20AC;&#x2122;t sell in stores but prefers to use a unique Marketing model inviting people to attend obligation free seminars on the subject of healthy sleep. The company partners with skilled Sales Consultants to present these seminars and sell their products, which is where I come in.

Q. What would you describe as the main benefits of becoming a Sales Presenter? A. Ultimately, I run my own business and I contract to Wenatex as a Sales Presenter. Partnering in this way gives me the freedom to reap the financial benefits of my own sales efforts. One of the biggest benefits is that there is no initial capital outlay like you would have to provide if you were to take on a franchise. Another benefit is knowing that you are working with a reputable company. It started in Europe in 1964. The Head Office is based in Austria and they produce quality products that offer fantastic health benefits. The company provides initial training provided by a Master Trainer, then ongoing mentoring support from the Executives and your Team Leader, such as myself. There is

Adam Rowe at the Wenatex stand at the Franchising & Business Opportunities Expo in Sydney on 29 March 2015.

no cold calling or prospecting required, and no requirement to organise your own sales presentations, our seminars all booked for us by our Australian Head Office in Brisbane. There is also no requirement for you to deliver products or for any after sales service. This is all handled by Head Office. There are also great incentives, such as overseas trips, for those Sales Presenters who are successful. If you are an entrepreneur looking to make money, then this is the opportunity for you.

Q. You run your own business, right? What do you need to have set up in your own business in order to be a Sales Presenter at Wenatex? A. As with any other small business, you need an ABN. I would suggest that you will also probably need a Tax Accountant to help you achieve the success you are after.

Q. What do you most like about being a Sales Presenter at Wenatex? A. I get great joy from helping and supporting my team succeed at being great

34 Business Franchise Australia and New Zealand

Sales Presenters. I feel like the Coach or Captain of the team guiding and supporting them to get the best out of them. At the same time, I also feel a great deal of satisfaction contributing to my own sales success. I still spend at least half of my time as a Sales Presenter in my own right and I take great pride in being successful in the role. The financial rewards help as well.

Q. What do you consider are the successes you have achieved over the last ten years? A. One of the things that I am most proud of is that I was (and still am) a successful Sales Presenter. It was because of this success I was offered the position of Sales Team Leader for New South Wales in 2012. I also feel that I have made a big difference in the lives of many people. It has brought me great joy to receive many phone calls from customers telling me about how I have helped them improve the quality of their sleep and therefore the quality of their lives. For more information contact: T: Freecall 1800 936 283 E: opportunity@wenatex.com.au W: www.wenatex.com.au

Looking for a unique business opportunity without any business purchase outlay? Partner with Wenatex and become a Wenatex Sales Presenter This is an exciting business opportunity without the capital outlay needed when taking on a franchise. You can run your own business while making a difference in people’s lives by teaching them how to get a better night’s sleep and demonstrating Wenatex’s exceptional Sleep System. At the same time, work with a fantastic company and earn an excellent income.

For more information, please contact our Recruitment Manager:

Sharlene Brasher Freecall: 1800 936 283 Direct: 07 3868 5687 Email: opportunity@wenatex.com.au

Business Franchise Australia and New Zealand 35

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Common Franchise Disputes

The Office of the Franchising Mediation Adviser (OFMA) is an independent office, appointed by the Federal Minister for Small Business since 1998 to provide mediation and other supportive services for disputes arising under the Franchising Code of Conduct. Since 2011 alone, the OFMA has received over 1900 franchise dispute enquiries and appointed mediators to approximately 500 matters from its national panel of mediators. The natures of disputes managed by the OFMA are very diverse but the most common are:

“Disputes involve different perceptions by the parties as to what has happened and what has been said.” Support, training, assistance This is a very common cause of complaint. Franchisees can expect a higher level of support than they receive. Sometimes this expectation can be even higher when they are new to running their own business and do not understand what managing their own business entails. Maybe the franchisor’s franchisee selection process could be improved to ensure that only franchisees that have the skill and experience to manage their own business in a particular sector are offered a franchise. The franchisor may not want to recruit a franchisee that is ‘high maintenance’ and can cause complications once the franchise starts. Sometimes a franchisor has created unrealistic expectations of the assistance to be provided or the franchisees have otherwise developed their own unrealistic

36 Business Franchise Australia and New Zealand

expectations. A statement from a franchisor such as “We are here for you” may be misinterpreted as a promise of unlimited support.

Failure of the franchisee to pay amounts due This may be a reflection of the fact that the franchise is just not proving financially viable for the franchisee. Alternatively, it may also be due to some other dispute as a result of which the franchisee withholds payment of royalties or other amounts. It is highly unusual for the OFMA to be contacted where there is no question about the amount due and a straight debt collection is required. There are almost always other issues involved.

Bringing trusted businesses and the community together

Probably the best franchise opportunity in Australia today thebestof

Making local life better for everyone in the community! thebestof might not be the most well known franchise here in Australia, but with an eight year track record and more than 250 franchisees in the UK, it’s certainly very successful. After it was launched in 2005 by British entrepreneur, Nigel Botterill, thebestof quickly became the fastest growing franchise in the UK. Over the last few years it has shown no sign of losing pace: thebestof continues to go from strength to strength, with Nigel amassing a cupboard full of awards along the way. Emma and Colin Gillings head up thebestof Australia HQ, based in Adelaide, SA. Fully immersed in all aspects of the business, Emma and Colin understand first-hand what it takes to be a successful franchisee, and the rewards available. ‘thebestof is a business with low overheads and unlimited earning potential, which makes it a very attractive business opportunity. On top of it all, our franchisees get to meet some fabulous people and make a positive difference in their communities.’ Emma Gillings Head of thebestof Australia

What is thebestof?

thebestof is a marketing franchise The franchisees work on a local level with only the best businesses in their area. They provide bespoke marketing solutions that actively help those great local businesses get more customers, using both cutting edge online technniques and more traditional offline marketing methods. It’s a powerful combination. thebestof has flourished since its launch in 2005 with many franchisees earning sizeable incomes.

‘Residual income has opened my eyes to a better way to live...’ I started making a profit very quickly and businesses call me every week to find out how they can join and what it is that we do. Residual income has opened my eyes to a better way to live without so much stress! It is rather comforting to know that X amount of dollars will land in my account every month. Harrison Oakley thebestof Bunbury Franchisee

‘I’m passionate about the local community and small business in particular...’ In the last 15 years i’ve had two small businesses and the thing that made it hard for me was the marketing. I see thebestof as a great opportunity for other local businesses where I can fill in the gaps and help businesses grow. Jim Hettner thebestof West Torrens Franchisee

Connecting local people and businesses With thebestof, a franchisee becomes part of the community and works to connect local people and the businesses and organisations that serve them. The aim is to make life better for everyone. Because of the nature of the business, it’s a huge help if franchisees are genuinely passionate about their community. At thebestof we are extremely choosy about who we accept as a franchisee - it’s a people business after all. After eight strong years, thebestof team know well the characteristics required to become a successful franchisee. New franchisees don’t necessarily need sales experience or technical skills - as long as you can use a computer and send an email, that’s all you need. What matters most is that each new franchisee is a proper people person. If you’re bright and switched on, unintimidated by hard work to get started and you’re passionate about making a positive difference to your community, then thebestof could be the perfect opportunity for you.

To discover whether your area is available, to get more information or for an informal chat, contact thebestof team on the number below

Get the full story at www.getthebestof.com.au or call Emma on 08 8358 6112 for more information Business Franchise Australia and New Zealand 37

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“Mediation gives the parties the opportunity to address what the dispute is really about and to focus on finding a solution.” Hong-An King | Assistant Mediation Adviser Office of the Franchising Mediation Adviser

Failure to comply with the Operations Manual Usually these disputes are initiated by the franchisor when the franchisee fails to comply with a certain area or aspect of the franchise system’s Operations Manual. It can be something basic like failure to order or purchase its products or services from a particular supplier, which meets a standard required by the franchisor, because the franchisee may argue that better products or services are available elsewhere.

a Court can order. A mediator assists people to listen to each other, understand each other’s needs and find solutions that they can live with. Mediation provides a confidential opportunity for you to talk about a problem seriously, with an attempt to resolve it. That prevents the franchise system getting a poor reputation. If one party requests mediation the other party is legally required to attend.

Other disputes

Sometimes the franchisees prefer to do business their own way and start operating differently even though they are still branded as being part of the franchise system.

The other main areas of dispute are:

Alleged misrepresentations, misleading conduct or unconscionable conduct by the franchisor

• Lack of communication;

Often these allegations are raised as an expression of the frustration of franchisees in a dispute situation. Disputes involve different perceptions by the parties as to what has happened and what has been said. Ultimately, whether there has been misrepresentation, misleading conduct or unconscionable conduct is a legal question to be decided by a Court. Usually, the dispute is about something else and these allegations are raised as a supplementary item. Mediation gives the parties the opportunity to address what the dispute is really about and to focus on finding a solution that meets the parties’ needs and objectives, rather than redress their perceived rights. Usually claims of a legal nature turn into commercial settlements that are more practical than what

• Disputes about the franchised territory; • Termination of the franchise agreement; • Franchisor advertising; • Rent or lease obligations; • Initial franchisor disclosure; • Not providing Operations Manuals or other information; and • Amount of the franchise royalties.

How to resolve disputes Under the Franchising Code of Conduct, the first step to raising a dispute or issue with another party to the Franchise Agreement is to write a Notice of Dispute. This involves a written letter or email that outlines three things: 1. What the issue is about; 2. What outcome the complainant wants; and 3. What action the complainant thinks will resolve the dispute. The parties should then try to agree about how to resolve the dispute. If the dispute is not resolved within three weeks, then either party may refer the matter to mediation.

38 Business Franchise Australia and New Zealand

Anyone with a franchise dispute can ask the OFMA to appoint a mediator. The OFMA has a panel of 95 independent mediators around Australia who are experienced in franchise issues. Once mediation is requested, it is mandatory for both parties to attend. Failure to attend can attract a penalty of up to $51,000 (February 2015). Mediation is a process whereby parties are assisted by a third neutral party (the mediator) in their negotiations. In the mediation, the mediator assists the parties in the process of identifying the issues in dispute, generate options around these issues, consider alternatives and to attempt to reach an agreement that will meet the underlying needs and interests of both or all parties to the dispute. Mediators do not make decisions about who is right or wrong or what the best outcome should be. A key advantage to mediation is that the parties have significant control over the process and the outcome. The parties hold the decision-making power and the mediator helps bring the parties together by establishing a framework for the negotiation within which all parties agree to participate. Mediation can achieve a binding settlement agreement at a fraction of the cost of court action. Approximately 75 per cent of OFMA mediations reach settlement. If you would like to seek further information or would like to have a free and confidential conversation about a problem with your franchisor or franchisee, you can contact the OFMA on: T: 1800 150 667 E: office@franchisingmediationadviser. com.au

o o R e h Rent T

! … s e x o b e h t l l a s t tick a h t e is h c n a r f e Th ...! e r o m h c u m o s ure & it n r u f , s e c n ia l p Ap

Rent The Roo was established in 1976 specialising in household appliances & furniture rentals with over 60 franchise territories throughout Australia. With 39 years of trade and development, our continued focus is on customer satisfaction. Rent The Roos’ home-based, simple and productive business model combines low running costs with the highest possible returns. With full support of the Management team and initial & on-going training, franchisees have access to proven business resources and marketing material to help maximise the potential of business growth. If you are looking for a proﬁtable business model that offers a fantastic work/home balance, Rent The Roo ticks ALL the boxes!

Work from Home

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Bob and Julie Sager have achieved a record amount of business in their first 3 years of operation and were recently awarded the Franchisees of the Year at the Rent The Roo national conference, also taking home the $11,000 reward that comes with it! Bob bought his first Rent The Roo franchise in Townsville in July 2009. He saw the flexible and convenient franchise model as one that would suit his relaxed Northern Queensland life style. Since then, he has purchased the Gold Coast South and Mount Isa territories and business is booming! “Rent The Roo is a great business model; it has a terrific amount of transparency and flexibility over its competitors. Rent The Roo has a solid financial background and is very open when discussing it. There was no smoke and mirrors; it is really just an honest and supportive franchise with nothing to hide,” said Bob.

Greg & Bec Smith have recently joined the Rent The Roo family, running the Wangaratta franchise territory in northern Victoria. Greg previously worked for many years in the mines of Western Australia, regularly travelling from his home in rural Victoria. When Greg and Bec started a family and the travelling began to take its toll, they decided it was time to seek a career change and look for a business model that had a fantastic Work/Life balance. “We were looking for a life after mining, and living in Mansﬁeld Vic, it’s a very lifestyle based town with not a lot of job opportunities. We wanted something that still gave us the freedom to keep our busy lifestyle schedule. A friend of ours recommended we look into Rent The Roo as his brother owned a franchise in Tasmania and there was no looking back. We decided to look into it and the rest is history!” said Bec.

For more information visit the FRANCHISE tab on our website or contact Grant Garraway at The Franchise Shop on 1300 139 557 or email grant@thefranchiseshop.com.au

renttheroo.com.au *Finance available to approved applicants.

Rent The Roo Pty Ltd Australian Credit Licence 387405 Business Franchise Australia and New Zealand 39

sn fr anch a pshot: ise cou V.I.P.nci aust l of r aaust lia ralia

Sinking his teeth into a new career Working weekends and late evenings finally persuaded Mark Palmer to make a change. Working as a National Purchasing Manager in the dental supplies industry, Mark longed to get his ‘teeth’ stuck into something else. Juggling a hectic and high pressured job with the demands of a family with five children left Mark with virtually no time for himself, let alone his family. Mark’s first stage was chatting with V.I.P. Home Services, before spending the day with one of V.I.P.’s experienced home cleaning franchisees. This is a stage that all new franchisees have to go through before they make the decision if it is for them or not. The whole experience gives the person interested in a franchise business the chance to actually find out what life may be like as a franchisee. It was this hands on experience and the chance to talk directly with existing franchisees that really gave Mark the confidence that this was the right choice for him. One year on and Mark, and his family, couldn’t be happier. “Often I wouldn’t get home until after 8pm and would also go into work on a Sunday evening just so I could get a head start for the week ahead. I now feel like I have taken control of my life. I have time for me and time for the family,” explained Mark who has a V.I.P. home cleaning franchise. One of the many aspects of the business Mark researched was the importance of the power of the brand, knowing that to get a head start in business you need to go with a company that has the professional image and expert backing. “In my business having a brand behind you such as V.I.P. really is priceless. People know the brand and what’s more they trust it. But it is so much more than the brand – it is what’s behind it too. Even before I started I was fully supported. After my training I wasn’t just left alone. I take advantage of the ongoing training

One year on and Mark, and his family, couldn’t be happier...“I now feel like I have taken control of my life.” as I know that gives me the best chance of growing my business even further,” continued Mark. Mark did his ‘homework’ on franchising and for him it was clear to see just why V.I.P. have won so many awards for their franchise system. Over the last 35 years they have helped over 4,000 people from all walks of life and from all over the country to become successful business people. Their training and mentoring is ongoing, franchisees can start with an established client base and the provided start-up kit gives you everything you need to get going. What’s more their affordable franchise options gives you access to a whole network of franchisees that can work together to help you grow.

40 Business Franchise Australia and New Zealand

With the help of V.I.P. Mark has quickly grown his business and had achieved his initial business goals before schedule. “It’s been a great start to not only have a new career but also a new life really. I’m looking forward to developing the business further. With the help of V.I.P. I have set myself other business and personal goals and am now looking forward to the future rather than dreading the Monday mornings or Sunday evenings!” If like Mark you would like to change your life and wish to start your own business call V.I.P. to see how they can help on: Phone: 13 26 13 Web: www.viphomeservices.com

VOL 09 ISSUE 04 may/june 2015

food franchising

the choice is yours

an effortless way to

increase sales

finding a partnership that works

Business Franchise Australia and New Zealand 41

what’snew! start the morning with Gloria Jean’s Coffees

The hosts of Network Ten’s Studio 10 now start each morning with their favourite Gloria Jean’s Coffees espresso beverage, made by an expert Gloria Jean’s Coffees barista. Gloria Jean’s Coffees, Australia’s leading specialty coffee house, has built a custom coffee kiosk on the Studio 10 set. This kiosk is equipped with a state of the art espresso machine from which a variety of espresso-based beverages will be served, along with cold Chillers and a full range of Gloria Jean’s teas. Damien Galea, the charismatic and Gloria Jean’s Coffees highly skilled barista who has owned two successful Gloria Jean’s Coffees franchises over the past 11 years, will create coffees for the Studio 10 hosts and their guests every morning, using his specialist barista and latte art skills. All guests appearing on Studio 10 will also be able to order their preferred coffee beverage as part of their interactive morning experience. Speaking about the new partnership, Nicole Saleh, Gloria Jean’s Coffees’ Group Brand and Marketing Manager, said: “We’re excited to have a Gloria Jean’s Coffees’ kiosk on live morning TV! Studio 10 is the perfect partner for Gloria Jean’s Coffees and we can’t wait to bring our brand to life with our barista, Damien Galea, educating viewers about our coffee.” Studio 10’s Executive Producer, Rob McKnight, said: “We’re always thinking of fresh ways to engage with our guests and audiences and this is why we’ve invited a Gloria Jean’s Coffees barista to become a regular part of the Studio 10 team. “We’re very happy to be partnering with Australia’s leading specialty coffee brand, to bring the Studio 10 team their favourite coffee prepared by their very own barista.” The Gloria Jean’s coffee kiosk is positioned next to the studio doors on the left hand side of the Studio 10 set.

La Porchetta Celebrates 30 Years purchased a humble Italian restaurant in Melbourne’s Italian hub. They infused the venue with vibrant Italian culture and passion for life and their great food and warm atmosphere were an instant hit.

La Porchetta celebrates its 30th birthday in 2015, joining a select few Australian franchises that measure their success in decades. Now the largest, licensed, a-la-carte restaurant franchise in Australasia, La Porchetta began in 1985 when business partners, Rocky Pantaleo and Felice Nania

The second La Porchetta opened a few years later and initial growth was measured, as the two restaurateurs planned the rollout of their vision for a national presence. Today there are more than 70 restaurants in Australia and New Zealand. “From the beginning, we have stayed true to the family culture that made our first restaurant a success,” says CEO Sara Pantaleo. “We didn’t compromise as we grew and our core values continue to underpin every aspect of the way we manage our business today.”

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A selective franchisee recruitment process and ongoing training have been crucial to the group’s growth. La Porchetta looks first and foremost for passion and people skills in its new franchisees in the belief that these are the most important drivers of success and everything else can be learned. “We focus on building strong relationships with franchisees and even though we have a full operations team, my door is always open for them to speak with me directly,” says Ms. Pantaleo. “Growth doesn’t happen by accident. Moving forward, our vision is to be the leading local Italian restaurant in Australia and New Zealand and we’re now focusing on the next decades of our development.”

A perfect partnership

introducing two custom designed SumoSalads into the Red Rooster menu nationally.

Two iconic Australian food brands, Red Rooster and SumoSalad, have recently announced a partnership that will see SumoSalads served in over 350 Red Rooster restaurants nationally.

Anna Jones, National Marketing Manager for Red Rooster says: “This partnership shows how serious we are about our real food credentials at Red Rooster. Our famous Roast Chicken paired with these fresh, high quality salads is the perfect answer for Australians who want tasty and nutritious food made easy. We are extremely excited about our partnership with SumoSalad.”

It sees Australia’s best roast chicken come together with Australia’s best salad brand and is an innovative Australian first for the QSR industry. This is the latest leap in Red Rooster’s Real Food journey. Last year in an industry first, Red Rooster proactively removed all artificial colours, flavours and added MSG from their kitchen made menu. This was the first step in the redevelopment of their entire menu to become healthier and more natural.

SumoSalad CEO Luke Baylis says: “We’re thrilled to announce this partnership with Red Rooster which will see our salads served in over 350 Red Rooster restaurants nationally. SumoSalad is always looking to expand its influence and help Australians eat healthier food with purpose. This works well with Red Rooster’s mission to provide their customers with a variety of delicious, wholesome menu items. We hope this is the first of many healthier options to come.”

SumoSalad have made no secret of their crusade to bring Australian’s better food and this partnership is the perfect demonstration of this,

Both salads are available as part of the a la carte menu as well as a part of a selection of value combos.

