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BUY YOUR OWN BUSINESS

Summer 2016

franchise.co.nz

Year 24 Issue 04 $8.95

your

3family 3fulfilment 3financial security

move... plus | awards results | why buy a franchise? | understanding the numbers proudly supported by

Over 275 different franchises

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500 Franchises and going strong CrestClean has reached a milestone of 500 Franchises….a great achievement for a home grown, Kiwi owned franchise system. CrestClean is NZ’s leading cleaning company, involving more than 1685 people servicing over 3600 customers. With comprehensive training and great local business support, a franchise with Crest is a rewarding long-term career. Now covering NZ nationwide, CrestClean has immediate start business opportunities in the regions.

CrestClean's 500th Franchise team Danial Prasad and Arishma Singh relocated from Auckland to Nelson under CrestClean's ‘Move to the Regions’ Programme. “To be the 500th franchise was a big surprise. We are very happy. Nelson is a very nice place. The scenery is beautiful. Everyone is friendly. It has been a great lifestyle change for us.” Call now 0800 273 780 or visit www.crest.co.nz To see more about ‘Move to the Regions’ visit www.crest.co.nz/move-to-the-regions


PRACTICE AWARDS WINNER

Normally we have our clients tell you about how we work with them in this space but we thought it was about time to tell you a little bit about us… Goodwin Turner was founded in March 2014 with the goal of providing expert franchise and commercial advice and practical client based solutions. We recognised there was a gap in the market for a transparent no nonsense approach that provided the best outcome for our clients. Continued growth has meant that our team has expanded, but our commitment to providing exceptional client service has not changed.

Scott Goodwin

Paul Turner

Scott Scott is a commercial lawyer with a particular passion for franchising and intellectual property. As head of our franchising team, Scott acts for a number of well-known franchisors, and provides strategic commercial advice to a wide range of businesses on all aspects of franchising with a particular focus on creating “bankable” franchise arrangements. Paul Paul is a commercial and property lawyer with broad experience. Paul’s practice includes advising on business and share sales/purchases (including those of franchised businesses), commercial leasing, corporate structuring, commercial property transactions, and negotiation and preparation of a wide range of commercial agreements.

Nicole Nicole is a commercial lawyer and advises on a broad range of matters including franchising, intellectual property protection, business sales/acquisitions, leasing, commercial disputes and employment issues. Nicole Duncan

Brendon Brendon Ng is a commercial and property lawyer with a Master’s Degree in Commercial Law and a particular focus on property related matters. Brendon Ng

Lance Lance is a corporate and commercial lawyer with a broad range of experience in matters relating to business establishment and corporate structuring, shareholder arrangements, capital raising and investment, sale and purchase transactions, supply and distribution arrangements and business financing. Lance Hargreaves

Contact us today or scan the QR code to view our website for more information: P: (09) 973 7350 E: info@goodwinturner.co.nz www.goodwinturner.co.nz


www.ParallelDirections.co.nz

franchise.co.nz

TM

The start of a new year – or, in business, the build-up to a new financial year – is always a time when people think about change. What are we going to do over the next 12 months? What’s really important to us? How are we going to make our lives better?

Find the best location AND secure a fair lease Commercial leasing is a specialist field, so use an expert and get it right. • Negotiate a fair deal • Handle renewal agreements • Discover strategies to improve profitability

Independent and trustworthy - we work for tenants! Phone: +64 9 550-8500 Email: info@ParallelDirections.co.nz

And because these periods come when New Zealanders are enjoying long holidays and time away from ‘normal’ life, the priorities that emerge are often the three F’s: Family, Fulfilment and Financial Security. For many people, that means looking away from the limitations of working for others and looking for a business of your own. Our cover story this issue brings all three of those F-words together by sharing the experiences of the Hall family – the first-ever family to win the Westpac Supreme Franchisees of the Year title – and suggesting some of the things you need to think about when buying a franchise. How do you make sure that it really will suit you and help you achieve your goals? Read the article to find out. There’s plenty more on the Westpac New Zealand Franchise Awards in our full report on page 56. Behind every picture there’s a story of hard work, determination, achievement and success, and every one started with a dream. If you’re dreaming right now, we hope you’ll find it inspiring. Of course, dreaming alone isn’t enough – you also need preparation and planning to put you in a position where your dreams can come true. That’s why this issue also contains plenty of advice to set you on the right track. We explain the benefits that good franchises offer (page 38). There’s a beginner’s guide to understanding the numbers which help you evaluate and run a business (page 26); a guide to planning (page 98); and advice on getting the bank on your side (page 34). There’s also a list of danger signals: things to watch out for that you want to avoid (page 80) and a lot more advice on our newly-revamped website at www.franchise.co.nz (page 84). And if you’re still wondering what to do, read our franchise profiles which cover a huge range of opportunities from white collar management to hands-on maintenance, kids’ classes to coffee carts. We’re sure you’ll find something to change your life the way you want.

