Inside Franchise Business May/July 2020

YOUR ESSENTIAL GUIDE TO BUYING A FRANCHISE WWW.FRANCHISEBUSINESS.COM.AU

MAY/JULY 2020

ISSUE 33 VOL 02

ACCOUNTING FOR BUSINESS FIRST CLASS ACCOUNTS: 20 YEARS ON

KEEP CALM AND PLAN YOUR FUTURE Top tips to set you on a new path

NEW BRANDS, BIG IDEAS YOU CAN AFFORD TO BE YOUR OWN BOSS! Easy options that put you in control

MAKE A GOOD BUSINESS CALL Become a 7-Eleven Franchisee and enjoy a fulfilling career working on your terms, with a supportive, Australian-owned partner that knows the local market and lives and breathes for its customers.

INVEST IN YOUR FUTURE WITH US TODAY. franchise.7eleven.com.au

YOU’LL LOVE BEING A 7-ELEVEN FRANCHISEE. HERE’S WHY: • 24/7 operational and marketing support • Extensive training and full store set-up • We take care of payroll, fuel and supplier management • Home to products you can’t find anywhere else • Enjoy a healthy work/life balance • Connect with customers and be part of your local community

OUR SUCCESS IS YOUR SUCCESS The 7-Eleven franchised business model is one with a difference. Because we share in the profits of our Franchisees, it’s in our best interest to do whatever we can to help you grow your business. To get up and running, you’re looking at an investment of between $400,000 and $1,000,000+. Our gross profit split is determined progressively and there are opportunities for shared income stream profits, such as commissions.

CONTACT DETAILS – Franchisee Development Managers

Brett Reading, QLD Email: bzr@7eleven.com.au Mobile: 0407 877 674

Peter O’Hara, VIC Email: pwo@7eleven.com.au Mobile: 0408 175 534

Shayne Boogaard, NSW

Edris Mukarram, WA Email: ewm@7eleven.com.au Mobile: 0436 658 741

Email: szh@7eleven.com.au Mobile: 0418 136 156

FRANCHISING

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CONTENTS

REGULARS

LEADERSHIP

9 EDITORIAL 10 GLOBAL EYE 14 INSIGHTS 16 THE LIST 100 GLOSSARY 103 INFLUENCERS 104 CHECKLIST 105 RESOURCES

20 IDEAS BANK

SPECIAL FEATURE 56 IT’S A PHOTO FINISH!

Choosing a franchise: how do you pick the winner?

SPOTLIGHT: FOOD

Exciting new concepts in the market.

22 BREAKING THE INTERNET

42 ACCOUNTING FOR BUSINESS

First Class Accounts celebrates two decades.

What the cool brands are doing.

26 READY FOR THE REBOUND

Beauty salon chain Ella Baché looks ahead.

28 COUNTERING THE CORONAVIRUS CRISIS

Brilliant franchisor actions that protect businesses.

32 NAILING IT

Techy franchisees share their tales.

46 BROTHERS IN BARS

Ex-serviceman gets on the road.

50 BARK BUSTER!

Providing an essential service.

54 5 MINUTES WITH…

36 KEEP ON TRUCKING 38 WATER WORKS

40 MAKING A SPLASH

The Sporting Globe's newest franchisees.

Turning dogs into model pets.

Q&A with craveable brand’s CEO.

Poolwerx franchisee: three stores, seven awards.

SPOTLIGHT: CLEANING FRANCHISE BASICS 86 LOCATION, LOCATION, LOCATION Franchise site selection is critical.

88 HOW MUCH WILL A FRANCHISE COST? And nine other crucial questions.

60 COFFEE BREAK

Caffeine-friendly statistics.

SPOTLIGHT: MOBILE

76 THREE REASONS...

To choose a cleaning franchise

90 NOT SO RISKY BUSINESS Tips for protecting your assets.

92 ROAD MAP TO MARKETING What drives digital marketing?

HR IN A CRISIS SPOTLIGHT: CONVENIENCE 96 How your franchisor can help.

98 FIVE THINGS…

Franchising Code of Conduct cheat sheet

110

FINAL WORD

9 things to learn about franchisees Tereza and Kent Pepping.

62 THE KIDS ARE ALRIGHT

78 UPMARKET CONVENIENCE

68 PAWS FOR THOUGHT

SPOTLIGHT: COMMUNITY

74 WHAT’S YOUR INSURANCE POLICY?

Government regulations fuel these franchises.

Working with children - the people and the brands.

Franchises for every dog lover.

Essentials to know before you buy a mobile franchise.

Focus on an Asian grocery store.

80 SUPPLYING THE DEMAND

MAY/JULY 2020 | 7 | WWW.FRANCHISEBUSINESS.COM.AU

WELCOME

Extraordinary times Time to reflect, not to rush in This edition of Inside Franchise Business is unlike any other.

I was mindful when compiling the contents that you, the reader, may be facing particularly challenging times. These are extraordinary and uncertain times.

We are learning to live a more constrained life, in ways we could not have imagined a few months ago. We are recalibrating our daily expectations and finding value in the minutiae of daily life and our relationships.

Australians are joining the global community in reassessing our lives and what’s important. The uncertainty of the last few months has scuppered well-oiled plans and we now have to think again.

Many of us now have time to consider what we will go back to. What’s next may be a choice of not wanting to return to the strictures of the past. It might be an enforced change brought on by job losses or redundancy. This is familiar ground for franchising, which typically attracts new entrants in economic downturns because it offers some security and allows people to put their futures in their own hands.

However, the sideswipe that COVID-19 has given us adds an unexpected dimension.

What’s proved inspiring has been the capacity of franchised brands to move swiftly and realign services and products to keep their businesses going.

REFOCUS, REGENERATE, RECALIBRATE This is a unique edition of Inside Franchise Business. To ensure we have the widest reach possible and that magazines arrive safely, this is a digital-only edition coming straight to your inbox. It’s also an edition beset by the uncertainty of the business landscape. So as we share tales of success and grand plans, we know much of this has been put on hold.

It may be that you have had to put on hold your own plans to invest in a franchise.

With that in mind we’ve shared some ways you can usefully use this time to really think through and plan your franchise journey.

We’ve looked at brands pivoting to keep their franchisees trading; we’ve revealed which industries have kept powering through this crisis; we’ve put the spotlight on low-cost investments and mobile services that will be financially accessible in an economic downturn.

These times are changing us; how will they change you and your future?

Stay well and good luck with your search for whatever’s next.

EDITOR

SENIOR ACCOUNT MANAGER

SUB-EDITOR

Marketing & sales co-ordinator

Sarah Stowe P: 02 8224 8371 sarah.stowe@octomedia.com.au

Karen Gee

GENERAL MANAGER

David Strong P: 02 8224 8370 david.strong@octomedia.com.au

Charlotte Redfern P: 02 8224 8373 charlotte.redfern@octomedia.com.au

Dali Hoffmann P: 02 8224 8373 dali@octomedia.com.au

GRAPHIC DESIGN

Rozelle Carlos rozelle.c@octomedia.com.au

Sar a h Sarah Stowe Editor

OCTOMedia

OCTOMEDIA Pty Ltd Suite 3, Ground Floor, 131 Clarence Street, Sydney NSW 2000 Ph: +61 2 9901 1800 www.octomedia.com.au

FOR SUBSCRIPTION ENQUIRIES CALL Customer Service: 02 8224 8383 ISSN: 1321-408X

MAY/JULY 2020 | 9 | WWW.FRANCHISEBUSINESS.COM.AU

ALL INSIDE FRANCHISE BUSINESS MATERIAL IS COPYRIGHT. REPRODUCTION IN WHOLE OR IN PART IS NOT ALLOWED WITHOUT WRITTEN PERMISSION FROM THE EDITOR. OPINIONS EXPRESSED IN INSIDE FRANCHISE BUSINESS ARE NOT NECESSARILY THOSE OF INSIDE FRANCHISE BUSINESS OR OCTOMEDIA. © COPYRIGHT OCTOMEDIA, 2016

GLOBAL EYE

INNOVATION, EXPANSION AND SURVIVAL TACTICS The big stories in franchising that you need to read.

MAIL BOXES ETC UNVEILS FIVE YEAR PLAN Mail Boxes Etc plans 80 stores for Australia over the next five years in an aggressive expansion plan that will bring the store tally to 120.

The massive growth plan will include PostNet stores joining the Mail Boxes Etc (MBE) network after the closure of the former brand.

MBE CEO Clayton Treloar said "MBE is part of a large group of 2,500 locations around the world and with the recent closure of PostNet Australia, each PostNet franchisee had the opportunity to come on board at very little or no cost."

The first such franchise to join has now transitioned into MBE Broadway in Sydney.

MBE offers several income streams across three different business models: full store, mini store and kiosk.

Treloar said "With the huge increase in pack and ship business across all centres, we are truly a multi revenue business bringing together printing, shipping and mailbox rental to form our business service centre.

"It's like running three businesses in one, which makes for a profitable little business.

"We'll always have retail outlets.

Our plan is aggressive but do-able. Our franchise enquiries are up because people

are out of work and the entry price point is so affordable."

The Covid-19 pandemic has given MBE essential business status as it provides B2B and C2B logistics across Australia and around the world.

According to Treloar the logistics field has picked up significant extra business.

"Shipping has gone through the roof and online orders are up about 25 per cent each year.” n

SUBWAY FREEZES MARKETING FEES Subway Australia has announced a financial assistance program to support its 1300 restaurants through the COVID-19 (Coronavirus) crisis.

Among the measures the global sandwich chain is taking is freezing marketing fees to help cashflow.

Country director for Australia, Chris Churchmichael, said “Subway has waived all marketing fees and will collect just 50 per cent of royalty fees, with remaining fees deferred until after the crisis.

“We will continue to monitor the impacts of coronavirus and consider further measures to support our franchise owners.”

Churchmichael said Subway had been working to develop a series of support packages, designed to provide immediate and ongoing relief for franchisees.

“While the health and safety of our teams and guests will always be our top priority, we are also very focused on assisting our franchise owners to navigate their way through this unprecedented crisis,” Churchmichael said.

Subway includes actively negotiating with lenders to help franchisee cashflow among its measures.

The franchisor is also talking with landlords and suppliers to ease immediate financial pressures and helping franchisees understand available government COVID-19 support programs. n

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H&R BLOCK ADDS FINANCIAL ADVICE H&R Block is widening its sphere of services, adding financial advice to its portfolio in a partnership with Fiduciary Financial Services.

The new set-up means the tax franchise chain will refer clients and participating franchisees and Fiduciary Financial Services will offer tailored financial planning solutions.

Clients will be able to access services online, by phone or if need be, in a face-to-face meeting.

Brodie Dixon, managing director at H&R Block Australia, said the new advice model is launching at an important time.

“Businesses and individuals are facing unprecedented challenges and financial uncertainty in a COVID-19impacted market which is changing daily.

“We believe this is a game changer, not only for the financial advice industry, but for the clients of H&R Block who will gain access to affordable advice on: superannuation, insurance, lending, investments and retirement planning.” n

LA PORCHETTA CEO DEPARTS

Sara Pantaleo, who heads up Italian casual dining chain La Porchetta, is moving on from the CEO role.

However Pantaleo will continue to play an integral part in the restaurant business as a shareholder.

Pantaleo joined the family firm 23 years ago and has led the business since 2005.

Pantaleo’s swansong as CEO is a project that takes the hospitality business into a new sphere.

“We’ve developed a QSR takeaway and delivery neighbourhood pizza pasta joint with a funky young feel, and beautiful dishes on the menu. It’s a very exciting project.”

The small 120sqm footprint with lower costings will allow the business to develop interstate and overcome the challenges of high rents, particularly in Sydney. n

GLOBAL EYE

QUEST SWITCHES UP WITH NEW MODEL AND QUARANTINE OFFER

EXPENSE REDUCTION ANALYSTS SETS MEGA EXPANSION GOAL

Quest Apartment Hotels has offered its properties as quarantine or isolation facilities during the coronavirus pandemic.

The accommodation chain submitted its offer to the Federal Government through the Accommodation Association of Australia.

Quest has offered up to 80 of its hotels as quarantine facilities in a bid to relieve the demand for hospital beds.

Quest founder and executive chairman Paul Constantinou said the national chain is well placed to support the Federal Government’s isolation and quarantine measures.

“The injection of quarantine facilities into the health system will help remove some of the pressure on our hospitals,” he said.

“When experts talk about flattening the curve, it’s about making sure hospital beds are available to the people who need it most.”

Many Quest Apartment Hotel franchisees are experiencing a loss of income due to COVID-19. The deal proposed to the Australian Government would help franchisees remain commercially viable during this challenging time.

“While domestic and international travel bans are in place, we must look at other ways to support our franchisees,” Constantinou said.

Quest is also taking a fresh approach to growth by integrating its hotels into shopping centres in emerging suburbs. The first venue will be at the Watergardens Town Centre in Melbourne’s north-west. n

Expense Reductions Analysts has a big 2020-2021 planned as the cost and supply management franchise looks to double in size.

The business has added 17 franchisees in the last three years to bring the network total to 29.

Now David Rounsevell, managing director, Expense Reduction Analysts Asia-Pacific, tells Inside Franchise Business the goal is to reach 50 franchisees within two years.

“We’re growing really well, revenue was up 63 per cent last year, and we expect a 60 per cent increase for franchisees across the board this year.”

It’s one of the businesses that comes into its own in tougher economic conditions, he says.

“Everyone wants to look at how they can save money. We are a business that can do well in any economy but during a slowdown we do particularly well.” n

IN BRIEF

CWG business for over four years, supporting the growth and success of our incredible brands and network of franchisees.”

Nurse Next Door has signed its first franchisees. Gold Coast couple Lauren Macdonald and Glen Parsons discovered the home-care opportunity on Inside Franchise Business.

Sydney, Perth and Brisbane Franchising & Business Opportunities Expos were postponed due to the pandemic.

Snap Fitness is expanding into Japan with an ambitious 300-gym target. Parent company Lift Brands is partnering with Global

US-based Express Employment Professionals has acquired the Frontline Recruitment Group. Frontline provides staffing solutions in the areas of retail, hospitality, health, education, IT and digital, and construction.

Award-winning Boost Juice multi-unit franchisee Daniel Mesiti is joining the Franchise Council of Australia board of directors.

Arthur McColl, CEO of Collective Wellness Group, left the business on 31 March. McColl told the franchise network “It has been my absolute privilege to lead the

KFC GOES HIGH-TECH

The Colonel is on the move. Iconic fast food franchise KFC is set to launch 30 new high tech restaurants across Australia.

The new KFC stores were announced in February, pre-coronavirus crisis. Once launched the stores will lead the next chapter of expansion for the global chicken chain.

All states across the country, barring Western Australia will welcome new KFC stores, with the initial roll out beginning with Canberra City, Kings Cross and Glen Waverley.

The launch ushers in a new era of transformative change for KFC, following the success of the chain’s drive-through only concept stores.

Unveiled late last year, the inaugural store in Newcastle featured five un-manned lanes, with customers encouraged to order online or through the KFC app, prior to arriving at the store. n

ANDERSENS SET FOR EAST COAST GROWTH

Heritage flooring franchise Andersens is expanding its store network along the eastern coastline. The region between northern New South Wales and Sydney is the initial development area, with further expansion to follow.

Andersens has been a privately owned business for six decades and has grown organically to 50 stores.

The average tenure at the floorcoverings chain is 14 years with some franchisees well over 25 years and some 30 years. n Fitness Japan Co., to extend the remit of its APAC operations. The flagship location will open in Tokyo.

Think Hungry Jack’s, think flame-grilled Whopper. Think again. While the famous burger remains high on the menu, a Fresh Choices menu adds low-carb burgers, fresh chicken salads and chicken wraps.

Franchised auto brand JAX Tyres has unveiled a training centre at its new headquarters, coinciding with a shift to network branding. The nuanced brand change to JAX Tyres & Auto aims to better reflect the chain’s mix of retail and mechanical expertise. n

JOIN THE CONVERSATION

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MAY/JULY 2020 | 12 | WWW.FRANCHISEBUSINESS.COM.AU

Are you

of the same old franchise options?

Then we’ve got a great One that will put the franchise industry.

And the

for you. back into the

back in your step.

It’s time to take the

Quick Lane aims to become the UK’s favourite maintenance and light repair service. Find out more about the benefits of franchising with us:

www.quicklane.co.uk/franchise

off innovation.

STAY AT HOME

INSIDE

INSIGHTS

Home alone or hunkered down with the kids … find some time to focus on the future.

T

ake yourself into a new space with just a few hours a week spent on new projects.

Here are some suggestions for ways to find a more secure, satisfying future for yourself and your family.

your life, and work out what’s next.

A life coach or a business mentor could offer valuable insights and guidance on how to deal with the immediate weeks ahead and how to reshape the future to best suit you. A skilled mentor will help you find your own solutions.

NETWORKING

FOLLOW YOUR PASSION

Keep in touch with colleagues and friends to stay connected, but also use this time to engage with people in fields that interest you.

Join or start conversations on social networking platforms like LinkedIn, add new people to your contact list, find ways to use your skills to help others in their business.

Every franchisor will ask their franchisees to demonstrate a passion for the business they are buying – whether that’s passion for the product, the service, running a business or nurturing a team.

Passion is crucial to success, so it makes perfect sense to put your energies into achieving your ambitions in a field you are passionate about.

However, passion won’t be quite enough to see you through. Work out what you need to turn the dream into reality.

Are there elements of the business you could learn before you invest, to give yourself a head start? Perhaps you already have the skills required, or perhaps you need to retrain or upskill?

UPSKILLING Now could be a great time to develop new talents or boost the skills you already have, whether in vocational or technical fields.

Our reliance on digital communication has never been stronger; many organisations are now adding or improving digital services and learning platforms.

Government website www.myskills. gov.au/ is a good starting point.

For vocational training such as Certificate IV in business check out www.tafecourses. com.au/courses/ Visit www.upskilled.edu.au/courses/ administration-and-business to see more about vocational training online.

If you’re serious about franchising, this is the perfect time to get online and undertake the free course on franchising, supported by the Australian Competition and Consumer Commission: www. franchise-ed.org.au/online-courses/ pre-entry-franchise-education/

GET A MENTOR OR COACH This is a good time to focus on big goals and values, to reassess what’s important in

PLAN YOUR FINANCES Uncertainty about the future is challenging, particularly if there is doubt about income and expenses that will have a drastic impact on your life.

However, a good honest look at household finances as they stand, and where they could be, will be invaluable if you are to take the next steps and be ready to bounce back when the economy turns.

Checking up on the financials means you’ll have a realistic expectation of what can be achieved, be able to decide how much you can change to get where you want to be, and will set you up for good conversations with franchisors and lending institutions.

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SELF-REFLECTION It’s vital to really think long and hard about whether buying a franchise is going to be the best move for you. Whatever the particular business, every franchise demands a willingness to follow rules and regulations, a team spirit (even if you are working by yourself – brand standards are important) and adaptability.

A franchise might put restrictions on you that you will find bothersome. It’s best to work that out now before you progress too far down the line to buying a franchise.

So not too much time in the mirror please, but do take the opportunity to draw up a list of your strengths and weaknesses.

Defining what you can bring to a business, and the areas you will need support with, is important to ensure you match yourself to the right franchise.

MARKET RESEARCH Due diligence, or research, is crucial before you buy a franchise. If you know which sector you want to work in, get stuck in to finding out the economic predictions, what the challenges will be, which brands are handling change well, and how you will make money in the business.

For would-be franchisees still open to persuasion, now is the time to take a helicopter view of the industries you would consider, and find out what their future looks like. How are they affected by the coronavirus crisis for instance?

What sectors thrive in a downturn? Which sectors rely on a traditional way of doing business that may not continue at the same pace?

Set yourself up to better understand the opportunities available.

STAY FIT AND HEALTHY Looking after your mental and physical health is crucial right now. Take that walk with your partner, exercise the dog, dig out the yoga mat, spend time in the garden, kick a ball around with the kids … there’s nothing like some downtime to remind us of what’s valuable.

And as a bonus, when you start up in your new business energised and fit, you’ll be well placed to manage the challenges of business ownership. n

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THE LIST

WE CAN’T DO

WITHOUT THAT! Pick an industry that delivers a muchneeded service and you’ll be well placed to ride out the downturns.

W

hen times are tough, it’s the basics we can’t do without that charge on. Check out this list of five industries powering through the coronavirus crisis.

GUARDIAN ANGELS Some of the most vulnerable in our society can choose to stay home and get excellent help through franchised services.

Changed regulations have made it easier for families and individuals to access the carers they want for loved ones, who don’t have to move into residential aged care.

As the Australian population ages, this is a booming industry which has more firms flocking to franchise their business model than ever before.

While franchisees need to embrace and embody the caring philosophy and principles of the brands, in many cases their role is one of management rather than hands-on care.

It’s a great option for community-minded individuals who want to make a difference.

Check out these brands: • Just Better Care • Home Instead Senior Care • Medimart • Pearl Home Care • Home Caring • Nurse Next Door Home Care

THE DELIVERERS Moving goods from one place to another has always been important to our economy, and our personal lives. The onset of a booming online retail scene has only added to the demand in the logistics and delivery industry. And then a pandemic erupts that keeps us all at home and we truly appreciate the value of being able to get goods delivered from across Australia and around the world.

The advantage of franchised operations in this field is the national and international networks that allow individual operators to compete with major global brands.

Some of the brands operating in this space are: • Aramex (previously Fastway Couriers) • CouriersPlease • InXpress • PACK & SEND

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The strength of a relationship can be defined by the ability to navigate unprecedented waters together.

Across the country, we have been working with our Franchise Partners, our Frontline Crew and our Supply Partners to ensure we have continued to trade, serve our customers and support our local communities safely and responsibly during Covid-19 restrictions.

These have been difficult times for everyone, but drawing on key areas of expertise, focussing on what is truly important and working together, has enabled us to be resilient and continue to trade in a new “business as usual� manner.

Red Rooster is focussed and determined to provide best-inclass support to its Franchise Partners in the good and tough times. #InThisTogether #TheRoostersCalling

Want to know more about Red Rooster franchise opportunities?

Enquire today www.redrooster.com.au

THE LIST

SAFETY SAVIOURS

WATER WARRIORS

Occupational health and safety is an essential service that keeps Australian businesses operating safely, whether it’s testing and tagging electrical equipment and appliances, assessing fire safety or providing appropriate supplies for workers.

Freedom-loving franchisees can choose to operate a mobile business, providing a necessary service to other local firms.

• Appliance Tagging Services • The Local Guys – Test & Tag • SafetyQuip

Looking after your pool might not seem a must-do activity in a pandemic, but the worldwide attention to health and sanitisation brings the importance of healthy water into focus.

And not everyone has the capacity to treat their pool, or their tank water, correctly. So calling in the experts still seems like a good idea, to ensure your home environment remains as healthy as possible.

These services are backed up by essential products, and that’s another revenue stream franchisees can count on.

Check out these franchises: • Pristine Water Systems • Poolwerx • Jim’s Mobile Pool Care • Swimart

FIXER-UPPERS

Handyman skills are always in demand. Not everyone rushed off to Bunnings to get equipped for outstanding home projects at the first sign of a shutdown. Many Aussie households are happy to have the experts on hand to fix problems around the house.

A franchise with strict observance of cleanliness standards provides surety to customers, who know franchisees are safeguarding the health of the home inhabitants while attending to much-needed repairs.

• Hire A Hubby • Lock & Roll

This is a selection of just some of the businesses operating as franchises around Australia whose services are proving invaluable right now.

Of course, every business has its own challenges and commercial obstacles, and there’s really no such thing as a recession-proof business.

Franchise buyers looking for a reliable option to invest in need to consider all aspects of the business, not just the industry sector – for instance, researching the franchise and franchisor, quizzing other franchisees, getting expert advice on the financial viability of the business model and understanding the role their own personality, skills and commitment will play in the success of their franchise.

On page 28 you can read about the ways some franchise chains are pivoting their business models to help keep franchisees afloat as they navigate through the coronavirus crisis. For some great questions to ask, check out our Special Feature on page 56.

When you’re ready to do more, visit www.franchisebusiness.com.au to see an extensive list of franchise brands. n

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Love your work!

Make it a reality with The Cheesecake Shop.

Many people just dream about doing a job they love. Why not make those dreams come true by owning a franchise in The Cheesecake Shop. You can be your own boss!

W H A T D O E S BEING Bake tasty masterpieces all for the world to enjoy! And most of all you can enjoy your days working with those you love.

A FRANCHISEE MEA NA TT O ?

WH D OYEO S UBEING

A FRANCHISEE MEAN TO YOU?

The system system The allows The system allows meme to allows me to to be my be my own be myboss. own own boss. boss.

Jay JayParmar Parmar CurrambineWA WA Currambine

franchise.cheesecake.com.au

Cheesecakes

|

Mudcakes

|

Tortes

|

Desserts

|

Custom Cakes

|

Open 7 Days

LEADERSHIP

IDEAS BANK

Check out these fab franchise newbies with long-term plans to build a business in Australia.