Michel’s Patisserie secures customer satisfaction award Michel’s Patisserie customers may have always thought their local coffee shop was the best, but now they have proof with Michel’s Patisserie recently named the nation’s Coffee Shop of the Year in the Roy Morgan Customer Satisfaction Awards. It’s the fourth consecutive year Michel’s has taken out the award – no mean feat in the competitive world of coffee. The Roy Morgan Customer Satisfaction Awards recognise retailers that go the extra mile to satisfy their customers. Michel’s Patisserie Managing Director Alicia Atkinson said while all of their coffee shops frequently received customer compliments, it was heartening to once again be recognised at a national level. She said the secrets to their success boiled down to great tasting coffee perfectly poured

by talented and friendly local baristas and their French-inspired patisserie products. “Our customers initially come for our awardwinning coffee, but come back again and again for the welcoming service Michel’s Patisseries have become renown for,” she said. “The unique Michel’s coffee blend has been designed for the Australian palate, and overseen by our internationally accredited Master Roaster. Sourced from beans from around the world, our coffee embodies rich notes of chocolate underpinned with subtle berry flavours that perfectly complements our patisserie range and is a favourite with our customers.” Ms Atkinson said Michel’s Patisseries across the country would not rest on their laurels and were always on the lookout for ways to improve the customer experience.

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Coast to Coast T he Golden Roast

join a

winning team Coast to Coast The Golden Roast is one of Australia’s leading Mobile Spitroast Catering companies.

Established in 1983, they now have over 66 franchises Australia wide and have recently opened four in New Zealand, all in the Auckland area. Coast to Coast (CTC) has based its success on its ability to consistently provide a great meal at a competitive price with freshness guaranteed regardless of the location. With a simple but effective training system, CTC makes it possible to expand your

business very easily at minimal cost. The national franchisor in New Zealand is former All Black Justin Marshall. Justin’s keen interest in CTC has grown and his commitment and enthusiasm together with his high profile will be of significant benefit when promoting CTC in your area. With Auckland fully operational, CTC now have exciting opportunities available for franchises in the following areas: Hamilton, New Plymouth, Palmerston North, Wellington, Napier, Tauranga and Northland on the North Island, Christchurch, Nelson, Timaru, Dunedin and Invercargill on the South Island. These locations have been selected in order to provide franchisees with the largest population base possible to ensure your success.

Perfect for functions from 30 to 4,000 guests, CTC caters for all events, ranging from 21st birthdays to the most elegant of weddings, school graduations, sporting presentations, corporate events and any other occasion requiring catering. Several predefined menus are available and your customers can tailor these to suit their individual requirements. The national websites www.goldenroast.co.nz and www. goldenroast.com.au are informative and easy to use and feature high quality photos, downloadable menus, an online booking system, accessible pricing and can be used on mobile devices. . A standard Golden Roast Buffet consists of the following: • 3 meats; • 8 salads and/or vegetables; • bread; • condiments including mint jelly, homemade gravy, apple sauce and mustards; • a range of desserts; • gluten-free and vegetarian options also available; • plates, cutlery, napkins; and • staff cooking, carving and serving. All training and equipment is supplied to CTC franchisees. CTC has a full operations manual and computer ordering system that will ensure your food orders, supply orders and all financials are easily managed. Each stainless steel spit is designed to cook inside or out with no smoke or mess and each spit can feed approximately 100 guests. Included in the purchase price

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FE ATURE CTC will also run a promotion party in your area to get you started, hosted by Justin and Australia/New Zealand CEO Phil Hosking. These functions are great fun and a sure way to get things off to a good start for you. With all training completed by PhiI, this ensures that you are able to operate all facets of the business from the very first day. Australian franchises are still available, and include: • Northern beaches and Cronulla in Sydney; • Albury Wadonga in Victoria; • Port Augusta in South Australia; • Geraldton, Albany and Broome in Western Australia; and • Darwin and Alice Springs in the Northern Territory. Phil says, “We have over 30 years’ experience in opening franchises Australia wide and now in New Zealand, and we look forward to sharing our success with others over the next few years and expanding our CTC family. As the Australian franchisor and manager of the Canberra franchise, I firmly believe in the benefits of managing a CTC franchise, including flexible hours, leveraging a simple, stable and effective ‘ready-to-use’ methodology and framework, and being part of an exciting venture. Being a rugby and basketball coach, and raising a family, I have also run this great business and have relished every moment.” Start-up costs are typically around $75,000, and can vary depending on the amount of equipment you require. If you too would like to join former AllBlack Justin Marshall and Phil in this exciting franchise opportunity, contact Phil today on: T: 02 6242 9700 E: Canberra@goldenroast.com.au W: www.goldenroast.co.nz/franchise www.goldenroast.com.au/franchise

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Serving up the best

in Food Franchising Did you know that Australians spend over 130 billion dollars on food and beverages every year? Or that Australians drink over one billion cups of coffee in cafĂŠs, restaurants and take away outlets?

Then what are you waiting for? Join the world of food franchising!

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FE AT U R E The early days Until the early 1970’s, franchising was virtually an unknown concept in Australia. That quickly changed with the arrival of the ‘golden arches’ along with two all-beef patties, forever changing the suburban landscape. KFC and Pizza Hut joined McDonald’s, and so began the story of franchising in Australia. Since these early days, franchising has grown in leaps and bounds to include almost every industry and covers almost every product and service imaginable. The food sector of franchising continues to thrive and grow, with food franchises representing a large proportion of the franchising industry. Eighteen percent of all franchise systems focus on accommodation and food, which includes fast food and coffee shops, with only retail franchises higher (27 per cent).*

Hungry for more! Research shows that people are increasingly spending more and more on food and beverages. The value of food and liquor retailing in Australia grew by 4 per cent in 2012–13, to reach $141.4 billion.** According to the most recent Australian Food Statistics Report (ABS 2011) household expenditure on food and beverages in Australia increased to an estimated $255 a week in 2009–10, up from $226 in 2003–04 and $222 in 1998–99. Meals out and takeaway food increased as a proportion of the total household expenditure on food and beverages over the same three survey periods.

“Whilst premium quality international food offerings often come at a higher price point, successful franchise owners will tell you that people are happy to pay a premium for a top quality product.” Australian Bureau of Statistics research supports these findings, with the trend for spending on meals out and fast foods increasing by 50 per cent from 2003-04 to 2009-10.**

Australia’s love of food Put simply, we love our food, and in terms of franchising the options have never been more prolific. From the early days of burgers and pizzas, we are now being served up more options than ever, and with growing concerns over our increasing waistlines healthy options have become popular in recent times. In addition, more and more people are raising concerns of gluten intolerance, lactose intolerance, nut allergies, high cholesterol, diabetes… the list goes on! As food retailers, being able to cater for all kinds of food intolerances and preferences is becoming increasingly important. Responding to consumer desires is vital for sustainability in the food industry.

SumoSalad have struck while the iron is hot. The brainchild of Luke Baylis and James Miller, SumoSalad was conceived with the view that ‘fast food’ could be good, healthy food too. It was a unique lunchtime concept: a fast food outlet that sold made to order salads which were nutritious, delicious and convenient. Since its inception in 2003, SumoSalad has grown to over 78 franchise stores and six company-owned outlets. Boost Juice is another healthy franchise success story. Since 2000, there have been over 350 franchised and company-owned Boost Juice stores in Australia, and in a further 11 countries worldwide. Boost Juice has taken the country by storm. La Porchetta has over 70 restaurants in Australia and New Zealand, and are the market leaders in cooking quality Italian food with fresh ingredients. With the first La Porchetta Restaurant open in Melbourne’s Italian hub in 1985, they have been part of the Australian food landscape for 30 years.

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The coffee market has grown considerably in Australia in the last few years, and has proved to be a booming market for many franchisors.

Café culture Coffee culture has swept Australia in a big way. For most people, a trip to the shops cannot pass without stopping for a coffee, a long day at work wouldn’t be the same without the familiar take away coffee cup on our desk, and a long drive simply wouldn’t be possible without a mandatory coffee break! The coffee market has grown considerably in Australia in the last few years, and has proved to be a booming market for many franchisors. The ever expanding list of franchise opportunities for those interested in a coffee franchise provides a wide variety of options for potential franchisees. Cafe2U is one of Australia’s most successful coffee franchises, with over 170 Australians successfully running their own mobile Cafe2U coffee van business. From a onevan coffee business, a decade on Cafe2U has become a bona fide global franchise operating in seven countries including Australia, New Zealand, the UK, South Africa and the United States.

Alternatively, there are a wide range of coffee shop franchise opportunities where coffee is served in stylish, relaxed and friendly surroundings, most also providing a takeaway option for customers. If you’ve always wanted to run your own café, then perhaps these options could be suited to you.

Global cravings Australia has always been proud of its multi-cultural heritage and our cravings for food from all over the world is reflective of this. Our cravings are for food from all over the world - Indian, Thai, Spanish, Italian, Chinese, Middle Eastern and many more. Potential franchisees can choose from a variety of retail food options covering all kinds of cuisines. And whilst premium quality international food offerings often come at a higher price point, successful franchise owners will tell you that people are happy to pay a premium for a top quality product that is made exactly how they want it.

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Fast food Of course, if we go back to where franchising first began in Australia, the fast food sector of franchising remains as strong as ever. With fast food outlets providing tasty, quick, and cheap food in all locations, from highways to malls and on the high street, the appeal for consumers remains high, and with many now providing healthy alternatives these businesses remain highly competitive in the industry.

Rules and regulations As with any industry it’s important to understand the rules and regulations associated with the business, and this is extremely important when working in food retail. Janine Allis, Founder of Boost Juice and Managing Director of Retail Zoo, gave this advice for Business Franchise readers thinking of getting into the food industry: “First of all you need to fully understand what it means to be in food, particularly healthy food.

“This can all be very daunting and confusing, particularly when many of these bodies do not give you a clear answer on a question regarding the rules. But business always has its challenges. You need to just keep going, becoming a sponge and soaking up all the information you can possibly absorb. Information is key, because making a mistake in regards to any of the above Codes and Associations can not only cause massive fines, but can be terrible for the public relations of your business.”

Choices, Choices! Given the growing and changing food industry, the customer demand and availability of so many systems to choose from, which one do you go with? First decide that you are interested in the food retail business. Then get together with your family and make sure they are interested in the food business – this is important not to overlook – as you will be spending a great deal of time in your new business. You must then get with your franchise banker and put together a realistic sum of money you can afford to put into this new venture. This will most likely weed out some systems quite quickly – as the larger, more well-known food names come with a hefty price tag. They are strong, tried and tested and have proven success stories – but you must truly be able to afford to buy into this. Once you have an amount in mind, you can begin to shop around. Are you looking for a particular location? Are you looking for a particular type of food or drink? Are you looking for a premised based business, or a mobile unit?

You will be able to narrow down your search, but don’t rush. If you get to your short list, it is time to take the focus away from the product and direct all your attention to the franchise system and the franchisor.

Get to know your franchisor The franchisor holds the key. The management system, the operational procedures, the leasing agreements, the contracts, and the fees have been generated by the franchisor. Check the franchisors background – is it solid? Meet with him or her. Do they seem to be a person of integrity? Do they answer all of your questions openly and honestly? Do they invite you to do your own investigations into the company? Are they eager for you to talk to existing franchisees?

cuisine whets your appetite for the exciting world of food franchising, you will most likely find that you have started on a fantastic path to success. Enjoy! *Franchising Australia 2014 Report **DAFF (Australian Food statistics 2011-12)

Look out for our next special feature:

On The Road Franchising

If at any point you feel pushed, rushed, bullied or even ignored by the franchisor – it is time to consider walking away. Hopefully though, the franchisor will be professional, honest and open. The next step is to meet with several existing franchisees. While it’s fine to have all the manuals in place and have the franchisor tell you how great and successful the business may be, it’s the franchisees that have the real story. Visit them in their place of business, ask questions, and ask their employees if they enjoy working there. One of the great things about researching food franchises is that you can simply drop in and eat. Be a random customer, visit several locations. Is the food good? Is the service good? Is it consistent from one location to another? Do the employees seem happy? Do the customers seem happy? By doing as much research as you can you can gain the knowledge to know if you are making the right choice at the right time. So if making coffees, flipping burgers, or if carefully crafting international

Given the growing and changing food industry, the customer demand and availability of so many systems to choose from, which one do you go with? Business Franchise Australia and New Zealand 49

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You need to be aware of the FSC (Food Standards Code), TGA (Therapeutic Goods Association) and the Health Authority. Then you need to consider what the ACCC rules are and of course if you get into franchising there is also the Franchising Code of Conduct. These are just a few of the governmental and industry bodies that have specific requirements when it comes to the food industry.

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The Choice is Yours

When it comes to deciding which franchise is right for you, the choice is yours. The Australian franchising industry is growing at a rapid pace, and with so many options for potential franchisees it is important to not only thoroughly research the industries, models and brands available, but research your own unique passion, strengths, goals and knowledge. There are so many things to consider, from product range and support systems to supply contracts and sales projections, but the answers to the most important questions come from within.

1. What’s my passion? When you make the decision to purchase a franchise, you are more often than not signing a long-term agreement with the brand. You will be living and breathing their values, products, mantras and vision for the future. You will probably be spending more time with this brand than your family, your friends and your partner! That’s why it’s so important to consider your passions. Do you love the smell and taste of coffee? Coffee franchise operators are around coffee all the time, from unpacking roasted beans to operating the coffee machines and training baristas, and of course talking to customers about the blends, heritage and expertise of each cup served. Do you enjoy being out on the road,

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meeting new people and visiting local events? Those who want to break the routine of the daily grind can find solace in the growing mobile franchise market. Mobile coffee van operators have regular customers that they visit every week on a prescribed route, visiting many different businesses and people in one day. They can also attend events and become an integral feature of that local community. Are you passionate about cooking, with an interest in food, fresh ingredients and unique flavour combinations? The ‘masterchef’ effect has truly changed the Quick Service Restaurant market, with consumers now enjoying ingredients like pulled pork, kimchi and duck from their local pizza store. If you are interested in food and making delicious flavours come to life, then maybe a QSR franchise is for you.

fe feature at u r e “Some people open their first franchise with plans to create a multi-store empire, while others just want to do something they love every day.” Gary Alford | Director of Franchise Retail Food Group

It’s important to identify your passions early on so you can use them to find the franchise that will keep you motivated for years to come.

2. What are my strengths? Every person has a good idea of their strengths and weaknesses, and you should be aware of both before you embark upon your franchising journey, particularly if you are purchasing a franchise with a partner. Full training is provided for any new franchisee by the franchisor to help turn any potential weaknesses into strengths. In fact, at Retail Food Group we have a world-class training academy on the Gold Coast where every new franchisee spends four to eight weeks learning the ropes of their new business. This initial training is where you will learn business, operational, food preparation and customer service skills. While you will learn all the skills you will need to be successful in your business during the training period, identifying you and your partner’s strengths and weaknesses before you make the final decision might provide new insights. The best franchisee partnerships are those where each person brings something different to the business; both sets of

strengths combined make an unstoppable team.

3. What do I want my business to achieve? Some people exercise to win races; others exercise to enjoy the experience. The same sentiment applies to business. Some people open their first franchise with plans to create a multi-store empire, while others just want to do something they love every day. It’s important to consider your own personal reasons for looking to open your own business so you can find the system that will help you achieve your goals. Many people say they want to ‘be their own boss’ but don’t consider what kind of boss they’d like themselves to be. If you’re the kind of boss that places importance on a strong life/work balance and set goals to spend time with family, a franchise that allows you to earn solid returns for minimal hours worked is a great option. Mobile coffee franchises primarily serve customer in the early hours of the morning, then shut down for the afternoon and weekends. However, if you are an entrepreneur and want to be your own boss so you can be rewarded for all the hard work and dedication you put into your business, a

“By finding out if the industry is in growth or decline, and identifying some of the key challenges for businesses operating in the sector, you can determine which franchisor is implementing the best strategies.”

franchise that allows for high levels of growth and expansion might be better suited to you. Buying into a franchise is a great opportunity to carve out your own future, from the friendly local café owner to the operator of a cluster of bakeries. With proven business systems, expert advice and structured support systems in place, franchises give you the freedom to achieve your goals, whatever they may be.

4. What do I know about the industry? Before making a long term investment in a franchise, it’s a good idea to study the industry and build your knowledge base. By finding out if the industry is in growth or decline, and identifying some of the key challenges for businesses operating in the sector, you can determine which franchisor is implementing the best strategies to combat these challenges. The retail food franchise industry is made up of many different, smaller markets. The coffee and café market is growing rapidly in Australia with further growth projected for the sector over the coming years. It should also be noted however that Australian coffee consumers are becoming more and more sophisticated and demanding as it pertains to the standard of beverage they accept. Therefore, this type of growth bodes well for coffee franchises who can deliver to the high standards of the Australian consumer’s discerning tastes by serving barista crafted, premium roasted blends. For example, Michel’s Patisserie has won Roy Morgan’s Coffee Shop of the Year for four consecutive years. The brand’s premium coffee blend is roasted and

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“The old franchising saying still rings true; when you go into a franchise you are going into business for yourself, but not by yourself.” manufactured exclusively for Michel’s Patisserie franchises in a state-of-the-art Australian roasting facility. The beans are ground fresh in each store, and each cup of coffee is made by a trained barista.

mentoring from the franchisor and a plethora of shared resources set franchisees up for their best opportunity for success.

There are a wide range of franchise options available to the new franchise buyer, and this is testament to the significant strengths and benefits of the franchise business model.

It is at this point however relevant to point out that franchising does not guarantee success to a franchisee. It is however a very good starting point where the franchisor has the relevant industry experience and scale to leverage that to the franchisees benefit.

From the very beginning, franchisees are supported in their business by experts in the field. Strong brand recognition cannot be underestimated in delivering immediate patronage, and access to superior buying power through a major franchisor serves to increase franchisees bottom line.

When it comes to making the decision about which franchise to buy, remember to consider your own passion, strengths, goals, and personality. You should likewise consider those very traits in the franchisor to ensure you are both compatible and complementary.

For the life of the business ongoing training, regular contact and business

The old franchising saying still rings true; when you go into a franchise you are

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going into business for yourself, but not by yourself. Retail Food Group’s Director of Franchise Gary Alford has held a variety of roles in operations, integration and expansion across franchising and coffee across his nineteen year tenure with RFG. RFG is Australia’s largest owner, developer and manager of retail food franchise systems, with a network of c.2450 outlets spanning 46 global territories. RFG is also a significant roaster and supplier of coffee and affiliated products. For more information contact: T: 1800 067 619 E: rfga@rfg.com.au W: www.rfg.com.au

SUCCESS?

Domino's is not just Australia and New Zealand's leading pizza brand â&#x20AC;&#x201C; it's also one of the world's most advanced digital retailers. So if you're looking for a franchise that delivers on your goals, you can't go past Domino's.

Undisputed leaders in online ordering. Australia and NZ's first and most advanced mobile ordering apps.

State of the art digital store management tools in the hands of every franchisee.

Australia and NZ's only pizza creation app and only real-time pizza tracker.

Ongoing training and support for franchisees and their teams.

Innovative digital marketing with millions of customers assessable via email and social media.

A proven and trusted brand that's passionate about pizza and people.

Call 1300 131 888 or visit: dominos.com.au/franchising Business Franchise Australia and New Zealand 53

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L a Porchet ta

La Porchetta has a focused drive on expansion

La Porchetta, the largest franchised restaurant operator in Australia and New Zealand is celebrating its 30th birthday this year with a focused drive to expansion. With more than 70 restaurants in the group, the brand is poised for more site openings in both countries, underpinned says CEO, Sara Pantaleo by the hospitality industry’s impressive growth in recent years. La Porchetta franchisees choose to invest in the brand for many reasons, including the comprehensive training and ongoing support that is provided and the group’s long history of success. When husband and wife team Amit Chillar and Noor Sarwara were looking for a franchised business to purchase in 2011, two criteria drove their search. They wanted to ensure that their investment would be safe and they wanted to work with people, not behind a desk or in an office. Amit is an accountant by training and La Porchetta stood out, because it’s

a proven system. “Franchising is a safe way to invest your money,” he said. “La Porchetta is an established model and we didn’t want to reinvent the wheel.” Neither Amit nor Noor had owned a business before and the support that La Porchetta provides to franchisees was very important to them. “When I was investigating the opportunity, I could see just how accessible the CEO, Support Office and the other franchisees are,” Amit said. “There is a culture of support here that you don’t get in every brand.” La Porchetta’s family culture and values were also very appealing. “It’s a familyoriented business and we now think of ourselves as part of the La Porchetta family,” said Amit. Neither had a hospitality background and both found La Porchetta’s initial training program invaluable. “The training was just amazing and it helped us a lot,” said Amit. “We learned about every aspect of the business, from dishwashing to staff recruitment and cash management.” Business partners, Jason Krainski and Stephen Montebello purchased a La Porchetta restaurant in the Victorian seaside town of Rosebud in 2005. Nine years later, following the success of that business, they opened their second La Porchetta at nearby Hastings.