Simon Lord Publisher Franchise New Zealand magazine & website

PUTTING PEOPLE in BUSINESS Proudly supported by

Franchise New Zealand is an independent magazine and website. The publishers are members of the Franchise Association of New Zealand.

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Published by: Franchise NZ Marketing Limited PO Box 308 089, Manly 0952 New Zealand P 0800 FRANCHISE (0800 372 624) info@franchise.co.nz www.franchise.co.nz ISSN 1172-059X (Print) ISSN 2324-5204 (Digital) Designed and produced by Design for Marketers P 021 64 45 45 paul@designformarketers.co.nz Principal: Paul Donovan

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38 Why Buy A Franchise?

Your Move... Ready for a change? What do you need to do first? We share some lessons from the Supreme Franchisees of the Year

Awards 56 Franchise Results 2015-2016

Why buy a franchise when you could go into business by yourself and save all those fees?

We profile all the Awards winners and the reasons why they won

summer 2016 year 24 issue 04

welcome to New Zealand's BUY YOUR OWN BUSINESS magazine 11 Mexican Wave Mexicali Fresh is growing all over the country and customers love it 13 Back To Basics Remember kicking a ball for fun? Kelly Sports brings back the joy 15 Growth Potential GrassPro has a special incentive for the right people – right now 16 Updates Our pick of the top news stories from www.franchise.co.nz 19 The Winner Bakes It All The Cheesecake Shop offers the personal touch 20 Dream Run Dream Doors franchisee goes on growing 21 All The Best Parties Spitroast.com franchisees enjoy unique advantages 23 High Potential Mr. Sandless and Dr. DecknFence have nationwide opportunities 25 Good Nutrition Makes For Good Business Savvy business people choose Pita Pit 26 Understanding The Numbers Philip Morrison explains what financial reports can tell you about a business 31 Thriving Within The Brand Darren Eagle of RightWay on reducing stress, building sales 33 Quality First And Last Stihl Shops: quality products, quality customer service

34 Looking At The Options See your specialist franchise banker as an ally, says Daniel Cloete of Westpac 36 Gotta Have Sole Smith’s Sports Shoes has a history of success 37 Fellowship Of Franchisees SBA franchisees celebrate training, successes and growth 41 50 Years’ Experience Good local builders can grow better with Highmark Homes 42 Beautiful Business Budding Ideas generates fulltime income from part-time work 43 Changing Gear In Auto Sales Import4less have changed the way Kiwis buy cars 45 Controlled Expansion Ecomist is adding pest control to its repeat-business services 46 Why Franchise A Business? Franchize Consultants says there are more reasons than you think 47 Sharing Experience The Alternative Board helps businesses grow bigger, better 48 Franchise Pioneers Honoured Recognising people who have made huge contributions to franchising in New Zealand 49 Right Properties And People Quinovic Property Management franchisees create stable, substantial businesses 51 Kiwis’ Café Of Choice Long-time franchisee is excited by Esquires’ new direction

52 Repeat Business Cartridge World franchisees enjoy high margins 53 Building A Legacy Versatile Homes want new franchisees on the team 55 Life’s A Beach New franchisees at The Coffee Club feel instantly at home 63 First Family Spill the Beans Columbus Coffee franchisees work together and win together 65 Build The Life You Want Award-winning V.I.P. franchisees made their dreams come true 66 Made Of The Right Stuff Greg Nathan explains why some franchisees wouldn’t be asked back 67 Delivering Success Fastway franchisees bring the local touch to a growing market 68 No Problem! IT Effect helped taxi company improve productivity and profits 69 Fresh Food, Fresh Fields Latest Habitual Fix is busy seven days a week 71 Time To Wise Up Streetwise Coffee going places with stay-put outlets 72 The Lifeblood Of Business KeepItSafe ensures your data keeps on pumping 73 Hitting The Ground Running Touch Up Guys find customer demand puts the ‘busy’ in ‘business’