Bloom Baby Greenhouse Asian Salads

N

ew, exciting concepts always attract attention. These latest brands to launch franchises in Australia are no exception.

Bloom Baby

The latest in kids activity classes has hit Australia. Bloom Baby Classes, part of a multi award-winning UK franchise, is taking its first steps here, having already already made its mark in the US and Dubai.

Bloom classes provide a welcoming environment for parents and caregivers to engage with their infants, encouraging children’s development in a fun way. Each week classes follow a different theme, with infants stimulated by sensory experiences.

Founder and director Victoria Jennings is a former corporate who retrained in childcare before establishing Bloom after the birth of her second child. Sharing her story on Bloom’s website, Jennings says the business helped her deal with postnatal depression.

“I also hope that the opportunity to join our franchise family will be just what someone needs as they look to take back control in their life.”

It’s an ideal opportunity for a hardworking, ambitious individual who loves to sing, and wants to make a difference to others’ lives while working flexible hours.

A typical franchisee will operate 16 classes over a four-day week, but franchisees can run as many classes as they like, with classes only during term time.

Full training in Australia and ongoing support is available, with marketing support and head office PR included in the $12,500 capital investment.

Franchisees operate in an exclusive territory, and work with bespoke equipment to make classes stand out.

GREENHOUSE ASIAN SALADS A fresh salad franchise backed by internationally renowned chef Josef Huber is set to take the fast-food sector by storm.

Over the last four years, Greenhouse Asian Salads has built a reputation as a leading healthy eating concept, and now fans can get in on the action.

Huber reveals Greenhouse had launched an inaugural franchise model, following the enormous success of the chain’s two existing outlets in Edgecliff and Lane Cove.

“We knew it was always going to be a bit tough selling salads in Australia, where

salads are usually seen as a side dish, but we persevered,” Huber says.

“Now, there’s a big line out the door every day and I constantly have people asking me how they can invest or how they can open one of their own. It was that interest and support that really led us down this path.”

But Greenhouse Asian Salads wasn’t always the business Huber had in mind.

GREENHOUSE ASIAN SALADS CONCEPT The Sydney-based operation launched in 2015, when Huber found a kinship with then-colleague, now-business partner Lanna Wannawong. Her Thai-inspired salads were such a hit at his pizzeria, Kirribilli Kitchens, Huber knew there was potential for growth.

“For fun, Lanna would make us salads and I couldn’t believe how great they were.

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I realised there was definitely a market for these delicious and healthy salads, and that we needed to get these out to the public,” he says.

“Owning a number of restaurants in the past, I know the challenges that come with running a food operation. There are always dramas with chefs or grease traps or ongoing costs. This business is so easily replicated because you don’t need qualified chefs and many of those challenges are removed.”

While the focus is on fresh, Huber also reveals an ulterior motive behind his venture.

“There are lots of people that want to buy a business but don’t have the money.

I wanted to help them, so I regularly went into partnership with people I believed in,” he says.

“They do the work, but I put up the money, the risk and the capital … My purpose is to be a mentor. I don’t want to be retired, I want to watch people grow.”

Huber provides the framework for motivated hospitality entrepreneurs to get started on the right foot.

“I never thought I would be a franchising person; I am a creator, I can’t have limits, but not everyone is like me. Some people don’t know what they’re doing, so you need to give them the concept,” he says.

TEALIVE

Tealive is the newest entrant in the busy bubble tea franchise marketplace. And it has signalled its intentions to be flexible and innovative with its latest store, a converted ATM opposite Melbourne’s State Library.

The smallest Tealive location to date, and potentially the smallest QSR in Australia, opened as a cashless quick-service

DannyBoys

restaurant with only two staff members able to work at any one time.

Bryan Loo, founder of Tealive, is excited about the possibilities this new concept store could bring.

“Tealive has many formats and when we saw the opportunity this location offered, we wanted to rise to the challenge and see if such a small space could work. If we can prove this concept successful, it opens the doors for great cost-efficient locations across Australia and internationally,” he says.

Shane Francis, Tealive Australia CEO, says, “We’ve had to be innovative. The reality is as we enter a more cashless society, ATMs are going to need to be repurposed and this creates a huge opportunity if we can make this location work. We’ve had to figure out how to serve customers a quality and timely beverage in a seriously limited space and it is our mission for this site to succeed.”

The Tealive team believes there is room for at least 30 to 40 Tealive sites throughout Australia and New Zealand. Initially the focus is on NSW and Victoria.

Tealive

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The business is backed by Loob Malaysia, a significant food and beverage player in Malaysia which operates numerous brands and is well-resourced to innovate products and services.

There are corporate, joint venture and franchise, and flexibility is at the business’ heart, whether it’s on funding or hours worked instore.

DANNYBOYS

Sandwich firm DannyBoys has a goal of opening five franchises in Queensland within the next 12 months.

The first DannyBoys opened in Kelvin Grove, Brisbane, in April 2011 followed by a second company-owned store in Brendale, Moreton Bay. Since then, the sandwich specialist has seen an increase of customers.

Daniel McKennariey, DannyBoys founder and director, says, “I’m really delighted to launch the DannyBoys franchise in Queensland. Together with DC Strategy, we have developed an excellent franchise business model that reflects on the success of our two established stores.”

On the menu are sandwiches, soups and sweet treats.

“I’ve carefully developed each food item with my chef’s hat on and I’m proud to say we have an ever-increasing customer following who are obsessed with our menu,” McKennariey says.

“I’m really looking forward to recruiting new franchise partners who are passionate about quality food like me,” he adds.

For McKennariey it has been important to establish excellent business and operations systems to ensure franchisees can operate their own DannyBoys store with efficiency and success.

The brand is taking an exclusive approach to expansion; rather than placing an outlet on every corner, locations will be selected.

In addition to an exclusive brand image, franchise buyers will receive help with all aspects of the business from finding the perfect site to lease negotiation, fitout, hiring staff, setting rosters, and effective marketing campaigns. n

LEADERSHIP

BREAKING THE INTERNET Fried chicken sneakers? Sub-zero strength training?

Sometimes franchising fact is stranger than fiction.

By Nick Hall

W

hat makes a franchise chain go viral? From innovative menu additions to high-end collaborations, franchising is no longer just about selling a product or service.

In today’s fast paced digital world, breaking through the noise is no easy feat. It seems every minute of the day we are bombarded with marketing messages and sponsored posts, and with over 2.37 billion users on Facebook alone, it’s not hard to see why.

But the over-sharing situation has hit a tipping point. So much so, even the digital natives are beginning to tune out.

Over the past few years, Facebook has tried to make a distinct move away from

obvious advertisements.

“This is because consumers have resoundingly responded negatively to the increasing advertising on the site,” Sarah Sloan, sessional academic in Marketing, Griffith University says.

“Users want to enjoy a clean, uncluttered news feed so that they can socialise with their friends. Each ad takes away a little of the trust that users have in the site.”

So, with big deals and flashy campaigns failing to hit the mark in 2020, what can franchise brands do to make sure they stay front of mind?

Take it from the big names, it’s all about breaking the internet. Here are six outrageous updates you have to see to believe.

DOMINO’S DIAMOND DAZZLER

The pizza chain unveiled a pepperoni proposal ploy that caused quite a stir online. Domino’s released a signature, one-of-a-kind 18-carat yellow and white gold ring, topped with diamond “cheese” and “pepperoni” rubies.

Developed for the brand’s Valentine’s Day campaign, the Domino’s engagement ring competition saw one lucky winner offered a cheesy chance to pop the question with the jewel en-crust-ed piece valued at over $9000.

“How many great love stories have started over a slice?

How many awkward dates have been saved by the arrival of the pizza delivery?” Allan Collins, Domino’s chief marketing officer ANZ, says.

“Pizza is made to be shared with the ones we love, so this year we want to honour that with something really special and help create the greatest, if not the cheesiest, proposal ever.”

With a diamond weight of more than one carat, the unique hand-crafted pizza slice ring was ideal for those preparing to say “I dough”.

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KFC X PIZZA HUT

In January, two fast food giants joined forces for a polarising product launch that blew up online.

The Colonel’s fried chicken made a limited time appearance on a deep-dish Pizza Hut base for an exclusive partnership in the UK. When news of the cross-brand collaboration broke on social media, users were quick to label it as the ultimate hangover cure, but not everyone was convinced.

The gravy base, popcorn chicken topping and stretchy golden mozzarella was welcomed with open arms, but some critics drew the line at the added sprinkling of sweetcorn.

“What kind of animals have sweetcorn on a pizza?” one social media user wrote.

“Don’t get the big deal with KFC gravy and I certainly wouldn’t like it as a pizza base. Just weird!!” another said.

Regardless of pizza preferences, the campaign was a huge hit. Images of the pizza on KFC’s Facebook page racked up over 197,000 comments and over 30,000 shares, making it one of the company’s biggest updates worldwide, and the noise translated into sales.

According to reports, customers ordered just under 20,000 KFC x Pizza Hut pizzas on the first day alone, with the snack introduced to celebrate National Pizza Day in the UK. In fact, the collaboration was so successful, KFC decided to branch out even further.

KFC CROCS

The chicken chain unveiled another unlikely partnership earlier this year, breaking into the competitive world of footwear for the first time. Why? Who knows, but the result is outstanding.

KFC teamed up with Crocs to create an ungodly mess of colour and odour, releasing a collaboration shoe featuring a red and white striped base to replicate the iconic KFC bucket, with a fried chicken print and a Jibbitz charm.

Even more impressive, KFC’s new footwear even smells like fried chicken.

“Do you love world famous fried chicken? Do you love Crocs?

ANYTIME FITNESS ANTARCTICA

The fitness icon has made good on its goal to become truly global, launching a new Antarctic studio!

Housed on-board luxury travel line Antarctica21’s newest cruise ship, Magellan Explorer, the world-first Anytime Fitness Antarctica studio opened in November, making the chain the first franchise with representation on all seven continents.

But it is far from just a marketing gimmick.

The studio is equipped with all the extras you’d expect from the franchise icon. Passengers can enjoy top of the line cardio and strength equipment 24 hours a day, providing a muchneeded physical escape from the harsh outside conditions.

“Having the opportunity to be the featured gym on the one-of-a-kind Magellan Explorer was the perfect way to bring health and wellness to the South Pole,” Anytime Fitness global CEO Chuck Runyon says.

“Our partnership with Antarctica21 is game-changing. Not only have we upped the ante when it comes to accessibility, we’re really bringing the vision of Anytime Fitness to life.”

The cool new addition launched with a 10-day trip departing from Punta Arenas, Chile, before travelling across the Drake Passage, stopping at a range of environmental hotspots.

Do you love brand spokespersons like Colonel Sanders? Then, boy, howdy, do we have something for you,” the official website reads.

The KFC x Crocs classic clog is set to become available for purchase later this year for an estimated $US60.

Need more persuading to part with your cash?

“Combining the unmistakable look of our world-famous fried chicken and signature KFC bucket, with the unparalleled comfort and style of Crocs, these shoes are what fried chicken footwear dreams are made of,” Andrea Zahumensky, KFC US chief marketing officer, says.

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LEADERSHIP

BELLES HOT CHICKEN AND CHEETOS

Collaborations between fast food chains have steadily grown in popularity over the past few years. Rather than competing, many chains have seen the value in joining forces, developing significant inroads with traditionally cautious consumers.

It’s become commonplace in the US, with chains such as Burger King co-branding with Cinnabon to sell “minibons” over the counter.

Here in Australia, fast food co-branding has yet to take off, however some innovative franchise brands may be working to change that.

Earlier this year, Aussie restaurant franchise Belles Hot Chicken unveiled a partnership with US-based snack brand Cheetos, culminating in the release of a full-scale limited edition menu.

The co-branding was the perfect blend of marketing and menu innovation. Belles Hot Chicken, famous for its spicy wings and tenders, drew on the iconic Flamin’ Hot Cheetos product for a flavour hit.

The collaboration drew international acclaim, with Belles Hot Chicken receiving hundreds of comments and shares via social media.

7-ELEVEN CASHLESS STORE

Now one for the introverts. Ever found yourself shopping and that pesky store assistant won’t leave you alone? Well, franchise icon 7-Eleven has your back.

The convenience store launched a network-first concept store in Richmond last year that is entirely cashless and cardless.

Customers create a user profile on the app, link their credit card and upload a selfie. They are then able to scan their own items on their phone and check out within seconds without having to queue or re-enter their payment details.

“Nobody likes to wait, so eliminating queues was part of the mission for this mobile checkout,” Angus McKay, 7-Eleven chief executive officer, says.

“The store feels more spacious and customers avoid being

funnelled to a checkout location, creating a frictionless instore experience.”

That experience is looking decidedly more independent.

Whether you’re not a fan of small talk, looking for a discreet purchase or just in a rush, the new 7-Eleven cashless, cardless concept might be right up your alley.

“Continuing our focus on providing ultimate convenience, this year we’re trialling a catering service, and we’re thinking about ways to provide an extraordinary experience to more customers, more often, in more ways that suit them,” McKay says.

“That might be delivery, it might be micro-store formats. We’re trying to push the notion of ‘convenience’ to its absolute limit.”

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BE PART OF SOMETHING BIGGER QUEST FRANCHISING: A PROVEN & SUCCESSFUL BUSINESS FORMULA As Australasia’s largest apartment hotel operator, Quest is a brand business travellers have come to rely on for 30 years.

We’ve created a business format franchise model that removes some of the challenges to achieving success in small business, with the support of one of Australia’s most recognised brands.

Visit questfranchise.com.au or call 1800 809 913

LEADERSHIP

READY FOR

THE REBOUND Ella Baché pivots and innovates.

By Jo-Anne Hui-Miller

I

t’s been a tumultuous time for the beauty and health industry, which struggled to stay afloat when social distancing was first introduced, then saw the closure of many of its physical stores.

However, some retailers are pivoting their businesses and launching new digital offerings to continue their relationship with customers.

One retailer that has switched its focus to online is 66-year-old beauty giant, Ella Baché. The very moment that it temporarily closed its stores in March, the team unveiled its new virtual salons, which they created and launched within 10 days in anticipation of the shutdown. The beauty franchise has 120 salons nationwide.

“We knew what was coming, like we all did. The choice was pretty clear around this. We could either let this thing totally smash us or get busy being innovative and creative to get through and make it to the rebound,” explains CEO Pippa Hallas.

“We thought about our value proposition, which is all about being experts in skin solutions and empowering individuals to feel comfortable in their own skin and we could do that in a virtual world if and when our stores and salons close.”

Many customers have quite a tightknit relationship with their skin therapists, so for them, continuing to meet with them is vital, explains Hallas.

“For many customers, skincare and therapists are part of their lives and routine, they look after their skin and mental health in many ways. You tell your skincare therapist so much of the same stuff [as a therapist],” she says.

“We want to connect with those customers online and the people they’re used to seeing. I feel like that insight was really important for our strategy, as opposed to just rolling out our ecommerce site. We wanted to continue to offer expert advice, tutorials and how-tos, but from their own real therapists, not influencers and celebrities.”

As a result of the new virtual salons, 130 of Ella

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Baché’s franchisees are now continuing to run their businesses and while they may not recover all their lost sales, it gives them a new channel to continue working. Each of the franchisees now have their own site on which they can host personal consultations with clients as well as sell products.

“We’d been working really closely together with the Franchise Advisory Council in the lead up to this event, talking about things like rent, staffing, etc,” explains Hallas.

“But when we launched this, we built everything for [the franchisees] so they didn’t have to build a thing, except for turning on their social channels, creating content and doing skin consultations. They were really grateful.”

Ella Baché’s beauty school has just turned fully digital too, so students can still learn from home. Hallas added that the Ella Baché team also ramped up its online marketing strategies in recent times. For the last 18 months, the business has been slowly moving towards more social and content-led marketing but as Hallas says, “we needed to put a rocket in it”.

“To transform a business this quickly, I’ve been really clear to myself that we just have to go for it, we had no choice, but we’ve had to also learn and adapt each day. So right now, we’re busy helping out franchisees get set up in how to film content and speak to the camera and get them feeling confident,” she said. left, Ella Bache, right, Pippa Hallas

LESSONS LEARNED

Hallas first came on board as a young CEO at Ella Baché when the GFC hit. When she looks back on that time now as a more experienced leader, she believes that she learned the importance of offering her teams clarity through good communication, a clear plan and “hope that the rebound will come”. She also refers to an analogy that she has heard during her career: “If you get asked to join the rocketship, don’t ask which seat to sit in.”

“Don’t question the negative details right now, you absolutely need to look for the opportunities in this chaos and go for it, she says.

“Use this time to get creative, get innovative. Of course, you have to take care of the fundamentals of the business and make sure everything is protected, but this is an enormous change that’s forcing business to adapt and innovate. You absolutely have to get on that rocketship.” n MAY/JULY 2020 | 27 | WWW.FRANCHISEBUSINESS.COM.AU

LEADERSHIP

COUNTERING THE CORONAVIRUS CRISIS T

he coronavirus crisis has hit every sector of the franchising community. Never has it been more important to focus on innovation and resilience, putting profit to one side and keeping the

franchise network engaged and earning if possible.

Lots of franchisors are pivoting to suit the climate. Here are just some of the actions being taken across the franchise community.

HOME SERVICES

FITNESS

HIRE A HUBBY: DIVERSIFICATION CEO Brendan Green shared on LinkedIn: We are fortunate that our franchisees are able to continue to trade. We’ve introduced a new product we call a Virus Protection/Sneeze Screen. It’s to be installed into retail shops creating a barrier between customers and the staff member serving. This is helping our guys through a bit of diversification, and the retailer has a safer environment for all concerned.

FINANCIAL SERVICES BOOKWIZ: FROZEN FEES

Martine Hoosen, founder and franchisor, says “We have frozen franchise fees for our Bookwiz franchisees to help them through this time. We can still operate however many of our groups clients are struggling or shut down...we need to help our franchisees as much as possible...it's about survival not profit right now!”

LISTEN TO YOUR BODY: FEE FREEZE AND TECH INVESTMENT Ben Fletcher, CEO, says “We froze franchise fees immediately and avoided taking the fees from the previous week’s trading to give our franchise partners more dollars in the bank. We worked around the clock (almost literally) to move our business to virtual training and online fitness coaching.

“We have been lobbying very hard to work with the key player in our survival who are landlords. We currently have six out of 13 with a full rent freeze. Still more to go!

“Daily updates posted on all levels of support with budgets, suppliers, the government, lawyers, accountants and any aspect that will ensure we have the best chance of coming through. We have posted multiple videos on our intranet to support alignment and the strategy and communication.

“We have invested and will be investing further in new technology to help us train clients remotely and build our online community. It has been tough when we go from training thousands of members per week to 0 in 12 hours, but our guys moved fast, pinned the ears back and have kept a positive mind growing a new business stream.”

FOOD RETAIL BURRITO BAR: FRANCHISEE SALES AND PROFITS Shaun Butcher, general manager, says Burrito Bar has taken a very aggressive stance to preserve franchisee sales and profitability at all costs.

“We obviously had to transition quickly from a predominantly dine-in operation to an exclusively take-away and delivery operation. Then in conjunction with our new strategy and an exceptional group of franchise partners and support team, we have substantially upped the promotional and marketing activity and begun working one-on-one with our franchise partners to address their local needs, control costs and ensure they are in the best possible position now and once the current situation passes.”

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LEADERSHIP

CHILDREN'S SERVICES

HEALTH AND WELLBEING BACK IN MOTION: VIDEO CONSULTATIONS The physiotherapy chain has launched a Telehealth service, giving clients access to services via video chat from home.

The chain of more than 130 physiotherapists across Australia and New Zealand is also discounting its standard fees for Telehealth appointments.

Founder and CEO Jason Smith says while the timing is a response to the impact of COVID-19,the business had already noticed growing demand for video consultation services.

The option is particularly beneficial for patients in rural and remote areas, or who have difficulty accessing on-site services because of age or disability.

FOOD RETAIL MILKY LANE: RECREATING BUSINESS MODEL Christian Avant, the newbie burger chain is looking closely at costs as part of a general realignment of the business.

“Every single cent and per cent matters right now so we are tightening things up, looking at our costings and seeing where we can improve gross profit on the products we sell.

“We have an unknown period of time where our stores are operating on delivery and takeaway only, the Government have subsidised our head office staff and we have a huge opportunity to work on our business model without the usual overheads.”

The team is using the time to work on what is being called MILKY LANE 2.0 .

“We are well aware of our flaws and the things we need to improve on. This isn't "time off" or a break for us, it's the opportunity we needed to become the company we always wanted to be.

“We are already speaking with leasing agents for new locations with intent to open a lot of new stores when this all dies down and things return to normal.”

LEISURE & ENTERTAINMENT PINOT & PICASSO: VIRTUAL ART CLASSES Art class franchise Pinot & Picasso has gone online to boost franchisee revenue. The studio-based art classes can now be delivered online as part of a virtual team building initiative.

Director James Crowe says each virtual session replicates the in-studio step-by-step process and interaction with the host. All art materials are provided in the per head cost.

Long term Crowe plans to look at how to reset the business to include this alongside the main studio business.

SPORT STAR ACADEMY: INTERACTIVE ONLINE CLASSES This kids brand has taken its sport program online both for Soccer Time Kids and Football Star academy. Marketing director Kelly Nikolapoulos says “We are ensuring the same level of professionalism, quality coaching and fun families would experience in a normal face to face session, just online.

“We are taking the lead here and supporting our franchisees during this time as they are not able to facilitate the sport programs at a local level.”

Live interactive classes are held three times daily and recorded for on-demand viewing.

The online business also allows SSA to move into new regional and remote areas where a physical business would not be viable.

FOOD RETAIL THE SPORTING GLOBE BAR & GRILL: BUSINESS CONTINUITY Director James Sinclair has led the pub and restaurant business to improvise, adapt and overcome. On 30 April The Sporting Globe launched its own delivery service through its existing app.

The business has focused on its existing client base with a takeaway strategy to ensure business continuity. “Takeaway is not a core product in sports bars but can be an ancillary offer if we do it at a high quality and offer a point of difference in the market,” Sinclair says.

Employing a 15 point plan during shutdown has given the business clear objectives and a focus. “We have a very optimistic, culture, we’re very determined, we never give in. We were ready to roll the sleeves up and give it a go.”

The business also operates TGI Fridays and in some locations has merged The Sporting Globe and TGI Fridays kitchens to reduce costs and improve efficiencies.

“Two other things are very important: it’s of the utmost importance to have a voice and be productive with industry bodies and government, to help ensure we are working on the factors impacting our industries.”

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LEADERSHIP

NAILING IT Armed with IT skills and a passion to succeed, these franchisees are keeping us connected in our daily lives.

By Sarah Stowe

C

omputer Troubleshooters makes the business of data and communication a smooth affair for its clients, as these franchisees can attest.

If we ever needed an example of how vital our digital connections are, the coronavirus has given us one. As the global population hunkers down, our computers have become our link to the world.

For franchisees the ability to shape their future, automate processes and ensure Australian IT is operating effectively is how they operate their own successful businesses.

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WESTERN AUSTRALIA: JUNIOR SOLIANO

my time was dedicated to the franchise and you know you have to make it work.”

Junior Soliano has nailed the work–life balance. As the Computer Troubleshooter franchisee for East Perth, this father of two has got his working day down pat. And it’s a long way from the demands – and risks – of the corporate world.

Not only was Junior’s role as IT head for an oil and gas firm in Perth made redundant, he then faced redundancy eight months later as a project manager.

Today he is a roaring success, but the truth is he is an accidental franchisee.

Junior started investigating different IT brands when he saw pop-ups on job sites promoting franchising. He liked the Computer Troubleshooters name and business client base.

Not having a job when he started up as a franchisee proved to be a good move, he says.

“It worked out really well, I had to hit the deck running. It was the best way, there was no safety net, 100 per cent of

SOUTH AUSTRALIA: JOHN AND JENNY WICKHAM When John and Jenny Wickham set up shop in late 2008 as new franchisees in Adelaide, they brought with them years of IT and graphic design experience, both in the UK and the local South Australian market.

Although there had been a Computer Troubleshooters franchise years ago, the business had died out and the Wickhams were building a customer base from scratch.

“What attracted us to the franchise was that we can be part of a group of like-minded IT professionals, we have group buying power and get discounts. At any time you call up another franchisee locally and interstate for support,” says Jenny Wickham.

“We like the flexibility of this franchise in that we can create our own marketing material, we are not restricted to run our business in a certain way, but always have the support of the master franchisor if we need him.”

The couple are parents of an 11-year-old daughter and love the flexibility of being their own bosses.

“We like working as a husband and wife

WHAT ARE THE BENEFITS OF THE FRANCHISE? Junior is very clear. A low-level fixed monthly franchise fee allows franchisees to benefit from their business growth.