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For Jason and Stephen, the decision to buy a La Porchetta was easy, because it was a trusted brand they had grown up with. “We chose La Porchetta because we both ate there as kids,” said Stephen. “It was a brand we knew and loved, and when the opportunity came up to purchase a restaurant, we were keen to take it. “We were young and had no business experience, so buying a franchise was perfect for us, because it gave us a model to follow,” said Stephen. “Now we’re part of the brand, we can see that one important reason for its success is the fantastic initial training and ongoing support you get from Support Office. It’s one of the great advantages of owning a La Porchetta franchise.” For many franchisees, owning a La Porchetta is also a lifestyle choice. “When you have a proven system with good policies and procedures and that’s backed by great training, you can step away and have a life work balance,” said Stephen. “When you find that balance, you come back to work refreshed and ready to grow the business even more.” For more information contact: T: 03 9460 6700 E: franchising@laporchetta.com W: www.laporchetta.com

Full Colour

C0 M94 Y98 K0 C0 M0 Y0 K100 C0 M0 Y0 K75 C0 M0 Y0 K35 C0 M0 Y0 K20

Fonts: Snell Roundhand Glypha LT Std - 55 Roman

Own a Slice of La Porchetta! Join our 70 restaurants in Australia and New Zealand and help us show why we are the market leaders in cooking quality Italian food with fresh ingredients. We are looking for passionate food lovers with a strong work ethic and drive to join our family. You bring the dream and La Porchetta will provide the recipe for success.

WHY LA PORCHETTA? • A proven profitable operation.

• We are a much loved and recognisable national brand.

• We have strong local area marketing support and advice.

• Be part of franchisee regular meetings where you can network and learn from other like-minded professionals. • We offer a flat fee structure that allows you to build your business faster.

Opportunities now available Australia-wide in key metropolitan and regional areas. Visit: http://www.laporchetta.com.au/franchising, email: franchising@laporchetta.com.au OR call (03) 9460 6700.

/LaPorchetta /LaPorchettaOfficial /LaPorchettaChefsTV

Download our New iPhone App or Android App

www.laporchetta.com

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SALES THROUGH SERVICE:

An effortless way to increase sales We all love to eat and drink and if you’re like me you may also love to observe certain trends in the marketplace; noticing an increasing number of people who dine out and grab takeaway.

Gone are the days where takeaway was for the Friday night; people are eating out or doing the grab and go every minute of every single day. So looking from a fly on the wall perspective, it would be common for one to make an assumption that the food and beverage is booming and is likely to be on the incline rather than the decline. Is this an accurate reflection for this coming year? Some say yes and others say no. In fact, I was reading in a recent article where it was predicted that ‘… there will be a slowdown

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of growth in the overall food and beverage market in this current year and therefore some challenges for the franchising sector will also be experienced’. Now I’m going to make a bold statement here, if we all built our businesses on predictions and the forecasts, the economy would be built on fear and most business owners would be closing the doors before they gave themselves a chance to shine. So how do you shine? How do you maximise your potential? How do you take

fe feature at u r e “If we all built our businesses on predictions and the forecasts, the economy would be built on fear and most business owners would be closing the doors before they gave themselves a chance to shine.” Tania Allen | Founder Vision Alliance

control and steer your ship to where you want it to go regardless of the economy and regardless of all other outside influences? Here’s some proven ways that will help you maximise your potential in your business providing of course, you do the right things, in the right order and at the right time on a consistent basis. Business gurus both present and past say there are many ways to grow a business and some ways are more complicated than others. Oftentimes because of the conflicting messages out there it’s easy for any business owner to lose sight of what’s really going to help us produce short term results and long term benefit and gain. Let’s explore the top three that will help you build momentum faster. As obvious as they sound, I invite you to take some time to consider the following and see what changes you can make and what actions you can take as early as tomorrow to build a more solid foundation for increased profits and set your business on a more predictable path.

Increase the number of customers Now this one sounds a little obvious and it’s what most business owners want more of every single day. What I would ask you to do however, is to consider what this really means.… To increase the number of customers, you firstly need to increase the number of prospects coming into your business. We all know not everyone who walks into your business will buy, so your number one aim is to ensure your business is welcoming and invites more people in and aims to provide a solution to your customers’ challenges, frustrations, concerns, wants or needs. With the understanding that not all prospects will turn into a paying customer,

it’s important to ensure you have a strategy and a process in place to ensure that the majority of prospects are converted into customers and the rest are nurtured so they eventually buy or perhaps recommend you to others. There’s your business tip number one: increase the number of customers in your business. In order to do that you firstly have to increase the number of prospects interested in doing business with you, and then you must do whatever it takes to show value and benefit to that prospect so they naturally want to buy what it is you offer and sell and this is what we refer to as increasing your conversions. There are other ways you can increase the number of customers and that’s through customer retention. Your aim in business should be to increase the number of customers coming through your doors every single day. It is however very expensive to build a business based on a new customer strategy only, so take some time to consider how you would go about retaining your current customers, in other words coming back to you over and over and also how you could reactivate past customers who haven’t purchased from you for a while.

Increase the transaction value McDonalds have been famous for this, using the traditional “Would you like fries with that?” approach to getting your customers to buy more. Many a business owner believes they must increase market share and set out to achieve what is often a deflating activity. What if I told you that you can influence the success in your business faster just by focusing on increasing wallet share and not just market share? So what is market share and how do we increase it? Imagine a woman has $20 in her wallet to spend on food and beverage items for the day. She may walk into

her local café and purchase a takeaway coffee for $4.20. Its lunch time and she’s undecided as to what she would like, so chooses to take the coffee for now. Meanwhile she’s walked out of your business and past another. By the time she decides what she wants for lunch, she’s well and truly gone. Will she turn back? Highly unlikely. She is more than likely going to walk into another store and buy what she feels like at the time. This is a very simple example of losing wallet share. She had $20 to spend, $4.20 was spent in your shop and possibly another $10 was spent in another store. Key points for you to consider are, how do you get the customer to spend more in your business without feeling like you are following a script and doing the “Would you like fries with that?” strategy or worse still feeling like you’re squeezing the last dollar out of someone’s pocket just to fill yours with classic upsell and cross sell strategies. Here’s a simple solution that will make everyone happy… SERVE DON’T SELL. If you change your mindset and how you look at ‘upsells’ and ‘cross sells’ and increasing the transaction value, how you can “serve” your customer more then increasing the average transaction will become top of mind and will allow your business and service to flow. In fact I believe you are doing your customers a disservice by not offering another item with their original purchase. The worst case scenario is your customer will say no. It’s that simple.

Increase the frequency of re-purchase An effortless way of increasing sales in your business is increasing the frequency of re-purchase. The key is to be mindful of how you invite your customers back more

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often. If you’re a retail store think about how you would get your customers to come in more often. Perhaps it’s getting them on a morning coffee run pick up, offer an SMS ordering system, or perhaps you could send an SMS blast out to your customer base offering lunch time specials or afternoon treats. As a service based business look at how you can package up your offers and get your clients coming back for more and of course more often. Regular automated touch points via email and SMS and phone provides a way for a well-balanced customer nurturing strategy. Increasing this area alone by 10 per cent can impact revenues significantly. Imagine what you could do if you increased this by more than that?

Time to take action… Knowledge is all but useless unless it’s applied so it’s time to get moving and implement some of these tips into your business to ensure you build momentum faster.

“Knowledge is all but useless unless it’s applied so it’s time to get moving and implement some of these tips into your business.” Take some time to consider how you will:

If you would like to learn more about

• Increase the number prospects into your business. Some ideas could include increase referrals, carry out consistent marketing, social media, running special events, special offers, promotions etc.

how you can maximise your potential in business. Tania Allen is offering all readers of Business Franchise a Complimentary Road Map Strategy Session.

• Increase the average transaction value. Consider companion selling, what else will complement the original purchase? Is there an upgrade to what you are selling?

Tania Allen is the founder of Vision

• Increase the frequency of purchase. Take some time to think of ways you can invite your customers back sooner. Think about your offers and ongoing promotions.

out of business and more out of life. For

Some say achieving business success is easy. I have to agree. The key to achieving momentum and maximising your potential is doing the right things in the right order and at the right time and more importantly on a consistent basis.

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Alliance and author of Franchise Profits. Vision Alliance is a business growth and franchise consulting firm that helps franchisors and franchisees get more more information about how Tania and her team can support you in maximising your potential in your franchise please contact: P: 1300 76 49 20 or 0419 481 203 E: tania@vision-alliance.com W: www.vision-alliance.com

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T he Spor ting Globe Ba r & G r ill

Best food at the game If watching sports in a fun and social environment is your idea of a perfect day, all whilst running your own business, then this is the franchise for you! The Sporting Globe Bar & Grill is a hospitality and sports entertainment brand with a mission to be Australia’s most loved sports bar and grill. Offering quality casual food and a large range of beers in a welcoming atmosphere with the ultimate state-of-the-art sports fit out, The Sporting Globe is a great place to eat, drink and catch a game.

VISION Founded in 2009 by lifelong friends James Sinclair and Brad Harris, the idea was born from James’ time living in New York. Seeing the American Sports Bar and Grill ingrained into American culture, and recognising that there was a gap in the Australian market-place, James relocated back to Australia. Along with Brad, they turned their vision of a contemporary Sports Bar into an Australian reality with the opening of their first venue in Geelong in early 2010. The team worked hard to win customers

by delivering exceptional service with a customer first culture, strong promotion, serving good value and quality branded products, and offering a strong loyalty program. The venue in Geelong incorporating restaurant, bar, beer garden and function rooms proved an instant hit with locals. Committed to ensuring everyone feels welcome, The Sporting Globe attracts a broad demographic of customers, including couples, groups of friends, families, sporting clubs, business people and large events or functions, all of whom can go in and have a good meal, sit with friends and family and watch a game of sport, in a social and fun environment.

GROWTH With the Geelong venue flourishing, The Sporting Globe opened two more venues at Fountain Gate and Moonee Ponds in 2012 and 2013 respectively. With three outlets open and trading successfully, franchise systems and processes were developed and implemented. The first franchise venue was opened in early 2014 in Richmond, by franchisees Kelvin Moore and Sean Kagan. Kelvin was looking for new opportunities after finishing a ten year career playing AFL with Richmond Football Club and says the decision to become a franchisee was easy due to the great business model and

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administrative support offered. It wasn’t too long before Watergardens followed suit with Werribee Plaza opening soon. With plans already in place to expand into Western Australia later in 2015, The Sporting Globe is preparing to take the concept nationwide. Capitalising on the climate, sports-mad Aussies and large expat population, all of whom want to watch sports from home and around the world, The Sporting Bar & Grill offer a wide range of sports. From big-money boxing matches and NBA Playoffs to homegrown favourites AFL, cricket and rugby, customers flock to their local Sporting Globe Bar & Grill to watch the action and experience the atmosphere of a sports bar environment, with all the major events sold out well in advance.

JOIN A GROWING NETWORK Franchise Development Manager, Brad Dekkers outlines the type of franchisees that The Sporting Bar & Grill are seeking. “We are looking for franchisees that are great with people first and foremost. The franchise model is built around having the franchisee in front of customers, providing the great customer service that only an owner/operator can. “Our franchisees also need to be leaders, capable of motivating and managing their staff. Venues can have anywhere from 30 to 50 staff so we need someone that can really

feature feature “The Sporting Globe Bar & Grill is a hospitality and sports entertainment brand with a mission to be Australia’s most loved sports bar and grill.”

engage with their staff and motivate, lead and coach them to also provide that great customer service. “We can train all of the technical elements such as making a cocktail or rostering staff, what we need in a franchisee is strong communication and leadership skills. As the franchisor, we aspire to do everything we can for the franchisee, in terms of administration and support to really help them focus on what’s important; their staff and customers. “As franchisor, we perform management accounting and reporting, supplier procurement and payroll execution on behalf of the franchisee, removing much of the administrative burden. We give the franchisees time to be front-of-house and this is what they love the most,” Brad says.

TRAINING AND SUPPORT The Sporting Globe offers franchisees a comprehensive training program plus assistance with the opening of the venue. The extensive six week training program covers all facets of running a franchise including: • Company culture; • Essential procedures and policies; • Modular training in business roles, systems and products; and • Management training including venue staffing, functions, local area marketing, stock control and financial management. It is a requirement of The Sporting Globe, that all franchisees work in the venue full time for a minimum of the first 12 months of operation, believing that committing yourself to master every aspect of the

business will deliver you the best results in the short and long term. Alongside a dedicated Accounts and Marketing team, the Operations team provide ongoing support to all franchisees, going to the venues each week, reviewing all aspects of the business, from stock control to cleaning to customer service, ensuring any issues and potential improvements can be identified and actioned promptly and efficiently. Brad explains, “We hold fortnightly management meetings where we sit down with the franchisee and look at all aspects of performance. We look at the ratios and KPIs against set benchmarks and identify what we are doing well and what we can be doing better. We see ourselves as a really hands-on franchisor; committed to helping the franchisee get the best out

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T he Spor ting Globe Ba r & G r ill

of their business. As mentioned, our ideal franchisee needs to be good with people as everything else can be trained. This means we are actively involved in helping them in all areas of the business, including any areas that they may not have the experience in.” As part of the Operations team, there is also a Group Executive Chef, who is responsible for the menu design and constant development, alongside all kitchen operations. The menu is constantly reviewed and updated, to ensure that it remains relevant to customers and the market. In addition to the support detailed above, The Sporting Globe also offer: Establishment support: • Site selection support;

• Venue design support,

“With the Geelong venue flourishing, The Sporting Globe Bar & Grill opened two more company owned outlets in Victoria.” • Use of loyalty club system, with approximately 35,000 members; and • Menu design and development. Management support:

• Development support, and

• Management accounting and administrative support;

Operating support:

• Management reporting.

• Opening marketing support. • Trade using our strong brand and Trademark logo The Sporting Globe®;

• Receive initial and ongoing management training and support; • Have access to staff training resources;

• Payroll execution; and

INVESTMENT Investment starts from $750,000, up to $1.5 million, dependent on venue size. With a franchise model that successfully works as

• Proven systems and procedures in our Operations manual;

• Transact efficiently with our Point of Sale system and support; • Support visitations and operational assessments; • Supplier procurement; and

• Ongoing product development. Marketing:

• Ongoing marketing support through social media, graphic design, promotions, venue activations, campaign execution, major events and more;

62 Business 62 Business Franchise Franchise AustraliaAustralia and Newand Zealand New Zealand

both a stand-alone outlet or as part of an entertainment complex within shopping centres, you are provided with a turn-key operation, ready for you to walk into and trade successfully from the very first day. If you would like to find out more about this award-winning Sports Bar and Grill, contact Franchise Development Manager Brad Dekkers on: T: 03 9645 4798 or 0400 616 285 E: franchise@sportingglobe.com.au W: www.sportingglobe.com.au/ franchise

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E x per t Advice

Buying into the Food and Beverage sector

a financier’s perspective

How often do we hear of or indeed speak to people, be they family, friends or even colleagues that remark, “I have had enough of working for a boss in the corporate hustle and bustle and simply want to run my own café”…or words to that effect? We may also have heard of a number who have made the change and regretted it or conversely have been very successful - we may not have heard of those who are simply in the daily grind of being a small business owner. The decision to run your own business, be it a café or any other food or beverage outlet, is not dissimilar to any small business with all of the pros and cons that go with it. Once you have made the decision to leave corporate life behind do you open a new or buy an independent café or open/buy a franchised one? There are many pros and cons for either option, some of these include:

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fe feature at u r e “One of the main reasons many businesses (including franchises) are not successful is because they fail to plan.” Ian Watt | Senior Business Development Manager - Franchising, NSW & ACT retail & business banking, Westpac

Franchise: Pros: Brand is already known, comprehensive marketing and training and support is provided, strong supplier relationships in place. Cons: May cost more, may be viewed as restrictive to comply with.

Independent: Pros: You can build your own name/brand, may cost less than a franchise, totally in charge of your own destiny. Cons: Can be difficult to market since it is a ‘new’ business/brand, no immediate peer support network. So, which way do you go and how would a lender view your decision? Much of this should be answered from an objective view formed from considering the following (note this list is not exhaustive as there are many other factors to consider): Firstly, if you have relevant experience in the food industry, starting out on your own could be considered as having a higher probability of success. If however, you are new to the industry then buying/ establishing a franchised outlet would most likely be a better choice. Secondly, if it takes longer to trade up then your own venture could cost you more and may also take longer to break even, let alone provide a positive return. On the other hand a franchise could help you leverage

economies of scale of the franchisor and get you started at a lower cost. Earning a positive return may be much faster as the model is tried and tested and works on the already successful marketing and operations of the franchise system. Finally, as an independent the brand you build is yours - in fact you could become a franchisor yourself! Conversely, as a successful franchisee you could buy multiple units of the same franchise and grow your business. This is something many franchisors are keen to see occur for many reasons, not the least of which is it fuels organic growth of the franchise system. Bankers will typically consider any funding application on its merits – against a risk framework which includes benchmarking data for the franchise brand concerned. This includes market evidence of store re-sales and values achieved as well as trading projections and set up costs across the outlet models offered by the brand, e.g. shopping centre food court, kiosk or restaurant style, stand alone, or drive thru etc. The key metrics of the business model are important for bankers to use as a guide against which funding applications are compared and assessed. The rigour applied by franchisors on site selection should not be under estimated and bankers look for sound objective judgement from thorough demographic and other analysis being

applied. In regards to the food or Quick Service Restaurant (QSR) sector, as for any other for that matter, the financial performance of an outlet is measured through benchmarking KPIs. Variable cost management by the franchise owner is critical to the success of the business with labour a major item – get the staff roster wrong and you can seriously damage the profit margin. Incur too much wastage, not have the right store trading hours, not understand foot traffic flows or simply ignore optimum supply purchasing requirements can all individually and collectively adversely impact the profit margin. Franchisor field manager support is very important to ensure that you are on the right path with your franchise – indeed if your longer term plan is to sell the business, at the best possible price, you will definitely need to ensure you are actively managing the KPIs as best as possible. Seek out as much information as you can through your due diligence, from as many sources as possible, so that when you do review the financials of a potential purchase, you can identify the KPIs and compare how your target store is performing against them. Whilst the numbers are obviously important, what’s equally and perhaps even more important, is why they differ and the underlying reasons. This could be the difference between success and failure if you proceed.

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“The choice as to which road you travel will depend on many things including your experience, risk profile, business interests and the resources you may have.”