74 How Long Does A Franchise Last? Miles Agmen-Smith explains why a franchise isn’t forever 77 Kids Cooking Up A Storm New programme for sKids could see children teaching parents 79 Packing A Punch Pack & Send franchisees have enjoyed a big sales boom 80 Don’t Be Taken For A Ride Some business opportunities may not be all they seem 81 Quick Start, Tasty Returns Mr Woo Sushi franchisee makes a dramatic start in Christchurch 83 Sound Business Domino’s Pizza is a brand in tune with its customers 84 The Best Gets Better New features make New Zealand’s best and most-visited franchise website easier to use 98 Unleash Your Potential In 2016 Helpful advice for the year ahead from the award-winning team at Franchise Accountants 86 Westpac Directory Of Franchising Comprehensive details and investment levels for over 275 franchise and master franchise opportunities. Also includes advisors and index to advertisers

Over 275 different franchises 86 franchise opportunities Editor Simon Lord Production Manager Eve Brown Business Development Vicky Bennett Misty Boswell Writers Crispin Caldicott Ross Lindsay

95 national master licences

95 specialist advisors

Contact For information about subscriptions, advertising or other matters, please ring us on 0800 372 624 or email info@franchise.co.nz

Submissions Editorial submissions and advertising enquiries should be directed to the publisher. All articles published become copyright ©Franchise NZ Marketing Ltd

Copyright Franchise New Zealand magazine and website are copyright ©Franchise NZ Marketing Ltd. and no part may be reproduced without the specific written permission of the publisher.

Conditions The publisher in its sole discretion reserves the right to refuse to publish any advertisement received if the publisher considers that the publication of such advertisement would be undesirable in any way.

Disclaimer All franchise and business opportunity features included within this publication are paid advertorial approved by the client concerned. Inclusion of any franchise system, business opportunity or professional advisor within this magazine does not imply endorsement by the publisher or membership of the FANZ. Persons entering into franchise agreements are strongly advised to seek their own professional advice. The publisher does not accept any responsibility or liability for views or claims expressed in Franchise New Zealand. Opinions expressed by contributors are their own and not necessarily endorsed by the publisher.

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cover story

3family 3fulfilment 3financial security

your

I

s it time to get into a business of your own? The start of a new year is always a good time to examine your life and decide what direction to go in next. What’s really important to you, and how are you going to make your life better? That’s why people make New Year’s resolutions – but while going to the gym every day or giving up pies might only last a month or so, buying a business is a long-term decision that will change your life. It certainly changed the lives of the Hall family – all six of them. Korby Hall was just 19 when, having completed a Diploma in Management while working at The Warehouse and on the verge of joining the company’s management development programme, he changed tack completely. His parents funded the purchase of a Columbus Coffee franchise within the Mitre 10 MEGA store where his father was a manager and, just four years later, the family – including Korby, his wife and two sisters – own two cafés. Having just been named the Supreme Franchisees of the Year for 2015/2016 in the Westpac New Zealand Franchise Awards (see page 56), they’ve achieved a level of success they couldn’t otherwise have considered. ‘It’s a bit of a dream, really,’ Korby admits. So if you’re frustrated with your current job, disillusioned with your career or feel that there might be more to life, buying a franchise can provide excitement, adventure, opportunity and financial security. It can give you less time on the road, more time with your loved ones, more flexibility over where and when you work, more control over your life. It will probably also give you greater challenges than you’ve ever faced before and involve a lot of hard work. If you’re prepared for that, now could be a good time to consider making a new future.

move... Ready for a change? What do you need to think about before you choose a business? We share some lessons from the Hall family –the newly-crowned Supreme Franchisees of the Year

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Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

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why is now a good time? Apart from being the start of a new year, there are several reasons to consider a business of your own right now: • Financing costs are near record low levels. If you need to borrow money to get started, it’s more affordable than ever. While interest rates may rise a little, they are still expected to stay low for some time, allowing you to get your new business established. • Rising property values, especially in Auckland, have increased the equity that many people have in their houses. That makes it easier to raise the necessary finance or, if you want to move out of the city, may mean you can release some capital to help fund the business and reduce borrowings. Alternatively, you could rent out your house and live somewhere cheaper, like Tom Williamson (see page 73). • There are currently more opportunities than franchise buyers. Our population may be growing thanks to immigration, but immigrants are more likely to look for established businesses than start new ones. It means franchisees prepared to start from scratch can have their pick of the best opportunities and the best locations – and a market of ready buyers when the time comes for them to move on. • New geographical areas are opening up for business all the time. That’s especially true in Auckland and Christchurch, but there are opportunities in many regional centres, too. These offer lower costs and, in many cases, less competition while allowing you to live in some of the more beautiful parts of the country. (read our article on Moving to the Regions at www.franchise.co.nz/article/2155) • Changes in many industries have seen new sectors and new types of franchises emerge. This means you have to choose carefully – the rise of online shopping has changed the dynamics of many businesses – but get it right and it can be very rewarding.