However, the big winner in his eyes is the access to another 60 franchisees when he needs advice or help.

“The advice is direct from someone who is not really a competitor, so they are very free in their information. If you had a consultant to solve these problems it would cost thousands of dollars.

“To me, the best thing is you can have back-up, go on holiday.”

FREEDOM IN RUNNING THE BUSINESS “I love the fact there is no restriction in how you run business. There are preferred suppliers, I don’t have to do the deals and costs are quite low. I don’t have to set up an office, there is no retail fit-out.

“But the best thing is I work from

team – while we could employ staff, we don’t want to expand our business at this stage while our daughter is a young age; we want to keep the workload to the amount we currently have.

“It suits our lifestyle and one of the reasons we emigrated in the first place – we used to work long hours and travelled for work in the UK, and now we can control our hours and our commute to work is literally walking across the house to our workshop.”

Not content with having one business under their belt, Jenny also runs a graphic and website design business. The complementary businesses mean clients are referred between them.

“I look after the admin side of the computer business while generating an income with my own clients. John is most definitely the technician and he concentrates on this without having to worry about invoicing, paying bills, chasing clients, booking in jobs, answering the phone.”

Jenny’s skills proved invaluable for marketing the brand when the couple were starting out. Over time she has deployed her talents helping out other franchisees in

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home. I have a six-month-old and a threeyear-old, and I got to hear their first words and see them take their first steps. That’s priceless.”

Junior has built up his business to operate remotely, with minimal site visits. After working as a consultant for the franchisor for a while he started to look for external support. Now he runs his business with a team of outsourced contractors providing back-up for admin and back-end technical support.

Clients pay a subscription fee per computer for unlimited standard support.

Junior followed advice, upped his hourly rate and ditched the ad hoc clients to focus on prevention and maintenance, with occasional computer installation.

“I’ve had no new clients for two years – I don’t need them. I don’t have any contracts, either of us can give 30 days notice, it’s all done on a handshake.

“All my clients have been with me nearly six years and I treat them like gold.

My business goal is to be bigger so when they grow, I grow.”

the network with design projects, extending her reach to assisting UK and New Zealand colleagues.

“I also built a new website for us to use.

The master franchisor liked it and I developed it for the other franchisees.”

The Wickhams have been operating for 11 years now and continue to set fresh targets to develop the business. The couple is focused on building a bigger business client base, and on selling more recurring revenue products like protection plan and website hosting.

LEADERSHIP

QUEENSLAND: ROGER KLAAS

VICTORIA: PAUL GOTTLIEBSEN As soon as he can, Paul Gottliebsen will be off to the Kimberley for a few weeks with family in a campervan and he’ll be taking his work with him.

“It’s a great lifestyle business, I don’t need to be in one spot.

We travel six to eight weeks a year in Australia,” he says.

Today’s technology allows for automated processes, so with a remote monitoring management tool Paul and other franchisees in the Computer Troubleshooters network can operate their business from wherever they like.

“We spent many years working in corporate IT, and I took a redundancy package. I always wanted to get into my own business.”

Working in the familiar IT world appealed to Paul; what was less appealing was the challenge of having to step out of his comfort zone to run the business. So he welcomed the opportunity to gain some expert advice from the franchisor team in areas he was unfamiliar with.

“Marketing was probably the hardest thing to learn but I got plenty of ideas through training,” he says.

Paul’s success comes from his subscriptions approach, which generates about 70 per cent of his income. Over the last 13 years he has built a client base around a services focus with monthly subscriptions for managed services. A subscription is based on the number of computers in a business.

“We use a remote monitoring management tool. We automate the processes and I deal with any issues. It keeps things simple.

“There are a variety of tasks – morning is security and back-up checks, overnight issues, outsourced operations centre for critical issues, support and IT enquiries. I’m working on a small project basis – replacing computers, email migration.

“Things are changing all the time, and so is technology.”

How did a chef by trade find himself in the west of Toowoomba, fixing computers?

“I was a chef for 30 years, now I do one night a week, I love cooking. I had a medical condition [so I had to get] off my feet. I went back to uni and did a few courses, qualified to be able to franchise.”

Roger Klaas studied personal management and marketing, with an elective in computing.

“I was fascinated by it. I continued it, to fix my own and friends’ computers. When I took mine for repair it was going to cost $200 to fix. I fixed it for 20 cents. I thought there might be money in it.

“I researched computing options – very restrictive.

I’ve owned restaurants and businesses in the past. I came across Computer Troubleshooters and I found the franchise model allowed me to do what I wanted, to be autonomous.

The key thing to balance that autonomy was that Roger had support of both the franchisor’s expert head office team and fellow franchisees in the network – for a minimal fee.

“In franchising, everyone is a colleague,” he says.

One of the crucial aspects to his success has been accessibility.

“Coming from a hospitality background, we talk human talk, not computer language. We don’t bamboozle with words you don’t understand, we speak in plain English.

“I endeavour to ensure that people are being looked after. We focus on customer relations. I wasn’t born a technician, I treat people as equals. The way to please customers is to listen to their needs and give them what they want, guide them through the process, and how to get better.”

Roger has a team of six, and he is continuing to expand.

“Because we don’t lose many customers, we keep adding them. Going into telephony and VoIP is a growing area. Telcos are getting into managed services, and we are competing with them on that level.

“We cater for everyone. Home users, businesses, trainees, computer first aid, full-time accounts.”

Roger and his team work from a shop based at his home, with a street frontage on the highway for exposure and branding.

“We get some ad hoc business but it’s not our main income source. We service existing clients first, then new clients.

“There are two franchises in Toowoomba, we’re the west. My territory reaches out 25 minutes, I’ve even got clients overseas. That’s not bad for a chef!”

MAY/JULY 2020 | 34 | WWW.FRANCHISEBUSINESS.COM.AU

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LEADERSHIP

KEEP ON TRUCKING Strong systems and great lead generation led ex-serviceman James Bailey to become the Western Australian master franchisor for The Handy Truck.

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TELL ME A LITTLE ABOUT YOUR JOURNEY WITH THE HANDY TRUCK. HOW LONG HAVE YOU BEEN WITH THE BRAND? I was in the navy for 15 years prior and at the time, I felt like it was time to move on. I was looking at different franchises, across all systems and categories, from kids swim schools to home handyman, but I settled on The Handy Truck. I became the master franchise owner in September last year, taking control of our four existing franchises in WA. I broke even within the first eight months and I was absolutely stoked with that. It’s an easy system, with very low overheads. Fuel and an offsider, if you choose to have one, will be the biggest expenses.

WHAT DREW YOU TO THE BUSINESS? It was the systems processes that really got me interested. The lead-generation process that provides jobs to franchisees was a big boost at the time and it’s come a long way since then. As a franchisee, it was something that helped me a lot, and now as a master franchise owner, I can see the value from both sides.

Initially, when a job would come in we just had a text message system that went to the franchisee that explained what the job was and had some extra details.

But since I’ve come on as the master franchise owner we’ve added online capabilities as well. Franchisees still receive the text, but the online system has a lot more detail, all the information is there and it’s easier to use.

WHAT SETS THE HANDY TRUCK APART FROM OTHER PICK-UP, DELIVERY AND REMOVAL BUSINESSES? It’s the ability to work with the customer rather than just for them. We provide the opportunity to operate as a one-man truck, as opposed to a two-worker situation. We can obviously provide that if the client wants, but our model is designed for smaller moves. It’s also a benefit for the customer, particularly younger people between the ages of 18 and 25 who can’t hire a truck but are willing to do the lifting.

Our franchisees are moving things all day every day, whereas the customer is only moving their house. By working together, we can get the job done quickly and look after our bodies better.

DO FRANCHISEES PURCHASE THEIR OWN VEHICLE? At the moment, franchisees purchase their own vehicles, that’s why we provide that variety; it’s totally up to the franchisee which jobs they take. Some guys don’t want to do full house moves. Our model is there so that when the work comes in, franchisees can accept or decline, in which case it will be passed to the appropriate partner.

WHAT KIND OF FRANCHISEES ARE YOU LOOKING FOR? We’re looking for people who are keen to get out and do their own thing. Being an ex-navy person myself, I’ve found that this kind of business is perfect for those with a military background. People who have been in the military know how to follow systems, they’ve got that drive to do something already and they are generally self-starters. That’s where I’ve seen the value in buying a franchise, rather than going out on my own.

We’ve got plenty of work; most of our franchisees can’t keep up. I’m knocking back jobs at the moment because I’m getting my truck serviced or I just need a day off. I drop my kids off three days a week, but I might work until 6 or 7 pm. Franchisees book their own jobs and that will allow them the flexibility to schedule things if they have family or medical commitments.

WHAT DO YOU HAVE PLANNED FOR WA? My main target is to become more recognised in WA. We have a big presence online, but a lot of our customers tell us they’ve never heard of something like this. To be honest, before I came on-board, I hadn’t either. Now that I know, I would never move myself again.

HOW MUCH DOES THE OPPORTUNITY COST? The franchise in WA at the moment is worth $30,000, however we’ve dropped that to $20,000 to build some extra interest. It’s a limited time offer and that will go up, but we really want to ramp things up. The big focus for this year is getting more recognition, but in the future, we’re looking at bringing on different models, whether it be cold trucks or cranes. n

MAY/JULY 2020 | 37 | WWW.FRANCHISEBUSINESS.COM.AU

LEADERSHIP

WATER WORKS

Pristine Water Systems franchisee Steve McDougall has pushed his business from $100,000 to $500,000 turnover in less than two years.

H

ow has this former construction and pool industry individual turned a stagnant, 15 year-old business into a flowing, profitable operation?

“From the first month I made some changes.

I had a marketing background and I love being on the computer, doing social media marketing,” explains Steve.

The first significant change he made was to digitise all the processes and to enrich the customer database. He even created an app for tracking jobs.

“Everything I do with my customers is digital. That’s really important – it’s always mentioned in our reviews from customers, that we have fantastic communications, staff are really knowledgeable, there’s confirmation of the job, and follow up.

“What’s built the business is the communications with customers,” he says.

Steve extends this with a personal approach. Instead of quoting for work over the phone he offers a free inspection service.

To gain new customers he will take tank water samples and offer advice on how to maintain the equipment and fix problems.

“We’ve broken records every month.

When I took over it was a $100,000 turnover. We took more than $500,000 last year.

Profits have increased, I’ve taken on two more staff, and we’ve completed a lot more jobs.”

Future growth plans are based on expanding staff roles so they take on more sales activity and start to add their own offsider. The structure of the territory-based business allows Steve to create different areas within his territory, and to reach into further-afield regions if there is the team and system to support it.

“It’s a fairly easy business with systems in place, with the right staff who are well trained. It’s motivating to have staff. I want to keep them employed so I’m always bringing the work in because it’s not just me, it’s about their families as well.”

Steve McDougall

Pristine Water Systems The business is about to celebrate the launch of its 20th franchisee into the network, with plans for another 20 territories to be signed over the next two to three years. It has 64 designated regions around Australia, each territory based on the number of properties with rainwater tanks. There are 20 franchisees in the network and another 20 targeted by 2023.

WHAT’S THE WORK?

This 17-year-old mobile business delivers water tank cleaning and filtration services. Tanks need sanitising every two to three years, depending on the environment – a rainforest location is likely to require an annual clean. Birds, animals, mixed water and ash are just some of the elements that can dirty the contents of a rainwater tank.

A secondary service, water filtration, allows franchisees to upsell to existing clients and provide a more frequent service.

WHY BUY A FRANCHISE? • • • • •

Volume business means good supplier prices Bulk ordering is reducing freight costs Water cleaning is labour intensive but only a 5 per cent cost Filtration has higher operating costs but more frequent servicing opportunities Business is growing: some operators are employing staff and operating secondary vehicles

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While sanitising a rainwater tank is like cleaning a pool, filtration does require some gear. Franchisees need to be able to turn a spanner and a screwdriver, says franchise development manager Matthew Brown.

“Our goal is for franchisees to be successful. We provide all technical support.

We train franchisees, we don’t expect them to be expert in water technology,” he says.

Your are the owner, not the Tutor 1-to-1 tutoring in the family home All ages and subjects National curriculum support Exam preparation Virtual tutoring also available

LEADERSHIP

MAKING A SPLASH Three Poolwerx stores, seven awards … life is good for ex-IT executive Peter Vogel.

P

eter Vogel can point to something of a resurgence in family pools as today’s parents aim to recreate their childhood summers spent splashing in the backyard.

“What we find now is the pool is becoming an extension of the lounge room. It’s no longer about a rumpus room, it’s more the pool in the backyard.”

Even in Australia's colder climes, such as in Melbourne, pools are a welcome addition to the house and garden and can add to property values. But for many in warmer places like Queensland, they’re an essential part of life.

“In our industry, it will always be a relevant but important part of the house so people will spend money on it.”

Peter operates in three Brisbane suburbs: Kenmore, Chapel Hill and Indooroopilly.

“The popular perception that retail is dying – it’s not true at all. The retail store is doing quite well in our industry because people come to us for advice, not necessarily to buy, but it results in a purchase. Our customers have a very different driver and motivation “As retailers, we need to understand the interaction rather than the transaction.

It’s the knowledge and experience that is more important than just dispensing good customer service.

“If you think about it, there is already something wrong, something has happened to their pool, when they come in. It’s about being delicate when dispensing advice. And hopefully that results in a transaction.”

The specific hub and spoke business model employed by Poolwerx gives retailers the opportunity to also operate a mobile pool care service. Each of Peter’s three stores has a different ratio of business: an even split at Kenmore; at Indooroopilly it’s about 65/35 service/retail; while the income at Chapel Hill is almost entirely sourced from retail.

It all depends on the local demographics, as Peter explains.

“Chapel Hill has a very strong DIY population of older folks. Their attitude is ‘I don’t need help until I need help’.

“Somewhere with high-end demographics like Indooropilly, people are time-short and they want to come home to enjoy the pool.

“Kenmore is a high traffic retail area, the last suburb with a large commercial base between Brisbane and Ipswich. There are 30 kilometres of small suburbs without big commercial hubs. Shoppers buy big because they are not local.”

HOW PETER BUILT HIS BUSINESS “I bought an existing store with a good solid customer base. It was relatively fresh but the owners didn’t put much effort into it. We put a rocket into it to drive business.”

Peter came to the Poolwerx network with a high-powered background in IT senior management in the Asia-Pacific.

“My wife and I reached a point when we came back from Asia, we wanted to work together, to do something we both understand, that we could comfortably work in and take time off too.

“That’s still a wish,” he laughs.

The couple set strict search criteria: it had to be a clean environment and a product that helped people.

“We used to own pools and I saw it become a more important decision to have a clean pool. I looked at the independents and realised they were overcapitalised and banks were not prepared to loan.”

As he researched the market Peter saw independent pool shops had no economies of scale, no growth, and nowhere to go.

What the pair saw in Poolwerx convinced them there was a good alignment with their requirements.

But it wasn’t as easy as they’d hoped to get set up. Their first choice was to live and work on the Gold Coast but there was nothing available.

Poolwerx came up with alternatives, offering a different location with an existing business. The message was “you need to be in the business, they need what you have, we need what you have. That will be a really good union,” says Peter.

The numbers stacked up, there was

good support and Peter liked the way Poolwerx matched the business skills with their business.

“They could have offered anything that fitted my budget but they sensed a real opportunity, that’s what I like.

“I’m part of the advisory committee, I get to meet new franchise partners and discover what they can bring other than a chequebook. How do they grow? How do they add value to me if they buy a store next door? Do I get customers who are happy?

“My wife and I bought large geographic territories, split into three. They were severely underdeveloped for business.”

The region had high pool ownership and an equivalent need for retail and service and renovations of old pools.

They doubled the business then hit the wall.

“We inherited a very large footprint in the western corridor of Brisbane. So I knew we needed to invest and grow, and I also had a contractual obligation to develop the area.

“I knew I had to do it while the iron was hot, otherwise inertia sets in. The next store at Chapel Hill is in a small commercial area. I approached a local business there and someone was moving on so sub-division created an opportunity for us.”

From there the Kenmore business was destined to be theirs. Peter recently stepped in to take over from a dedicated business owner who had run the store for more than 30 years and was running out of steam. The business was slowly reversing its fortunes.

“He was in love with the business – it had been his life. Selling it to us had little to do with money: he was asking, will you take over my staff, will you look after customers, will you preserve what we have built?

“We could show we would do that, and do more. Then his eyes lit up. ‘This is what I wanted to do,’ he said.”

There will now be a complete renovation of the store, which was acquired in October 2019. And Peter is already ahead of the financial plan.

“Typically the business we bought is in

MAY/JULY 2020 | 40 | WWW.FRANCHISEBUSINESS.COM.AU

PRIZE WINNERS' AWARDS

ACQUISITION TIMELINE

Indooroopilly: Dec 2017 Chapel Hill: Dec 2018 Kenmore: Oct–Dec 2019

2 x innovation entrepreneurial excellence Rising star New retail salesperson Retail store of year Retail sales, 2019 Outstanding team contribution (pairing with new franchise partners at beginning) “We’re hoping for highest turnover this year. That would be a pretty significant win.”

TIPS FOR FRANCHISE BUYERS GET TO KNOW PETER AND EVELYN VOGEL Peter and his wife Evelyn joined the Poolwerx brand in 2017 and have been quick to capitalise on the strong franchise network, purchasing their second store in Indooroopilly later that same year and opening their retail store in Chapel Hill in December 2018.

In 2019, Peter and Evelyn were named Brisbane/North Central Queensland Franchise Partner of the Year at the annual Poolwerx Convention.

the $800 to $1 million turnover bracket.

That’s the Poolwerx expectation for a retail store. Now we have three stores and very good profitability.

“We’ve increased, not because we’ve been leaner or more aggressive, though that is part of it. But what drives profitability is taking a holistic approach to customers’ backyard installation.

“We’re not just servicing chemicals, we’re adding to existing equipment, rejuvenating systems or the pool surface itself.

We’ve shown an appetite and expertise to go beyond the pool servicing model.”

It’s a long way from the cabana boy doing a quick in-and-out service.

“In our case, we wrap our arms around every aspect of the swimming pool. As a result, we grew the business threefold.

“If you can do that, and preserve your infrastructure, and pay attention to rent instore, and work with landlords on reasonable rents, then you have a profitable business.

“With landlords you have to be proactive, you need to tell them the way it is. You need to research, speak to other shopping centre owners. We would have walked away from a poor deal.

“Landlords are dealing with a major brand with an excellent reputation and in an aggressive growth phase, not clothing or food, which is contracting. It’s the variety in retail mix that brings a different kind of customer to the centre and they saw that clearly. It enriches the retail mix but it cannot be treated like any other business.

“We are far more weather and climate cyclical driven. So it’s about sharing the

information with them, what it takes to be successful in our industry. If it works for the landlord year in year out, of course they come along with it.”

This is the beauty of a Poolwerx franchise, Peter says. It’s a business that appeals to landlords and banks alike.

Peter has a few loans but is predominantly self-funded, and he has the financial capacity to grow both instore numbers and product mix.

“Pool building is in a growth phase,” he says, predicting that Poolwerx will be plunging into the ready-made pools and backyard spas business for his Brisbane stores.

“My vision is a retail store in a themed manner, modern glass or tropical. The Americans are really good, they come to a store for an experience, not just to buy.”

So what’s left for Peter? Retirement is definitely not on the cards, he says.

“We’ll have another five years at least, there’s so much I want to do.”

He hopes to have a business operated by retail-educated managers, using the processes and transparencies Peter and his wife have fostered.

The key is to put the right processes, product, pricing and people in place, he says. Then the week’s workload will look quite different.

“We’ll be here just two or three days.

I would like to step out into quoting and assessing for pool renovations, new pools.

“When you spend $20,000 most people want to speak with decision-makers in the business.” n

MAY/JULY 2020 | 41 | WWW.FRANCHISEBUSINESS.COM.AU

Research your franchisor. Understand who your future partner is going to be.

What are their expectations of you? They are the old tanker – it’s long and arduous for them to move.

Ask yourself: is this something I want, can be part of? Or is this going to grate very quickly?

You really need to spend time instore, researching, meeting franchisees on their own ground.

Ask the franchisor: what are you going to do for me that will help me become successful, to upskill? How will you help me when I hit a rough patch, who will you send, who will hold my hand?

THE POOL CLIMATE

Weather is a crucial player in this business, whether there is drought, or rain, as franchisee Peter Vogel knows only too well.

“If it’s really really dry, evaporation is the biggest issue; it upsets the water’s chemical balance. Because evaporation is so rapid, the pump runs dry and overheats. When it rains, the equipment runs more. A green pool messes up the chemical mix.”

Peter wants his clients to adopt the pool like a family member.

“It’s not something to visit when you feel like it, because you’ll pay the price.

It’s breathing and living. It needs the right food and treatment.”

CHALLENGES IN THE POOL BUSINESS

A pool retailer needs great customer service to be successful. However, at Poolwerx there’s an extra demand on staff and mobile technicians: technical knowledge.

Technicians need to pass police checks as they are visiting homes. They also need to be able to deliver white-collar expectations on blue-collar pay, says Peter.

“They need to be technically capable but able to hold an advisory conversation with a customer. They have to package the technical failure in a system in a way that inspires the customer to order a replacement, rather than want to go elsewhere.

“We don’t sell: we help customers make the right buying decision.”

LEADERSHIP

ACCOUNTING FOR

BUSINESS First Class Accounts has survived and thrived for an impressive 20 years. So where to now for this national franchise chain?

By Sarah Stowe MAY/JULY 2020 | 42 | WWW.FRANCHISEBUSINESS.COM.AU

Accountancy adapts

G

eneral manager Debbie Stanton shares how the business has dealt with change over its two decades of trading, and where to now.

Franchisees are everything to the team at First Class Accounts. Debbie Stanton has been a franchise support team member so she knows exactly what it takes to deliver for franchisees. And as general manager she’s keen to ensure all the changes undergone by this 20-yearold business bear fruit in the best way – by giving franchisees a future.

“I tell my team franchisees are the only reason we are here, franchisees are our job. We have to give them everything we can.

“If franchisees are not successful, we’re not successful. If they are profitable and they get everything they need, recruitment is easy.

“Our role is to ensure harmony in the network.”

Stanton has seen how detrimental it can be when a business takes its focus away from the franchisees. First Class Accounts has had two previous owners in its two-decade history.

“We’ve had the owners who started the business, who sold to a company from New Zealand which then aligned the business with another product.

“When the original owners sold, there was a lot of division among franchisees;

they were concerned about what was going on. As it was a family business they felt a little let down.”

The business was then purchased by a group of stakeholders who’d been in business since 2011.

Stanton moved up from her franchise support role to take on the general manager position.

Admitting the changes have rocked the boat in the past, she points out now the set-up is reliant on a team with brand longevity.

“The culture of the national office is very strong. Everybody gets a little bit nervous but we’ve treated the office as a business in itself. And franchisees never missed a beat.

“The previous owners lost direction a little … but we rescued the franchisees, we’re here and listening.”

The new management team focused on transparency and won back that trust.

“You have a sense of obligation to their future. They’ve entrusted you with everything to be successful. You take a lot of that on board.”

Inevitably, new management meant a new way of working, and embracing change. The pace of change proved too much for some franchisees, who left the business. However, Stanton insists those who did leave are still great advocates for the brand and joined in recent 20-year celebrations for the accounting network.

MAY/JULY 2020 | 43 | WWW.FRANCHISEBUSINESS.COM.AU

“In bookkeeping everything was desktop based, we were all were hands on, it was possible for the team to know all the software. It was a lot easier to manage. But the dynamics of the industry and automation meant more upskilling and getting the right franchisees on board, knowing where the industry is going, and knowing we’re providing the best support and training for franchisees.”

LOOKING AHEAD TO CHALLENGES The franchise has looked beyond traditional bookkeeping services to help franchisees stay competitive in a crowded accounting marketplace. First Class Accounts franchisees are now able to offer business consulting.

Upskilled franchisees will always have more opportunities to be an asset in a business.

The pace of technological change has ensured First Class Accounts is cloud-based and automated, and that puts the brand in a strong position to provide relevant support for clients who are themselves battling with constantly changing rules and requirements.

From bookkeeping through to cash flow management, massive changes in payroll, HR issues related to certain industries … all these can be handled by

LEADERSHIP

First Class Accounts GM Debbie Stanton and Clive Barrett, executive chairman

Rules and regulations

franchisees, easing up the pressure on their clients.

Of course, when sudden and unexpected changes such as the coronavirus crisis impact the business community, the ability for franchisees to respond swiftly and guide clients through constantly changing situations is invaluable.

Franchisees were once predominantly mums with previous bookkeeping experience; today a typical First Class franchisee can be a bookkeeper but they are increasingly certified practising accountants.

“We train best practice in bookkeeping but we get bookkeepers who want to join the brand for the support and the up-to-date information. CPAs come in too, and they are a bit more advanced with debtors and creditors.”