From a banking point of view your whole banking relationship should be reviewed at least annually to ensure that you are receiving the attention, care and products and services you need to effectively and efficiently run your business, and at a price that is fair and competitive. This includes core products such as business loans, trading accounts, credit cards and the pricing charged for each service/product availed of. In this day and age of new technological advances at an ever increasing pace, banking through digital innovation continues to grow exponentially. Point of sale technology with ‘tap and go’ functionality was merely a dream a few years ago and banks are continuing to work fast to bring the latest hardware to market and roll this out to their customers. Online ordering is another growth channel and one which the banks are helping with through their point-of-sale applications. Franchisors typically have the buying/ negotiating power given the service/product

volumes involved; having group deals in place for their network for such generic services as point-of-sale terminals and the costs involved in processing transactions using them. Franchisees should always be asking their franchisors about their preferred banking partners and how they can help them. The choice as to which road you travel will depend on many things including your experience, risk profile, business interests and the resources (financial, personal etc.) you may have. You may want to meet a franchise consultant, lawyer or accountant, or all three, and investigate the many opportunities that exist and critically analyse if franchising is meant for you. Your banker remains a great resource for you to bounce your business ideas off, seek advice regarding how best to fund/structure your business and to provide the most

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effective debt and transactional banking solutions to aid your success. Ian Watt is the Senior Business Development Manager - Franchising, NSW & ACT Westpac continues their long-term commitment to franchising in Australia. The bank has a national network of franchise specialist business bankers who are able to deal with the specific needs of the franchise sector. Contact Ian at: P: 0419 271 995 E: ianwatt@westpac.com.au W: www.westpac.com.au/business- banking/industries/franchising/

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X presso M obile Café

Setting the benchmark! 100 per cent Australian owned and operated, Xpresso Mobile Café is the ultimate mobile café franchise system! We use the best vans and the best coffee – Di Bella Coffee. This coupled with extensive training, smartphone/app/beacon technology and our innovative mobile café fitout ensures that each and every franchisee is successful! We ARE the benchmark in Aussie mobile cafés! We operate in areas where businesses have limited access to quality espresso coffee and related products as well as café style snack food items such as cookies, banana bread, muffins, chocolate and protein balls etc. We also stock bottled water, energy drinks and ‘Coffee Kick’ – a ready-to-drink cold pressed coffee in a can product. Franchisees work their own hours Monday to Friday within their own large territory and then on weekends are free to roam outside their territory to service events that are provided by the franchisor or other events that the franchisee may source. Part of the intensive training is territory-based. A mentor accompanies the new franchisee, after their Di Bella Coffee barista training, for two weeks and assists with quality control and building a solid customer base (the daily run). The mentor also assists with

stock ordering and all areas of operation of the business. We practically hold the hand of each and every new franchisee until they are comfortable working on their own. Xpresso Mobile Café franchisees are marketed and promoted through our dedicated Facebook page at www.facebook/ XpressoMobileCafé, Youtube and the fully interactive website www.xpresso.com.au Everything is included! We also throw in a marketing kit including branded Di Bella Coffee breeze barriers, mini tables and chairs as well as a branded Di Bella Coffee umbrella – perfect for those events where you wish to draw a crowd!

Your new Xpresso Mobile Café will include: • an INCOME GUARANTEE!! $2500 PER WEEK FOR FOUR (4) WEEKS • a brand new Mercedes Benz Vito (auto diesel) 3-seater van fully customised to sell the full suite of Di Bella Coffee products • NO RULES on what food you can sell! (all foods must be individually wrapped and we do not sell heated foods) • NO NOISY & SMELLY GENERATORS! We use an innovative LPG gas/battery/inverter power source • three weeks of training which will leave you with a customer base and instant cash flow

• Smartphone and beacon technology that notifies your customers that you are outside, manages loyalty and communication to your customers!! Very cool!

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• Bluetooth wireless connectivity to your smartphone to play music at the rear of van (speakers also fitted) AND mobile payment systems!! • A dedicated huge display fridge to stock food/drink items as well as innovative Di Bella Coffee.

Awards 2013 Di Bella Coffee awarded the BRW top 50 most innovative company’s award 2014 ‘Coffee Roasters Industry Choice’ award - in the large specialty roaster category at the 2014 Golden Bean Competition - Australia’s most prestigious specialty coffee awards

Length of Agreement: 5 + 5 Years Year Business Established: 2013 Year Franchising Commenced: 2013 Number of Franchisees: 17 Cost: $119 500 + GST (includes the van!) Only exclusions are insurance and franchisor legals. Finance available to approved applicants.

Skills required None! Just your friendly personality! If you follow the comprehensive Xpresso Mobile Café training system and procedures, you will be successful. We will fully support you in every aspect of the business. Xpresso Mobile Café is on a national hunt for happy and positive people that are as passionate about coffee as we are. If this sounds like you and you want to become self-employed in Australia’s billion dollar espresso coffee industry, contact Xpresso Mobile Café today and ask for a new franchisee pack. T: 1300 655 559 W: www.xpresso.com.au

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E x per t Advice

Collaboration, not competition

finding a partnership that works In any business, it is important to always be looking for new ways to innovate your products, offer a better customer experience and find growth within new markets. Consumers all over the world are becoming more informed and savvy to their purchases with demand for more choice, higher quality and reasonable prices. Partnerships between businesses can be a great way to fast track growth opportunities and create a win-win situation.

At Red Rooster, we could have continued to serve the same menu that Australians were very familiar with, however with a genuine commitment to our customers and the ongoing aspiration to be the best business we can be, we decided to make some changes. Now, we are excited to share another noteworthy step on our journey - our partnership with fellow franchisor and widely renowned salad experts SumoSalad.

THE PARTNERSHIP Rob Coombe, Group CEO of Quick Service Restaurant Holdings (Oporto, Red Rooster, Chicken Treat) and Luke Baylis, CEO of SumoSalad had known each other through industry connections for quite some time. Both saw an opportunity to establish a

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win-win for both their franchise systems and most importantly for both sets of franchisees. Geographically, both brands have a very different national footprint. Currently SumoSalad has 118 stores nationally, predominately located in metro areas and food courts, which cements their popularity in the lunchtime occasion. Red Rooster currently has over 350 stores nationally with a strong regional and rural portfolio, predominately drive-throughs. We currently operate one menu across all day parts with some products more popular at certain times. For SumoSalad, this partnership is the ideal opportunity to gain brand awareness and traction in locations where the brand currently isnâ&#x20AC;&#x2122;t accessible. It could open up

fe feature at u r e “Customer experience is central to building and maintaining success and it is important to remain on the front foot with implementing ideas to strengthen this.” Chris Green | Chief Executive Officer Red Rooster

opportunities for new franchises, with the added bonus of existing visibility within that market. On top of this, partnering with us means visibility to a strong night time trade, broadening awareness and consumption of their products across another day part. For Red Rooster, it bolsters our menu with a premium offering and also offers an alternative to our breadlines especially during lunchtime trade. We have also identified other parts of the business where the partnership is beneficial including our catering offering and family meals. The key to success with any partnership is to find a cohort that is complimentary. Whether that is through products, services or creating new reasons for business at different times, it is important that the businesses won’t cannibalise each other and together they are stronger. This partnership is unique to the Australian QSR category. It is an ongoing collaboration with the common goal to expand influence and help Australians eat wholesome food with purpose. It demonstrates how serious we are about our real food credentials. Currently, we are committed to an initial twelve-month period consisting of ongoing product development and the introduction of more menu items.

EXECUTION If you are considering entering in to a relationship with a potential partner, it’s important to have shared short-term and long-term goals and also be aware that it may be sometime before the partnership comes to fruition. For us, this partnership was in the works for almost twelve months before we were able to go public. Working through both franchising systems and finding the best way to integrate the businesses took a

considerable amount of time and thought. Even though our geographical footprint is complimentary in terms of business opportunity, we discovered that our supplier and supply chains were very different. This was overcome through finding common ground where possible and also instigating new supplier relationships where necessary. Applying astute business acumen to our relationship, we both knew that introducing growth strategies was key. SumoSalad have designed an initial two salads exclusively for our menu with this to develop over time. During this period we will continue to work through the intricacies and internal operations of both franchises to ensure maximum output when the time is right.

CUSTOMER EXPERIENCE As well as having a great product, it is pertinent to nurture and grow your loyal customer base. Customers are the sole reason why any business is able to grow and expand and potentially become a successful national brand. Customer experience is central to building and maintaining success and it is important to remain on the front foot with implementing ideas to strengthen this. Partnerships have the potential to be one of the most powerful ways to evolve your customer experience. For us, we know that our customers are always looking for delicious meals that are wholesome and nourishing, so knowing that they can come to Red Rooster and now also enjoy SumoSalad is making their experience more enjoyable and memorable. But partnerships don’t always need to be product or franchise related to have this same effect. We recently ran a promotion with online streaming service Quickflix whereby customers who purchased two Roast Chickens for $20 received two months free streaming from the comfort of their own home. This was a limited time

partnership and was very successful for both parties. Businesses should always be looking at their target market through a creative lens. Discovering truly compelling ways to enhance your customers’ experience and employing these ideas has the capability to drive incremental revenue from your existing customer base, and to grow that base also. Franchisors and franchisees should always be looking to other products and markets for potential growth and share best practice within the industry. Not everyone is your competition! Look for complimentary opportunities either inside or outside your category to expand your current customer base and foster growth. We are proud of our desire to create change both within Red Rooster and in the broader franchising business sector and are excited about our partnership with SumoSalad. Chris Green has recently joined Red Rooster as Chief Executive Officer. Green is one of those rare individuals that started out as a 14 ½ year-old working at McDonalds and worked his way up through the entire system. Green has spent the last 27 years working both locally and internationally for McDonalds, most recently as Vice President of Operations & Franchising in Malaysia. Red Rooster is Australia’s largest roast chicken restaurant chain specialising in providing nourishing and wholesome real food. From the opening of the first Red Rooster store in Kelmscott, Western Australia in 1972, Red Rooster now operates over 350 restaurants across Australia and employs over 7,500 people. For further information please go to: W: www.redrooster.com.au

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Shape Shopf it ters

The power of local

manufacturing franchisors, “What can we do to reduce the cost of the fitout?” This is an obvious question for a franchisor to ask their fitout partner, but not often an easy one to answer. There are many things that need to be considered with every component that goes into the fitout, but the top three would be Quality, Price and Procurement.

Quality

For many franchisees the cost of the actual fitout will be the deciding factor of the economic viability of the franchise system and whether or not they are able to finance the startup costs. Over the years I have been asked many times the same question by different

From fittings, fixtures, equipment to finishes, everything needs to be the right quality to uphold both the design integrity and the franchisors’ brand image to deliver the customer experience over the time of the lease. This doesn’t necessarily mean it has to be the best quality money can buy, but it has to be the right quality for its chosen purpose.

Price There’s truth in the saying, “Look after the pennies and the pounds will look after themselves.” If the individual components that go into making up the fitout are overpriced or over specified then it’s no surprise what the final fitout cost will look like against the budget. At Shape we do a lot of work identifying areas of potential reductions in component prices and making our clients aware of the options, working together to maintain the intent but minimise the cost. Price point is always going to go hand in hand with Quality, which is why I would always put the right quality ahead of a cheaper option; otherwise it’s just a false economy.

Procurement

Wayne Billings

Whatever the selected item is, it needs to be available in the required time frame, the right quantity and in many cases to be available over time for future stores. It is difficult to manage specified items with long lead times from overseas suppliers in a 6-8 week fitout program. Shipping

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delays etc. create unnecessary uncertainty for all involved and added pressure on an impending opening date. All these things need to be considered for each individual component. It’s not always the case that taking the cheaper imported option is the best option. When we start to look at the joinery and furniture components that go into an individual fitout and in many cases, the significant cost they carry to the bottom line it is often tempting to look at a cheaper imported product. While this is done successfully for some products, it’s not often the case for retail food tenancies or in particular Quick Service Restaurants. Why? There is a high priority to keep the operational needs of the system to its proven formula. Ovens, fryers, grills, refrigeration and washing facilities are required to be positioned to allow for a practical workflow. What’s left of the tenancy is the opportunity to create the customer experience. As most tenancies will differ in size and shape this is where the joinery and furniture items will need to bend and mould to fit both the space and the design intent. If we look at the three criteria previously mentioned you will start to see some grey areas over the viability of procuring and importing a product manufactured offshore at a cheaper price. The drop in quality of the finished product is reflected in the price point, which is the only positive I have found in my personal experience with this. Procurement can be a nightmare with a lack of control of the production run as well as shipping hold ups and problems through customs. Once that’s been negotiated there is the risk of damage during transport and then the added concern of manufacturing errors. If that’s the case then its modifications to a brand new unit, more than likely at the closing stages of the fitout. That said, there starts to become some

fe feature at u r e “The local economy is supported by people supporting local manufacturing.” real advantages with choosing a locally manufactured product and partnering with a fitout company that has a quality and competent manufacturing capability. Quality is definitely going to be far superior. Price may be a little higher but given the risks of the cheaper option the value is by far better and procurement is a one sided argument. There are also a number of other advantages to using locally manufactured joinery and furniture. The use of recycled materials including bricks and timbers has been very popular in recent times and while creating some great ambience and character to many fitouts, it also has a significant positive impact on our environment. What used to go into landfill at a rapid rate is now being picked apart, salvaged and reused and often the recycled product is far better quality than what is currently available. The local economy is supported by people supporting local manufacturing. Manufacturing in Australia peaked in the 1960’s at 25 per cent. Today this sits below 7 per cent and with big companies like Holden packing it in, the situation looks like getting worse. It’s now more important than ever to support local manufacturing and Australian made products. Research and development is a key area. At Shape we spend a lot of time working with our partners developing exactly what it is they require from particular joinery or furniture items. This can be anything from the look and feel of the material being used to the practicality or functionality of a specific item. Small samples are always easier to look at, re-work and approve before investing in a custom designed piece therefore avoiding a potential costly mistake. This service can only be provided by a local manufacturer particularly given the tight time frames that this is normally undertaken in. In my opinion there is a definite advantage of maintaining a high level of manufacturing capability locally at Shape. It provides a far better service to my clients allowing me deliver the highest quality product in the shortest time. It allows me to continue to develop products to suit their

needs and it gives me 100 per cent control over production and delivery. To me, that’s the power of local manufacturing. Wayne Billings is the founder and Director of Shape Shopfitters P/L and has spent the past 17 years developing Shape’s local manufacturing capabilities. He is focussed on partnering with retail food franchisors and producing outstanding results while delivering exceptional service.

Shape are one of Australia’s largest retail food shopfitters and excel at producing iconic tenancies. Shape have completed hundreds of fitouts and continue to work with many major retail food brands Australia wide. For more information contact: P: 03 9432 1044 W: www.shapeshopfitters.com,au

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fr anch isi ng e x po

(L-R) Dr Sam Prince, Zambrero’s Regional NSW Development Agent Fadi Barsoum, Sangeetha Mohan and Amitav Chowdhury.

John Bozuwa from Bozzy Shade Blinds shares his passion for franchising

Stop dreaming

get your ticket to a new life

After an exciting and inspiring show in Sydney in March, the Franchising & Business Opportunities Expo is ready to ignite your passion in Brisbane and Melbourne. Tickets are now on sale for both shows at the Expo website. “The Sydney Expo was full of incredible opportunities, from the health and beauty sector, to food and café operations, to mobile or retail businesses,” says Exhibition Manager Fiona Stacey. “There was also a wide range of experts on hand to give their advice and provide information about the ins and outs of franchising.” One couple that followed their dream to Sydney was Sangeetha Mohan and her husband Amitav Chowdhury. They were interested in a Zambrero franchise, and were thrilled to meet the company’s founder, Dr Sam Prince, at the Expo. “It was so inspiring to hear his story at the seminar,” says Mohan. “We want to speak

to someone about joining this franchise, we love how it is not just about making money, it is also about making a difference.” Sam Prince’s presentation was indeed inspiring. The Founder and Director of Zambrero was born in Dundee, Scotland to Sri Lankan immigrants. He moved with his family to Australia in 1986, and began his tertiary education at Australian National University aged just 16. While still studying for his medical degree he established Zambrero Fresh Mex Grill in Canberra, built upon the key principles of happiness, healthy food, and humanitarianism. In the following years, Prince practiced as a doctor and grew Zambrero to over 68 stores and counting, with 650 staff and over $30 million in revenue. The business was recognised as the fastest growing franchise in Australia in 2010 by BRW. In 2014 Zambrero expanded internationally, with one store opening in Thailand and four in New Zealand. Since 2011, Zambrero has been working with Action Against Hunger in a program known as ‘Plate 4 Plate’, to provide meals for people suffering from malnutrition in Africa. So far, more than five million ‘plates’ have been donated, with a counter keeping score in every store. Prince’s message to visitors was to remain positive, even when the going was tough. “The reality is, if you have a passion and a

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dream, then the people who can help you are all around you.” Behind every exhibitor’s stand is an inspiring story. John Bozuwa first exhibited 30 years ago, franchising a business he bought for $1000 called Mobile Plastic and Vinyl Repairs. “I sold three franchises that weekend, and within 18 months I had 26 franchisees,” he reflects. “After five years I sold the business for $1.3 million.” This year, Bozuwa represented his son’s business Bozzy Shade Blinds in Sydney, and enjoyed sharing his passion for franchising with show visitors. “I just love talking to everyone, this is a great business to get into and I think anyone can be an entrepreneur, you just have to take the first step.” Fiona Stacey believes the first step on a franchising journey is attending the Franchising and Business Opportunities Expo. “Meeting the franchisors and the industry experts is always illuminating,” she says. “This is also an event where the industry comes together to educate, inform and network – the place where you can really turn your ambition into action.” Discounted tickets are available now at: www.franchisingexpo.com.au.

Business Franchise Australia and New Zealand 75

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When and How to Sell Your Franchise The new Franchising Code of Conduct, which commenced on 1 January 2015, has altered the rights and obligations between parties in relation to end of term arrangements. This article focusses on the transfer rights and obligations when a franchisee sells their franchise business.

Transfer Rights and Obligations under the new Code 2015 Clause 24 of the Code, provides that a franchisee can request, in writing, the franchisorâ&#x20AC;&#x2122;s consent to a transfer which must be accompanied by all information that the franchisor would â&#x20AC;&#x153;reasonably require and expect to be givenâ&#x20AC;? to make an informed decision. The information to be provided is not specified in the Code and therefore common sense should prevail. If the franchisor requires further information before making an informed decision whether to consent to

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the transfer, the franchisor can (in writing) request that further information from the franchisee. A franchisee cannot assert a franchisor is acting unreasonably or withhold consent if the franchisee does not provide the requested information to the franchisor. The franchisor must advise the franchisee in writing whether it gives its consent or not. If consent is not given in that period (42 days), the franchisor must give reasons why. If consent is given, the franchisor must indicate whether the consent is subject to any conditions.

“The franchisor must not unreasonably withhold consent to the transfer of a franchise.” Robert Toth | Partner Marsh & Maher Lawyers

The franchisor must not unreasonably withhold consent to the transfer of a franchise.

(e) the franchisee has not paid or made reasonable provision to pay amounts owing to the franchisor.

The new Code provides a positive obligation on both parties to act in good faith. Acting in good faith is determined by whether a party acts honestly and not arbitrarily, and cooperates to achieve the purpose of the agreement.

(f) the franchisee has not remedied a breach of the Franchise Agreement.

This is balanced by clause 6(6) of the new Code, which provides that a party is not in breach of their obligation to act in good faith by acting in their own legitimate commercial interests. The key word is “legitimate interests”.

(g) the franchisor has not received from the transferee a statement that they have received, read and had a reasonable opportunity to understand the Disclosure Document and the Code. The above are not the only circumstances where a franchisor’s consent can be reasonably withheld. There may be other legitimate reasons for a franchisor to refuse consent.

A franchisor can reasonably withhold its consent in various circumstances under clause 25(3) as follows:

If the franchisor does not respond to the request for consent within 42 days of:

(a) the transferee is unlikely to meet the financial obligations under the Franchise Agreement. For instance the franchisee does not have sufficient working capital to acquire the business or is too highly geared.

• the date the last of the further information is provided to the franchisor;

(b) the transferee does not meet a reasonable requirement of the Franchise Agreement for transfer this is open to broad interpretation. (c) the proposed transferee does not meet the selection criteria of the franchisor. This may relate to the requirement to speak the language, and other reasonable criteria to conduct the business such as licenses or qualifications. (d) the transferee does not agree in writing to comply with the obligations. The transferee cannot seek to renegotiate the terms and seek concessions from the franchisor. If it does so, the franchisor can refuse to consent to the transfer.

• the date the request is made; and

the franchisor is taken to have consented to the transfer. Franchisors must therefore give this their attention and ensure they respond within the 42 day period and diarise the date of request. The franchisor may revoke its consent within 14 days (in writing) giving reasons why consent has been revoked. This is only where it has given its consent within the 42 day period. The franchisor must not unreasonably revoke its consent. The circumstances set out in clause 25(3), maybe reasonable circumstances for consent to be revoked.

End of term arrangements under the new Code Clause 18 requires a franchisor to give notice (in writing) to the franchisee not less than six months before the end of the franchise term whether it intends to extend the Franchise

Agreement or enter into a new Franchise Agreement. A failure to do so carries a civil penalty of 300 penalty units, which equates to approximately $8,800 which can be imposed by the ACCC. Importantly, under clause 18.3, the franchisor’s six months’ notice must state that the franchisee may request a Disclosure Document under clause 16. The failure to extend the franchise term may have a significant impact on the franchisors right to enforce any restraint of trade provision against the franchisee.