support and systems to follow. If you do that well enough – and listen to feedback from the franchisor team – then you can succeed whatever your previous experience. This magazine is full of examples of executives who bought food or gardening businesses, policemen who bought cafés, technicians who moved to education and nurses to retail. But you do need the right skills and attributes for the type of business you choose. For example, policemen often do well in the hospitality industry because they are used to dealing with people and taking control – it’s obvious when you think about it. But they might not fare so well in a less sociable business that would suit others down to the ground. So consider your strengths, weaknesses and interests. What skills do you have, and are they transferable to a new career? For example, are you good with your hands? Are you good with people? Are you good with kids? Are you good at following systems? Are you a team player or an individual? Do you want to do everything for yourself, or lead a team of others? Apart from your own experience and knowledge of yourself, you might talk to others who know you well. A book called What Colour Is Your Parachute? by Richard Bolles contains some extremely helpful exercises, and there’s a companion website at www.jobhuntersbible.com. Speak to self-employed friends about the reality of working for yourself, and decide whether it is for you. Only after you have gone through all these steps will you be in a good position to consider any specific opportunities.

nobody’s perfect – but a team can be

what skills do you need?

Of course, one advantage that the Hall family had when it came to running their own business was that it wasn’t all down to one person. Right from the start, it wasn’t just about Korby – although he had his management diploma and supervisor’s experience and would take the lead role, he recognised that he could also learn from his father’s 30 years of experience in running big retail businesses. ‘In the early days, we’d share a car for the 45-minute drive to work,’ he recalls. ‘That was a great chance for informal discussions about the day or week ahead, our plans, any issues and new ideas.’ He also had his mother, Nicole, to help with the books and his secret weapon – his girlfriend (now his wife) Danielle, who went to work in the café for a month before they took over.

Not knowing anything about the industry isn’t necessarily a problem, because one of the advantages of franchising is that it makes it relatively easy to learn a totally new business. As Korby found, a good franchise will provide training,

The team was further strengthened later when sisters Brooke and Tyra joined the team. It’s given the Hall family a very strong base and an awareness of the business from all angles. ‘Everyone is a shareholder so

All these factors could work in your favour if you are ready to make the change. For the Hall family, timing was more a matter of opportunity than planning. Dad Brendan was manager of the Mitre 10 MEGA in Kapiti when the Columbus Coffee café within the store came up for sale. That meant they already knew the market, but they didn’t know anything about the hospitality industry.

The Hall family celebrate their win: Danielle, Korby, Brendan, Brooke, Tyra and Nicole

franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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I had to work hard, lead by example and prove I knew what I was talking about

we have formal board meetings chaired by Dad,’ Korby explains. ‘As operations manager it’s up to me to do the research, look at what’s going on in the community around us, look at Columbus’s plans for the next 12 months, then come up with our own plans to make the most of the opportunities. Dad and I work together on budgets mostly, looking at where we can save and where we need to spend, and then we make decisions together. We get things done and tick them off one-by-one with very little disagreement, and it’s actually a really good discipline for any business.’ While most franchisees won’t have a family board of six to work with, it’s important to recognise that every business owner needs someone to share ideas and worries with. Often, that’s the role of the franchise’s field manager, but at a more personal level it means close friends or family members do need to be supportive. Research a few years ago by the Franchise Relationships Institute found that good family and social support was by far the most powerful predictor of franchisee success. In other words, if you’re buying a franchise, it’s vital that your family understands what is involved and is right behind you.

what do you want from life?

Korby Hall says he always had two ambitions right from the start – to run his own business, and to work with his family. The only thing unusual about Korby is that he started to achieve those goals so young. Working with family is a common reason for starting or buying a business, but a desire to have more time for your family is more common still. In fact, a survey a few years ago suggested that almost a third of franchise buyers do so to have more flexibility and life balance. While building personal wealth was also a strong motivator, the other common reasons are about people, not profits. They include: ‘have greater control over how I do things’; ‘have more security and stability’ and ‘achieve a personal challenge’.