The key to success is for franchisees to focus on the clients rather than on themselves and their business.

“Software partners are getting more advanced, all going into other spaces, they talk about being tech partners, they are changing. So our bookkeepers keep up to date so they can tell what’s right for their client. There is always something that can improve efficiencies.

“We align ourselves with the leaders in these industries. We can get our franchisees involved in beta testing of products. That

Bookkeeping is extremely regulated with the tax practitioners board.

Regulation started early 2000s.

“We’ve grown with it, had to introduce into training regulations.

There’s a minimum requirement that bookkeepers have to be a registered BAS agent.

“But those who aren’t in that space, work under our control and supervision. So we have to ensure regulations - always reviewing how we provide services and training.”

Training

First Class Accounts offers nearly 10 weeks of training including through correspondence, three weeks of office training and induction training.

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encourages business owners to think ‘First Class Accounts franchisees are experienced so let’s use them’.”

Franchisees can start, and remain, single operators, or build up to an officebased business with employees, turning over about $3 million.

They are backed by the support of an experienced national team with the brand’s major partners delivering relevant system training.

First Class Accounts also helps franchisees with office set-up While franchisees are encouraged to build their business slowly to ensure everything is in place before they take on employees, increasingly the network is seeing more franchisees hiring staff, perhaps just to manage the BAS. Franchisees can also outsource work to other franchisees in the network.

ATTRACTING FRANCHISEES First Class Accounts takes on about 20 to 25 new franchisees a year, a cautious number that Stanton believes keeps the momentum of the brand without overloading the marketplace.

Training and support is crucial.

“We just want to have great bookkeepers, great branding. Every franchise relies on sales to help business growth, we want to put all our energies into keeping franchisees profitable, keep retention going.”

Stanton points to an “extremely good retention rate” with three five-year terms on offer. She believes franchisees stay longer in the business because fees are reduced over time.

“Because the draw on head office is in the early years, service fees are reduced.

It's user pays and we just have an admin fee on renewal.”

So could you be the next First Class Accounts franchisee?

Stanton is looking for a potential franchisee to have a passion to run their own business, and a desire to help others. It’s helpful to understand the qualifications of business from working in a bank, for instance.

“The team here is really dedicated to see franchisees succeed. We’ve all stayed because we have the same ethos. They are our focus.

“Hand on heart, we want franchisees to be successful. If they can get end results, everyone is happy.” n

MAY/JULY 2020 | 45 | WWW.FRANCHISEBUSINESS.COM.AU

LEADERSHIP

BROTHERS

IN BARS

Sports-loving brothers Brad and Mark Vigus ditched banking for business ownership.

The F45 franchisees have now added The Sporting Globe to their mini empire.

By Sarah Stowe

T

he Vigus brothers have captained and coached for the Robina FC (AFL) and are well known in their community. Both brothers are also very passionate about sports, closely following the NFA, NBA and AFL. So it makes sense to see them heading up the local The Sporting Globe.

It all began with two F45 gyms on the Gold Coast that Brad and Mark opened up four years ago. Another brother, Dean, joined the business to open a second outlet but has since returned to the US. Mark takes up the story … “Brad and I were in banking. Brad had seen a new training workout and thought we should try it out. I went and tried it and signed up straight away.

“Then my business mind was going round in circles, seeing how busy it was and what customers were paying.”

The brothers leaped at the chance to open an F45 outlet fairly early on in the brand’s growth. They opened the fourth on the Gold Coast; there are now 15.

“F45 is territory based. We chose territories that had huge areas so the next area across wouldn’t affect us.

“I had always wanted to do something, to be my own boss. I had tried a few small initiatives, learning along the way. F45 made sense; Brad had PT certifications, I had my knowledge of business and how it works.”

While Brad quit his job, Mark continued his banking career, and the pair lived off the bare minimum for nine months while they built the business.

Lessons they learned through the first

months of operating this initial franchise were not repeated when Brad and Mark opened their second outlet.

It opened in profit, and they were making good money from day one, Mark says.

THE SPORTING GLOBE Owning two franchises was almost a dress rehearsal for the massive shift required when the pair pivoted to a whole new sphere of business.

“When we locked in with The Sporting Globe we put into place an action plan under management. We had started the transition to pull out of the business over six months.”

The brothers report a slight dip in membership numbers as they stepped out

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At SIGNWAVE we are not in the business of franchising, we are in the business of small business ownership success.

There’s a bright future in signage!

We work every day to help our owners realise the promise that being part of a franchise system offers to achieve the vision of both lifestyle and financial returns. And with clients crying out for a professional, knowledgeable and reliable supply partner the potential is unlimited.

The benefits of a SIGNWAVE franchise are many: • • • • • •

The resources of a 700+ location strong international brand FASTSIGN/SIGNWAVE Leverage to grow, with a best practise, IT driven system The returns you want with a highly profitable business model Experienced training, support and sales coaching, making you an expert from Day 1 Lead generation from our sophisticated marketing program In demand services within the $5.8bn print industry in Australia

But what really sets us apart is our vision and philosophy.

We are growing a boutique network of highly successful centre owners in Australia who see themselves running a substantial business to fully realise the potential of business ownership with both financial and lifestyle returns.

If you can lead a team, implement a system and drive sales, you should talk to us now about the opportunities to join our network.

Learn more at www.signwave.com.au/franchise-opportunities

LEADERSHIP

of the day-to-day running of the gym business, which has now stabilised at a healthy 250 memberships.

So how did Brad and Mark find themselves with a whole new business?

“It started over 12 months ago. We were down watching the Australian Open and went with friends to The Sporting Globe. I was blown away with the concept and fitout, how it worked.

We have spent a lot of time in the US on holiday and they do it really well. We love sports bars.

“I overheard someone talking about it as a franchise. So I went online and enquired.

“David Sinclair, the franchising development manager, called me the next day.

He was very easy to talk to, very informative and comforting about the process.

Most of all he was honest.

“He was feeling me out. I really liked that about the process. He got a feel for what we wanted to do.”

The brothers went through a lengthy due diligence process covering costs, return on investment, and meeting the management team. They were presented with the downsides of the business, told they would lose weekends, there would be long hours and no guarantees.

It didn’t deter them. However, Mark says although the two of them loved the concept and were passionate about sport, they were quite prepared to walk away if something had not seemed right.

“As much as we wanted it, it was a business decision.”

They opened their outlet at Robina on Friday 13 December, determined to turn the jinxed date into their lucky day. It set the pace, and a few months in they report being thrilled with customer responses.

Working with the franchisor to control staff costs and improve efficiencies, the brothers are seeing a strong future ahead. While the profit margin is very different from the low expense F45 model, the ability to collaborate with local sporting clubs and businesses gives The Sporting Globe a distinct advantage in hospitality.

“We see TSG has longevity, I don’t think it will be a trend or a fad.

Restaurants can’t change walls but the sports bar is different every day – the customer base to never get sick of it. Our plan is to grow to maybe another two outlets. Franchisor support would help us make that work.

“We’re exceeding all the numbers we’re budgeting.”

Doubling down and doubling up

“We both label ourselves as venue managers, we work on our rosters. Brad starts, I’ll close, and we cross over in the middle period. We were working 70+ hours, seven days a week.

“We’ve pulled it back to five days, 45 hours a week. But we’re working on the business in our spare time. We’re doing 60 to 70 hours but working a lot smarter.

Facing challenges

In a short time Mark and Brad went from being multi-unit gym owners to managing and training 40 new hospitality staff while having a venue packed with expectant customers.

“It was extremely challenging but we really got through it and staff stepped up.”

Mark is full of praise for the franchisor resources.

“We had the head office head chef for the first two weeks, they threw a lot of support behind us, even in the lead-up to opening. We were blown away by the support they gave us.

They set you up to succeed.”

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Facing off the coronavirus threat THE SPORTING GLOBE

“The Sporting Globe was just starting to get exciting with NRL season underway. Now every one of our businesses is shut. But everyone is in the same boat, so you have to stay positive.

“We continued with takeaway, and delivery with Uber Eats, we got Deliveroo up and running.

“The franchisor developed a loyalty app so now customers can jump on the app to get specials for pick up. We’ve got four tablets and a phone for orders, and they are busy all the time.

“The franchisor, the Signature Group, owns TGI Fridays, and we’ve combined the restaurants so they are both operating out of the same kitchen and we’ve got some of their staff.

“We needed a back end system for this and it’s not just us on our own, we couldn’t have done it without the franchisor behind us.”

F45 “F45 made the call quickly and we converted all memberships onto online membership. We’ve managed to hold on to staff, bring back casuals on the government grant. F45 released online workouts - it’s up to us how we engage our members - we’ve managed to keep 80 per cent, on a reduced fee.”

STAYING ENGAGED

“It's not about making money now, it’s about staying ahead, staying engaged. The better we do this the better we’ll get through to the other side.”

Site insight

“Robina was the highest priority and the Promenade was the perfect spot. We wanted Robina, not a tourist area, because the systems in place really worked in a community (sponsorship for sporting clubs, for instance), and it had a community that wanted to support local business.” n

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LEADERSHIP

BARK BUSTER Dogs with a bark worse than their bite, or vice versa, can be transformed into model pets with the Bark Busters system.

T

hirty years ago a simple idea producing powerful results changed the lives of one couple, and many more dog-loving families ever since.

Bark Busters has been a real family affair for Sylvia and Danny Wilson.

Now the couple are stepping back from managing the business, and the well-established firm, which has an international presence, gets new management.

So what’s all the fuss about?

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Leading the way

• 1 million+ dogs trained • Global lifetime guarantee • Gold package: will fix any doggy misdemeanours • It’s full time: at least five dog sessions a week • $790 for a three-hour session, including exclusively designed leads and collars • Up-front costs include branded vehicle on top of cost, uniforms, tablets for presentation, petrol • Tech fee about $600 a year; reduced from 13% to 11% franchise fee and 2% marketing • Five-year term

SYLVIA’S STORY “I was managing an animal shelter and I saw so many dogs surrendered for behavioural problems. My husband and I would work with these dogs after hours, free of charge.”

The experience persuaded Sylvia to train dogs professionally, and before long her builder husband Danny was in the mix too.

It all took off when Derryn Hinch aired a story about the couple fixing the problem of a barking dog. About 300 people enquired about training the next day.

Since then the brand has regularly popped up in the media as people share their dog tales.

“We do have a unique way of training dogs – we’re not trick trainers, we use canine communication. We communicate with dogs in a way they understand. We have a system that taps into the way dogs

communicate with each other.”

Sylvia says the technique ensures behaviour is under control in a short period of time.

“We were always in the media with our business. That’s why it grew so fast.

“Originally it was never meant to be a franchise; it was just Danny and me. We did it for five years but dog owners kept wanting us to share this and that fostered an idea. We franchised 30 years ago to protect the system.”

Bark Busters headed to New Zealand when a couple who had gone through the program bought a master franchise; they then took the business to the US in 2000.

“We’re the first dog training company in the world to do what we do, the largest of its kind in the US. “It grew from within. A Melbourne couple went to the UK and set up, and another couple moved the system to Japan, and a Canadian couple also fell

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in love with the concept and took it to Canada after five years.”

Today, the focus is on technology and social media as lead sourcing tools.

“We understand dogs are a basic creature, but technology is how you find your clients. We often use Skype to see what dogs are doing. Social media is where the new marketing opportunities are now.

“We really want to consolidate what we’ve got and look after today’s business model, and ensure our people are up to date, upgrade the system.”

Sylvia, Danny and their daughter Donna are the brains behind the training, marketing and entrepreneurship – Donna heads up all operations.

“Having a positive attitude counts for a lot. Just being an animal lover isn’t enough.

You have to love people as well, as you have to deal with them, and you have to have business acumen.”

LEADERSHIP

In the dog house

There will be plenty of sites available for incoming franchisees.

Some sites are established, with franchisees either retiring, or currently caretaking a territory from their own neighbouring location. Thirty-one franchisees are covering 40 territories and Vicki wants to fill the nine vacant sites. Add to this another 10 greenfield or brand new locations and the network is likely to hit 50 franchises in Australia.

Back in the day, Sylvia and Danny

VICKI AND SIMONE’S STORY Vicki Crawley-Prout is a seasoned franchisor. So when she and partner Simone were looking for a business it made sense to utilise her franchising talents.

The couple spotted a master licence opportunity and spent eight months conducting due diligence before signing up to lead the Australia and New Zealand operations for the 30-year-old Bark Busters chain.

“It had a great history and great credentials, but we could see it was in need of an upgrade. We could see huge potential,” says Vicki.

The starting point was introducing IT platforms, then undertaking a brand refresh.

“We’ve made some changes already, engaged a brand expert and presented to the founders.”

It was on the second day of operating as master licensees that Vicki and Simone rang all the franchisees and guaranteed a visit within the first quarter. With this done and dusted, the pair are confident the franchisees can see a strong future in their hands.

“A lot of franchisees have been in for 20 years, and some were wanting to sell. Now they’ve seen our ideas and initiatives they can see the value in their businesses increasing so they are holding off selling.

“We thought change would be a challenge,” admits Vicki.

“Franchisees were sending in returns by post every fortnight.

We’ve changed this now and told franchisees they need to scan and email their returns.”

Vicki is fully aware that older franchisees won’t want to embrace some systems so it has been crucial to let franchisees know they will be helped and trained in new processes.

A social media expert has been hired to help them with the technical side of Facebook posts: franchisees simply take the pictures and share how they achieved a win, then all the other steps to posting a good news story are done for them.

A period of consolidation is getting the franchise in good

Originally it was never meant to be a franchise; it was just Danny and me. We did it for five years but dog owners kept wanting us to share this and that fostered an idea.

shape. Simone’s 20 years in banking provide a strong foundation for the business to build its financial systems, and these will be established and fully operational by the end of June 2020.

So in the new financial year, Bark Busters will be focused on telling the story about a newly refreshed brand and extending the franchise network.

“We’re aggressive in growth. There will be a big push for the brand, for our great franchisees, presenting the strength of our trainers. That will then drive both dog training and franchise sales,” says Vicki.

“Talking to existing franchisees we discovered they have a passion for dogs of course, but they also have been involved in pet rescue or animal welfare; they are caring people who want to make changes.”

There’s a lot at stake for dog lovers, with dogs that suffer behavioural issues at risk of being put down.

“We train the owners first, then the dogs second.” n

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LEADERSHIP

Q&A

5 MINUTES WITH

KAREN BOZIC group CEO, Craveable Brands.

Former Caltex executive Karen Bozic joined the franchisor for Red Rooster, Oporto and Chicken Treat in December 2019.

WHAT WERE YOUR TOP PRIORITIES AS NEW CEO? Understanding and supporting our customers and our team (our franchisees, our store teams and support office) have always been a top priority for me.

In addition, being new to the business I was keen to understand what we as Craveable do well, where we have opportunities and work with the team to develop our strategy for this next chapter of Craveable.

HOW HAVE THESE CHANGED WITH THE ONSLAUGHT OF THE PANDEMIC? Focusing on our customers and team has never been more important. This has included making sure our teams are operationally set up to support our customers and their businesses as best they can in the current climate.

It has also meant understanding what is important to our customers during this time e.g. trust, convenience and responding to this with speed. We have also had to ensure we are on the front foot communicating new developments, addressing concerns and guiding our network through this difficult time. From a strategic perspective, it has highlighted what is truly important, and accelerated decision making in many areas.

HOW QUICKLY HAS CRAVEABLE BEEN ABLE TO PIVOT ITS BUSINESS AND EMPLOY NEW STRATEGIES? Very quickly. As they say, “necessity is the mother of invention�. We have made decisions in minutes which pre-COVID-19 might have taken us months. For instance we quickly transitioned our delivery offer to

contactless across our three brands. We also established a Click and Collect offer in our Oporto and Chicken Treat brands.

In rolling out the numerous operational changes required by changing regulations and consumer expectations, we pulled together a cross functional team across our brands and rolled this out consistently.

COVID-19 has forced us to make faster choices with less fear and pushed our team to work more collaboratively than we ever have. This has been a very nice silver-lining and something we want to take into a post COVID-19 world.

HOW HAS THE CORONAVIRUS AFFECTED CRAVEABLE STAFF? We are in a fortunate position where the majority of our network is still able to trade in some capacity. We have worked

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local, which is a fortunate position to be in.

We have great suppliers who have worked closely with us during this period.

We know we must work hard to ensure our offer adapts to respond to our customer needs, so they choose us more often going forward.

team largely intact to ensure as we emerge from COVID-19 we are ready to go.

WHO IS KAREN BOZIC?

Karen was GM of retail operations for two years at Caltex. Before that she spent four years at the Woolworths group including a stint as general manager transformation at Big W, and nine years as CFO and COO at the Rebel Group.

with our store teams to provide them with safe work practices in stores to ensure their safety and the safety of our customers.

Like all businesses, we have also had to plan for the worst and hope for the best. The current situation has meant that some teams’ workload has changed and some are unable to fully do their job.

However, if all of our support office team do something, we can keep our broader

WHAT DO RETAILERS NEED TO BE DOING TO SURVIVE THROUGH 2020 AND BEYOND? I come back to that focus on customers and team. Those businesses that continue to understand and anticipate what customers want and respond with speed, will be the ones that survive and thrive. Customers are changing their behaviour during this time. They are prioritising and de-prioritising things.

They are looking for solutions that make life easier and brighten their day. All of these changes will likely mean the go-forward environment we operate in will be very different to pre-COVID-19.

Retailers must acknowledge this and adapt their offers accordingly.

HOW DOES YOUR EXPERIENCE IN THE SUPPLY CHAIN IMPACT YOUR APPROACH TO THE BUSINESS RIGHT NOW? I think it has been helpful in understanding the importance of looking outside and up the chain and not just internally to assess impacts. It has also meant we can adopt a supplier mindset and think through what might be important to them during this period of time. The majority of our supply is

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HOW IS VIRUS CRISIS MANAGEMENT AND THE POTENTIAL ECONOMIC FALLOUT AFFECTING YOUR LONG TERM STRATEGY FOR THE BRANDS AND THE CRAVEABLE BUSINESS? COVID-19 has had the impact of accelerating some initiatives and slowing others down from a Craveable perspective. The crisis has meant a forced prioritisation of what is really important. The thing we cannot control is how long and deep any economic downturn might be, and how this might play out in consumer sentiment.

That being said, we remain very confident in Craveable’s future. We play in the value-end of foodservice, which makes us more attractive than other options in an economic downturn.

However, we know we must work hard to ensure our offer adapts to respond to our customer needs, so they choose us more often going forward.

CRAVEABLE IS PART OF AN INTERNATIONAL GROUP, WHAT BEARING DOES THIS HAVE RIGHT NOW ON RIDING OUT THE TOUGH TIMES? We have very supportive owners who have investments in other parts of the world. This has been invaluable in gaining international perspectives and insights during this period.

We have, and continue to work closely with them to ensure we do what’s best for Craveable and our network. They remain very much committed to our business.

WHAT'S YOUR PERSONAL STYLE OF LEADERSHIP, AND HOW DOES IT PLAY OUT AT CRAVEABLE? As a leader you have to empower, support and connect with your team. However, there are times, like leading through a crisis, that you will be required to jump in and roll the sleeves up to gain perspectives quickly in order to make decisions.

So, I’d like to think I get that balance right, but you’d really have to ask my team! Role modelling and demonstrating values is also important to me. I’d never ask my team to do something I wouldn’t be prepared to do myself, and a crisis is a great opportunity to live this.

Doing the right thing and giving your team the confidence to always make that choice is also important in the current environment. n

SPECIAL FEATURE

IT’S A PHOTO FINISH –

HOW DO YOU PICK THE WINNER? How do you choose between two favourites?

Top tips on making the final decision.

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wo franchising experts share their views on picking the best franchise for you.

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CORINA VUCIC Role: director, FC Business Solutions

Credentials: operations manager Autobarn, general manager Clark Rubber, franchise consultant.

You’ve made the big decision to buy into a franchise. You have done your homework; you’ve covered off the legals and financials; and you’ve narrowed it down to two fine franchise offerings, with apparently nothing between them. How do you choose the best one for you?

THE BETTER BRAND Which brand has the best reputation?

This isn’t only about which brand has a high trust rating, but which brand resonates best with the demographic you are going to target. Is the brand static and no longer evolving, or is it continuing to build its strength?

THE BETTER PRODUCT OR SERVICE Look carefully at the product or service.

Yes, it’s going gangbusters now, but which franchise has the better track record for innovation? Which one has a clear commitment to research and development of products and services? Who has a schedule for the introduction of upgrades, new products, unique services?

Ask about the cost of planned upgrades. Ask about supply chains, guaranteed availability of what you need to carry out your business. What about cost increases to products? Are they tied to CPI, value of the dollar against other currencies, or is there no formula?

What about increases in franchise fees and corporate marketing levies? How are they calculated?

THE BETTER SUPPORT This is the big one. You need to be able to concentrate on your core business without being weighed down by having to write workplace safety manuals, systems, policies and procedures, HR and so on. You need to be able to log on to an intranet and it’s all there for you. You need confidence that the franchise will provide you with all the tools to keep you legally compliant.

THE BETTER SUPPORT TEAM Spend as much time as you can meeting with and talking to the head office support team. The field coach will be the person you will rely on initially, so see if you can get that person to meet you in a cafe or for lunch. A more relaxed environment will allow you to build better rapport and make better judgements about the calibre of the person.

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THE BETTER MARKETING PLAN Part of the assistance you receive from the franchisor should be robust marketing support. This should include a program of guaranteed marketing to promote the brand broadly, as well as lead-generation programs, local area marketing, and social media advice and content.

THE BETTER ENDORSEMENT FROM PEOPLE WHO KNOW This is the time when you need to evaluate what they do, rather than what they say. Yes, you’ve had slick presentations, visions of success drawn for you. But words are cheap.

What is the support like behind the glittery promises? Talk to current franchisees. Walk in and introduce yourself and ask if they can spare some time to talk to you. Track down franchisees who have left the group and try to spend some time with them to find out why they left.

Be fair in your evaluation of their complaints. If alarm bells ring, ask the franchisor what happened. There are always two sides to a story and it’s important to hear them both before you judge.

THE BETTER FIT WITH YOUR PASSION Passion is the essential ingredient in running a successful business, so having a passion for the product or service you will be providing is really important.

Which of your potential franchisors has the product or service that really resonates with you, that you can believe in and get excited about?

THE BETTER CHOICE Once you’ve done as much research and fact-checking as you can, there is usually a clear choice, a franchise whose offering is obviously better. However, if it’s still a toss-up as to which franchise to choose, then you are in a pretty good position.

You’ve reassured yourself that you have a good chance of business success with either franchise.

SPECIAL FEATURE

MAGDALENA VARLEY Role: national business development manager,

Belgravia Health and Fitness Credentials: club manager, franchise sales manager, Snap Fitness

To be able to make fair comparisons, it helps to create a list of the top aspects that are most important to you and ensure you extract this information from each franchisor. This enables you to compare “apples with apples” and assist in narrowing down your list further to hopefully find the best fit for you and your goals.

Here are four crucial elements that should be on your list when comparing franchisors.

FRANCHISE FEES When considering a franchise, it is important to compare on an equal playing field when it comes to dollars – so this involves asking lots of questions about fee structures, what’s included and what’s not.

One of the first pieces of information to understand is exactly what the franchise fees are. Are they based on a percentage (therefore they grow with your business)? Or are they fixed (i.e. no matter how well your business is doing the fee will be the same)? It is also worth asking what the fees include. Do they include marketing? What about training?

And always ask if there are any other ongoing fees involved. This should allow you to do a fair comparison across the options you are looking at.

OPENING COSTS One of the most common questions from potential franchisees is understandably, “How much does it cost?” The answer to this general question can be presented in many ways. The specific question you should be asking is, “What is the total initial investment?”

The answer to this question should help you understand what the true cost of the opening is. You should be provided with a detailed cost breakdown so you can compare this to the other options you are considering. Things to consider include: does the figure include equipment, fitout, marketing your opening, any council applications typically needed, and who will assist with opening?

TERRITORY SIZE Imagine you spend your valuable time researching, decide on a business and put your heart and soul into opening it,

only to find out a competitor is opening down the road. Even worse, imagine that competitor is the same brand as yours.

A big part of your questioning should be around territories and fully understanding how they apply. For example, questions to ask include: are the territories exclusive? How are the territories created? What is the minimum population included?

It’s also useful to access any demographic information available about your territory. All of this should be thoroughly examined before you pay a deposit. Also ask the franchisor for a map so you can see the reality of who you can market to, and to make sure no one else from the same brand can open too close to your area.

DO YOU LIKE WHO YOU ARE WORKING WITH? It might seem like a small thing but working with a franchisor you get along with is extremely important. It is an ongoing business relationship and you should both have similar values and goals. This will create a healthier, more enjoyable process and you can focus on the joys of owning your own business. While looking at the facts and figures, it’s also important to trust your intuition. If you enjoy who you are dealing with initially, it’s also worth asking if you can meet face-toface with members of the support team prior to signing, as this is who you will spend most of your time with once your agreement is underway.