What does this mean to franchisees? • The Code does not give the franchisee a right to transfer the Franchise Agreement. It is often assumed that such a right exists. It is important to ensure that these rights do exist in the Franchise Agreement. • The process of transfer involves balancing the rights between the franchisor to legitimately protect its interests, brand and reputation against the rights of the franchisee to sell its business and recoup any goodwill it has generated from their efforts. So, is there a good time to sell your franchise in light of the new Code arrangements? Franchise Agreements are for different terms. The Code does not regulate what term should be offered. A franchise right can be granted for 12 months (or less), 3 years, 5 years or 20 years. There may be options, but there is no right to an option. There is no obligation in the Code for a franchisor to grant an option to the franchisee, save for the new obligations under Clause 18.

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As with any business, it takes some time to settle into and generate the returns and rewards that one might expect. Most business plans provide for a return on investment within, say, three years as the upfront capital costs are generally amortised over the first two to three years. Selling a franchise within the first two to three years is not ideal and is likely to crystallise a loss to a franchisee on its investment. It is unlikely a franchisee will be able to recover any goodwill in that period as it has not had enough trading history. Attempting to sell your franchise business within the last two years of the term, is also likely to impact on a franchisee’s ability to recover any goodwill as any good will be tied to the term left to sell.

Selling your franchise business The process of obtaining the franchisor’s consent and selling a franchise business is a complex matter and usually involves a number of parties including landlords, their agents and lawyers and the franchisor’s lawyers. Preparing to sell a business takes considerable planning. Ensure that you are up to date with your payments to the franchisor and landlord, and that your financial returns are up to date and accurately reflect the financial position of the business.

It is often the case that the lease term may not coincide with the term under the Franchise Agreement and one or the other may affect the value of the business.

So when is the best time to sell my business? Although the new Code has sought to address the imbalance between franchisors and franchisees, in relation to the ability of a franchisee to maintain its business as a going concern towards the end of the franchise’s term, it will be interesting to see how matters develop in the future. Although the franchisor must indicate to a franchisee whether it will extend the term or enter into a new Franchise Agreement, the risk still remains for a franchisee that a franchisor may not extend the term. If the history between the franchisor and franchisee was difficult or the franchisee had been in regular default through the term it is unlikely the franchisor will want the franchisee to remain in the system. If the term is not extended and other circumstances set out in clause 23 of the new Code exist, the franchisee will be free from the restraint of trade provisions (unless the franchisor has made a genuine payment of compensation to the franchisee). The franchisee could then continue operating in competition with the franchisor without using the franchisor’s brand, confidential information and intellectual property. The best time to sell a franchise business is shortly after a renewal of the Franchise Agreement, whilst there is a reasonable term left.

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It would be unreasonable to expect a franchisor to be cooperative and provide consent to a transfer if you are in default of your obligations at the time of your sale. The franchisor may also have a first right of refusal which needs to be dealt with. So communicate with the franchisor well before placing your business on the market for sale and tidy up any outstanding issues with them. Engaging an experienced franchise lawyer and your accountant early in the process is essential to guiding you through the process.

“The Code does not give the franchisee a right to transfer the Agreement.”

Summary • Plan to sell your business and get your house in order before you go to market. • Seek early expert advice from your franchise lawyer and your accountant well before you go to the market. • Ensure you have your documents in order, up to date and available including employment records; material contracts, licenses, permits, lease documents and financials to enable the purchaser to undergo their due diligence efficiently. • Don’t accept the first purchaser that may come along! Do your due diligence on the buyer just as the buyer will do their due diligence on you. • Be prepared for disappointment as it often takes two or three buyers before you find a purchaser that will actually stick. • If you don’t think the purchaser is suitable to operate the business, it is unlikely the franchisor or landlord will.

Costs of selling your franchise business Before engaging an agent or broker, factor in the costs of sale and exit fees so these can be taken into account in your negotiations with the buyer. The cost of selling your franchise can be considerable and include the following: (a) business agents commission and advertising; (b) landlord’s legal costs and agents costs to approve the incoming franchisees; (c) the franchisor’s costs of providing consent – this can be a fixed fee or expressed as a percentage of the gross sale price and expressed as a “Transfer Fee”; (d) any capital gains tax liability to you on sale of the business; and (e) your own legal and accounting costs – often underestimated. In addition to the above direct costs, there are the indirect costs of your time and attention and stress of going through the transaction process and don’t forget you may also recover any security deposit or bank guarantees you provided to the landlord or franchisor.

• Do they have the finances necessary to acquire the business? Do they need to obtain finance? If so, how much? Do they need to make an offer conditional on finance? Will they likely be approved by the landlord? • It is always preferable to enter into a sale which is not conditional on finance. • If you have to offer vendor’s terms to sell the business; will you hold any security? Will you be prepared to go back into the business if the purchaser defaults? By asking these questions at the earliest opportunity you may save yourself considerable time, cost and disappointment. Robert Toth is a Partner of Marsh & Maher Lawyers, with over 30 years of experience in franchise law. He is an Accredited Business Law Specialist with expertise in franchising, licensing and distribution and franchise dispute resolution (acting for both international franchisors and franchisees). T: 03 9604 9400 E: rxt@marshmaher.com.au W: www.marshmaher.com.au

Business Franchise Australia and New Zealand 79

profile fr anch ise : Mob cou i l nci e T est l of‘Naust ’ Ca lr a l i a

THE OPPORTUNITY YOU’VE BEEN LOOKING FOR entry barriers to entry (into the industry). This means that the franchise you are buying is a premium and highly demanded service. On top of all this, it is a mandated and required service. Because it cannot be cut back on, the demand for testing and calibration won’t be hindered even by industry decline or recession. With Health and Safety regulations tightening in all industries and states, testing and calibration will continue to be mandated, and will likely become more heavily policed. This will increase the profitability and value of your franchise.

With mandatory testing of electrical safety products and calibration of meters and instruments in all states, Mobile Test ‘n’ Cal provides a service that is in high demand and has high repeat business. In the past, the delivery of this testing and calibration service left much to be desired. Electricians had no choice but to wait weeks to get their tools back, causing unnecessary and costly downtime. One mobile service did exist alone in the market, but it had all the hallmarks of a monopoly: overly expensive rates and poor customer service. Andre Borell, having worked in the family electrical business from the age of 12, recognised that the industry was not being serviced properly. After attending The University of Queensland, Andre joined the family firm, Extreme Safety, full-time and in four years helped transform the company from a two-person operation run by his

parents into a company that employed nine staff and has a multi million dollar turnover annually. After negotiating the sale of the business that allowed his parents to retire, Andre turned his sights to the testing and calibration industry and set about building a company he could be proud of. Mobile Test ‘n’ Cal was first launched in Queensland and quickly grew to three vans within 18 months. The demand for the Mobile Test ‘n’ Cal service was massive and the need for quick expansion was evident, with each new van added to the fleet being booked solid within weeks.

The highly technical nature not only deters new entrants and competitors to the area, but makes it vital to be part of such a strong, experienced and thriving company and franchise group as Mobile Test ‘n’ Cal. With technical experts available to you year-round as part of your franchise royalty, someone will always be just a phone call away to assist you and your business, no matter where you are in the country. The franchise and business model is designed so that you are truly buying a business, not a job. The franchise is designed so that you can employ a technician and draw a passive income from the profits. This is not a job, it’s a business.

Delivering a quality on-site testing and calibration service to electricians and electrical contractors throughout all of Australia, Mobile Test ‘n’ Cal are now actively seeking new franchisees to assist with their speedy expansion.

With territories available in all states, except Queensland, each territory has been calculated to include a known number of electrical workers and electrical contractors that can sustain a profitable Mobile Test ‘n’ Cal on-site van.

AN OPPORTUNITY LIKE NO OTHER

If you would like to know more about how Mobile Test ‘n’ Cal can benefit you and your family contact:

The Mobile Test ‘n’ Cal franchise opportunity is unlike any other in the Electrical Industry. By its nature, testing and calibration is very technical and has high

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T: 1300 662 119 E: sales@mobiletestncal.com.au W: www.calibrationfranchise.com.au

Business Franchise Australia and New Zealand 81

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From employee to business owner How to know if it’s for you and how to make the transition Over the years at Bedshed we’ve seen a percentage of store managers graduate to owning their own Bedshed franchises. It can be a highly successful transition as managers already know the business and have a lot of the skills they need to make good franchisees. It’s no surprise store managers start to dream bigger. As an employee, there is a ceiling to your earning potential. When you make the shift to business owner, the sky’s the limit. However it’s not just about the money – there’s a level of personal satisfaction that comes from working for yourself and more flexibility in the way you work. These factors drive some store managers to think about buying a business as the logical next step in their career. However,

it’s important to remember that owning a business isn’t for everyone – it might not be something that suits you or your skill set. How do you know if owning a franchise is for you? What does it really take for a store manager to become a franchisee? Bedshed has been in franchising for more than 30 years. We have a long heritage in the industry and a good understanding of what it takes to be a successful franchisee. Here are some tips and traits we’ve identified that are necessary to make the transition.

Identify existing skills and knowledge that will help you succeed As a store manager, you already have lots of skills that will stand you in good stead to run your own successful franchise: • Strong product knowledge You know the product range and are well equipped to help your customers find the product that’s right for them. • Sales and negotiation skills Having worked successfully within your chosen franchise, you understand how to

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sell goods. This skill is transferrable to selling your business to prospective new staff and managing business relationships. • Existing relationships within the business A good established relationship with your franchisor and other franchisees is a valuable asset and will allow you to hit the ground running. • Understanding of business processes As a current store manager you have in depth knowledge of how the business runs allowing you to easily identify opportunities to improve efficiencies. • People skills You know how to motivate and encourage your staff to perform at their best and how to deal with difficult customers which will become a bigger part of your role. • Company philosophy and culture If you’ve worked within a franchise, you have a good idea of the company philosophy and whether this matches your own values. This is incredibly important and will ensure the franchisee/franchisor relationship is harmonious

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Imagine buying a business with a proven system and business model and a brand that people already know! This directory utilises decades of experience from experts in the franchising industry to help you on your franchising path to success. Purchase your copy of the Australian & New Zealand Business Franchise Directory from all good newsagencies, via our website or digitally via Apple and Android.

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“You need to have a go-getter attitude and you need to be committed and driven to succeed.” Gavin Culmsee | General Manager Bedshed

What do you need to learn? It’s great that you have these skills already in place as they really set you up for success. However, there are specific skills you need as a franchisee that go beyond what you would have built up as a store manager. For a franchise owner, the big picture is much more than day-to-day sales, staff and management of the store – it’s all that plus the long term vision, solving problems and identifying and leveraging new opportunities. The following are the key areas where most store managers would need to upskill in order to be successful. These are all areas that many franchisors cover in their training of new franchisees. • Cashflow

The cash flow of the business is, as a franchise owner, your responsibility. You need to be sure that you are confident managing the money that flows in and out of the business. A basic understanding and appreciation for the importance of maintaining positive cash flow is critical to be able to pay bills on time and having a brain for figures helps too. • Paying creditors From stock and rent to electricity and phone bills, all businesses have bills to pay, which is why cash flow is important. As the franchisee, it will be up to you to make sure bills are paid in a timely fashion to keep your businesses running and maintain a good credit rating. • Inventory management You’ll be used to seeing stock coming into and out of your store. However, the management of this, what you buy and in what quantities is something that perhaps you’ve not been responsible for previously. As a franchise owner, you’ll be required to order stock, predict trends and make sure

new inventory is delivered in time to meet customer demand. • Business decisions One of the biggest shifts from store manager to owner is being responsible for business decisions. From discretionary discounting to make a sale to decisions about hiring and firing staff and even local marketing, you’re responsible for making and standing by these decisions. Each of these areas are important but it doesn’t mean you can’t be a franchisee if you don’t have these skills yet. The benefit of buying a business within a franchise network is the extensive training and support you will receive in the areas where you’ve had less experience.

It’s personal We’ve worked with lots of franchisees over the years and what success ultimately comes down to is a combination of aptitude, attitude and drive. You need to have some level of aptitude for the industry you’re working in and for the business skills you need as an owner; you need to have a go-getter attitude and you need to be committed and driven to succeed. What does that look like in practice? • A strong work ethic. Franchise owners, especially new franchisees, work extremely hard, and a strong work ethic is critical. It will pay off in the end! • You need to be motivated to succeed. Of course it helps that as the owner of the business, you’re working hard for your own benefit. • An important quality for any franchise owner is resilience. In taking responsibility for a franchise, it’s natural that not everything will go to plan. A propensity for resilience is necessary for the success of a new franchisee.

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In the driving seat When all is said and done, to own a successful franchise you need to have the drive to do so. Your store management skills already stand you in great stead to be able to make your store really successful, but ultimately it is the qualities of resilience, responsibility and motivation that are the most important. The skills you might lack from a business perspective like cash flow and inventory management can be taught if you’re willing to learn. If you’re a store manager and you’re thinking about transitioning to owning your own business, franchising takes away a lot of the risk. You’re working within an established brand, with support and training not only from the franchisor but also from other franchisees. If you are thinking about making the shift, my best advice is to start having conversations – with your boss, with other franchisees in the network and with the franchisor staff. They’ll guide you in the right direction, but ultimately if you have the aptitude, attitude and drive, you will be successful. Go for it! Gavin Culmsee has been at Bedshed since 2008, taking the helm in 2010. His career spans more than 20 years in retail including senior executive roles at Freedom Furniture and Bedshed. Bedshed is one of Australia’s largest specialist bedding and bedroom furniture franchises with a network of more than 30 stores across the country. Bedshed has grown steadily since it started in Western Australia in 1980 and is currently expanding on the eastern seaboard. Follow Bedshed on LinkedIn: www.linkedin.com/company/bedshed

HAVE YOU NOTICED HOW MANY BLOCKS OF UNITS THERE ARE? Ever wondered who looks after them and how you might be able to get a piece of the action?

LOOK NO FURTHER - CGS CLEANING AND GARDENING WHY CGS FRANCHISE? s .O PREVIOUS EXPERIENCE REQUIRED s %STABLISHED BRAND IN THE STRATA INDUSTRY SINCE s .O AFTER HOURS WORK s .O WEEKEND WORK s 0ROFESSIONAL HEAD OFlCE SUPPORT s 6ERY PROlTABLE s (UGE GROWTH POTENTIAL

To learn how to get your piece of the action and get the perfect work life balance Call: 0410 633 536 | Email: franchise@cleangreenstrata.com.au

www.cleangreenstrata.com.au Business Franchise Australia and New Zealand 85

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Franchising & Super

Know your obligations

As with any other business owner, franchisees need to ensure they comply with various workplace, tax and super obligations. Understanding your super obligations can be difficult for new business operators or if you have more complex arrangements. It is important to get your employees’ super entitlements right, so Emma Haines, Assistant Commissioner at the ATO (the Government agency responsible for the administration of super guarantee) walks us through the things employers need to make sure they get right when it comes to paying super, including some common mistakes for franchisees.

Who should you make super payments for? As an employer you have to make compulsory super contributions on behalf of all your eligible employees. This is known as ‘super guarantee’ or sometimes just ‘SG’.

for, the Superannuation guarantee eligibility decision tool can help you understand whether you need to make super contributions for your workers. Find it at ato.gov.au/Calculators-andtools/Super-guarantee-eligibility.

But what exactly is an eligible employee? Generally, you need to make super contributions if your worker is 18 years or over and paid $450 or more (before tax) in salary or wages in a calendar month. It doesn’t matter if they work full time, part time or on a casual basis.

Employers operating under an award, enterprise agreement or other employment agreement/contract may have additional obligations to those required under super guarantee.

If you have workers under 18 years of age you need to make super contributions on their behalf if they meet the above condition and work more than 30 hours per week.

A common area for franchisees to fall short of their super obligations is by incorrectly classifying workers as contractors.

Help is at hand! If you’re still not sure which workers you need to pay super

86 Business Franchise Australia and New Zealand

What about contractors?

There are many reasons for this, but some employers assume that if their worker has an ABN or does short-term work for example, or perhaps if there’s a written contract, they

“If you have a worker under a contract and pay them for their labour and hours worked - rather than to achieve a result - you must make super contributions for them.” Emma Haines | Assistant Commissioner Superannuation ATO

must be a contractor and not eligible for super guarantee. This isn’t necessarily true. For superannuation purposes, contractors engaged primarily for their labour are also employees entitled to superannuation. So if you have a worker under a contract and pay them for their labour and hours worked - rather than to achieve a result - you must make super contributions for them. For example, many pizza delivery drivers are engaged by franchisee businesses with a Contract Driver Agreement and often use their own vehicles for delivery. These drivers are often misclassified as contractors but in most cases should be treated as common law employees for super and pay as you go withholding tax purposes.

You can use the Employee/contractor decision tool to find out whether your worker is an employee or contractor for tax and super purposes. Find it at ato. gov.au/Calculators-and-tools/Employeeor-contractor.

Find out more, or download a Standard choice form, at ato.gov.au/offeringchoice

How much to pay

• Make payments for eligible employees (remember that some contractors are considered employees for super purposes)

Super contributions are calculated by multiplying an employee’s OTE for the quarter by 9.5 per cent and this amount must be paid into the nominated super fund by the quarterly due date.

• Keep records.

For help to calculate how much super you must contribute for your eligible employees use the Superannuation guarantee contributions calculator. Find it at ato.gov.au/Calculators-and-tools/ Super-guarantee-contributions.

• Offer your eligible employees a choice of fund • Pay the right amount • Pay on time

What to do if you haven’t met your obligations If you fail to meet your super obligations you are liable to pay the superannuation guarantee charge (SGC) and must lodge a SGC statement with the ATO. You will have to pay the SGC if: • you have underpaid or not paid an employee’s super contributions • super contributions are not paid by the quarterly due date

When to pay You must make super guarantee contributions at least four times a year, by the quarterly due dates. You can choose to make contributions more frequently, if you prefer.

Offering your employees a choice of fund

Qtr Period

Your employee can use the form to choose a super fund or accept your employer nominated super fund, often called a default fund.

If you want to know more about your super obligations you can visit ato.gov.au/ employersuper for a complete summary. The key points to remember are:

You must pay a minimum of 9.5 per cent of an eligible employee’s ordinary time earnings (OTE). OTE is the usual amount an employee earns for their ordinary working hours. This includes commissions, shift loading and allowances but excludes overtime payments.

The ATO also has more information and examples at ato.gov.au/ contractorsandsuper

Many employees are entitled to choose their own super fund. If this applies to your employees (this generally depends on the type of award or industrial agreement you employ them under) you need to offer them choice by providing them with a Standard choice form.

Want to know more?

Payment due date

1 July – 30 Sept

28 Oct

1 Oct – 31 Dec

28 Jan

1 Jan – 31 March

28 April

1 April – 30 June

28 July

• super contributions are not paid to your employee’s chosen super fund. The SGC is made up of shortfall amounts, nominal interest of 10 per cent per annum and a $20 administration fee per employee, per quarter. SGC amounts paid are not tax deductible. If you elect to use the late payment offset to reduce the SGC liability with any late contributions paid, then the late contributions paid are also non-deductible.

Record keeping

Additional penalties may also apply for failing to meet SGC obligations.

You must keep records showing the amount of super you paid for each employee as well as any documents that helped you calculate the amount of super you paid. You also must keep records to show you have offered your eligible employees a choice of super fund.

If you have not met your super obligations, call the ATO for assistance, or use the super guarantee charge statement and calculator tool available at ato.gov.au/Calculators-andtools/Super-guarantee-charge-statement-andcalculator-tool.

Business Franchise Australia and New Zealand 87

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Upcoming changes for employers It’s also timely to remind you about SuperStream, which will make it easier to make super contributions. SuperStream eliminates inconsistencies in how super contributions are made. Under SuperStream, you will send super contributions electronically in a standard format, with linked data and payments. It provides a simpler, consistent method of preparing contributions, and in many cases, a single channel for interacting with multiple funds. You can expect that payment processing costs will be reduced by removing cheques and unnecessary variation in payment methods between funds. By now most medium to large employers (those with 20 or more staff) should already have their plans in place to ensure they are SuperStream ready by 30 June 2015. As with any new system, it takes time to iron out kinks so make sure you don’t leave it too late to implement. At the ATO we’re hearing positive news from employers who have already adopted SuperStream and are seeing tangible benefits and cost savings.

Businesses with 19 or fewer employees start from 1 July 2015 but you have until 30 June 2016 to fully implement SuperStream. However, we are encouraging you to get a head start by considering your options now.