It would be a mistake to think that owning your own business is going to give you all those benefits right from the start, though: at first, you’ll find the ‘personal challenge’ aspect is by far the major part of your life. The good news, though, is that with a good franchise you’ll get the planning tools and support you need to make your personal goals achievable. So before you start trying to find the perfect business, you need to work out what you really want from it. Some questions you might ask yourself include: • Where do you want to live? • Do you want to work fixed hours or be flexible? • What time of day best suits you? • Who do you want to work with? • What sort of work do you want to do? • How much do you want to earn? You also need to consider any genuine constraints that might stop you reaching your goals immediately. What’s realistic right now? Can you work out some short-term and medium-term steps that will take you closer to your long-term goal? For example, you might read up on franchising, learn bookkeeping or improve your computer skills. Or you might look at a part-time or low-investment franchise now that will help you build capital towards the business you really want in a few years’ time.

what do you want from a business?

In order to find an opportunity that suits both your personal and your financial goals, it’s a good idea to sit down and work out exactly what you are looking for in a business. That’s what Tom Finlay did. An experienced business owner and executive, when he started looking for his next business he created a checklist of seven key attributes he wanted in a business before he even started his search. It gave him a checklist against which he could evaluate every single opportunity he looked at, and he did – in fact, he looked for nine months before finding a business that ticked all his boxes. Eight years later, he owns not one but two Quinovic Property Management franchises, proving the value of his approach. Making a checklist is a great way to ensure you don’t get involved in an unsuitable business because you overlooked something or got carried

LOVE A GREAT DEAL? Then you should join the world’s largest second-hand dealer and market leader in short-term credit. Cash Converters has over 700 stores in 21 countries worldwide so you’ll be part of a proven system with multiple income streams. If this sounds like a great deal and you would like to find out more please visit us online at cashconverters.co.nz or call Colin Mahoney on 09 281 7327. Franchises available in: Whangarei, Hamilton, Gisborne, Napier, Kapiti Coast, Upper Hutt, Wellington, Nelson, Dunedin and Invercargill.

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Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

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away by enthusiasm. You can read Tom’s list on page 49 but remember: what suited Tom may not be what works for you. You’ll need to enjoy your business – even have passion for it – if you’re to get the best from it. Ticking the boxes won’t replace passion, but it can help ensure that your passion creates the results you want.

be prepared to seize the moment

When the right oppportunity came along for Korby Hall, he had done his management diploma and worked for four years at The Warehouse, rising to a supervisor’s role. It meant that, although he had a more formal career path all mapped out, he and the family were prepared for it. His experience had also prepared him for the challenges of managing staff – some of whom were considerably older than he was. ‘When you are employing a chef who has been in hospitality all her life, it could have got awkward,’ Korby admits. ‘So right from the start I knew I had to work hard, lead by example and prove I knew what I was talking about. She was in charge in the kitchen so I would do margins and costings and figures and discuss things with her from the business point of view, and we actually got on very well and worked together for years.’ Steve Goodgame and his partner Jaime were also prepared to seize the moment. As our story on page 11 explains, they had a 3-year plan and a 3-month-old baby when the perfect opportunity came up with Mexicali Fresh – but they took it. Starting a new business with a new baby might not seem perfect timing, but it’s amazing how often it seems to happen – you’ll find several examples on the following pages. Steve and Jaime didn’t just start a new business at the same time as starting a family – they moved from Auckland to Christchurch as well. In some ways, starting a business can be the perfect time to make big changes, especially if you have family support to look after the baby or work in the business – and the flexibility to work on books or rosters at home can be a real advantage for new parents. As Franchise New Zealand co-publisher Lorraine Lord, who combined a new business with a 6-week old and 21-month old, points out, ‘People can cope with incredible change and adrenaline will take you a long way for a while. It’s important, though, that the changes you make are in-line with your long-term goals, or when the adrenaline starts to wear off you may be disappointed. ‘The other thing to bear in mind is that if you really, really want to own your own business, there’s very rarely the perfect time to do it. If you wait for all the circumstances to be right, you might never make the change. Do you want to spend the rest of your life wondering?’

feel the fear and do it anyway

Over the years, we’ve talked to thousands of franchisees, and almost all of them have admitted to being quite scared when they took that first leap into self-employment. As franchisor Robin Rainbow told us many years ago, ‘When you work for someone else, you have set limits within which you can operate, and people with whom you can consult. But when you operate your own business, the buck really does stop with you. Every decision, whether large or small, has to be made by you. Every purchase you make is spending your money. Every contact you make with a client affects your income. Some people thrive on that – others freeze.