It’s important to take your time to do all the research you feel is necessary before making your final choice. Never feel pressured into making a quick decision.

If you’re being made to feel that way, perhaps you need to reconsider if that franchisor is for you!

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WE’VE GOT ROOM ON OUR COWCH FOR YOU If you’re considering your next career moo-ve, consider Cowch Dessert Cocktail Bar – Australia’s most popular dessert and cocktail offering.

To our customers, we are playful, cheeky and fun. But behind the scenes, we are built on strong operational processes. ▷ Technologically advanced ▷ Dedicated business systems manager ▷ Cowch University for operational and service consistency ▷ Full transparency ▷ Safe investment ▷ Supportive, family-owned network Our goal is to become the most systemised franchisor in Australia, and eventually, the world. Find out more about how you can join our close-knit, supportive team of Moo-vers and Shakers.

If you want contentment from Monday to Sundae, enquire now at www.cowch.com.au/franchising

SPOTLIGHT ON COFFEE

COFFEE BREAK Can’t live without your coffee? Neither can thousands of Aussies.

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offee is proving to be a survivor in a business slowdown, with Aussies picking up their daily takeaway caffeine shot even in tough times. So who’s who in the busy coffee community?

With the takeaway scene holding up the cafe business across Australia, at time of writing, coffee is proving to be an Aussie stalwart. When the daily grind has for

many people moved to their home, a barista coffee is a real treat.

Whether it is fuelling our essential service workers or keeping workingfrom-home employees fired up, a cup of coffee has the power to hold much more in its brew than just ground beans and milk.

It’s almost a symbol of the adaptability of Aussie business, and a reminder that the little things in life count.

CAFES “AN INDUSTRY ESTABLISHMENT’S CUSTOMER SERVICE, THE PRICE AND QUALITY OF ITS PRODUCTS, AND THE OVERALL CAFE EXPERIENCE LARGELY DETERMINE ITS SUCCESS. COFFEE QUALITY IS CRUCIAL, WITH THE COFFEE BRAND, TEXTURE, TEMPERATURE, MILK AND EVEN CREMA IN AN ESPRESSO BECOMING INCREASINGLY IMPORTANT TO CUSTOMERS.” IBISWorld Cafes and Coffee Shops in Australia, May 2019: author Bao Vong.

TAKEAWAY AND SNACKS 7-Eleven McCafé Walkers Doughnuts

In good times, and bad, coffee is at the heart of our lives.

So why not consider investing in this sector? Whether you’re out on the road in a mobile operation, running a takeaway coffee shop, or operating a full-service cafe, you’ll be engaging with customers every day.

CHECK OUT THESE CAFE BRANDS: Bar Bellaccino Chocolateria San Churro Cibo Espresso Degani Gloria Jean’s Coffees Hudsons Coffee Jamaica Blue

ON THE ROAD

Cafe2U Xpresso Delight Xpresso Mobile Café

BEAN COUNTING

Here are the stats that count: Total revenue 2019: $9.9bn Annual growth 2014–19: 2.5% Annual growth 2019–24: 1.7% Profit margin 2019: 4.7% Wages as a share of revenue 2019: 24.7% Number of businesses 2014–19: 3.9% Source: IBISWorld Cafes and Coffee Shops in Australia, May 2019.

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Muffin Break Shingle Inn Stellarossa Cafes The Coffee Club The Coffee Emporium Theobroma Three Beans Zarraffa’s Coffee

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LEADERSHIP SPOTLIGHT: KIDS

THE KIDS ARE ALRIGHT

Would you like to work with children?

If you’ve got the care and the commitment, a kids franchise could be just the thing.

Little Kickers

WHAT DO FRANCHISEES DO? We provide age-appropriate soccer classes for children aged from 18 months. The sessions are imagination-based, which really engages the children and ensures a great deal of fun for the kids, parents and coaches!

Franchisees who join our team are responsible for replicating the success of Little Kickers in their own exclusive areas, with the support, guidance and resources provided by our head office team.

WHAT SKILLS DO THEY NEED? To join our team, you must be an enthusiastic team player with a “can do” attitude and be passionate about making a positive difference in the lives of young children through sport.

Running your own business isn’t always easy, so we look for someone who has perseverance and good communication skills.

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hether you’re a sports lover or a keen educator, as your own boss in a child-focused business you can deliver a worthwhile experience that helps shape a future generation.

Developing a business around children’s services can be immensely rewarding. Check out these Q&As with some of the brands operating right now in the kids arena.

While we encourage people from all backgrounds and with a wide variety of skills to consider joining the team, one critical success factor is the time a franchisee can spend on running and developing their business. As such, we look for individuals who have a minimum of 25 hours per week available to run their franchise.

HOW MUCH MONEY CAN THEY MAKE? Little Kickers franchisees have the flexibility to capitalise on all opportunities within their franchise area. Beyond commercial classes, we also offer parties and sessions in childcare centres and schools.

A key aspect of our model is that we are not “term driven”.

This means that, aside from the end-of-year closure and public holidays, franchisees can operate year-round to maximise the revenue opportunities and create a business that is rewarding both personally and financially.

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WHAT DOES IT COST TO INVEST? A new Little Kickers franchise costs between $20,000 and $30,000 + GST, depending on location.

HOW MUCH TRAINING IS THERE? Our comprehensive new franchisee training program lasts for one week. We then have frequent support calls as the franchisee starts to operate their business to ensure they are comfortable. These are minimum once per week.

Going forward, franchisees are then integrated into our ongoing scheduled support program.

As part of a network of over 330 franchisees, there is a wealth of content and information available across the group. We also have forums and training portals to provide support and engage the services of a digital agency for our marketing efforts.

WHAT ARE THE PITFALLS? Because this is a fun franchise with a low entry cost, there is the potential for it to be viewed as a business that is easy to run with minimal effort.

With the technology and systems we now have in place, many aspects of the business are certainly streamlined, but anyone who invests in owning a franchise should be prepared to work hard for the rewards and put in the required hours to make it successful.

FRANCHISEE: Michael Vella, multi-unit Sydney

WHY I LOVE MY JOB

“I get to combine my love for soccer and keeping active with my passion for children’s development every day in what I do. Seeing our children have so much fun each week as they are learning and developing soccer skills and building their confidence and self-esteem is so rewarding. Whilst I work hard, being able to run my own Little Kickers franchises provides me with great role variety and flexibility to balance my personal and work life, and choose how I spend my day and week.”

RUNNING COSTS? The overheads of the business are very low, coach wages and venue hire (for commercial classes) being the main ones.

We also have the children’s uniform costs and insurance but, as a global brand, we benefit from economies of scale here.

WHO IS BEHIND THE BUSINESS? Dan Kelland (above) is the director of Little Kickers in Australia.

“I launched Little Kickers in Australia with my wife in 2009, after we felt there was a lack of quality programs available for our (very active!) two-year-old son. We ran a pilot program for a full year … and operated a franchise for over 10 years.

“I am passionate about franchising and helping people realise their dreams of owning – and growing – their own business.

I am active in the franchising community and have my CFE (Certified Franchise Executive) qualification.

“One thing we have always tried to do at Little Kickers is to continually evolve and embrace new opportunities in a positive and proactive way. If you want to be a market leader then you need to embrace change and, I have to say, our franchise group has been incredible in this regard in recent times.

“Examples of our brand evolving over the past 18 months include rolling out an ‘Achievement Badge’ program, moving to a new business system and a subscription model, all of which have been a great success.

“We are also firmly focused on continuing to be a socially responsible business; we have a non-profit initiative and are making great strides in an exciting new development which will improve the environmental sustainability of our business.”

HOW MANY PEOPLE ARE IN THE TEAM TO SUPPORT FRANCHISEES? Our head office team consists of 15 team members, and we also have external support, such as business system techs and the digital marketing agency team. In the spirit of franchising, there is also a lot of sharing of information locally among franchisees and their own managers and coaching teams. We achieve more by working together.

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SPOTLIGHT: KIDS

Mathnasium

WHAT DO FRANCHISEES DO? Franchisees own and run end-to-end operations of a Mathnasium education centre. They get extensive support from us, and Mathnasium HQ (in the US) on a daily basis.

WHAT SKILLS DO THEY NEED? First and foremost, a franchisee must be passionate about education and children. A franchisee should have good communication and relationship skills, as parent interaction is critical to success.

Having a general management experience is good. A franchisee does not need any background in education.

HOW MUCH MONEY CAN THEY MAKE? It is possible for a successful centre to enrol over 250 children and that can yield over $1 million in annual revenue. The margins are strong at over 35%.

WHAT DOES IT COST TO INVEST? Initial start-up investment cost ranges from $135,000 to $200,000 which includes the franchise fee.

HOW MUCH TRAINING IS THERE? Before opening their centre, a franchisee goes through a comprehensive training program. Stage 1 is over 60 hours of online training.

Stage 2 is seven days of training at Mathnasium HQ in Los Angeles.

Stage 3 is hands-on training for about two weeks at one of our Sydney centres. Training covers all aspects of business: education, marketing, centre management, hiring, etc.

WHAT ARE THE PITFALLS? There are no Mathnasium-specific pitfalls. Any pitfall is related to running any type of business. However, risk is significantly mitigated given (1) this is a maths-focused education business, which is increasing in demand; (2) our robust training and support systems – marketing material, technology platform, ongoing curriculum upgrades, in-person support visits, etc.; and (3) we are a global brand.

WHO IS BEHIND THE BUSINESS?

Ratika Khandelwal is the key person behind the business in Australia. She is supported by her husband, Himanshu Gupta.

Ratika and Himanshu have international commercial experience and are parents of two young children, aged 10 years and six years.

Ratika has deep experience in digital marketing, operations, supplier negotiations and brand building; Himanshu has extensive experience in leading large teams and driving results within complex and matrix organizations.

We have a team of five people in Sydney (and growing). Additionally we have Mathnasium HQ support staff based in Hong Kong (overall support), UK (education) and US (marketing).

RUNNING COSTS? Key running costs are lease, instructor salary and general sundry items such as insurance, electricity, etc. Most expenses are variables and hence can be scaled up and down depending on demand. It is a very simple business model.

HSC SUCCESS TUTORING WHAT DO FRANCHISEES DO? Along with running the day-to-day operations of their tutoring centre, franchisees are expected to be champions of the brand and promote the core value of the power of motivation to inspire students to reach their full potential. On an operational level, franchisees will run basic human resource and marketing campaigns to maintain their centre’s performance.

WHAT SKILLS DO THEY NEED? Under a stringent application process, it is recommended franchise owners have a thorough understanding of business operations. As within any service business, interpersonal and managerial skills are critical within this industry. The ideal candidate is an aspirational university graduate or professional eager to run, manage and profit from the booming tutoring industry with a leading educational provider.

HOW MUCH MONEY CAN THEY MAKE? Depending on a number of demographic

factors, franchisees could make anywhere between $80,000 to $110,000 per location, per year in profit. Franchisees can benefit from a fully systemised business operation management system, which allows franchise owners the opportunity to own and manage multiple locations.

WHAT ARE THE PITFALLS? As within any franchisee–franchisor agreement, franchisees can expect to be giving up a share of their revenue. Due to forecasted high demand, HSC Success Tutoring will be accepting applications from potential franchisees from April 1 2020.

WHAT DOES IT COST TO INVEST? The initial cost of investment is $42,000, which includes all start-up and running costs until the point of break-even.

Franchisees can expect to receive help finding a centre location and full-time support from head office.

RUNNING COSTS? As within any service company, franchisee owners can expect to pay for running costs such as wages, rent and basic utilities.

Running costs depend on demographic factors and franchisees can benefit from economies of scale as they work harder within their business.

HOW MUCH TRAINING IS THERE? Franchisees can acquire a thorough personal, company and educational development course. This includes the core company processes which encapsulate the end-to-end procedures of the company. Franchisees can take advantage of a franchisee portal, which encomapses the complete operations and communication channels within the company.

WHO IS BEHIND THE BUSINESS? HSC Success Tutoring continues to grow by the dedicated leadership of a motivated team who are passionate about making a change within the education industry. The company adopts a holistic approach through motivating, uplifting and inspiring students to reach their full potential, contrary to other traditional methods, which promote repetition and

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Stagecoach

WHAT DO FRANCHISEES DO? Stagecoach franchisees inspire students by teaching them Creative Courage for Life. Managing a dedicated team of talented teaching specialists, they use their creativity and Stagecoach’s educational framework to equip children with key life skills such as confidence, perseverance, resilience, adaptability and expression.

Stagecoach is a management business model where the role as a franchisee is to operate and grow the business, working with professionals to create and deliver singing, acting and dancing classes for four- to 18-year-olds, using Stagecoach’s educational framework.

Franchisees tend to work Saturdays to oversee their teachers and classes, with the rest of their work based from home, providing flexibility around their family and other commitments.

WHAT SKILLS DO THEY NEED? To become a Stagecoach franchisee, no teaching or performing arts background is required. Stagecoach franchisees come from all walks of life; they all share a passion for child development and a desire to build a successful and highly profitable business which positively impacts the lives of children in their communities. Of course, a passion for performing arts helps.

HOW MUCH MONEY CAN THEY MAKE? Stagecoach franchisees can grow their business by opening new schools and expanding into new territories, growing their business into a valuable asset with high resale value. However, the income will depend on their ambitions and growth plans.

With multiple territories established they could be earning $150,000+ per year and have the security of an asset of considerable value to sell in the future.

WHAT DOES IT COST TO INVEST? Initial franchise fee starts at $20,000.

HOW MUCH TRAINING IS THERE? Training includes topics such as marketing, recruiting and retaining teachers.

In addition to pre-training, a comprehensive five-day induction course fully prepares franchisees for their role as a Stagecoach principal. They also have a dedicated regional franchise manager for ongoing support. A Stagecoach franchisee’s role is to ensure that every aspect of a school runs smoothly, creatively and is financially viable. The franchisor will help them to secure their first venue and recruit experienced Working with Children Check (WWCC) cleared teachers.

tradtional hardcore study techniques.

HOW LONG HAVE YOU BEEN IN BUSINESS? Founded in 2017, HSC Success Tutoring has been running for three years with substantial year-on-year growth, placing it as one of the fastest-growing education companies in the southern hemisphere. From the start of April, HSC Success Tutoring aims to release 120 centres in five years.

HOW MANY PEOPLE ARE IN THE TEAM TO SUPPORT FRANCHISEES? HSC Success Tutoring currently employs a team of 70 motivated and experienced staff. With a strong corporate head office located in Barangaroo, franchisees can expect the best support in the industry.

FRANCHISEE:

Alison Tasker, Stagecoach Perth South, WA

WHY I LOVE MY JOB

“[Last year] was such an exciting and rewarding year, I launched my franchise because of the demand for children’s performing arts opportunities outside of central Perth. With that being said, I still can’t quite believe how much the business has grown in such a short space of time. However, a real highlight for me has been watching my students grow in confidence, as they’ve taken part in professional workshops and formed great friendships.”

WHAT ARE THE PITFALLS? There are very few pitfalls as franchisees benefit from the support of a large network, head office staff and their teachers.

Furthermore, working with children can give them the fulfilment and the satisfaction they haven’t had before, and Stagecoach franchisees benefit from the work–life balance due to the nature of the franchise model.

RUNNING COSTS? Running cost will depend on the size of the business, venue costs, etc. We will help franchisees with their financial planning as a part of their buying process.

WHO IS BEHIND THE BUSINESS? Stagecoach is a business deep-set in education and performing arts, run by a very serious team of business professionals with a breadth of experience in global franchising. It is also one of many businesses who are part of the Trafalgar Entertainment group.

With over 30 years of experience, Stagecoach has seen over one million young people gain confidence, stretch themselves and build essential life skills.

Stagecoach has continually refined its franchise model, which is just one reason why over 50,000 students flock to Stagecoach classes each week. With 2000 schools and classes in eight countries including Australia, Canada, Germany, Gibraltar, Malta, South Africa, Spain and the UK, Stagecoach is an internationally recognised brand.

Andrew Walters, director of international business development at Stagecoach says “The pace of growth of the Stagecoach business globally has been tremendously exciting over the past couple of years, and this is already accelerating as we move into 2020. We will see further franchise openings within the countries we already have a strong footprint in, as well as embarking on new growth in Asia and Australia. We expect to have a number of area developers in place in Australia during early 2020 to spearhead the rollout of schools across the country.”

HOW MANY PEOPLE ARE IN THE TEAM TO SUPPORT FRANCHISEES? We have 45 staff members at the office.

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SPOTLIGHT: KIDS

Kumon WHAT DO FRANCHISEES DO? Kumon franchisees develop the academic capabilities of students using the Kumon worksheets. One could say they are similar to a coach or a mentor for children's education. While there is a degree of flexibility, in that franchisees keep their own hours and can work around family commitments, a professional career as a Kumon franchisee is a full-time commitment.

WHAT SKILLS DO THEY NEED? Leadership ability; enjoy working with and motivating children; academic excellence in maths and English; business acumen, organisational skills, effective communication; growth mindset; and the ability to build links in the local community.

HOW MUCH MONEY CAN THEY MAKE? Many factors influence the potential earnings and profits of a Kumon franchise, including location, venue type, staffing requirements, and the time and effort the franchisee puts into developing their business.

WHAT DOES IT COST TO INVEST? $1000 franchise fee.

New franchisee training: Training lasts for four days and is free of charge, but if prospective franchisees are not based in Sydney or Melbourne, they will need to pay for their own accommodation, meals and travel.

Start-up costs: Business registration costs; business infrastructure such as a phone and office set-up; stationery; marketing and advertising; hiring the essential services of a solicitor and accountant; and the relevant state and territory government checks required to work with children. Similar to starting up any other business.

HOW MUCH TRAINING IS THERE? Held monthly at our training centres in Melbourne and Sydney, our new franchisee training is an enjoyable, intensive introduction.

Two four-day training sessions cover all aspects of instructing the Kumon maths and English programs.

Intensive support throughout the first year: Our franchisees face a steep learning curve in the months after the business opens.

Our support includes follow-up training sessions in the first month after opening, continuing every three months until the one-year anniversary of a new franchise.

Assigned field consultant: Ongoing professional development and networking: Franchisees develop their knowledge and learn from each other through monthly seminars, national and international conferences, mentoring programs matching our most successful franchisees with those looking to grow their franchises, and study groups designed to develop the highest level of product knowledge in targeted areas of need.

Ongoing professional development and networking: Franchisees develop their knowledge and learn from each other through monthly seminars, national and international conferences, mentoring programs matching our most successful franchisees with those looking to grow their franchises, and study groups designed to develop the highest level of product knowledge in targeted areas of need.

FRANCHISEE: Rovi Ravida, Kumon Mawson Lakes Education Centre in Adelaide

WHY I LOVE MY JOB

“Being a Kumon franchisee is a full-time job, as developing my students and my business takes time and effort. However, it is a job that gives me the flexibility I need for my family and the satisfaction of giving something to my local community as well.”

owner-operator and responsible for all aspects of the franchise management. They may employ staff members to support them.

RUNNING COSTS? Key operating costs include public liability Insurance, rent, staff wages and royalty fees. Kumon franchises operate from a variety of venues, including commercially leased premises and hired venues such as libraries and community centres.

WHO IS BEHIND THE BUSINESS? Kumon Australia is derived from the Kumon Institute of Education in Japan. Kumon provides after-school learning programs and is fully dedicated to pursuing the potential of each student. Kumon’s programs support students to advance to high school level material as early as possible. Kumon students study independently from an early age and develop strong academic ability.

Esther Head, Kumon Australia and New Zealand’s public relations division leader, says “Kumon’s individualised learning method can be tailored to suit the unique needs of each student. We want to provide as many Australian children as possible with the opportunity to learn with Kumon. We are looking for the right people to become Kumon franchisees to help us bring this goal into reality.”

HOW MANY PEOPLE ARE IN THE TEAM TO SUPPORT FRANCHISEES? Kumon Australia and New Zealand has 69 staff to support franchisees. Twenty-nine of these staff members work directly in the field, while the remainder work in support roles.

WHAT ARE THE PITFALLS? Franchisees should be prepared to commit to full-time hours. While there is opportunity for flexibility around when these hours will occur, franchisees are expected to have time for preparing for class, communicating with students’ parents, marketing, and professional development outside of class hours. Kumon franchises cannot be operated by or sub-leased to a manager. The franchisee is the MAY/JULY 2020 | 66 | WWW.FRANCHISEBUSINESS.COM.AU

JOIN THE MRS. FIELDS FAMILY. Simple Business Model with Full Ongoing Support No experience required with Comprehensive Training provided Work / Life Balance with No Early Starts Great Café Style Menu including Breakfast, Lunch & Snack options Award Winning Coffee & Barista Training National & Local Marketing Campaigns Available from $199,000 +GST

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SPOTLIGHT: PETS

PAWS FOR

THOUGHTS This could be your life! Match ambition with a passion for pets and a brilliant brand and you’ve got the perfect combination for a successful business.

W

hile we’re all dialling it down, this is the perfect opportunity to reflect on how life could be different. If you’re a dog lover, maybe now is the time to consider harnessing your passion and making it work for you.

There is no shortage of smart, dog-friendly business ideas, and the good news is that you can buy into them!

Here are some of the brands and people operating dog services around Australia.

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SPOTLIGHT: PETS

BARK BUSTERS

What’s the business? Mobile dog training.

Turnkey cost of franchise: $50,000 + GST. Typical number of clients a week: 4–5 new clients a week (average new client charge-out is $660).

Typical week: 35 hours per week.

Skills required: Self-motivation; people skills; a passion for animals; good communicator. We find our franchisees with “pet rescue” experience excel as they are compassionate and want to make a difference in dogs’ lives and therefore owners’ lives. A full driving licence and own vehicle.

Marketing/branding support: National marketing fund; social media expert to do all your social media; brand strength of over 30 years. Local area marketing plan prepared between franchisee and franchisor to support national incentives. State and national clients.

Training details: Two full, comprehensive weeks of operational training with the global head trainer in Wollongong, NSW, supported by one week of business training and all necessary business tools, and bi-annual conferences and the ability to communicate with other trainers around the world.

What do franchisees do, and why is your brand different?

Administrative duties; lesson preparation; conducting lessons/problem solve; preparing for group and puppy classes; upskilling with our internal Barknet videos; meeting plenty of wonderful dogs and people to change both their lives; posting on social media.

Our brand is unique in the dog training world as we offer a “life of dog” guarantee that can be used around the world where we have trainers, which currently is in seven countries.

SPOTLIGHT ON: VICKI CRAWLEY-PROUT

“Both Simone and I are animal people and community-minded people. We love working in a franchise business sharing our ideas and knowledge with like-minded people, whilst enjoying the outdoor life and being around family and friends.

“Favourite dog: Cavoodles, they are funny fourlegged people, with so much love to give us.”

Number of franchisees: 31, covering 40 areas nationwide.

New franchises planned: 45.

Are territories exclusive? Yes.

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SPOTLIGHT ON: MARGARET HENNESSY “DOGUE strives to be the leading boutique dog brand in Australia.

To achieve our vision, we focus on delivering exceptional customer service to our customers, both two legged and four legged.

“My favourite dog breed is scruffy, off-beat and in need of a second chance.

I absolutely adore dogs in their twilight years. Coco-NUT, now 15 years old, a Shih Tzu x Foxy, exemplifies this passion of mine.”

DOGUE What’s the business? Dog boutique.

Turnkey cost of franchise: $160,000+ Typical number of clients a week: 140.

Typical week: 40 Skills required: Retail and/or service experience; passion for dogs and strong drive to succeed in the pet industry; great work ethic; grooming experience is a bonus.

Marketing/branding support: Operational support; boutique design; set up and launch; induction and ongoing training; group and local marketing; visual merchandising; HR and recruitment; compliance and finance.

day-to-day operations of the store. They are team leaders and ingrained in their local community.

Training details: Grooming introduction; business management; marketing, retail, store operations, both before launch and ongoing.

New franchises planned: Three.

What do franchisees do, and why is your brand different?

Our franchisees run retail outlets, each with varying degrees of involvement in the

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Number of franchisees: Six (11 stores in total).

Are territories exclusive?

Exclusive marketing zones: the scale of the territory is determined by the market’s potential and population density in the immediate and (sometimes) neighbouring areas.

SPOTLIGHT: PETS

BLUE WHEELERS/DASH DOGWASH What’s the business?

Mobile dog washing and grooming.

Turnkey cost of franchise: Blue Wheelers $37,990 + GST for new territory; Dash DogWash $14,990 + GST for new territory.

Typical number of clients a week: up to 40 dogs per week.

Working week: 5–6 days per week. Driving is very much part of the deal as it’s a mobile service. Admin is kept, typically, to a few hours per week on our internal MATE system (CRM).