If you’re not sure where to start, don’t worry. We recommend you talk to your provider as most tax professionals, payroll providers and funds are able to help. We also have a handy step-bystep checklist to get you started – find it at ato.gov.au/SuperStreamChecklist

Small Business Superannuation Clearing House The Small Business Superannuation Clearing House (SBSCH) can help you meet your super obligations. It’s a free, online service that takes the hassle out of making super payments. SBSCH lets you pay all of your super contributions in one transaction to a single location, and then distributes the super contributions to your employees’ nominated super funds. Paying this way helps you meet your

88 Business Franchise Australia and New Zealand

super guarantee obligations (including SuperStream) reducing red tape and associated compliance costs. Currently, only employers with 19 or fewer employees can use the clearing house, but from 1 July 2015, employers with an annual turnover of $2 million or less can use it too. For more information, or to register, go to ato.gov.au/SBSCH. Emma Haines is the Assistant Commissioner for the Employers Segment in Superannuation at the ATO. Emma has over 16 years’ experience in tax and superannuation administration. She has been involved in policy and legislative design work in both the ATO and Treasury, has provided technical advice and led compliance strategies across both income tax and superannuation issues, and has managed relationships with Government, tax professionals and industry stakeholders. For more information: W: ato.gov.au/employersuper

Franchises are available in all Australian territories. The Thermawood Refrofit Double Glazing System is the most advanced double glazing system for existing timber windows. • keeps homes cool in summer • keeps homes warm in winter • saves on energy costs • gives greater security • creates a healthier home

Become part of the success story: • strong growth industry • full training and on-going support • full advertising and marketing support • patented product new to the Australian building industry • established company with a 5 year track record • affordable business opportunity • for existing and new homes twice the business opportunity!

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Business Franchise Australia and New Zealand 89

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Hiring New Employees: What’s the law? Hiring is an important decision for your business. The right approach can benefit your workplace and save you time and money. If you are thinking about hiring a new employee for your business there are steps you can take to help you find the right person for the job.

Know the law Before hiring, it is important that you understand your workplace obligations. The Fair Work Act 2009 applies to all employees

in the national system, and covers things like wages, record-keeping, pay slips and discrimination. You should make sure that you are familiar with the National Employment Standards (NES). There are 10 NES in total and they apply to all employees. The NES covers things like maximum weekly hours, annual leave, personal/carer’s leave (also known as sick leave), parental leave and public holidays. For more information about the NES visit www.fairwork.gov.au/nes. It is also important to know which modern award/s or enterprise agreements apply to your workplace. A modern award is a document that sets out the minimum wages and conditions for an

90 Business Franchise Australia and New Zealand

industry or occupation. They apply on top of the NES and cover things like pay, hours, rosters, breaks, allowances, penalty rates and overtime. To search for a modern award, you can visit www.fairwork.gov.au/awards. An enterprise agreement is a document that sets out the minimum wages and conditions for a workplace. When an agreement is in place, it will usually apply instead of the modern award. You can search for enterprise agreements and find out more about the agreement making process on the Fair Work Commission’s website www.fwc.gov.au. As an employer you also need to take tax for your employees pay. Further information about your taxation and superannuation obligations can be obtained from the

“A modern award is a document that sets out the minimum wages and conditions for an industry or occupation.” Greg Jennings | Director | Education Resources Team Fair Work Ombudsman

“Once you have prepared a shortlist you will be able to prepare to interview the best candidates.” Australian Taxation Office – www.ato.gov. au/business/employers.

Think about hiring The next step in the hiring process is to consider whether hiring is the best option, or whether there is already someone on staff who can be trained for the role. To make this decision, you will need to assess your business’ current and future needs and define the role that needs to be filled. If you decide that you do need to hire, think about what you need from the role and develop a job description to match. As part of this, consideration should be given to the type of employee you need (casual, parttime, full-time or fixed term). You should also consider the skills and qualifications required. For a template job description visit www.fairwork.gov.au/templates.

Attract the right people Once you have developed the job description for the role you would like to fill, the next step is to advertise the job and attract the right candidates. You will want to make sure that suitable applicants hear about the opportunity and can match it with their skills, qualifications and expectations. When preparing your job advertisement, you should list the skills and experience you are looking for. You should also remember to let applicants know what is in it for them by including information about the location, salary and benefits of the job. The best way to advertise will depend on the position you would like to fill. Consider

Business Franchise Australia and New Zealand 91

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“If you decide that you do need to hire, think about what you need from the role and develop a job description to match.” advertising in newspapers or industry publications, using online job sites and social media, or by placing a poster in the shop window.

Choose the right person The next step is to create a shortlist of candidates you would like to interview from the applications received. A shortlist is particularly useful if you received a lot of applications for the position. This is because it will help you to identify the applicants whose skills and experiences best match the role. Once you have prepared a shortlist you will be able to prepare to interview the best candidates. Interviews can be formal or informal. The focus should be on asking the right questions so that applicant’s skills and experience can be matched with the job that needs to be filled. Avoid asking questions that are personal, intrusive or irrelevant to the role as they may be seen as inappropriate or discriminatory. The Fair Work Ombudsman’s Online Learning Centre has a course titled Hiring new employees. As part of this course you can test your interviewing skills through an interactive video scenario. The Online Learning Centre can be accessed at www. fairwork.gov.au/learning.

Offer of employment Once you have selected the best candidate, you will need to offer them the job. This can be done over the phone, but it’s a good idea to follow up in writing with a letter of offer. There are template letters of offer available at www.fairwork.gov.au/templates. You should also provide them with a copy of the Fair Work Information Statement. This Statement must be given to each new employee when they start work. You can download a copy at www.fairwork.gov.au/ fwis. At this stage, you may also wish to provide the person with copies of any relevant company policies such as the code of conduct, uniform or social media policies. You should also think about providing them with any forms that need to be

completed, including a tax file declaration or superannuation choice form.

Start on the right foot To ensure you get the most from your new employee, you should invest time in a thorough induction. A well thought-out induction helps employees feel well-informed and equipped to do their job. The induction can include things like a tour of the workplace and introductions to their colleagues, an overview of the business, an explanation of the employee’s role and responsibilities, a discussion about relevant policies and procedures and a run-down of workplace health and safety procedures. For assistance with planning your induction, download our Induction Checklist at www. fairwork.gov.au/templates.

Be a productive workplace During the first few weeks of employment, it’s a good idea to meet with the new employee to set goals and expectations. At this stage, you should also try to identify any training that might be required. You may wish to create a performance agreement to ensure that these needs are met. You can access a template performance agreement at www.fairwork.gov.au/templates. Regular meetings are a good way to give new staff member’s feedback about their performance and monitor their suitability for the role. Remember, if a problem does arise you should address it with your new employee

92 Business Franchise Australia and New Zealand

promptly. The Fair Work Ombudsman’s Online Learning Centre has a course for managers and business owners titled Managing performance. This course contains practical tips for promoting good performance and addressing underperformance when it occurs. It can be accessed at www.fairwork.gov.au/learning. The Fair Work Ombudsman’s guide to hiring new employees is available at www.fairwork.gov.au/hiring. This guide contains further information about each of the steps in the above hiring process and provides straight-forward advice about hiring new staff. The guide was created to provide employers advice in plain-English about the best way to employ new workers and to outline their workplace obligations in simple terms. For further information and advice you can visit the Fair Work Ombudsman website where you will find a range of resources including fact sheets, best practice guides, checklists and template documents. Greg Jennings is the Director of the Education Resources Team at the Fair Work Ombudsman, Australia’s national workplace relations regulator. The Fair Work Ombudsman helps employers and employees understand and comply with workplace laws and improve their workplace practices. For more information: P: 13 13 94 W: www.fairwork.gov.au

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Behind the

headlines Former franchise chain to be liquidated The remaining 103 stores of homewares retail chain Homeart will be closed and the business liquidated after administrators were unable to find a buyer for the group. The chain franchised early in its development during the 1980’s and 1990’s under the brand Copperart, but later rebranded to Homeart and became fully owned and operated by the brand’s founders, Aart and Amy Van Roest.

The group was placed into administration in January this year, with 13 stores closed almost immediately while the administrators sought a buyer for the group.

Review recommends fewer restrictions on taxis, pharmacies and shopping hours The most comprehensive review of competition policy in Australia in 22 years has recommended deregulation of shopping hours, and the removal of restrictions on the

94 Business Franchise Australia and New Zealand

numbers of taxi licenses and locations of pharmacies. The comprehensive review which made 56 recommendations in total, was released this week by federal small business minister Bruce Bilson immediately on receiving the report. The government is yet to issue a formal response to the report. However the Pharmacy Guild of Australia has opposed the report’s recommendations to deregulate pharmacy location and ownership.

Court orders $500,000 penalty against cleaning franchisor The Federal Court has ordered a $500,000 penalty against South East Melbourne Cleaning Pty Ltd, the former Victorian state master franchisee for national chain Coverall Cleaning. The court previously found that the company had engaged in unconscionable conduct by withholding payments owed to the franchisees, made misleading earnings representations, and had breached the Franchising Code of Conduct. The action was brought by the Australian Competition and Consumer Commission (ACCC), which acknowledged the $500,000 penalty was significant as a deterrent for the franchise sector. The court found that the master franchisee did not have in place a business system to collect payment and pay its franchisees on time, nor did it have the willingness to do so. Brett Jones, the former director of the master franchise (which is now in liquidation), was previously fined $30,000 and disqualified from managing a corporation for two years.

US franchise association loses first round over Seattle “living wage” increase The association which represents franchising in the United States has vowed to keep fighting after a US federal court denied the group’s request for a preliminary injunction against the city of Seattle for introducing a “living wage” law that increases wages paid to hospitality workers, who are among the lowest-paid in the country. The proposed new law seeks to increase the minimum wage to USD$15 per hour (up from USD$7.25) over three years for big businesses, but at a slower rate over seven years for small businesses. The International Franchise Association (IFA), which has opposed significant wage increases that affect its membership, is sueing the city of Seattle for discriminating against franchisees, which are counted as big businesses by the city for the purposes of the legislation.

Australia Post set for first loss in 30 years as letters fail Australia Post is heading for its first full-year loss in more than 30 years following a 56 per cent plunge in first half profit to $98 million following a staggering loss of $151 million in its letters business driven by an 8.2 per cent decline in letter volumes in the past six months. The government-owned corporation is now seeking government permission to reduce the number of days per week in which letters are delivered or charge more for mail to be delivered five days per week in order to reduce its massive operating costs. However an association which represents licensed post offices says that Australia Post must find new revenue streams to survive.

Radio Shack declares bankruptcy, 4,000 US stores to close One of the world’s oldest franchise brands, US-based electronics chain Radio Shack, has declared bankruptcy, and will close around two-thirds of its stores. Founded in 1921, Radio Shack pioneered the sale of radios, then personal computers, but has failed to make a profit since 2011. It will close 4,000 stores in the United States, and likely retain up to 2,400 others under a deal with its major shareholder and a telecommunications company which may see the stores rebadged.

Confidential settlement in Metcash franchise litigation A Federal Court litigation by a multi-unit operator of 19 IGA supermarkets who sued IGA parent company Metcash for $12 million over the collapse of 11 of its outlets, has been settled out of court. The Federal Court action by Ajay and Pooja Arora, and companies under the Arora Group, sought damages from Metcash after paying $9 million to Metcash for 16 supermarkets in New South Wales in 2012 and 2013, but claimed that they would not have entered into the deal if they had received information in a franchise disclosure document beforehand.

Jason Gehrke | Director Franchise Advisory Centre

The plaintiffs also sought a declaration that Metcash was in fact a franchise and therefore had breached the Franchising Code of Conduct, however the confidential settlement means no declaration was made. The litigation had been watched with interest by other buyers of former Franklins stores who may have considered their own agreements with Metcash to also be subject to the Franchising Code.

KFC develops edible coffee cup KFC in the United Kingdom has developed an edible coffee cup made from a biscuit, wrapped in sugar paper and lined with white chocolate to mark the launch in the UK of KFC’s new coffee brand, Seattle’s Best Coffees. The new “Scoff-ee Cup” is completely edible, and infused with different scents such as coconut sun cream, wild flowers and others, to enhance the customer experience.

Gloria Jean’s franchisee fined more than $110,000 for underpayments A Gloria Jean’s franchisee in the Melbourne suburb of Caulfield has been fined more than $110,000 for underpaying 22 casual staff by up to $17,103 each. The two owners of the business were fined $17,500 and $13,000 respectively, as well as incurring a company fine of $80,000. Most of the underpaid workers were foreign students attending nearby Monash University.

Business Franchise Australia and New Zealand 95

PROFESSIONAL SERVICES LISTINGS h ot to pics

HARMANS LAWYERS

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485 Papanui Road, Christchurch P +64 3 352 2293 F +64 3 352 2274 Contact Mark Sherry or Alan Prescott E mark.sherry@harmans.co.nz www.harmans.co.nz If you’re considering buying a franchise you need the legal confidence that the agreement is fair and ethical. Getting the right legal advice early is essential, and that’s where the knowledgeable Harmans team of franchising experts can help. Our extensive experience in all aspects of franchising, across a wide range of industries, will provide you with the advice you need to more forward with confidence. We have acted for franchisors and franchisees over many years and know the advantages of franchising and pitfalls to watch out for. Our Franchising Team can assist with a full range of franchise related services, including:

P 03 8790 8006 M 0422 267 639 Contact Michelle Quinn E jejak@bigpond.com www.jejakgraphics.com.au CREATIVE DESIGN SOLUTIONS Jejak Graphics is a freelance graphic design business based in Melbourne, Australia working with clients worldwide. With over 18 years experience in the design and print industry specialising in magazine layout and advert design as well as offering a number of other graphic design services and print solutions including: • Corporate stationery • Brochures and flyers • Poster and banner design

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Level 33 140 William Street Melbourne VIC 3000 P 03 9242 4744 F 03 9242 4777 Contact Ed Browne E franchising@madgwicks.com.au www.madgwicks.com.au

Madgwicks’ Franchising team has experience across a variety of franchise industries representing both franchisors and franchisees. Our Franchise team is made up of lawyers from our Business Services, Litigation and Property areas, enabling the group to address the broad nature of legal needs associated with establishing and operating a franchise system. A key part of our service delivery is partner accessibility and in-depth industry knowledge. Our services include:

for more information call 03 9787 8077

• Franchise agreements and disclosure documents • Advice on business structures appropriate for franchise systems • Franchising Code of Conduct Compliance

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(+61 3 9787 8077 from outside Australia) and speak to one of our sales executives. www.businessfranchiseaustralia.com.au www.businessfranchisenz.co.nz

96 Business Franchise Australia and New Zealand

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• What you need to know? • What you need to do? Email Robert Toth for a complimentary guide for franchisors to the new Franchise Code. Robert has over 30 years’ experience and industry knowledge and has published articles on franchising and international franchising in journals and online. Marsh & Maher Lawyers provides fixed fee services to franchise clients for most aspects of work. Member of the Franchise Council of Australia (FCA) and International Franchise Lawyers Association (IFLA), MARSH & MAHER PRACTICE IN THE FOLLOWING AREAS: • Commercial and Corporate Law • Corporate Reconstruction and Insolvency • Discrimination, Employment Law and Industrial Relations • Media Law • Litigation and Dispute Resolution • Trade Practices and Competition Law

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FRANCHISE LISTINGS FRANCHISE

NATURE OF BUSINESS

OUTLETS

ASSOC MEMBER

INITIAL FEE

MIN INVEST

HEALTH & FITNESS

1 in Aus, 200+ in America & Middle East

Snap Fitness

$30,000

$100,000

ELECTRICAL TEST AND TAG

FCA

$35,000

$47,000 + GST + Vehicle

RETAIL OF BATTERIES AND PORTABLE POWER ACCESSORIES

FCA

$49,900 + GST

$250,000 + GST

TYRE RETAILING & AUTO SERVICING

Over 200 stores nationally

Franchise Council of Australia

$50,000 Franchise Fee

$285,000 inclusive of Franchise Fee

BOUTIQUE CARVERY FRANCHISE

Franchise Council of Australia

$60,000 + gst Incl. Training

$200,000

MOBILE COFFEE VANS

Over 240 worldwide

FCA, FANZ, IFA

INITIAL FEE INCLUDED IN PURCHASE PRICE

FROM $129,990

MOBILE DOG WASH

Franchise Council of Australia

$20,000

$30,000

STRATA CLEANING, GARDENING MAINTENANCE SERVICE

FCA, SCA

$40,000 $60,000

$40,000 - $60,000

AUSTRALIA’S LEADING MOBILE SPITROAST CATERERS

Approx $75,000 dependent on equipment

PREMIUM CAFÉ FRANCHISE

Franchise Council of Australia

$50,000 + GST Incl. Training

Dependent on Site conditions $300k-$500K

PIZZA FRANCHISE

1400+

$60,000 + GST

$300,000 $600,000

KITCHEN, BATHROOM & BEDROOM REMODELLING

71+ worldwide

FCA & FANZ

From $60,000

$75,000

AUTHENTIC ITALIAN FAMILY FOOD FRANCHISE

Franchise Council of Australia

$50,000 + GST

$650,000 $950,000

COURIER SERVICE

650+

FCA & FANZ

From $25K+GST

$25K+GST

COURIER SERVICE

250+

FCA & FANZ

$10K

HAIR & BEAUTY – RETAIL & SERVICE

140

FCA

$66,000 plus GST

$390,000 incl. stock, for Greenfield sites

COMPETITIVE GLOBAL EXPRESS FREIGHT FRANCHISE

250+ franchises across 15 countries

FCA

$49,000 + GST

SWIM SCHOOL

$20,000 + GST

$110,000 + GST

HAIRDRESSING

180 across Australia & New Zealand

FCA

$35K

$160K-$240K

EYELASH EXTENSIONS, THREADING & MORE

NEESA

$25,000

$40,000

AUTHENTIC ITALIAN FAMILY FOOD FRANCHISE

FCA & FANZ

Dependent on Site Conditions $400K- $600K+

APPLIANCE RENTAL

100+

$29,000

WINDOW COVERINGS RETAIL SHOWROOM

N/A

$90,000 - $120,000

9ROUND 30 MINUTE TOTAL FITNESS 3/11 Palmer Place, Murrarie QLD 4172 Ph: 07 3331 1400 Email: cmcgill@9round.com.au Website: www.9round.com.au

APPLIANCE TAGGING SERVICES 80 Patterson Road, Bentleigh VIC 3204 Ph: 1300 287 669 Fax: 03 9557 4854 Email: steve@ats.com.au Website: www.appliancetaggingservices.com.au

BATTERY WORLD AUSTRALIA PO Box 46, Brisbane Market, QLD 4106 Ph: 07 3373 1764 Fax: 07 3373 1770 Email: admin@batteryworld.com.au Website: www.batteryworld.com.au/franchising

BRIDGESTONE SELECT 196 Greenhill Road, Eastwood SA 5063 Ph: 02 8756 4516 Website & enquiries: www.bridgestonetyres.com.au/franchise-opportunity

BUCKING BULL 5 Henry Street, Loganholme QLD 4129 Ph: 07 3423 0555 Fax: 07 3423 0600 Email: franchise@buckingbull.net Website: www.buckingbull.net

CAFE2U Building 7, 81 Frenchs Forest Road East, Frenchs Forest NSW 2086 Ph: 1300 223 328 Email: franchises@cafe2u.com.au Website: www.cafe2u.com

CITY FARMERS DOGWASH 190 Main Street, Osborne Park, WA 6017 Ph: 08 9345 7200 Fax: 08 9440 1065 Email: scott.mcintosh@cityfarmers.com.au Website: www.cityfarmers.com.au/dogwash

CLEAN GREEN STRATA Unit 8/ 41- 43 Higginbotham Road, Gladesville NSW 2111 Ph: 1300 66 11 82 Fax: 02 9808 5498 Email: franchise@cleangreenstrata.com.au Website: www.cleangreenstrata.com.au

COAST TO COAST THE GOLDEN ROAST 11 Hendry Close Nicholls ACT 2913 Ph: 02 6242 9700 Fax: 02 6241 9366 Email: canberra@goldenroast.com.au Website: www.goldenroast.com.au

CREMA ESPRESSO 16B Harvest Court, Southport QLD 4215 Ph: 07 5532 7727 Fax: 07 5526 4896 Email: antony@cremaespresso.com.au Website: www.cremaespresso.com.au

DOMINOS PIZZA ENTERPRISES LTD Australia: www.dominosfranchise.com.au or call the Franchising Team on 1300 131 New Zealand: www.dominospizza.co.nz or call the Franchising Team on 0508 4Franchise