Skills required: Must love dogs; must be a self-starter with an appealing personality. We train in dog grooming skills; marketing and business management.

Marketing/branding support: Individual website page; individual location Facebook page; IG account; DL flyers; Google AdWords and/or Facebook campaign; sixmonth marketing plan template.

Training details: four weeks, combination of grooming training; on-road training; business/marketing training.

What do franchisees do, and why is your brand different?

Source leads through marketing, social media, word of mouth; visit clients on a fortnightly to three-monthly basis dependent on breed and needs; after hours admin.

Franchisees secure bookings, wash and groom dogs, follow up appointments, manage diary, maintain a clean mobile salon.

SPOTLIGHT ON: KELLIE, GENERAL MANAGER, BLUE WHEELERS “Working with dog lovers means I’m working with some of the best people I could ever meet. I love building relationships with our franchisees and each night I get to go home to my favourite two fur children, my Cavalier King Charles Spaniels. They have such gentle natures and love to be with you.”

Our point of difference is our unique mobile salons; exclusive products; training and ongoing hands-on support and our genuine team of groomers.

Number of franchisees: Almost 200.

New franchises planned: 15–20 new team

members, depending on resales also.

Are your territories exclusive? Yes, our team select the suburb(s) they want to own and we offer support areas around that.

Regional areas are given more suburbs.

Our territories are typically a minimum of 5000 homes.

DOLCEY GROOMING

When animal lover Peta Thomson signed up to a dog grooming business it led her down the path to setting up her own business.

Dolcey Grooming sets high standards, starting with the trailer: a van with white fibreglass walls and roof with curved edges to make for easy cleaning, a black anti-static floor made for easier hair collection, cupboards to stow away equipment including the dryer, fitted LED downlights, air conditioning and a secure, lockable door.

With the perfect vehicle set-up sorted, Peta turned to professionals to support her in the franchise business-building process, including brand design, legal documentation and the operations manual.

Skills required: Good level of health and fitness. “The job tends to be better suited to the introvert but does not exclude the extrovert.”

Franchises available: There are eight territories available on a seven-year agreement.

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A COMPELLING OPPORTUNITY IN A HIGH GROWTH INDUSTRY Join an AFR Fast Starter group PARTNER WITH AN AUSTRALIAN OWNED BUSINESS IN THE AGED & DISABILITY CARE INDUSTRY Proudly Australian owned and operated, Dementia Caring/Home Caring provide professional and compassionate personalised care services in the home. We are seeking community-minded franchisees interested in building a solid financial future.

BOOMING AGED & DISABILITY CARE INDUSTRY With the rollout of NDIS and home care packages, government funding for home care for aged and disability services is growing by leaps and bounds each year.

We will assist our franchise partners to become approved providers of these government-funded services, so they can take advantage of this massive growth.

STRONG BRAND Home Caring has a strong appeal within the home care industry and has developed Dementia Caring as a specialised brand for people with dementia.

ONGOING SUPPORT AND TRAINING Our franchisees are mainly from the healthcare sector. They have the skills and personality to succeed and deliver excellent care, but they’re not necessarily experienced at running a business.

We provide a comprehensive training program, ongoing operational support and a full suite of management tools that gives them the training and knowledge to build their business.

POWERFUL BUSINESS MODELS Our 50/50 partnership model creates strong alignment between us and our franchise partners and substantially reduces start up costs.

Our business model: • Reduces initial investment by 50% making it much more affordable • Provides assistance to acquire the appropriate licences • Pays an annual salary package of $80,000 to the franchisee to take away any worries about paying your bills • Provides an ongoing 50% share of profits • Provides maximum support, with the franchisor being a partner in the business

To find out more contact Bill Lockett on 1300 658 311 or email info@homecaringfranchise.com.au www.homecaringfranchise.com.au

SPECIAL FOCUS: BUYING A MOBILE FRANCHISE

WHAT’S YOUR INSURANCE POLICY? Wise up to the need to be properly insured as a mobile franchisee. Tips from BizCover.

T

he opportunity to run your own business is exciting. It brings the freedom to be your own boss and the chance to pursue a career you have a passion for. Along with the freedom, there is also the attraction of taking your business out of the traditional office, worksite or salon-based settings, with many businesses going mobile. But before you hit the road, there are a few things you need to consider about protecting your mobile franchise business.

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BACK TO BASICS While there isn’t a one size fits all policy for all businesses, there are some basic forms of protection you will need to consider. Public liability, one of the most common forms of insurance, covers legal fees and compensation costs if a third party sues you for injury or damage to their property as a result of your alleged negligent business activity.

If you carry stock and equipment with you, then contents and portable equipment cover is also something to consider.

WHAT’S REQUIRED? Take the time to check if your industry has any mandatory insurance requirements or minimum levels of insurance cover required, before you start doing business. For those providing professional advice and services, professional indemnity could be a required type of insurance.

Remember, business insurance will not provide cover for your business motor vehicle or claims arising from the use of a motor vehicle.

BUDGETING Factor in the annual/monthly cost of your insurance premium as part of your overall business budget. Be aware of any excess payable in the event you need to make an insurance claim.

MORE THAN THE BASICS As you find out more about your franchise business, you may discover there are more elements of risk that your business may be exposed to, than first planned.

Understand the different kinds of insurance products available (business interruption, personal accident and illness, etc.) and make sure you and your business have adequate levels of insurance cover in place so you can keep on moving even if a disaster were to strike. n As with any insurance, cover is subject to the terms, conditions and exclusions contained in your policy document. The information contained in this article is general only and should not be relied upon as advice.

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SPOTLIGHT: CLEANING

3 REASONS TO CHOOSE A CLEANING FRANCHISE Hygiene and cleanliness are on everyone’s minds right now. A sanitary environment has become more important than ever.

T

he good news is that it is easy and inexpensive to invest in a business that’s helping to keep Australia clean.

This is a sector with a wide range of opportunities across commercial, residential, outdoor and niche sectors such as carpet, blinds or oven cleaning.

So here are three great reasons why you could consider buying a cleaning franchise.

1. LOW LEVEL INVESTMENT

When you’re considering purchasing your own business, it’s reassuring to know it won’t cost you dearly.

There will be a cleaning franchise priced to your budget. Urban Clean has more than 100 franchisees who have paid about $20,000 to buy their own commercial cleaning business. And that includes an initial line-up of commercial clients already sourced for you.

You could choose to become a cleaning specialist in a particular area, such as oven or barbecue cleaning; pay just $25,000 to join Ovenu or Oven Valets.

If you want a bit of an outdoor life while building your business then pool cleaning is a popular option.

It costs about $45,000 to get into a Swimart mobile franchise, and up to $250,000 to secure a retail site.

Poolwerx franchisees can expect to pay $150,000 plus to buy into the business, which includes mobile, retail and retail hub options.

One of a host of offshoots from the Jim’s Mowing brand, Jim’s Pool Care has an investment level of $69,000.

Fellow cleaning business Chem-Dry Carpet Cleaning offers a green alternative to traditional carpet cleaning. Chem-Dry provides a complete turnkey operation for approved franchisees, along with a full training and operating system, all for a capital investment of between $10,000 and $39.950.

2. BE YOUR OWN BOSS

Perhaps you want to operate as a one-person business, out on the road, servicing clients, developing your own business. Perhaps you have ambitions to own multiple units or territories.

Whether you want to downscale and keep it personal, or create a high-profile business that builds a big future for your family, buying a cleaning franchise allows you to be your own boss.

3. PROVIDE AN ESSENTIAL SERVICE

Cleaning is a fundamental part of our daily lives, and as we see now, particularly important in health crises.

Cleaning and maintenance is not a niche industry – this is a sector that will stay in fashion. According to IBISWorld, the commercial cleaning services industry grew steadily at about 3 per cent for the past five years. The sector is worth about $12.8 billion.

There’s a trend for businesses to outsource non-core activities to allow them to focus on revenue-raising initiatives.

Australian households too are echoing this preference for cost-efficiencies. With an increasing number of dual-income families, and seniors less able or willing to undertake cleaning chores, there’s a place for the local cleaning franchise. n

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Making Franchise Law

Black and White

Unravelling the Knot With the increasing regulation of franchising, and impending changes to the Franchising Code of Conduct and current review of the unfair contract laws likely to add to the protection and rights of franchisees and their employees, there is a commensurate increase in the risk of being tied up in legal disputes between franchisors and franchisees that are difficult to unravel.

Our commercial litigation and dispute resolution legal team, who have many years of specialist franchising law expertise, and have acted in over 50 franchise dispute mediations in the last three years, employ strategies for clients to manage conflict risks and resolve disputes as quickly as possible with the best possible outcomes. Do not remain tied up with legal disputes.

Seek advice early to avoid a protracted legal dispute.

Our focus is to deliver high quality legal services of real value to our clients.

CONTACT US 07 3221 2221 | info@morganmac.com.au

LEADERSHIP

UPMARKET

CONVENIENCE One Asian grocery store looks to the future with eyes on franchise expansion.

G

rocery store owner Stephen Lim knows that introducing a brand new franchise concept into the well-established convenience store marketplace will test his mettle, but he is more than ready for the challenge.

For one thing, the Yahweh Asian Grocery store business has a distinct point of difference in the franchising sector.

Lim set up the Asian grocery business 10 years ago with a store in Carlton, Melbourne. He added a Highpoint shopping centre outlet three years later, and has since sold the original store and opened another outlet at Moonee Ponds Central.

“In the last two years we started to look to restructure the business to look into franchising. We noticed there were no Asian groceries operating under the franchise model. It’s always hard to be the first because people do look for well-known brands in franchising.”

What the grocery can offer is quite an upmarket store presentation, complete with timber shelving, that distinguishes it from typical independent Asian groceries and attracts a variety of customers.

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We noticed there were no Asian groceries operating under the franchise model. It’s always hard to be the first because people do look for well-known brands in franchising.

The design is costlier than a traditional metal shelving fitout and needs to conform to shopping centre standards. However, with help from the franchisor to negotiate a lease the franchisee will likely also benefit from a landlord’s fitout contribution.

A 100 square metre store is expected to have a turnkey cost of about $250,000.

“Retail is challenging, but where we have an advantage is in the number of enquiries from shopping centres.

Rental prices have dropped too,” says Lim. There are limited opening times, in line with shopping centre trading hours: typically 9 to 5 or 6 pm.

“People are looking for bigger brands which seem to be secure. One question is, ‘Why couldn’t I just operate my own independent business, what benefits would I get?’ We have about 1500 products and we take on board the ordering process. Any new franchisee doesn’t need to worry about what to order or where from; the system tracks this for them.”

Lim points out that while franchisees are freed from the standard stocktaking and ordering, they are encouraged to look for new suppliers and products to suit their local customers. Franchisees don’t need retail experience.

Monthly merchandising and promotions advice, and sales analysis reports, are just part of the support paid for with royalty fees.

The expansion goal is realistic: to bring on just one franchisee in the next 12 months.

“We’ll start in Melbourne first, then develop interstate as it progresses.” n MAY/JULY 2020 | 79 | WWW.FRANCHISEBUSINESS.COM.AU

SPOTLIGHT: COMMUNITY

SUPPLYING THE DEMAND Fancy a business with a built-in customer base?

By Nick Hall

S

tarting a business is no mean feat, and getting customers through the door can be a challenge. Some franchise chains are learning it pays to think outside the box.

Finding your target market is business 101, but it’s not always as easy as it seems. Location, site size, offering and marketing can all play a pivotal role in whether you attract the right customers.

But who are the right customers?

In a basic sense, your model customer is one that spends well and returns often, ideally with a few friends in hand.

Whether your business is in fitness, fast food or finance, the prospect of a highspend, loyal customer is never overrated.

However, Australia is a competitive landscape. Consumers are perpetually pulled and persuaded to try new businesses and services, and the often-transient nature of the market can be a headache for operators.

The key to sustaining success is

getting in early. By identifying, advertising and servicing a demographic that has yet to be fully tapped, businesses can break into the market and establish themselves as a leading service provider.

In fact, it may not even be a market you knew existed. Take personal training franchise Fitness Enhancement, for example. The booming Aussie business has picked up the slack where other brands have failed to accommodate, and things have never looked better. Ă˜

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FRANCHISING, LICENSING AND DISTRIBUTION SPECIALISTS 2020 will be another dynamic year in the Franchise and small business sector!

More regulation and greater focus on Franchisors compliance and increased powers of the ACCC and fines and penalties for breach means Specialist Advice from Industry Experts is even more vital.

Robert Toth and the MMRB Franchise Group provide that expert advice to local and overseas Franchisor’s and companies.

We have 35 years of expertise in : • Assisting overseas companies to establish their Franchise and Business in Australia.

• The grant and or appointment of Master franchise rights.

• Dispute resolution – Solutions and strategies.

• Franchisee advice – fixed fee reports.

• Sale and purchase of Franchise and licensing rights and systems.

• Trademark and intellectual property (IP) advice.

• Company structures and business succession planning • Business models for expansion including Franchising, Branchising, Licensing, Distribution • and Agency rights JV and partnership arrangements.

• Employment law - workplace issues.

• Consumer law and ACCC advice.

• Franchisor in house training and compliance.

We have a network of allied consultants to assist our clients establish their brand and systems including accounting and tax advice, financial modelling, demographics, feasibility, leasing and property, market research. and business entry plans.

We also offer fixed fees based on the scope of work, so our clients can budget for their legal costs with certainty so no hourly rate surprises!

Member: The International Franchise Lawyers Association (IFLA), US Commercial Service and Franchise Council of Australia (FCA).

Contact Robert for a free “Guide for Franchisors 2020”.

CONTACT: Robert Toth

Partner & Accredited Business Law Specialist robert@mmrb.com.au | 0412 673 757

Kathryn Finemore

Senior Associate and Accredited Commercial Litigation Specialist kathryn@mmrb.com.au | (03) 9604 9400

Stacey Ryan

Senior Associate stacey@mmrb.com.au | (03) 9604 9400

SPOTLIGHT: COMMUNITY

FITNESS ENHANCEMENT When it comes to fitness franchises, the messaging is generally the same: toned bodies and phenomenal physiques line the walls of most studios. And while aspirational imagery can help to motivate some gym junkies, for others it’s less about lifting weights and more about lifting spirits.

“Our niche has always been in helping people that gyms don’t, so we’ve actually always had a lot of clients with disabilities,” Scott Hunt, Fitness Enhancement’s founder and CEO, reveals.

The budding businessman started his operation almost 20 years ago, buoyed by a passion for health and fitness. But as time wore on, Hunt realised, through the processes involved with his mobile service, that he had an opportunity to not only help Aussies get fitter but better in tune with their bodies.

Gradually taking on more clients with physical disabilities, Hunt refined the Fitness Enhancement model to better suit in-house personal training services, opening the opportunity to capture further clientele.

“We have a wide variety of client ages, abilities and goals, but the common thing that ties them all together is they need to exercise but hate the gym scene and the hassles that come with it,” he says.

“Being mobile also solved a lot of problems with regard to if the person with a disability struggles to travel.”

Then, when the National Disability Insurance Scheme (NDIS) was implemented across the country, Hunt and his franchisees took things to the next level.

“When the NDIS rolled out in Queensland, it was a natural progression to register there and in the other states we were in,” he explains.

“It’s provided our franchisees with an entire extra revenue stream with very little competition to what we offer. In addition, most clients train during the day (typically a quiet time for personal trainers) and the work is also extremely personally rewarding for each franchisee.

We can have a real impact on people’s lives.”

By utilising government-backed initiatives to bolster their client ranks and build business, Fitness Enhancement has been able to significantly ramp up

expansion with little to no risk. The result of this has seen Hunt further strengthen the business’ inroads in the disabled services sector.

“As for what we do in a session, we’re hired as personal trainers, not exercise physiologists or disability support workers. So any qualified personal trainer who passes our internal training can come under our NDIS registration,” he says.

The focus on disability support and training has proven to be a winning formula for Fitness Enhancement, allowing the personal training business to thrive under difficult market conditions.

The oversaturated fitness sector has seen consumers move away from the big box gyms in favour of smaller boutique offerings, with the average tenure of a membership continuing to decline.

Brands have found themselves fighting to keep members on-board, driving prices and profitability.

For Hunt, the secret to success isn’t in trying to capture a competitor’s clientele, but instead catering to the untapped market.

“I see the market of getting fit people fitter as saturated; most other markets

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Our niche has always been in helping people that gyms don’t, so we’ve actually always had a lot of clients with disabilities.

are far from saturated,” he reveals.

“Depending on the stats you read, only about 16 per cent of Australians have a gym membership and three quarters of them go less than once a week!

“The people who need exercise the most, such as people with a disability, seniors and obese people, are the least likely to go to a gym simply because they don’t offer the service or environment that so many people need. This area of

fitness is a largely untapped market, and it’s not a niche, it’s most of the population! Add to this our ageing population, the NDIS and a bigger focus on the likes of exercise for longevity and mental health and I see it as a largely untapped market.”

But Hunt and the Fitness Enhancement team aren’t the only ones taking advantage of the untapped NDIS potential. Others across sectors and industries are following suit.

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HOME CARING Established in 2015 by entrepreneur Jon Kontopos, aged and disability care provider Home Caring has quickly become one of the sector’s most innovative models. Similar to Fitness Enhancement, the idea was spurred by a gap in the market, and just three short years later Home Caring hit the franchise market. Ø

SPOTLIGHT: COMMUNITY

“Jon, along with a few other guys, identified the massive growth potential in the aged care and dementia care sector,” Bill Lockett, Home Caring franchise manager, says.

“Now, just 18 months after launching the franchise model, we have secured 15 franchisees across the country.”

So what’s behind Home Caring’s booming success? Lockett reveals a triple-pronged approach is the catalyst for growth, starting first with the investment model.

The support and service provider operates on an innovative joint venture partnership model.

The franchise has significantly reduced the barrier to entry for franchisees, implementing a low-cost 50–50 initial investment model. When a prospective franchisee signs on to the Home Caring business, they are only required to pay half of the initial investment, with the franchisor committing the remaining 50 per cent.

Once the business reaches profitability, the franchisee then shares 50 per cent of the profits with the franchisor, completing a full-scale partnership.

“We took into account all of the those things that were going into the parliamentary inquiry into franchising, and the royal commission into aged care and looked at how we could improve that franchisee and franchisor relationship, in

addition to helping our partners overcome the issues that new franchisees face,” Lockett says.

It’s a model that has been introduced specifically to help prospective franchisees get into business for less, without compromising on support or structure.

“In a number of cases, we were looking at health professionals and registered nurses working within the health system who perhaps wouldn’t have been able to save the capital needed to purchase a franchise,” he says.

“As a direct response, we set up a partnership arrangement, whereby both the franchisor and franchisee would provide 50 per cent investment. This immediately reduced investment, which was crucial, because in a lot of cases your income does not grow quickly, a large majority of your investment in the first year is actually working capital.”

In addition, Home Caring also provides franchisees with a guaranteed $80,000 salary, encouraging them to take the leap into entrepreneurship.

“We’re looking for health professionals who may be fed up with shift work, who want a five-day week, with a passion for helping people in their local community,” Lockett says.

While the price-point is undeniably the major pull for prospective franchisees, Lockett says the real benefit is the market itself, and Home Caring’s

place within it.

“The business model is the big appeal to people, and because of the government support that is now on offer, people are encouraged to find their own service provider,” he says.

“The industry is growing so rapidly, the number of ageing people is multiplying with Australians living longer and the amount of disabled people still yet to receive their packages is extremely high.”

The franchise manager isn’t wrong.

With NDIS packages funding a range of support activities, such as transport, behavioural and therapeutic support, vehicle modifications and home modification design and construction, the opportunities for franchise businesses to capitalise on the market are ever-present.

MARKET POTENTIAL Targeting a specific customer is critical for any business owner. In fact, marketing departments spend countless hours segmenting and creating buyer personas for that very reason. Most franchisees won’t be involved in that process, but on a grassroots level, customer growth is in your hands. The most successful form of marketing is still word of mouth, and for brands like Fitness Enhancement, catering to clients that others don’t has been a definitive decision. n

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LEADERSHIP

LOCATION LOCATION LOCATION Hot tips for site selection.

HEATH GRAHAM Belgravia Health & Fitness

A

s any franchisor will tell you, location is one of the critical factors to a franchise’s success.

What goes into choosing a location? How does the franchise know that a particular suburb and street will be a winner for the franchisee? It’s time to take a look inside the process of location selection and what you should know as a potential franchisee.

Most site-based franc hise groups should have an experienced property team dedicated to finding and assessing locations on behalf of the franchisee.

This team develops strong criteria, which outline the minimum specifications to ensure the properties selected for sites are prime locations.

CHOOSING A HOT SPOT The first thing considered is the size of the population in the area, the demographic and the direct and indirect competition. By knowing the supply (competitors), demand and unmet demand of a location, property hotspots can be identified where supply is low and demand is high.

Franchisors often have access to large-scale data to be able to assess these key aspects with precision. For example, in the fitness industry, we use a data science provider called ActiveXchange.

This partnership provides access to data-based business and market intelligence from over 350+ gyms and leisure venues, drawing on up-to-date data from over 2.5 million members.

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ON GOOD TERMS

GETTING DOWN TO DETAIL

After a site is chosen, commercial lease terms are negotiated and these are just as important as finding the right location, because these terms impact the longevity of the business and the franchisee’s bottom line.

If favourable conditions can't be agreed upon for a particular location, it may not be the right one even if all the other boxes are being ticked. Terms you can negotiate with the landlord include a free rent period, landlord contributions, the rental amount and the length of contract. It is important to ensure that the lease term corresponds with the franchise term.

After a potential suburb is chosen, additional details are reviewed as potential streets and buildings are considered. The immediate area around the site comes into play – what would foot traffic be like? Is traffic and car parking at an acceptable level? Can customers access the site easily and safely? Can traffic turn into the location from both sides of the street, or does a median strip prevent access on one side? Is it an out-of-the-way location? Is the entry prominent? Are there good positions for signage? Will the franchise fit into the overall retail offering in the area and support local retail business? What’s the condition of the site and how much building and remodelling is required?

CAN YOU CHOOSE YOUR OWN LOCATION? Some franchisees source their own property.

However, most franchisees work hand-inhand with the franchisor due to the intelligence they can access for site selection, their experience and brand knowledge along with their negotiating power.

Due to size and scale, at times a large franchisor could be negotiating on as many as 20 properties with the same landlord or agent. This scale allows access to significant discounts in rental terms and large contributions from landlords, which significantly assists franchisees to reduce set-up costs.

Before negotiations, we discuss with the franchisee their objectives and goals to ensure we tailor the lease terms strategically to their needs and get the best possible deal for them.

HOT TIPS

•

•

• •

WHAT ABOUT NEW GROWTH CORRIDORS?

Growth corridors are considered in site selection. These can be inner suburb locations where housing has become more dense, or urban spread areas in the outer suburbs. Growth corridors don’t necessarily guarantee that a site will be suitable and primed for growth.

Issues to watch out for in growth corridors include: • increase in car traffic: this can make accessing sites and getting convenient parking difficult for customers • mortgage belt enclaves: in new estates with new homeowners, mortgages can become the financial focus for some time, which means disposable income in those areas can be reduced.

• •

Many franchisors provide guidance with location selection and lease negotiations but the level can vary.

One of the critical issues to address in your research of prospective franchise offerings is the amount and type of real estate support.

Site selection is a collaborative effort. Franchisors should be actively involved in the process, offering guidance and insight, while still being mindful of the fact that the franchisee’s name is the one on the signed document.

If you are opening a franchise near where you live, your local knowledge coupled with the franchisor’s experience can be a powerful combination.

Remember, finding the optimal location is not an emotional, gut-feeling type of decision. Look at the data and the facts.

Know your rights regarding exclusivity and what constitutes encroachment on your territory.

Don’t stress about location until you have chosen your specific franchise and you’re towards the end of your research process.

Heath Graham is the Franchise Support Manager for Belgravia Health & Fitness, Australia’s largest operator of fitness and leisure franchises. He oversees the commercial property and franchising teams, which includes involvement in managing existing leases, identifying and negotiating new properties and ensuring the successful project management and opening of new franchise sites.

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“HOW MUCH WILL A FRANCHISE COST?” AND NINE OTHER CRUCIAL QUESTIONS Most people could list a couple of crucial questions for prospective franchisees to ask. One of them is “How much will the franchise cost?”, but this isn’t the only important question.

By Kate Groom

A

lthough people can sometimes be reluctant to ask direct questions, we think it’s important to do precisely that. To help you on your way, here are 10 crucial questions to ask when you start to investigate a franchise.

1. HOW MUCH WILL A FRANCHISE COST? It’s vital to get a direct answer to this question – ideally when you make the first inquiry about the franchise. When we say “cost” we mean every expense you will incur to get the franchise established. This includes the initial franchise fee, training fees, fitout of premises, and equipment, including vehicles. If you’re buying an existing business this includes the cost of the business and any additional fees from the franchisor.

On top of these costs you will also need to pay for legal advice and accounting advice. The reason it’s so important to know this number is that you need to make an assessment of whether you can afford to buy the franchise, and you can’t do that unless you have a good idea of the cost.

2. HOW MUCH OF THE COST CAN BE FINANCED THROUGH LEASES OR LOANS? Regardless of which franchise you consider, you’ll need to use some of your own capital to fund the business. However, you might also be able to finance some or all of the equipment, vehicles and fitout with a lease, loan or chattel mortgage. In some cases a bank may also lend you money to get the business started.

When you know what can be financed you’ll be able to assess whether you are likely to have sufficient funds to get the franchise underway. In our experience it’s vital to consider the financing question early in the process. This will put you in a better position to make decisions on the business and to get it up and running without delays due to financing.

3. HOW MUCH CAN I MAKE? I believe you deserve a good answer to this question – a good response could be something like, “In our disclosure document we provide a snapshot of turnover and costs of existing franchisees.

You are able to see the average of the top, bottom and middle performers, and how many franchisees are in each category.” If the franchise locations vary, the results might be shown for similar groupings.

For an emerging franchise, a good response might be, “We include averages for the main costs, based on the results of existing franchisees, together with monthly sales figures for the first 24 months.”

By contrast, a response of, “We aren’t able to tell you that because the law prevents it” is a poor response and should be considered a red flag.

4. WHAT DOES THE FRANCHISOR DO TO HELP ME SUCCEED? You are looking for a specific response to this question. The franchise salesperson or relevant franchisor employee should be able to tell you precisely how the support program is operated and what the marketing program is. There’s no single “best” franchise support model but you do need to know what help is provided.

5. IS THERE A MARKETING FUND AND IF THERE IS, HOW DOES IT OPERATE? Franchise marketing funds exist to finance promotion of franchisees’ business. However, not all franchise networks have a marketing fund – and even when they do you will need to pay for some local marketing.

If there’s no centralised marketing fund, you should think through how you will promote your business and what that will cost. Ask the franchisor what activities they recommend and what the cost will be both at the start and ongoing.

If there is a marketing fund, find out how it is administered and what input the franchisees have. Ideally there will be a committee that includes franchisor and franchisees. It’s important to note that even where there is a marketing fund you are likely to need to supplement that with local marketing activities.

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6. HOW DO I GET CUSTOMERS? This might seem like a straightforward question but it’s important to ask. For instance, in several franchises we know, most of the revenue arises as a result of referrals from the franchisor. This creates risk for the franchisees because they are relying on someone else to generate business for them.

7. WHO ARE THE PEOPLE IN CHARGE AND WHEN WILL I MEET THEM? This question is about understanding who you are getting into business with. Who is the chief executive or managing director, who are the senior staff and what is their role in the business? How much experience do they have in the industry and in franchising? Although the names of the management team will be in the disclosure document, the recruitment process should ensure you meet these people early in the process

8. WHAT DIFFICULTIES HAS THE BUSINESS ENCOUNTERED AND HOW HAVE THEY DEALT WITH THESE? Every business faces difficulties from time to time. The big question is, what problems has the franchise encountered and how they were resolved? The answer to this question will give you an insight into how the executive team tackles the tough stuff!

9. WHAT IS THE DISPUTE-RESOLUTION PROCEDURE? Disputes arise between franchisees and franchisors, just as they do in other business and family relationships. It’s best to know upfront how the franchise team deals with disputes and whether there is a documented dispute-resolution procedure.

10. DO YOU RECEIVE SUPPLIER REBATES AND WHERE DOES THE MONEY GO? Some franchisors receive rebates from key suppliers. There might be good justifications for this. However, you should clarify what effect the rebates have on the price you pay for goods and services. n

Kate Groom has a background in economics, accounting and franchise management and helps franchisees make better use of planning, communication and technology to improve business management.

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FRANCHISE BASICS

(NOT SO)

RISKY BUSINESS How can I protect my personal assets from the business risk?

By Robert Toth

T

his is a question I am often asked when a client seeks advice about buying an existing business or franchise.

When you set up a company you need to: • protect personal assets from business risks as much as possible, and • minimise tax both along the way and on eventual sale of the business (CGT tax advice).

How do we approach these issues?

The answers require a detailed understanding of the client and their personal circumstances, how they hold their own current assets, the business they are acquiring, the risk involved and then picking the right structure.

PERSONAL CONSIDERATIONS a. Do you own your own home or other valuable assets and, if so, in one or both names? b. Are there mortgages or other securities over the property and assets, so we can determine what actual equity may be at risk? c. Will your partner or spouse work in the business? Are they involved in their own business and, if so, is it a high-risk activity? d. Is the business being purchased high or fairly low risk; for example, does it have to have large stock holding, large creditors, debtors who don’t pay? e. Should you purchase the business assets (contract for sale of the business) or purchase the shares and thereby the company (sale of share agreement)?

There are different considerations and issues to address if buying shares in a company; greater warranties are needed from the vendor of the shares.

CONSIDERING THE ABOVE ISSUES REQUIRES SPECIALIST LEGAL, FINANCIAL AND ACCOUNTING ADVICE. It should also include discussion about estate planning issues.

Also consider what business risks can be covered by insurance.

Understanding directors obligations and liabilities where a company is set up is also important, as directors can be made personally liable for a company’s unpaid taxes, superannuation to employees and the risk of insolvent trading.

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OUR SIX-STEP PLAN:

1. Get specialist advice from a business lawyer and accountant before you sign a contract – plan to buy/plan to sell!

2. Get advisors that are a good fit for your business; not everyone needs a PWC or KPMG (sorry chaps) or can afford them to advise an SME. 3. Pick the right business structure, taking into account present asset protection and risk issues but also looking at the future – for example, capital gains tax when you sell.

Set up firewalls between your personal assets and your business risk.

A firewall means that you distance the business risk and ability of a supplier creditor or other third party from suing you personally and thereby impacting your personal assets.

4. Consider what business risk can be covered by insurance – this may mean having your lawyer review the insurance policy so you actually know what is and what is not covered. We have seen many clients feeling confident they have cover until an event occurs and we then find that event is excluded because they didn’t have the cover they thought they had.

5. Documents are your friend! So make sure all your important arrangements are properly reflected in writing.

6. Ensure you have your will and powers of attorney medical and financial in place.

Now you are ready to go out and concentrate on your business and maximise your returns and limit your risk.

Robert Toth is franchise partner at Marsh & Maher Richmond Bennison. Robert is a Business Law Accredited Specialist, a member of the International Franchise Lawyers Association (IFLA), and a member of the Australian Institute of Company Directors.

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FRANCHISE BASICS

ROADMAP TO MARKETING When you invest in a franchise, you’ll need to market your business.

Here’s a roadmap to follow that will help you drive more business.

By James Lawrence

T

here’s a world of things franchisees and franchisors could do to secure more customers using digital marketing, but it’s hard to know what will drive the most cost-effective results.

benefit from, which can complement responsibilities overseen at the head office level.

Reaching the right balance means a clear top-line strategy and leveraging the economies of scale inherent in franchise networks, while taking advantage of local area differences; market, weather, demographics, competition, community and much more.

While there is no one size fits all approach, there are foundation digital strategies that every franchisee can

It’s important a franchisee gets a handle on how to tap into the head office strategies so as not to double up on activities and make sure consistent messages are presented to market. Top-level strategy is a moving beast.

What was the right marketing approach six months ago may have changed.

A reasonably regular conversation with the head office marketing manager will reveal lots of insights to refine your local

HOW TO GET STARTED WITH FRANCHISEE DIGITAL MARKETING

level approach and use as leverage to boost your local results. You can find out how your franchise customer data can feed into head office remarketing strategies, the social content being developed to promote on the local level, and whether your activities reflect and complement the national messages and strategies.

GOOGLE LISTINGS A FOUNDATION FOR DIGITAL SUCCESS The foundation stone of most local bricks and mortar businesses is Google My Business listings, typically tied to location-based searches. You’ll see this on Google when searching for a product or

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service with an accompanying suburb or city name. When that page loads, a map is presented along with relevant businesses attached to those search terms.

This will be an account set-up by either head-office or franchisee, depending on how your network operates. My digital marketing agency Rocket works with Plus Fitness, which has over 200-locations Australia wide. In this instance local area marketing controls the listing but head office has access in most instances to help work towards consistency. The result has every Plus Fitness gym ranking on the first page of Google for ‘[location] + gym’ searches.

Keep in mind the images you use should be considered with care. Choose vibrant, in-focus images of the correct resolution that reflect your brand guidelines. Video is also a good option. If you’re stuck, head-office will have relevant advice and pictures for you to use. Ensure details are correct like address, phone, opening hours and website. It is crucial to have a proactive approach to managing reviews.

SOCIAL MEDIA HELPS BUILD YOUR COMMUNITY It’s important to cultivate a strong local brand presence on social media platforms.

You’ll be missing out on valuable customer interactions if you don’t.

Social media takes time, but a consistent approach driven to build a community through stories and personal behind-thescenes insights, images and helpful advice will reap rewards. A content calendar will help you commit.

Don’t feel you need to produce a new piece of content daily. For most local businesses it is enough to have four to eight pieces of quality content per month, which can be cut into different instalments, such as a competition that plays out over a few posts. Consider sharing the load by assigning various team members to produce content.

To boost leads, competitions give a reason to build the page, especially referral competitions. Offering your community incentives to refer business your way can be both engaging for your audience and you can directly see its value to your business.

TAKE ADVANTAGE OF FACEBOOK AND INSTAGRAM AUDIENCE INSIGHTS Keep in mind that every person who engages with your business pages on Facebook and Instagram should be added to a remarketing list using the Facebook pixel. In your

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Facebook Business Manager, you can create custom and lookalike audiences based on page engagement, video watchtime, and even users on social media who have taken a sequence of actions across multiple posts.

Take the time to play around in the Facebook Business Manager, beyond just boosting posts. Start slowly with your investment to learn the features and benefits. Over time you’ll see with more people engaging with your brand on social, the more valuable this audience becomes.

Overall, the roadmap to digital success find its direction from good communication with head-office which then leads to expressing individuality with Google and social media that drives more business to your door. n James Lawrence is the co-founder of multiaward winning Australian digital marketing agency Rocket, which works with national multi-location and franchise brands like Plus Fitness. James is co-author of best-selling marketing book Smarter Marketer which was published in July this year. He is currently a finalist for Australian Marketer of the Year in the prestigious B&T Awards.

FRANCHISORS

LOOKING FOR NEW FRANCHISEES? INSIDE FRANCHISE BUSINESS

industry leading platform Now in our 17th year

CONTACT US

for an obligation free discussion on how we might be able to assist David Strong

M: 0411 366 656 david.strong@octomedia.com.au

Charlotte Redfern

M: 0451 672 967 charlotte.redfern@octomedia.com.au

www.franchisebusiness.com.au

No limit to the number of franchise opportunities for sale you can post online

As a marketing leader with 3 brands which include Boost Juice, Cibo Espresso & Salsas, Retail Zoo has utilised the many platforms available to us through Inside Franchise Business.

For a number of years we have continued to use the website, print media, e-shots and editorial options that have yielded great results.

David and the team at Inside Franchise Business are always available to provide their expertise; whether it is in regards to ad content or new campaigns that will assist us with our recruitment strategy across all of our brands.

ALI KURTDERELI,

We are a relatively new franchise system to Australia and have been using Inside Franchise Business magazine and website as our main source of advertising.

We have been using Inside Franchise Business for 12 months and have found the quality and number of leads to be very high.

Through Inside Franchise Business during this period we now have 10 new active franchisees.

MALCOLM REES

Director, World Options

Franchise Development Manager, Retail Zoo

I have been working with Inside Franchise Business for 15 years and they have assisted me with my recruitment objectives over this time on the various business I have been involved with.

I have utilised Inside Franchise Business’ magazine, e-shots, sponsored content and website for recruitment, and have been happy with the results provided.

Franchisebusiness.com.au keeps everyone updated on news and events in the franchise industry and is a trusted, non-biased source of information for the industry.

I have been working in franchising for over 20 years, and Inside Franchise Business has been very consistent over the years and has long-serving committed staff who have driven the brand to great heights.

Inside Franchise Business is always moving with the times. Hudsons Coffee looks forward to continuing our relationship with Inside Franchise Business over the next 12 months.

GARY GLEN, Franchise Sales Executive, Emirates Leisure Retail

If you are looking to recruit franchisees for your system then look no further than franchisebusiness.com.au.

Inside Franchise Business is critical to our franchise recruitment success, and has assisted us with a number new franchisees over the past 10 years.

At Poolwerx we have been proud supporters of franchisebusiness.com. au and Inside Franchise Business magazine for over a decade.

MIKE GEDDES

Franchise Development Manager, Poolwerx

FRANCHISE BASICS

HOW HR IN A FRANCHISE CAN HELP IN A CRISIS

There’s no time like the present to put the spotlight on the importance of expert HR advice for franchisees.

GAVIN CATOR HR Dept franchisee for Southern Riverina NSW & North East Victoria.

H

uman Resource management is vital in challenging times such as these, even for a small franchise outlet. Each franchisee is a business-owner who may have employer obligations, while still being part of a larger group. As a business owner, every franchisee must comply with government rules and regulations which can at times be complex.

This is where membership of a franchise network can really prove invaluable though. There are definite advantages to having the support and experience of a franchisor’s HR department to help you grapple with the issues and find a workable solution.

HOW COVID-19 PUT HR IN THE HR ASSISTANCE — WHY IS SPOTLIGHT IT IMPORTANT? If you look at the current crisis there have been several short-term solutions for employers suffering an unexpected drop in revenue due to COVID-19: Job Keeper, reducing hours worked, standing down employees or making them redundant.

Each business will make its own decisions but franchisees would need to consider the longer term human resource implications.

And now we are discussing reducing government-imposed restrictions in Australia, so what would this mean to franchisors, franchisees and their employees?

Let’s continue with the COVID-19 situation... to illustrate how important HR help is, imagine yourself already a franchisee running your own business.

It is important as a business owner to work closely with your accountant or business advisor to undertake a business projection modelling process for various timeframes, in the short-term to help determine the hours and employees needed to keep the business operational.

However, while it is important to consider all the human resource initiatives to keep the business operating, you would need to keep in mind what this means as we transition out of the situation.

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Continued communication with staff would be critical to let them know what the business situation is and talk to them about your circumstances and how it may impact on them as you would receive valuable input from employees.

You would need to be mindful of their HR obligations under the Fair Work Act and the various Awards and Employment agreements in relation to employee consultation and amendments to conditions of employment such as change of roles and duties.

This is where the HR professional is vital, to ensure the proper processes are undertaken. The franchisee, and the franchisor, must comply with the Fair Work Act, any relevant awards, or the employment agreement in the Fair Work Commission.

THE FUTURE- WHAT DOES IT HOLD? Currently business survival is top priority, but shrewd business owners will bear the future in mind too, considering wellbeing strategies for impacted employees and a transition from the current business model to the new business as usual model.

Each franchisee, and on a larger scale the franchisor, should take HR advice to ensure compliance with all necessary regulations while changing the business model.

Good HR practices strengthen the business model and help prevent workplace errors. As a franchisee with staff, take your lead from the franchisor, and tap into the professional advice on offer.

Contact us at www.hrdept.com.au for more information or to get in touch. n

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Continued communication with staff would be critical to let them know what the business situation is and talk to them about your circumstances and how it may impact on them as you would receive valuable input from employees.

FRANCHISE BASICS

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5 THINGS ABOUT THE

FRANCHISING CODE OF CONDUCT Australia’s Franchising Code of Conduct is the foundation of the highly regulated sector. Check out what you need to know ...

1. IT IS FRANCHISING’S FRAMEWORK

3. FINANCIAL PENALTIES EXIST FOR NON-COMPLIANCE

The document outlines the rights and responsibilities of the franchisee investing in the business, and the franchisor, who runs the franchise system. It is designed to create the framework for a balanced relationship between franchisor and franchisee, where the franchisor’s power is not wielded to the detriment of the franchisee.

There is an obligation under the code for both the franchisee and franchisor to act in good faith. However, this doesn’t prevent the franchisor from taking commercial and competitive business actions. Good faith is relevant for the entire franchise relationship, from the negotiation stage to the termination of the agreement.

2. GOOD FAITH IS A PRINCIPLE

4. TRANSPARENCY IS CRUCIAL

There is an obligation under the code for both the franchisee and franchisor to act in good faith. However, this doesn’t prevent the franchisor from taking commercial and competitive business actions. Good faith is relevant for the entire franchise relationship, from the negotiation stage to the termination of the agreement.

The document requires the franchisor to be transparent in its dealings with franchisees. Of particular importance are clarity on marketing and advertising costs and use of the marketing fund, as well as transparency in franchisor/ franchisee e-commerce transactions.

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5. THERE’S A RISK FOR FRANCHISEES The code is designed to create a balanced franchise relationship but it cannot protect franchisees from normal business risk.

Franchisees are expected to undertake effective due diligence of the franchise system, the franchisor and all elements of the proposed agreement.

For instance, the code has no power to impact elements of the agreement such as franchise fees.

A number of changes have been made to the code over the years to redress the inherent imbalance between franchisor and franchisee, but there will always remain some risk for everyone involved. n Read more about the Code here .

FRANCHISE BASICS FRANCHISE BASICS

LEARNING THE

BUZZWORDS

Like any area of endeavour, the franchise sector has its own particular terminology that new franchisees need to understand.

ACCREDITATION

a banking loan scheme that provides franchisees with some of the finance they may need when buying the franchise. It is based on a bank’s understanding of the brand and its business methods. While this funding option is popular, it is not common across the sector.

ASSIGNMENT

when a franchisee sells their business to a new franchisee, it is referred to as assignment. It is common for the franchisor to retain the right to interview and accept or reject any proposed buyer. The franchisor may also have the right to buy back the franchise. The vendor franchisee can set the value of the franchise.

BUSINESS-FORMAT FRANCHISE

a business model with four criteria – a franchise agreement, a trademark or symbol, payment of a fee, and a system or marketing plan. A franchise business falls under the jurisdiction of the Franchising Code of Conduct and franchisors have certain obligations to fulfil.

COMPANY-OWNED UNITS

locations run by the franchisor rather than a franchisee.

CONVERSION

an existing independent business that joins a franchise network.

DISCLOSURE DOCUMENT

this document provides information about a franchise system, the franchisor and the franchised business. It must be supplied to a prospective franchisee in accordance with the Franchising Code of Conduct.

franchisees, with a focus on relationships, brand alignment, and sales and profit. This role might also be called business development manager or area manager.

FIXED SERVICE FEE

franchisees may pay their franchisor a weekly or monthly fixed-amount payment, or a service fee calculated as a percentage of turnover (above a minimum payment).

FRANCHISE AGREEMENT

this is the legally binding business between the franchisor and the franchisee.

FRANCHISEE

an individual who runs a franchised business using the intellectual property of the franchisor.

FRANCHISEE ADVISORY COUNCIL

a structure for franchisors to seek and receive feedback from their franchisees.

Participating franchisees may be elected or chosen by the franchisor.

FRANCHISE FEE

an up-front cost paid to the franchisor. It covers the use of the brand name and business system.

FRANCHISING CODE OF CONDUCT

a mandatory code that governs franchising in Australia. It is designed to guide the behaviour of franchisors and provide certain protections to franchisees. It is administered through the Australian Competition and Consumer Commission (ACCC).

FRANCHISE TERM

DUE DILIGENCE

the process of conducting in-depth research on a business before purchase.

this is the period granted for trading under the franchise agreement. Most franchise terms are on a renewable three or five year term but they can vary from one year to perpetuity. Franchisors often refer to a term with two options to renew as 5 + 5 + 5, for instance.

FIELD MANAGER

FRANCHISOR

an individual tasked with managing a group of

the franchisor grants permission to the franchisee to

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conduct business using its intellectual property, brand name, working methods and marketing.

GREENFIELD SITE a brand new site.

franchise business. The franchisor may produce several manuals for different areas of the business, and should regularly update the information.

REGIONAL FRANCHISEE

GOODWILL

this is a calculation of the value of trade in an existing business that is likely to continue and benefit the incoming business owner.

INFORMATION STATEMENT

this is a two-page standard document that outlines what franchise buyers need to know about franchising.

INTELLECTUAL PROPERTY

this term refers to the trademarks, copyright, know-how, trade secrets, designs, patents, branding, operational manuals, methodologies and/or recipes franchisors license to franchisees.

LICENSE

the right to use intellectual property in business, such as sales rights in a territory, manufacturing technology or access to a trademark. A license is not the same as a franchise.

LOCAL AREA MARKETING

often abbreviated to LAM, this is marketing the franchisee is responsible in their territory or designated marketing area.

MARKETING & ADVERTISING LEVY a regular flat or percentagebased-fee paid into a centralised advertising or marketing fund.

MASTER FRANCHISEE

a franchisee who is responsible for a large territory, appointing other franchisees within the territory with direct agreements, and ensuring that the franchisor’s systems and methods are applied.

similar to master franchisees, regional franchisees operate a large territory and appoints franchisees within the area.

RENEWAL

once a franchise term nears its end, franchisees may or may not be given a right to renew their agreement for a further term. This process is bound by the Franchising Code of Conduct. There is no automatic right of renewal.

ROYALTY

fee paid by the franchisee to the franchisor for the ongoing use of the brand and systems, management and technical support. It may be a flat fee or a percentage of sales or profit.

TERMINATION

the ending of the franchise contract between franchisee and franchisor, usually for breach of contract. Some franchise agreements allow the franchisor to terminate the agreement even if the franchisee has not breached the agreement.

TERRITORY

is the area assigned to franchisees for their business. Territories can be exclusive or nonexclusive.

TOTAL INVESTMENT

the total amount of money a franchisee requires to set up in business. This includes the franchise fee, working capital and any equipment purchases required.

TURNKEY FRANCHISE

MULTI-UNIT FRANCHISEE

a franchise package that includes all the equipment, information and systems required for a franchisee to open up the business and start trading.

OPERATIONS MANUAL

the funds required by any business to pay its costs before it starts making a profit, and as ongoing cash flow to counter any dips in business activity.

a franchisee who has been granted the rights to run more than one franchise outlet. Not every franchise system allows for franchisees to be multiple operators. the franchisee’s guide to operating the

WORKING CAPITAL

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FRANCHISE BASICS FRANCHISE BASICS

BUYING A FRANCHISE:

THE PROCESS

It can take three months or 18 months to find and open up a franchise.

This is the typical path that will take you to franchise ownership.

1. MAKE AN INQUIRY

Fill out an inquiry form or phone the recruiter for further details of the franchise opportunity that appeals.

4. CONFIDENTIALITY

The franchisor will ask you to sign a confidentiality agreement before sharing sensitive information with you.

Expect a copy of the disclosure document, draft franchise agreement and the Franchising Code of Conduct, plus an information statement.

Your franchisor might also send more commercially sensitive information to help you consider the viability of the franchise opportunity and build your business plan.

7. PROVE YOURSELF

You will need to create a business plan and show to the franchisor you have the capacity to take ownership of and drive this particular franchise unit.

A follow-up meeting will enable you to ask further questions following on from your due diligence, and for the franchisor to further quiz you.

2. FRANCHISOR RESPONDS

3. FIND OUT MORE

5. FIRST MEETING

6. CONDUCT DUE DILIGENCE

If you have emailed an inquiry, typically a franchisor will send out an information pack to you, and follow this up with a phone call.

This is the time you will get a much clearer idea of the business, and the franchise team you will be working with.

8. OTHER STEPS

Some brands can include a number of interviews, try-before-you-buy work experience or a panel review.

The franchisor might ask you to complete a profiling assessment.

Fill out an inquiry form or phone the recruiter for further details of the franchise opportunity that appeals.

This is a crucial stage, so take your time and be thorough in your research. You will need to sign a document confirming that you have received independent advice, or that you have decided not to do so.

Obtaining expert opinion from franchise-experienced professionals can save you money in the long term, so it is a worthwhile investment.

9. DON’T RUSH IT

The process to get from inquiry to sign-up could be a matter of weeks, or it could be months.

Buying a franchise is a significant, long-term commitment. It is important not to rush the process.

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THE

INFLUENCERS

Who will be driving the business that you invest your hard-earned dollars into?

W

hat influence will the franchise team have over your future? Here we look at key roles in a larger franchise business that will be shaping the direction and operation of the network. Not every business will include each role and in a small franchise set-up the franchisor will be wearing several, or all, of these hats.

tial in the company’s long term success.

Any funding for marketing or development initiatives will be approved by the CFO. The CFO manages the finance and accounting divisions and takes responsibility for the accuracy and timeliness of the company’s financial reports.

CHIEF EXECUTIVE OFFICER/ MANAGING DIRECTOR

A CIO has responsibility for the implementation, management and efficacy of information and computer technologies, vital in today’s digital world.