DREAM DOORS 26A Alfred Street, Milsons Point, Sydney NSW 2061 Ph: 08 8351 8588 Email: cam@dreamdoors.com.au Website: www.dreamdoorskitchens.com.au

FASTA PASTA PTY LTD Level 1, 137 The Parade, Norwood SA 5067 Ph: 08 8304 8600 Fax: 08 8332 8389 Email: franchise@fastapasta.com.au Website: www.fastapasta.com.au

FASTWAY COURIERS AUS Level 9, 491 Kent Street, Sydney NSW 2000 Ph: 1300 FASTWAY Fax: 02 9264 4966 Email: fso@fastway.com.au Website: www.fastway.com.au

FASTWAY COURIERS NZ Shed 5, Level 1, Lever Street, Ahuriri, Napier 4110 Ph: 0800 4 FASTWAY Website: www.fastway.co.nz

HAIRHOUSE WAREHOUSE Level 1, 605 Doncaster Road, Doncaster VIC 3108 Ph: 03 9234 2200 Fax: 03 9234 2266 Email: franchising@hairhousewarehouse.com.au Website: www.hhwhfranchising.com.au

INXPRESS Unit 1/26 Flinders Parade, North Lakes QLD 4509 Ph: 0418 600 919 Fax: 1300 030 066 Email: sales.au@inxpress.com Website: www.inxpress.com.au

JUMP! SWIM SCHOOLS 6/52-56 Paradise Avenue, Miami QLD 4558 Ph: 0477 800 181 Email: amy.hempstead@jumpswimschools.com.au Website: www.jumpswimschools.com.au

JUST CUTS™ Level 1, 4-6 Kingsway, Cronulla NSW 2230 Ph: 0439 130 499 Fax: AUS 02 9527 5144 Email: luke@justcuts.com Website: justcuts.com

JUST LASHES PO Box 592, Warners Bay NSW 2282 Ph: 0414 491 977 Email: franchising@justlashes.com.au Website: www.justlashes.com.au/franchises

LA PORCHETTA 192 Mahoneys Road, Thomastown. VIC 3074 Ph: 03 9460 6700 Fax: 03 9460 3099 Email: franchising@laporchetta.com.au Website: www.laporchetta.com.au

LOCAL APPLIANCE RENTALS SOUTHERN GROUP 807, 1 Queens Rd, Melbourne VIC 3004 Ph: 1800 980 650 Fax: 07 3396 8311 Email: sacha@localappliancerentals.com Website: www.localappliancerentals.com.au

LUXAFLEX® Window Fashions Gallery 338 Victoria Road, Rydalmere NSW 2116 Ph: 02 9638 8000 Fax: 02 9638 8832 Email: mark.futeran@hunterdouglas.com.au Website: www.luxaflex.com.au

98 Business Franchise Australia and New Zealand

FRANCHISE

NATURE OF BUSINESS

OUTLETS

ASSOC MEMBER

INITIAL FEE

MIN INVEST

MOBILE TEST ‘N’ CAL

ELECTRICAL TESTING, CALIBRATION AND INSPECTION

FCA

$49,000 + Equipment

$230,000

HEALTHY EATING CAFÉ

$60,000 + gst

$200,000

FURNITURE AND APPLIANCE RENTALS

60 territories

FCA

$150,000

$250,000

FIXINGS AND FASTENER TRADE SALES

$150,000

$350,000 Incl. stock

MODERN SEAFOOD CAFÉ

Franchise Council of Australia

$60,000 + gst

$200,000

MEDITERRANEAN FAST FOOD CONCEPT

Franchise Council of Australia

$60,000 + gst

$200,000

BEDDING RETAILER

Franchise Council of Australia

$50,000

$450,000+

SPORTS BAR & GRILL FRANCHISE

$50,000

$750,000

SAFETY & DECORATING TO ALL INSIDE & OUTSIDE CONCRETE

$15,000 (Licence Only)

$75 P/W

MEXICAN RESTAURANT, BAR AND TAKEAWAY

Restaurant Catering Victoria

$50,000

$450.000

DRUG TESTING & EDUCATIONAL SERVICES

FCA (pending)

Circa $150K

+ mobile testing unit

RETRO-FIT DOUBLE GLAZING

AWA

$40,000

Varies depending if vehicle needed

Email: thextonhq@thextonarmstrong.com.au Website: www.thextonarmstrong.com.au/presentation

BUSINESS CONSULTING

70+

FCA

$25,000

Options available from $25K-$75K

V.I.P. HOME SERVICES AUSTRALIA

DOMESTIC AND COMMERCIAL CLEANING, GARDENING FRANCHISORS

1100

FCA

$16,000 + GST

$25,000

INDEPENDENT BUSINESS OPPORTUNITY SELLING EUROPEAN-MADE SLEEP SYSTEM

Nil

DI BELLA COFFEE MOBILE ESPRESSO VAN

FCA

11 River Rd, Dinmore QLD 4303 Ph: 1300 662 119 Fax: 07 3282 0922 Email: sales@mobiletestncal.com.au Website: www.mobiletestncal.com.au

PRIMAL PANTRY 5 Henry Street, Loganholme QLD 4129 Ph: 07 3175 0640 Fax: 07 3423 0600 Email: dean.vella@aktivbrands.com Website: www.primalpantry.com.au

RENT THE ROO PO Box 2150, Howrah LPO TAS 7018 Ph: 03 6247 3826 Fax: 03 6247 3853 Email: franchising@renttheroo.com Website: www.renttheroo.com.au

SCROOZ 5-11 Jardine Drive, Redlands Business Park, Redland Bay QLD 4165 Ph: 07 3829 1993 or 1300 794 499 Fax: 07 3829 1283 Email: franchising@scrooz.com.au Website: www.scrooz.com.au

SEVEN SEAS SEAFOOD CAFÉ 5 Henry Street, Loganholme QLD 4129 Ph: 07 3175 0640 Fax: 07 3423 0600 Email: dean.vella@aktivbrands.com Website: www.aktivbrands.com

SKEWERZ KEBABZ 5 Henry Street, Loganholme QLD 4129 Ph: 07 3175 0640 Fax: 07 3423 0600 Email: franchise@skewerz.net.au Website: www.skewerz.net.au

SNOOZE SLEEP WELL PTY LTD 21a Shierlaw Avenue, Canterbury VIC 3126 Ph: 0427 401169 Fax: 03 9888 6327 Email: alistairb@snooze.com.au Website: www.snooze.com.au

SPORTING GLOBE BAR & GRILL 207/120 Bay Street, Port Melbourne VIC 3207 Ph: 03 9645 4798 Fax: 03 9646 6939 Email: franchise@sportingglobe.com.au Website: www.sportingglobe.com.au/franchise

SPRAY PAVE AUSTRALIA GPO Box 501, Green Acres SA 5086 Ph: 1800 688 888 Fax: 08 8266 5360 Email: spraypave@senet.com.au Website: www.spraypave.com

TACO BILL MEXICAN RESTAURANTS 375 Clarendon St, South Melbourne VIC 3205 Ph: 03 9690 2077 Fax: 03 9696 0868 Email: amigo@tacobill.com.au Website: www.tacobill.com.au

THE DRUG DETECTION AGENCY PTY LTD PO Box 301678, Albany, North Shore City 0752 NZ Ph: +64 9 479 4332 Email: glenn.dobson@tdda.com Website: www.tdda.com

THERMAWOOD RETRO-FIT DOUBLE GLAZING PO Box 1007, South Melbourne VIC 3205 Ph: 04 555 55 330 Email: info@thermawood.com.au Website: www.thermawood.com.au

THEXTON ARMSTRONG AUSTRALIA & NZ

Offices in each State Ph: 13 26 13 Fax: 08 8220 4588 Email: info@viphomeservices.com Website: www.vipfranchisesales.com.au

WENATEX PTY LTD 11 Chapman Place, Eagle Farm QLD 4009 Ph: 1800 936 283 Fax: 07 3868 5656 Email: opportunity@wenatex.com.au Website: www.wenatex.com.au

XPRESSO MOBILE CAFÉ PO Box 57, Carina QLD 4152 Ph: 1300 655 559 Email: jonathan@xpresso.com.au Website: www.xpresso.com.au facebook.com/XpressoMobileCafe

Included $119,500+GST (incl. FAST TRACK program) in turnkey Turnkey business. purchase price

A-Z Listings are a great way to promote your business 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 Business Franchise Australia and New Zealand 99

A-Z FRANCHISE DIRECTORY 9ROUND 30 MINUTE TOTAL FITNESS

training. In fact, Entrepreneur Magazine ranked the 9Round franchise one of 2013’s top new franchises.

The 9Round Fitness Franchise Opportunity is breaking the mould in the fitness industry. We are dedicated to keeping the business model simple and the cost of entry low.

Now is the time to get in early to make sure you don’t miss out on the next big thing in the Fitness Industry. If you’re looking for a business that’s simple, profitable, and exciting then contact us now to find out more and get started.

Investors and members from all across the world can’t get enough of the 9Round® concept, thanks to our one-of-a-kind workout model, affordable investment, and industry leading support and

Catherine McGill cmcgill@9round.com.au (07) 3331 1400 0435 841811

APPLIANCE TAGGING SERVICES

No prior electrical experience is required, just a passion for safety and a commitment to growing your business. With low entry fees, minimal franchisee administration, and average returns between $1,000 and $3,000 per week an ATS franchise may be just the opportunity for you.

Looking for a franchise with on-going repeat business, large territories and access to an existing client base to get you started? With over 12 years’ experience, ATS are Australiawide specialists in Electrical Testing and Tagging in accordance with AS/NZS 3760:2010. Providing expert technical, admin, business and sales support, access to our National client base and comprehensive on and off-site training, ATS are committed to helping its franchisees grow profitable and successful businesses.

BATTERY WORLD AUSTRALIA Count the number of households in Australia? (Currently 9,117,033 private households in Australia - 2011 Census Data). Now count how many batteries each household will need over the next year? That’s the potential of a Battery World Franchise. Offering a world of batteries for everyone, the Battery World network is national and sells a range of portable power products and accessories throughout Australia. Battery World Australia Pty Ltd, as franchisor, provides

BRIDGESTONE SELECT Exciting opportunities now exist to join the Bridgestone Select Franchise network Australia wide. Bridgestone Select offers consumers a one – stop – shop for all their tyre and auto service requirements. With over 300 stores nationally, the Bridgestone philosophy is one of total support for our franchisees. Whether you are purchasing an existing business or starting out with a new site we are with you 100% of the way.

BUCKING BULL Bucking Bull is Australia’s largest and most successful carvery franchise with nearly 40 store locations around the country. Australian owned and operated, Bucking Bull first opened in Perth in 1999 and has since expanded throughout Queensland, New South Wales and most recently, Victoria. Bucking Bull has built its success on a very simple recipe- providing great value ‘home cooked’ style food that people love to eat, serving nearly 3 million customers each year. Bucking Bull commands

100 Business Franchise Australia and New Zealand

ATS were named the FCA National Franchisee of the Year 2013 (less than 2 staff). For further information please contact Steve Wren, National Sales Manager on 1300 287 669, email steve@ats.com.au or visit www.appliancetaggingservices.com.au

the marketing and operations support to assist franchisees and strong brand recognition. Battery World is committed to helping franchisees build a successful business supported by experienced support office professionals. 82 stores Australia-wide and growing! After 15 years of operation, Battery World continues to be one of Australia’s most powerful retail battery franchises. For more information about Battery World contact 07 3373 1764 or visit www.batteryworld.com.au/ franchising

Our franchisees benefit from the strength of the Bridgestone brand, our comprehensive training, field and head office support, standardised retail systems and processes coupled with our extensive tyre product range to meet all your customer’s needs. Only you can know for sure whether being a Bridgestone Select franchisee is the right choice for you. For initial enquiries, please call 02 8756 4516 or visit bridgestonetyres.com.au/franchise-opportunity to submit an enquiry form.

strong brand awareness, a unique positioning and a proven business model. As part of the Aktiv Brands portfolio, Bucking Bull franchisees benefit from comprehensive training, detailed operational procedures and marketing tools and assistance to assist in reaching their business goals. For more information regarding Bucking Bull franchise opportunities, please contact Dean Vella: P: 07 3175 0640 E: franchise@buckingbull.net W: www.buckingbull.net

CAFE2U Cafe2U is Australia’s first and most successful mobile café system. With over 200 franchises worldwide the business is rapidly growing due to a simple and proven business model. Cafe2U franchisees now have access to the unique “Acceleration Package” which fast-tracks success. This includes an experienced Franchise Development Manager to launch the business alongside the new franchisee in their own exclusive territory. Cafe2U builds a customer run that delivers a minimum of $500.00 a day before the Franchisee operates solo.

City Farmers Dogwash Beginning more than 20 years ago as a small enterprise, City Farmers Dogwash is now part of the City Farmers Group. City Farmers comprises 42 specialty large format pet stores throughout Australia with many more planned, a mobile network of over 30 City Farmers Dogwash vans as well as pet insurance business and an online store. Our Franchisees love what they do and are so passionate about the part they play in a dogs’ health and wellbeing. But with more than 3.7 million pet dogs in

clean green strata Strata Cleaning and Strata Garden Maintenance Franchises Why Clean Green Strata? • We supply the customers from the 1st minute you start • Earn a guaranteed income with work scheduled year round to suit your situation • Work flexible hours to suit your life

COAST TO COAST THE GOLDEN ROAST Established in 1983, Coast to Coast The Golden Roast is now one of Australia’s largest and fastest growing spit roast caterers, with franchises Australia wide. Attributing its outstanding success to quality, professionalism and exceptional customer service. Perfect for events from 30 to 5000 guests, Coast to Coast The Golden Roast cater for every occasion including Weddings, Birthdays, Anniversaries, Corporate Functions, Christmas, Sporting events, and more. Customers choose their Golden Roast menu from premium

Crema Espresso The Crema Espresso coffee franchise provides premium coffee and light meals with a focus on personalised service. Established on the Gold Coast, Crema brings together community life with a bright sophisticated shop design. Our extensive training and systems are in place to ensure the best support for Franchisees. Crema Espresso provides a business with supervision and consulting readily available. This includes everything from full operation manuals, point

The business is HACCP certified and has a ‘no compromise’ attitude when it comes to quality. This includes the Mercedes vehicle, commercial equipment and fitout, branding and marketing strategies and dedicated events co-ordinator. If you are ready to take control and enjoy working with people, a Cafe2U franchise provides you the perfect system to create your own destiny. Contact John Stanton - Sales and Franchising Manager on 1300 Cafe2U (1300 223 328) or email: jstanton@cafe2u.com www.cafe2u.com

Australia, we’ve got plenty of work to do and are always looking for Franchisees with big smiles and big hearts to come on board and enjoy the ride. • No experience necessary • Full training & support • Strong brand recognition • Exclusive Marketing Zone • All-inclusive start-up package • Work outdoors & be your own boss For more information call Scott McIntosh on 08 9345 7200 or visit www.cityfarmers.com.au/dogwash.

• No weekend or night work so more time with the family • Fully supported by energetic, experienced management team • Recession proof industry • Earn above average returns for the cleaning & gardening industry For more information call 1300 66 11 82 or email franchise@cleangreenstrata.com.au

cuts of pork, lamb, beef, chicken, baked ham and turkey, all spit roasted to perfection creating mouthwatering flavours. All meats are provided by a leading local butcher and are cooked on-site to ensure quality and freshness. Coast To Coast The Golden Roast also provides plates, cups, cutlery and serviettes. With franchises available across Australia and New Zealand, for more information contact: Australia: T: 1300 655602 | W: www.goldenroast.com.au New Zealand: T: 0800 282930 | W: www.goldenroast.co.nz

of sale terminal, uniform package, store design & fit out together with ongoing research and development supported through marketing and advertising.

“As coffee lovers we were tired of the same old coffee in dark gloomy cafes. Premium coffee and light meals, like we have in our stores, should be enjoyed in a bright sophisticated café with an atmosphere that creates a laid back, enjoyable meeting place for customers”. Contact: antony@cremaespresso.com.au www.cremaespresso.com.au

Business Franchise Australia and New Zealand 101

A-Z FRANCHISE DIRECTORY DOMINO’S PIZZA Domino’s Pizza Enterprises is the master franchisor for the Domino’s Pizza brand in Australia, New Zealand, France, Belgium, The Netherlands and Japan. Across these markets, DPE franchisees currently operate over 1400 stores and sell over 90 million pizzas annually. New franchises are supported through every

DREAM DOORS Dream Doors is a kitchen, bathroom and bedroom remodeling business that has a proven track record internationally. Established in 2000 in the UK, Dream Doors takes the hassle, and the cost, out of remodeling outdated home interiors. Now with 50+ locations in the UK, 10 in New Zealand since 2009 and now with 11 locations in Australia, we are looking to expand our network of Franchisees throughout Australia.

FASTA PASTA With our authentic Italian background and 30 year success story, Fasta Pasta is now Australia’s largest, independently owned group of ‘fresh pasta’ Italian restaurants. An innovative ever-changing menu, with healthy options and a commitment to outstanding service, have all contributed to Fasta Pasta being voted Roy Morgan’s ‘Quick Service Restaurant of the Year’ in 2012. Loved for our affordable, fresh, family meals in relaxed fully licensed surroundings, this is a great

FASTWAY COURIERS AUSTRALIA

Australia: www.dominosfranchise.com.au or call the Franchising Team on 1300 131 888 New Zealand: www.dominospizza.co.nz or call the Franchising Team on 0508 4Franchise

Dream Doors is looking for people with managerial, organizational/communication skills or real go-getters, no formal kitchen design experience is necessary – as long as you have the drive, ambition and enthusiasm to succeed in business we will supply you with the internationally proven and tested formula of the Dream Doors business model. For more information contact Cam Hadlow on: T: 1 800 373263 E: cam@dreamdoors.com.au W: www.dreamdoorskitchenfranchise.com

opportunity to be part of our winning national organisation. Extensive initial training and ongoing support is provided. New franchisees undergo 12 weeks training in one of our company restaurants covering areas such as, front of house, kitchen (all areas), necessary bookwork, PPS, and Management skills. For more information on joining a successful franchise call 08 8304 8600, email franchise@fastapasta.com.au, or visit our website, www.fastapasta.com.au

• Low start up costs

• Ongoing business support and training • Exclusive territories • A perpetual franchise agreement with no ongoing fees No prior business experience is needed, just a great attitude and an ability to talk to people. So, if you’re ready for a positive change, we’d love to hear from you. Call 1300 FASTWAY or visit us at www.fastway.com.au

• No weekend work

*Conditions apply

business franchise australia and new zealand

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 or www.businessfranchisenz.co.nz

Run your own rewarding business and take control of your future as a Fastway Courier Franchisee. As a market leader in nationwide courier services, our multi-award winning franchisees enjoy • Guaranteed income package*

AUSTRALIA AND NEW ZEALAND

step of the process including site selection, lease negotiation, store fit out, comprehensive preopening training, coordination of suppliers, group purchasing power, store appraisals, ongoing training and support, and marketing promotions.

A-Z Listings are a great way to promote your business, giving you a presence within our publication and also the Business Franchise website.

102 Business Franchise Australia and New Zealand

FASTWAY COURIERS New Zealand Run your own rewarding business and take control of your future as a Fastway Couriers Franchisee. As a market leader in nationwide courier services, our multi-award winning franchisees enjoy: • Guaranteed income packages* • Low start up costs • No weekend work

• Ongoing business support and training • Exclusive territories • A perpetual franchise agreement with no ongoing fees No prior business experience is needed, just a great attitude and an ability to talk to people. So, if you’re ready for a positive change we’d love to hear from you. Call 0800 4FASTWAY, or visit us at www.fastway.co.nz *Conditions apply

HAIRHOUSE WAREHOUSE

Hairhouse Warehouse has become a household

Hairhouse Warehouse, Australia’s leading hair & beauty brand, has huge plans for the next few years to expand with 20 new stores planned to be opened around the country.

name in Australia, with a proven business model

We are looking for passionate people who want to own their own business, work for themselves and take control of their own destiny.

InXpress – Global Express Freight InXpress provides a revolutionary yet simple concept delivering customers with freight advantages to gain a competitive edge in the marketplace. InXpress is an authorised sales partner for the world class courier company, DHL. Domestically, InXpress partners with companies such as Toll and TNT to offer a complete suite of courier and freight solutions, providing customers with greater value and personalised service, saving valuable time and money. Operating in 15 countries with over 250 franchisees internationally, InXpress is now accepting applications to grow the Australian business.