It’s the CIO who will investigate the benefits of any proposed technological change, and then implement the system - a website or inventory software, for instance.

The role is increasingly strategic and directed to gaining and maintaining the competitive advantage of a business.

The top ranking executive in a company, the CEO is focused on directing high level company strategy and growth.

In a smaller company, the CEO’s role includes operational business decisions and they may be much more hands-on on a daily basis.

In a larger business the CEO may have a position on the company’s board, and act as the link between corporate operations and the board of directors.

The founder of a franchise typically takes a CEO role.

CHIEF MARKETING OFFICER

CHIEF OPERATING OFFICER/ OPERATIONS MANAGER

A COO/operations manager essentially works with the CEO to implement the strategy, making the decisions on how to achieve the goals set out. The role is typically responsible for daily operations, production, research and development, creating operational policies, and HR. The operations manager can influence the franchise business performance through resource allocation, cost reduction, improved efficiencies, the introduction of high quality products and services.

In a franchise where the founder is the CEO, the COO may be the more experienced executive.

CHIEF FINANCIAL OFFICER

CHIEF INFORMATION OFFICER

This senior executive reports to the CEO but plays a strategic role in the way the company manages its finances, investments, and capital structure and is influen-

The CMO is essentially charged with increasing revenue through increased sales using market research, product marketing, pricing, marketing communications, advertising and public relations.

Responsible for directing the planning, development and implementation of the franchisor’s marketing and advertising campaigns, ensuring a common message across multiple channels and platforms, the CMO reports directly to the CEO.

GENERAL MANAGER

A general manager has overall profit and loss responsibility for the company, and usually oversees sales, marketing and daily business operations.

The responsibilities of the role may be incorporated into a CEO role.

FRANCHISE RECRUITMENT MANAGER

The franchise recruitment manager is responsible for attracting franchise buyer enquiries and for the recruitment selection process, increasingly working with managers from other divisions and

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the CEO or MD in the final selection.

The franchise recruitment manager needs to meet internal recruitment targets and ensure franchisees are a match for the franchise brand.

BUSINESS DEVELOPMENT MANAGER/FIELD MANAGER:

Variously called a BDM, regional manager, field or area manager, this role is the interface between the franchisee and franchisor. Responsibilities include helping franchisees achieve their business goals, ensuring brand compliance across the network, communicating brand direction and strategy to franchisees.

TRAINER

The person or team who will set up a franchisee to run the business.

Responsibility for training may fall under operations or general management.

Training may involve technical skills, customer service, business basics, and operational procedures. The trainer may train franchisee staff.

PR AND COMMUNICATIONS

How the brand is presented in the media, how the brand engages with social media, how brand damage is mitigated...all these are influenced by the team that handles PR and corporate communications. This may be an internal team or an external agency.

SUPPORT TEAM

The individual employees at head office who manage, monitor and deal with queries, requests and complaints from franchisees.

FRANCHISE ADVISORY COUNCILLOR A franchisee member of the Franchise Advisory Council which is typically involved in providing frontline feedback from franchisees to the franchisor, and in assessing and trialling new initiatives.

FRANCHISE BASICS FRANCHISE BASICS

30

THINGS TO CHECK R BEFORE YOU INVEST

Get set prior to your purchase with our easy checklist.

Just tick off the must-do items.

Are you confident in the franchisor?

Have you worked out your operating costs?

What are the franchisee and franchisor obligations?

Have you seen a disclosure document?

Do you know the term of the agreement?

What training is available and who pays for it?

Is the franchisor compliant with the Franchising Code of Conduct?

Do you need a permit or license to operate the business?

Who owns the intellectual property and what is licensed to the franchisee?

Have you run a credit check on the franchisor?

Is the business operating from fixed or mobile premises?

What marketing will the franchisor implement?

Does the franchisor have a history of litigation? Are there any cases coming up?

Have you checked the lease? Is there a right to renew?

What marketing is your responsibility?

If you are buying an existing business, have you seen current financial statements (balance sheets, profit and loss, tax returns)?

Does the length of the lease match the franchise term?

What is the dispute resolution process?

Have you evaluated the financial returns?

What are the store fit-out costs?

Do you know what it is like to be a franchisee?

If you are buying a greenfield (brand new) site, do you have sales and profit examples and know the method behind the calculations?

Are you working within a territory? If so is the area exclusive?

Do you have an exit plan?

Do you know all the expenses franchisees are required to pay?

Are you restricted in your product purchase?

Have you spoken to former and current franchisees about the business?

What royalties are there and how are they calculated?

Are you required to reach a minimum performance level?

What restrictions are there on the franchisee and guarantor operating a similar business?

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RESOURCES AUSTRALIAN COMPETITION AND CONSUMER COMMISSION (ACCC)

legal, financial educational and training, IT and other services.

The ACCC is an independent Commonwealth statutory authority which regulates the mandatory Franchising Code of Conduct (Code) and can investigate alleged breaches of the Code.

The ACCC is responsible for enforcing the Competition and Consumer Act 2010 as well as legislation, promoting competition, fair trading and regulating national infrastructure.

Its role is to protect, strengthen and improve the way competition works in Australian markets and industries.

Visit: WWW.ACCC.GOV.AU

BUSINESS.GOV.AU

This website is an online government resource for the Australian business community which gives the public access to government information, forms and services for all things business. It is aimed at assisting individuals or a group of people to plan, start and grow their business.

New business owners can access the advice finder, events calendar, grants and assistance finder, a directory of government and business associations, planning templates, business videos, and business checklists.

Business topics include emergency management and recovery, finance, recruitment, environmental management, fair trading, taxation, online business, franchising, importing and exporting, intellectual property and training Visit: WWW.BUSINESS.GOV.AU

FRANCHISE COUNCIL OF AUSTRALIA

The FCA is the main body for representing franchisees, franchisors and service providers in the $146bn franchising sector in Australia.

Becoming a member of the FCA is a voluntary and is available for any organisation or anyone involved in the franchise industry including franchisees.

Visit: WWW.FRANCHISE.ORG.AU

FRANCHISEBUSINESS.COM.AU

This is the online arm of the Inside Franchise Business publication. Both platforms are focused on providing essential advice and information for anyone looking to invest in a franchise. The website provides short and snappy business tips and news, video interviews, industry commentary and market reports.

FranchiseBusiness.com.au lists franchising opportunities available in Australia. Potential franchisees looking to move into the franchising sphere can explore opportunities that currently exist in the market and enquire about the franchisor or brand.

Users also have access to franchise consultants and advisors who can assist prospective or existing franchisees and franchisors with

Visit: WWW.FRANCHISEBUSINESS.COM.AU

FRANDATA

FRANdata is the home of the Australian Franchise Registry which identifies franchise brands that have up-to-date franchise agreements and disclosure documents, and which have confirmed with the Registry their compliance with the Franchising Code of Conduct.

FRANdata also provides reports on the franchising sector.

Well established in the US since 1989, the business was established in Australia in 2013 to help the franchise sector address key strategic challenges and take advantage of opportunities available to qualifying brands.

Visit: WWW.FRANDATA.COM.AU

FRANCHISE.ED

Franchise.ED (previously Asia-Pacific Centre for Franchising Excellence) was created to help people find independent information and research on franchise best practice.

FranchiseED is a Not for Profit which provides education to encourage best practice; provides consultancy services; and provides access and dissemination of quality franchise research. The revenue generated by these programs will help support the social enterprise programs of FranchiseED. It extends upon the work undertaken previously by the Franchise Centre at Griffith University with the transformation into FranchiseED. Visit: WWW.FRANCHISE-ED.ORG.AU

THE FAIR WORK COMMISSION

Fair Work Commission (the Commission, previously called Fair Work Australia) and the Fair Work Ombudsman (FWO) are independent government organisations that regulate Australia’s workplace relations system but have different roles.

The Commission is the independent national workplace relations tribunal. It is responsible for maintaining a safety net of minimum wages and employment conditions, as well as a range of other workplace functions and regulation.

The FWO enforces compliance with the Fair Work Act, related legislation, awards and registered agreements. It also helps employers and employees by providing advice and education on pay rates and workplace conditions.

Visit: WWW.FAIRWORK.GOV.AU

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Phone: 0418 136 156 Contact: Shayne Boogaard, NSW szh@7eleven.com.au Phone: 0408 175 534 Contact: Peter O’Hara, VIC pwo@7eleven.com.au

A-Z LISTINGS

Phone: 0407 877 674 Contact: Brett Reading, QLD bzr@7eleven.com.au Phone: 0436 658 741 Contact: Edris Mukarram, WA ewm@7eleven.com.au

Phone: 1300 287 669 Fax: 1300 795 287 Contact: Steve Wren steve@ats.com.au www.appliancetaggingservices.com.au Start up costs from: $57,000 + GST

Start up costs: $400,000 to $1,000,000 PROFILE: 7-Eleven is the largest convenience and independent petrol retailer in Australia with more than 700 stores across VIC, ACT, NSW, QLD and WA. We opened our first store in 1977 and have almost 40 years’ experience in franchising.

When you buy a 7-Eleven franchise, you buy two things. Firstly a globally recognised brand name, and secondly a business system that works, one that provides more support than most other franchises. As our stores are open 24/7, support is just a call away 24 hours a day, 7 days a week.

We are looking for Franchisees who have the potential to lead their team to deliver an outstanding experience to customers. Learn more about what it takes to be part of a partnership in success with 7-Eleven, at www.franchise.7eleven.com.au

PROFILE: Looking for a franchise with on-going repeat business, large territories and access to an existing client base to get you started?

ATS are Australia-wide 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 56 franchisees grow profitable and successful businesses.

No prior electrical experience is required - just a passion for safety and a commitment to growing your business. With low entry fees and minimal franchisee administration, an ATS franchise may just be the opportunity for you.

Phone: 0447 891 158 Contact: Greg Prussia gprussia@bedshed.com.au www.bedshedfranchise.com.au

Phone: 1300 361 397 Website: www.aussie.com.au/business-opportunities Start up costs: $5,000 - $150,000

Start up costs: $700,000 - $900,000

PROFILE: Have you considered a Mortgage Broking Business? Talk to Aussie today for more information When one door closes, other door opens.

If you’re a professional looking to get a foot in the door as a Mortgage Broker, talk to Aussie. We’ve been in the business almost 30 years and we’re continuing to grow. With more than 200 retail stores nationally we want to help you build a thriving business. We have the training, the support and a number of options to cater to your budget, big or small.

PROFILE: Bedshed is an accredited franchise business model led by a professional management team. Backed by over 35 years of successful operation, Bedshed provides support, specialised advice, training and a proven structure which takes a lot of the risk out of running your own business.

With 37 stores in a growing network Bedshed is committed to partnering with franchisees to help them achieve business success, while offering flexible hours and a fulfilling lifestyle.

Let us help you open the door to your very own Mortgage Broking Business.

Talk to our friendly team today.

Phone: 04 1251 1630 Contact: Kevin Bugeja kevin@franchise4u.com.au www.cowch.com.au

Phone: +61 (3) 8593 45 46 Contact: Ali Kurtdereli boostinfo@retailzoo.com.au www.boostjuice.com.au/franchising

Start up costs: $500,000 - $700,000

Start up costs: $220,000-350,000 plus GST PROFILE: Boost Juice is one of the world’s most famous and loved smoothie and juice brands.

With its winning combination of fresh fruit and love life ethos, Boost Juice offers a healthy alternative to fast food and strives to have customers leave feeling just that little bit better. For further information regarding franchising with Boost, get in touch with Boost franchising today!

A-Z L I S T I N GS

FOR A-Z LISTINGS ENQUIRIES CONTACT:

PROFILE: Cowch Dessert Cocktail Bar is Queensland’s most innovative dessert and cocktail offering. Moo-ving forward during these times of challenges, we are still solid enough in our business model to continue expanding our herd.

Our goal is to become the most systemised franchisor in Australia, and eventually, the world. And now is the time to do it.

We are all about innovation, processes and the most creative desserts and cocktails. If you want contentment from Monday to Sundae after ice-olation, enquire now at www.cowch.com.au/franchising

Phone: 0427691407 Contact: Rob Zammit rzammit@focalpointcoaching.com www.focalpointfranchise.com.au Start up costs: $89,950 PROFILE: FocalPoint Business Coaches have exclusive access to the training and coaching techniques of Brian Tracy, a name synonymous with business success. Our excellent reputation and highly regarded programs are unrivalled and provide instant brand credibility, prestige and trust in the business community.

FocalPoint partners with experienced individuals who are self-motivated and looking for a business opportunity that offers a lifestyle plus adds value to your community. If you are a leader with at least 15 years business experience and you want to be in control of your financial future, take the next step and find out more about a FocalPoint franchise.

CONTACT SENIOR ACCOUNT MANAGER CHARLOTTE REDFERN ON 02 8224 8373 CHARLOTTE.REDFERN@OCTOMEDIA.COM.AU

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Phone: 1300 658 311 Contact: Bill Lockett info@homecaringfranchise.com.au www.homecaringfranchise.com.au

Phone: 1300 097 857 Contact: Franchise Sales Team Sales.au@inxpress.com au.inxpress.com/franchise-opportunities

Start up costs: $80,000 - $120,000

Start up costs: $64,950 + GST

PROFILE: Home Caring provides an opportunity to be part of one of the fastest growing sectors in the Australian economy – disability, aged and dementia care. As the population ages, it is anticipated that the number of people over 65 will double in the next 30 years and the number of people accessing the NDIS will grow from 250,000 to over 475,000.

Proudly Australian owned, Home Caring provides professional and compassionate personalised care services in the home and is seeking community minded franchisees who can build a solid financial future combining their local networks and the national marketing of the Home Caring and Dementia Caring brands.

Home Caring is offering health care professionals a limited number of locations in a partnership arrangement, enabling more people to become involved in the industry at a lower entry cost. Full training and support is provided to ensure a successful, profitable partnership.

PROFILE: InXpress is a global express logistics business with over 380 franchisees, located in 14 countries, providing consultative services and innovative software to SMEs. Founded in 1999, InXpress has a long history in managing successful businesses, with the know-how to train and support franchisees in running a sales and business management franchise.

InXpress has established strong relationships with global courier partners, providing access to highly competitive rates, leaving you free to concentrate on sales and build your own successful and profitable start-up business: • Low entry and ongoing costs • Proven model for over 20 years, constantly evolving • Comprehensive training and ongoing coaching • No inventory, warehousing, vans or trucks • No employee base initially, opportunity to grow • Potential to earn unlimited passive income • Ability to work from anywhere!

For more information about becoming an InXpress Franchisee, contact us now

Phone: 0459 654 146 Contact: Andrew Lyme Andrew.Lyme@justbettercare.com justbettercarefranchise.com

Phone: 03 9604 9400 Fax: 03 9419 7735 robert@mmrb.com.au www.marshmaher.com.au

Start up costs: From $65,000 - $200,000+ PROFILE:

PROFILE:

Just Better Care is one of Australia’s largest franchised providers of in-home care services to the disabled and elderly and is an Approved Aged Care Provider and provides Disability Services under the NDIS.

Well recognised and published franchise specialist with over 30 years industry knowledge and experience.

We assist customers to live in their own homes, providing a wide range of in-home aged and disability support services, keeping our customers safe and connected to their community.

Just Better Care Just Better Care is a unique business opportunity in a stable yet high demand and fast growing business sector.

Franchise business owners are provided full training, operational, marketing, compliance and IT & system support.

Providing advice to: 1. International Franchisors and Franchising.

2. Master Franchising.

3. Dispute Resolution – Solutions and Strategies

Phone: 02 9472 8555 Contact: Peter Elligett info@mrsfields.com.au www.mrsfields.com.au Start up costs: From $199,000 + GST

PROFILE: Morgan Mac Lawyers is an experienced commercial law and commercial litigation firm with a specific focus in franchising law.

Bill Morgan, has over 20 years’ experience in complex commercial litigation involving disputes between franchisors and franchisees. Since 2016, Morgan Mac Lawyers has acted in over 40 franchise dispute mediations.

The franchise related legal services Morgan Mac Lawyers provides include: • • • • • •

Advising on franchise documents Franchise employment law advice Preparing franchise documents Risk and compliance advice Commercial and retail leasing Privacy and privacy policy advice

Inside Franchise Business brings potential franchisees news, insights, advice and a directory of available franchise opportunities: it is your essential guide to buying a franchise in Australia.

Visit our website to find out more!

Franchisee Advice and fixed fee reports.

Sale/ Purchase of franchise systems.

IP/ Trademark advice.

Company structures and tax advice.

CCC and Consumer Law advice.

We provide clients fixed fees based on the scope of work.

Contact Robert Toth on (03) 9604 9400 or by email at robert@mmrb.com.au

Phone: 07 3221 2221 Contact: Bill Morgan info@morganmac.com.au www.morganmac.com.au

• Commercial litigation • Alternative dispute resolution and franchise mediation • Franchise Dispute solutions • Corporate and business structuring • Purchase or sale of franchise businesses

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PROFILE: Mrs. Fields Bakery Café is more than a Café… Mrs. Fields is all about making people feel good through simple, special moments. Whether it be nibbling on a softbaked cookie, enjoying an award-winning coffee, roasted exclusively by Mrs. Fields or sitting down to grab a bite for lunch – whether it be a toastie, a pie or any of our other savoury offerings… we want to serve up moments made better, every time.

We have a number of delicious franchise opportunities available around Australia, so if you’re ready to call the shots and run your own Mrs. Fields Bakery Café, contact us today.

A-Z L I S T I N GS

www.franchisebusiness.com.au

FOR A-Z LISTINGS ENQUIRIES CONTACT:

NATIONAL SALES & MARKETING MANAGER DAVID STRONG ON 02 8224 8370 DAVID.STRONG@OCTOMEDIA.COM.AU

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A-Z LISTINGS

Phone: 1800 809 913 Fax: 03 8699 1555 Contact: Anna Goncalves franchising@questapartments.com.au www.questfranchise.com.au

A-Z LISTINGS

Start up costs: $750,000 upwards PROFILE: Quest Apartment Hotels is the largest and fastest growing apartment hotel operator in Australasia, with a network of over 170 franchised properties across Australia, New Zealand and Fiji.

For 30 years, Quest has provided convenient locations, reliable standards and flexible living conditions for extended stay business travellers.

Quest is now one of the top 15 apartment hotel providers in the world, and widely recognised as the market leader of apartment hotel accommodation in Australia.

To become a Quest Franchisee you must be prepared to make a significant investment and commitment to the business, both personally and financially.

Phone: 0411 965 531 Contact: Otti Faska afaska@quicklane.com Quicklane.com.au Start up costs: $250K+ PROFILE: Quick Lane Tyre & Auto Centre is a recognised global brand with over 1,100 licenced and franchised locations worldwide.

The Quick Lane brand was born out of customer research and feedback regarding their needs in an automotive repair centre. It became clear that consumers regard transparency, convenience, confidence and a stress-free environment as their priorities. Our mission is therefore to provide convenience with confidence by maintaining a transparent and consultative relationship that keeps customers coming back again and again. Customers are now keeping their vehicles for longer, and this offers a brilliant opportunity to launch a customer-focused tyre and auto brand in Australia.

Quick Lane offers 14 maintenance and light repair services with tyres and Vehicle Health Checks as the catalyst to the repair and/or replacement of key parts around vehicle. Our goal is to provide customers with a trusted place for service that is convenient, transparent and price-competitive by having certified managers and technicians on hand to advise the repair needs in an inviting, no-pressure environment.

Phone: 02 9114 9955 Contact: Linda Sultmann enquiries@signwave.com.au www.signwave.com.au

Phone: 1300 991 104 Contact: Alex Johnson alex.johnson@swimart.com.au www.swimart.com.au

Start up costs: $300,000 for a new centre

Start up costs: Approximately $45,000 (for a mobile franchise), to $180,000 - $250,000 plus stock (for a retail store)

PROFILE: There’s a bright future in signage with our group growing 40% in the past 5 years!

SIGNWAVE is a recognised brand in the Australian B2B market for print and signage. With a product range that is so much more than signs, including vehicle graphics, interior décor, point of purchase, exhibits and displays. Get both lifestyle and financial returns with our B2B model and the support to have you be an expert day one. SIGNWAVE is part of FASTSIGNS the multi award winning North America Sign and Graphics franchise with over 700 centre worldwide. We have both new and resale opportunities available in key metro areas.

PROFILE: Swimart is one of the most successful and well-established pool and spa businesses in Australia and New Zealand. Over 35 years, Swimart has cemented itself as the trusted name in pool care amongst pool and spa owners, with 76 retail & mobile outlets and more than 250 dedicated mobile service vans across Australia & New Zealand. It’s an exciting time for this industry, with Australia boasting the highest rate of pool ownership in the world. Swimart is well placed to take advantage of this growth. It has developed strong consumer brand awareness in Australia and New Zealand, and is renowned for its expertise, experience and great customer service

Phone: +61 492 837 020 Fax: +1 416 646 0366 Contact: Greg Sweney opportunity@tutordoctor.com www.tutordoctoropportunity.com

Phone: 02 9723 1011 Fax: 02 9727 6771 Contact: Nick Avgerinos nicka@cheesecake.com.au www.cheesecake.com.au Start up costs: New store - $389,000 + GST PROFILE: The Cheesecake Shop is one of Australia’s favourite retailers and shares in the celebrations and happy occasions of millions of people each year with their signature dessert products. With over 200 stores across Australia and New Zealand and a two time winner of the Franchise Council of Australia’s Franchisor of the Year award, The Cheesecake Shop is one of Australia’s premier franchise systems.

A-Z L I S T I N GS

FOR A-Z LISTINGS ENQUIRIES CONTACT:

CONTACT SENIOR ACCOUNT MANAGER CHARLOTTE REDFERN ON 02 8224 8373 CHARLOTTE.REDFERN@OCTOMEDIA.COM.AU

Start up costs: $60,000 PROFILE: Tutor Doctor is a leader in providing one-on-one supplementary education to students and adults through in-home tutoring. Tutor Doctor franchisees, who manage a team of professional tutors and work on the business rather than in it, follow an award-winning home-based business model that requires no educational background to operate.

Private tutoring is a multi-billion-dollar industry, and Tutor Doctor is experiencing one of the fastest growing international expansions of any educational company in the history of franchising. With over 700 locations around the world, Tutor Doctor has changed the lives of 300,000+ people by helping them achieve their academic goals.

Inside Franchise Business Executive is a dedicated resource for franchise professionals It provides essential news, opinion and expert advice, alongside a suppliers directory.

Visit our website to find out more!

executive.franchisebusiness.com.au

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FINAL WORD

9

THINGS TO LEARN ABOUT...

TEREZA AND KENT PEPPING

Imagine buying an existing business and tripling the revenue in two and a half years. That’s the experience of the 2019 Franchisees of the Year at Appliance Tagging Services.

When the couple bought the business, they were accomplished smallbusiness owners with a car detailing business.

However, with five children aged 13, 12, nine, eight and 18 months, the weekend work was taking its toll and the Peppings were ready for a more family-friendly solution.

Kent is a qualified electrician, Tereza has accounting skills, so they were looking to apply their knowledge and expertise in building up a business.

Appliance Tagging Services is the perfect fit:

a weekday business and the franchisor removes a lot of the admin. Franchisees don’t need to chase money and can focus on converting leads and upselling.

“I’m able to chase a lead within the hour,” says Tereza.

“I ask all the questions, run through what we offer, I can often upsell and get them to take all the services. We follow up within a week; a quick response is important.”

Queensland regulations require licensing for some tasks, and Kent has all the necessary qualifications and the appetite to build on the basics with fire testing and emergency lighting.

The couple recently added to their business with the purchase of a direct marketing area, which gives them clients all over Brisbane.

“We’re just going day by day.

I’d like to get more direct clients, managed clients we pay a higher percentage on those. A lead to us costs us less. So we’ll be building those up. I’m starting to find the time to find clients. I will go and do site visits.”

“We won Franchisee of the Year last year. The award is based on how we do lead chasing and our conversion rates. It’s a lot to do with the reporting system. They can look at assets, the tests we did, our compliance.”

The Peppings have a high level of conversion, and for financial year 2019 an annual turnover of about $500,000.

“We’re aiming high. We had aimed in the first year to hit $300,000 then we upped our business plan.”

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The strength of a relationship can be defined by the ability to navigate unprecedented waters together.

Across the country, we have been working with our Franchise Partners, our Frontline Crew and our Supply Partners to ensure we have continued to trade, serve our customers and support our local communities safely and responsibly during Covid-19 restrictions.

These have been difficult times for everyone, but drawing on key areas of expertise, focussing on what is truly important and working together, has enabled us to be resilient and continue to trade in a new “business as usual� manner.

Red Rooster is focussed and determined to provide best-inclass support to its Franchise Partners in the good and tough times. #InThisTogether #TheRoostersCalling

Want to know more about Red Rooster franchise opportunities?

Enquire today www.redrooster.com.au