Jump! Swim schools

that continues to evolve and generate strong returns for franchisees. For more information call 03 9234 2200, email franchising@hairhousewarehouse.com.au or visit www.hhwhfranchising.com.au.

Benefits to franchisees include: • Low entry costs • Low risk • No inventory/warehousing • Minimal employee base • High income potential • Ongoing training and support Whatever your location InXpress represents a unique opportunity for you to build financial freedom, within a global network. Start building your future with the right company and the right model, for more information about becoming an InXpress franchisee within your region call 0418 600 919, email sales.au@inxpress.com, www.inxpress.com.au

JUMP! Swim Schools is leading the way in bringing fun, private facilities for our little swimmers to learn the basics away from the busy aquatic centres If you are looking for a flexible lifestyle franchise, in a secure and established industry, with huge market opportunities then this is the franchise for you. Absolutely no experience necessary, and no need to be in the water! Great locations are still available, no experience necessary and a comprehensive training program provided.

Due to the bookings in advance system, the business is easy to manage as well as consistent ongoing support with our proven management systems. To find out more information on a JUMP! Swim Schools Franchise contact Amy Hempstead on: Phone: 0477 800 181 Email: amy.hempstead@jumpswimschools.com.au www.jumpswimschools.com.au www.jumpfranchising.com.au

JUST CUTS™

Just Cuts™ are also excited to announce our NEW kiosk option! With only 49 sites available Australia wide, buy yourself a new lifestyle from $85,000!

Join the largest hairdressing network in the Southern Hemisphere! Just Cuts™ offers a fixed franchising fee, with flexible finance options and ongoing business coaching and support. Did you know that most Just Cuts™ Franchise Owners are not hairdressers and on average own 2.3 salons each! Why? Because proven systems, support and training means your Stylists become the technicians and easily run the business for you.

Just Cuts™ Franchisees have exclusive access to our professional retail range made in Europe; JUSTICE Professional™! Contact: Luke Manning 0439 130 499 or luke@ justcuts.com Website: justcuts.com

Business Franchise Australia and New Zealand 103

A-Z FRANCHISE DIRECTORY Just Lashes The leaders and only Franchise in Eyelash Extensions in Australia. Clients making an appointment at a Just Lashes lounge expect consistent, professional service and rely on our reputation for delivering the most beautiful results. We help you become an administrator of this truly profitable business ethic! It’s not just the superior workmanship that Just Lashes has mastered, but our exclusive premium products that are manufactured just for us. With the support and encouragement of the Just Lashes

turnkey system, you don’t need any formal business experience as our Business Coach will guide you, or prior education in Beauty Therapy as our Lash Expert will train you the right way. We provide everything you’ll need to run this highly flexible, uncomplicated enterprise. Rely on the ongoing professional support supplied by the Just Lashes network and experience the benefits of a rewarding working lifestyle! e: franchising@justlashes.com.au m: 0414 491977 w: www.justlashes.com.au/franchises

LA PORCHETTA

La Porchetta is now looking to expand the network of franchisees throughout Australia and New Zealand

La Porchetta has over 70 restaurants in Australia and New Zealand, and are the market leaders in cooking quality Italian food with fresh ingredients.

We are looking for passionate food lovers with a strong work ethic and drive to join our family. You bring the dream and La Porchetta will provide the recipe for success.

The first La Porchetta Restaurant was opened in Melbourne’s Italian hub in 1985, and soon it became renowned as a special place to experience good food, love and a passion for life. Currently celebrating 30 years in business,

business franchise australia and new zealand A-Z Listings are a great way to promote your business, giving you a presence within our publication and also the Business Franchise website.

local appliance rentals Local Appliance Rentals are the largest rentals franchise in Australia today. Since franchising five years ago, there are now more than 100 franchisees in Australia, New Zealand and the United Kingdom. With a wide range of products including TVs, computers, game consoles, home entertainment systems, stereos, coffee tables, dining tables, fridges, freezers, microwaves, washers, dryers, air conditioners, beds, baby furniture, BBQs,

luxaflex® Window fashions Join the Luxaflex Dealer Network There are over eight million households in Australia – think about how many window furnishings that amounts to! The LUXAFLEX® Window Fashions brand is one of the most widely known and respected window furnishing brands in Australia, having sold its products under the Hunter Douglas Group in Australia for over sixty years – and is currently recruiting entrepreneurs looking for a new venture! Hunter Douglas offers an unrivalled partnership to meet

104 Business Franchise Australia and New Zealand

For more information

AUSTRALIA AND NEW ZEALAND

T: (03) 9460 6700 E: franchising@laporchetta.com.au W: laporchetta.com.au

outdoor furniture, fitness equipment and kids’ play equipment, Local Appliance Rentals helps their customers get what they want. As a home based franchise, Local Appliance Rentals is ideally suited for people looking for that elusive work/life balance. The only requirement is a basic home office and funds available to purchase the rental goods on behalf of the customers. Don’t miss out on your opportunity to join the largest rental franchise company in Australia, visit www.localappliancerentals.com.au/franchising

specific business needs, under our LUXAFLEX® Window Fashions Gallery and LUXAFLEX® Window Fashions Showcase Alliance programs. This includes marketing support, manufacture and production of all products and fabrics, as well as local on the ground sales support. No experience is required to enter the Programs as all training is provided, which focuses on enhancing the customer experience and increasing your profitability. For more information on our programs, contact National Sales Manager, Mark Futeran on 02 9638 8000 or mark.futeran@hunterdouglas.com.au

Mobile Test ‘n’ Cal The Mobile Test ‘n’ Cal franchise opportunity is unlike any other. By its nature, testing and calibration is very technical and has high entry barriers to entry. This means that the franchise you are buying is a premium, mandated and required service. Because it cannot be cut back on, the demand for testing and calibration won’t be hindered even by industry decline or recession. The highly technical nature of the service also not

PRIMAL PANTRY Primal Pantry is a new healthy eating café concept based on the Paleo lifestyle and way of eating. Since opening the pilot store in Brisbane in 2013, Primal Pantry has become a phenomenon, gathering a loyal and passionate fan following. Ranked in Brisbane’s Top Ten Favorite Restaurants, Primal Pantry is fast becoming the undisputed leader in Paleo fare in the marketplace. With a clean-eating dining experience that is in such high demand, Primal Pantry is now franchising

RENT THE ROO RENTALS Rent The Roo specialise in the rental of any household appliance or furniture product available. There is simply NO LIMIT to the development of product ranges on offer from Rent The Roo, because franchisees can purchase from any retail outlet or accessible supplier – giving us the flexibility to satisfy every customer enquiry. If we can find it, you can rent it…! With 39 years of trade and development and our continued focus on customer satisfaction, Rent The

scrooz We’re Australia’s biggest online and multi-channel retailer of premium range fasteners, fixings and consumables for tradesmen, light industry and serious DIY’ers and we’re revolutionising fastener retail. We’re growing rapidly and to meet the high customer demand for our products we’re starting the launch and roll-out our network of Scrooz® Trade Centres across Australia right now. Want to earn some real money and get involved in

business franchise australia and new zealand A-Z Listings are a great way to promote your business, giving you a presence within our publication and also the Business Franchise website.

only deters new entrants and competitors to the area, but makes it vital to be part of such a strong, experienced and thriving franchise group as Mobile Test ‘n’ Cal. With technical experts available to you year-round as part of your franchise agreement, someone will always be just a phone call away to assist you and your business, no matter where you are in the country. For more information, call 1300 662 119, email sales@mobiletestncal.com.au or visit www.calibrationfranchise.com.au

Australia wide. Backed by the award-winning Aktiv Brands franchise system, all aspects of the Primal Pantry business and operation are supported by the category leading marketing, training and operational systems that Aktiv Brands provides. If you are genuinely passionate about the positive difference that clean-eating can make, then please contact Dean Vella: P: 07 3175 0640 E: dean.vella@aktivbrands.com W: www.primalpantry.com.au

Roo continue to grow with over 60 franchise territories covering every state & territory in Australia. Franchisees have access to ongoing training and support as well as an extensive range of marketing tools to help drive the business forward. Rent The Roo’s home-based, simple and productive business model combines low running costs with the highest possible returns. For further information, visit the FRANCHISE tab at www. renttheroo.com.au or contact Grant Garraway at The Franchise Shop on 1300 139 557 or email grant@thefranchiseshop.com.au

• A $650 billion dollar industry • With highly profitable repeat sales of consumables to the trades and DIY industries • Retailing our premium quality Scrooz® branded product range • With National and webstore driven multi-channel sales • Full training and on-going support provided • Outstanding opportunities for early take up We have limited opportunities for highly motivated people looking for a serious business, so to find out more contact us now for an information pack at franchising@scrooz.com.au

scrooz f a s t e n e r s

Business Franchise Australia and New Zealand 105

A-Z FRANCHISE DIRECTORY SEVEN SEAS SEAFOOD CAFE Seven Seas Seafood Café is a re-invigoration of the classic Aussie Takeaway Shop with a whole lot more style, sophistication and value. Seven Seas offers a casual dining experience that meets the continually shifting tastes and rising expectations of today’s consumers, serving a refreshing and modern selection of seafood with a contemporary flair. Seven Seas is 100% Australian owned and

SKEWERZ KeBABZ Skewerz Kebabz is an exciting and innovative retail fast food concept offering authentic Mediterranean cuisine combined with fresh and exciting flavour profiles for the Australian market. Spicing up food courts in shopping centres around Australia, Skewerz is becoming the nation’s fastest growing kebab franchise. Providing an exciting alternative to the traditional kebab, Skewerz serves up a truly satisfying menu supported by a friendly and fun casual dining environment. The unique menu caters for all three primary trading periods and has

For more information about Seven Seas franchise opportunities, please contact Dean Vella: P: 07 3175 0640 E: dean.vella@aktivbrands.com W: www.aktivbrands.com

been strategically designed to ensure the concept will thrive in the competitive food court environment. Skewerz Kebabz is part of the Aktiv Brands group of franchise brands, which means that the model has been developed based on years of experience in the retail fast food franchising sector. For more information regarding Skewerz Kebabz franchise opportunities, please contact Dean Vella: P: 07 3175 0640 E: dean.vella@aktivbrands.com W: www.skewerz.net

SNOOZE™

• NAB & ANZ accreditation

As one of Australia’s longest-running, most successful and innovative franchised business, Snooze’s experience in the bedding industry is second to none.

• Sales and product training

With over 70 stores nationwide and a commitment to continued growth and development, Snooze offers great return on investment.

• Business management support • A national marketing program • IT services

Snoozes offers a personable, flexible business solution with expertise and support every step of the way, including:

To take the first step towards a prosperous future, contact Snooze Franchise Network Development Manager, Alistair Browne, to find out what Snooze could mean for you.

• Vendor finance assistance

Email: alistairb@snooze.com.au

SPRAY PAVE AUSTRALIA Pty Ltd

• Learn a range of new lifelong trades.

Earn up to $3,300 per week. That’s right, up to $170,000 per year! Our service decorates concrete. We Spray Pave, Polish, Epoxy and Stain. Jobs are inside and outside. Customers are domestic, commercial and Government. Our license structure allows you to choose when, where and how you want to work! This is a sincere “Be Your Own Boss” system. You genuinely keep all the profits!

business franchise australia and new zealand AUSTRALIA AND NEW ZEALAND

operated and benefits from the award winning franchise support at Aktiv Brands. As a Seven Seas franchisee, you can enjoy the advantages of being associated with a well-known and successful franchise group, supplying you with the tools to help your business grow and prosper.

A-Z Listings re a great way to promote your business, giving you a presence within our publication and also the Business Franchise website.

106 Business Franchise Australia and New Zealand

• Guaranteed work available anytime after training. • Head office training plus follow-up on your own job. • Customers contract and interest free finance. • Lifelong support from 6 Head Office trainers. • From $7,000 deposit + Support Payment Plan. Established in 1991, Security with Australia’s largest and oldest network. The name of the industry. Phone or email now, for a FREE information pack: FREE CALL 1800 688 888 Website: www.spraypave.com

Taco Bill Taco Bill is the longest established Mexican family restaurant in Australia and has built a loyal following since its inception in 1967. Taco Bill’s Mexican food is fun, fresh and affordable and presented in a casual, relaxed environment. The menu consists of a variety of fresh, authentic Mexican cuisine cooked daily on site, including Taco Bill’s special salsas, quesadillas, fajitas, rice and frijoles, enchiladas, burritos, nachos and tacos. Thirty brands of tequila are on offer at the various

business franchise australia and new zealand A-Z Listings re a great way to promote your business, giving you a presence within our publication and also the Business Franchise website.

restaurants as well as Australia’s largest Margarita – Pancho Villa (fishbowl) - giving the restaurant even more flavour and authenticity! With 34 Taco Bill restaurants in Australia and 28 franchisees, Taco Bill Directors Tom Kartel and Stan Teschke are keen to increase Taco Bill’s Mexican wave with expansion plans nationally in metro and regional areas. If you’re interested in becoming part of the Taco Bill family call 9690 2077 or email amigo@tacobill.com.au

The Drug Detection Agency (TDDA)

training program; Australasia wide business networks; State Office support and large-scale clients that need services in your area.

The Drug Detection Agency (TDDA) is rapidly establishing itself as the largest and most dominant provider of workplace drug detection services in Australia & New Zealand, with a fast growing list of major corporate clients.

TDDA wants highly motivated and business oriented individuals to join the team to share in the success of this proven business model.

With workplace drug screening becoming a necessity for most businesses for safety, legal and productivity reasons, the opportunities are endless to win contracts with Local, State and National businesses.

If you are seeking a next generation business opportunity with huge potential then contact us now to find out more. Phone: +61 439 222 422 (AUS) / +64 21 917 148 (NZ) Contact: Glenn Dobson  Email: glenn.dobson@tdda.com

You will also benefit from a comprehensive 100 day

Website: www.tdda.com

The SPORTING GLOBE BAR & GRILL®

model offers people who aspire to own their own venue many competitive advantages over an independent operator, especially the ability to stay focused on what matters most – the customer.

The Sporting Globe Bar & Grill® is an innovative hospitality and sports entertainment brand with a mission to be Australia’s most loved sports bar and grill. Offering high quality casual dining and a social & welcoming bar atmosphere with the ultimate stateof-the-art sports fit out, The Sporting Globe is a great place to eat, drink and enjoy sport. The Sporting Globe business has been designed with distinct branding, product specialisation, and operating systems to allow it to be a successful franchise. This

Franchise opportunities exist across Australia, so it’s time to be your own boss with Australia’s leading sports bar brand! Enquire today: Brad Dekkers Franchise Development Manager E: franchise@sportingglobe.com.au P: 03 9645 4798 M: 0400 616 285 W: www.sportingglobe.com.au/franchise

Thermawood

Become part of the success story with:

Thermawood Retro-Fit Double Glazing System is designed to retro-fit double glazing into existing wooden windows. Proven systems and processes with the Thermawood Patented drainage system.

• Full Training and ongoing support • Strong industry Growth • Full Advertising & Marketing • Patented product new to the Australian Building industry. If you are looking for passionate self-motivated people to join the Thermawood team.

Retro-Fitting fitting double glazing into existing wooden windows allows the home owner to retain the character of their windows, be more energy efficient, reduce energy costs and reduce noise. Along with installing double glazing Thermawood installers also fit draft/sound seals to all types of windows including double hung windows, casement windows and doors.

AUSTRALIA AND NEW ZEALAND

Please contact Thermawood Retro-Fit Double Glazing for more information. Info@thermawood.com.au www.thermawood.com.au 0455 555 330

Business Franchise Australia and New Zealand 107

A-Z FRANCHISE DIRECTORY Thexton Armstrong Become a Thexton Armstrong Business Success Partner! At Thexton Armstrong we are passionate about Business and helping Business Owners. With over 70 Franchisees and growing rapidly across Australia and NZ we believe that we have the No1 Business Consulting System in Australasia. We are looking for people with previous business or corporate experience to join our team. A Thexton Armstrong Business Success Partner works long term with Business Owners to help improve the profit, growth and value of their business.

The consulting industry is growing rapidly as most Business Owners do not have the skills to manage or grow their businesses. Only one in five businesses survives over ten years. Enquire now about joining our great network of people. Like to know more? PLEASE LOG ON TO www.thextonarmstrong.com.au/ presentation for a copy of our franchise presentation or email us at thextonhq@thextonarmstrong.com.au

V.I.P. Home Services

owners by providing:

V.I.P. was the first company to start franchising in home services in 1979.

• Initial and ongoing training, coaching and mentoring

V.I.P. has over 1100 franchisees across Australia and New Zealand.

• National and local marketing

V.I.P. has franchise opportunities available in:

• Access to a network of franchisees

• Garden Maintenance and Lawn Mowing • Home Cleaning • Commercial Cleaning

• An initial start-up kit so that you are ready to go

Over the last 35 years, V.I.P. has helped over 4,000 people just like you become successful business

WENATEX PTY LTD Wenatex is a family owned company with its origins in Europe where it continues to manufacture high-quality mattresses, quilts, pillows, bed bases, and other sleep products. Wenatex has been operating in Europe since 1964 and in Australia since 2002. Wenatex does not sell its products in stores but prefers to market directly to its customers in small groups at obligation-free sleep information seminars held in third-party venues such as hotels, restaurants, and clubs.

XPRESSO MOBILE CAFE Xpresso Mobile Cafes operate in areas nationally where there are little to no fixed location café options for the workforce in commercial and light industrial precincts. Partnering with Di Bella Coffee ensures the quality of our hot and cold beverage products is unequaled in the mobile café industry. Our customers enjoy frappés, energy drinks, chilled cold brew coffee in a can (KICK), bottled water and light food options such as gourmet cookies and chocolate that are designed to complement the enjoyment of high quality specialty coffee products. The Xpresso Mobile Café high grade, bespoke fitout not

business franchise australia and new zealand AUSTRALIA AND NEW ZEALAND

Our Business Success Programme is designed to offer high end consulting services to small to medium sized businesses.

A-Z Listings are a great way to promote your business, giving you a presence within our publication and also the Business Franchise website.

108 Business Franchise Australia and New Zealand

• Affordable franchise options • An established client base

Phone: 13 26 13 Fax: 08 8220 4588 Email: info@viphomeservices.com Website: www.vipfranchisesales.com.au

Wenatex offers a unique business opportunity to entrepreneurs who can partner with Wenatex as Sales Presenters. There is no initial outlay as with franchising opportunities; comprehensive training is provided; ongoing mentoring and support is offered; and all prospecting is done by Wenatex. This is a great opportunity for entrepreneurs wanting to run their own business while making a difference in people’s lives. For more information, contact Sharlene Brasher, Recruitment Manager on Freecall 1800 936 283 or email opportunity@wenatex.com.au.

only utilizes new technology that no longer requires noisy/ expensive generators but also ensures franchisees can display food and beverage items in a large secondary fully integrated fridge. Franchisees are encouraged to source some food and beverage items from local wholesale suppliers rather than through the franchisor; this ensures an increased net profit through reduced costs. Franchisees are supported nationally by both the franchisor and Di Bella Coffee as well as a fully integrated website, call centre, social media and Internet presence. We’re setting the benchmark for coffee vans – will you join us? Contact Jonathan Payne at jonathan@xpresso.com.au TODAY.

JOIN THE

DREAM TEAM

Vendor finance now available* *Available to approved applicants.

We are looking for dynamic people who love dealing with others and are passionate about retailing. The Snooze brand has a strong history of over 30 years in retailing and has built a very solid franchise system. We provide franchise partners with a stable platform to start their business and offer support across the entire business including: ࠮ Marketing and Promotional Support ࠮ Product Development and Buying Power ࠮ Proven operating system that includes comprehensive product and sales training ࠮ Business Management support from our on the ground field team ࠮ Assistance in site selection and property negotiations ࠮ Business finance available to approved applicants

For more details visit snooze.com.au or call Alistair Browne, our Franchise Network Development Manager on 0427 401 169

It’s amazing what a little snooze can do. snooze.com.au

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25/09/14 1:53 PM

What really impressed us was that Hairhouse Warehouse really cared about us and did everything to help us succeed. - Jim Marshall, Gateways Franchisee

HAIRHOUSE WAREHOUSE is Australia’s leading hair & beauty brand, with plans to expand its network by 20% over the next 3 years, across the nation. We are looking for passionate people with a desire to strive for results and take control of their own destiny. Whilst hairdressing experience is not required, strong work ethic and drive is essential.

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