If you don’t like competition... we haven't got any!

‘But buying a franchise bridges the gap between employment and total independence. You have the guidance and the training which helps reassure you that you really do need to spend money on this or that, and you also have a peer group of other franchisees to talk to and share experiences with – quite apart from the franchisor. ‘And once you’ve made the decision and get busy creating and growing the business, the fear becomes part of the excitement.

no regrets

At the ripe old age of 23, Korby Hall clearly doesn’t regret for one moment giving up on his corporate career. He has the guidance of his parents, the support of the franchisor and the confidence of his fellow shareholders in the family business. And the family has just been named the Supreme Franchisees of the Year in one of the most rigorous competitions of its kind. Korby might say, ‘It’s a bit of a dream,’ but it’s not – it’s what happens when you combine a clear intention with thorough preparation so you can seize the right opportunity when it comes along. So as you sit by the beach this summer, start to think about the three F’s: Family, Fulfilment and Financial Security. Is your current job or business giving you what you want? If not, what are your real goals in life? 2016 could be the year when you start to achieve them.

.No costly rents, leases, etc

.Exclusive territory & proven systems

.Comprehensive start up & regular on-going training .Operations & technical support .All equipment supplied

.Regular franchise network meetings

about the author Simon Lord is publisher of Franchise New Zealand magazine & website, now in its 24th year.

franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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.Low overheads

.Unlimited opportunities, Private, Insurance, Commercial .Established relationships with major joinery suppliers .Get in on the ground floor!

Call Steve 0508 737 867 or visit www.alurestore.co.nz 9 3/12/15 8:20 PM


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opportunity: food & beverage

MEXICAN

wave Mexicali Fresh is growing all over the country and customers love it

F

rom the moment you open the doors, it’s all go!’ That’s the experience of Dion Dragicevich and Jo McGreevy, who opened their Mexicali Fresh restaurant in Mt Maunganui at Easter this year. ‘It was a bit of a baptism of fire, but we’d had 6-8 weeks of intensive training and we had great support from the franchise with three people on hand that first week to help our staff get to grips with it all. Admittedly, we had queues out of the door at first, but now we handle similar numbers easily.’ Mexicali Fresh offers a ‘build your own’ formula which enables customers to choose a burrito, nachos or quesadilla and combine signature madefrom-scratch ingredients to create authentic fresh flavours. The stylish stores are at the leading edge of the fast-casual dining revolution, combining a counter service model with a premium product. ‘There’s nothing like it round here,’ Dion says proudly. ‘We provide a relaxed family environment where you can have great food and a cold beer and everyone can chill out.’ Dion and Jo both worked in the advertising business back in Auckland, but it was word-of-mouth that brought them to Mexicali Fresh. ‘With a young daughter, we were looking for a change of lifestyle and Jo is from Tauranga so we started exploring business opportunities. A friend is a Mexicali Fresh franchisee in Auckland and he was always praising the company and its systems so we arranged an interview and went from there. ‘I’d managed a pizza outlet when I was 20 or so and had had the time of my life but I’d been sitting behind a desk doing graphic design for years so it was a steep learning curve going to run our own 90-seat restaurant,’ Dion admits. ‘But everything we were told was true – if you follow the systems and procedures then everything runs smoothly and the franchisors have been there for us 100 percent of the way. We’re on budget already and looking forward to a great summer!’

warm welcome Mexicali Fresh was originally founded in Auckland in 2005 and started franchising in 2013. With 12 outlets in Auckland, it’s also finding a warm welcome in other areas including Wigram, Christchurch, where Steve Goodgame opened his franchise in August 2015. Like Dion, Steve worked in the hospitality industry in his youth before joining the police, where he ended up as a detective in the Drug Squad. Franchisors Nathan Bonney, Conor and Tyler Kerlin congratulate Steve (centre) and Jaime.

franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Mexicali Fresh 11.indd 1

Jo McGreevy and Dion Dragicevich

His partner, Jaime, was a specialist business banker and when the couple had a little girl earlier this year, they started to think about their work/life balance. ‘Being home owners in Auckland means you both have to work full-time,’ Steve says. ‘I grew up in Christchurch and knew it didn’t have to be like this, so we planned to sell up in a few years and move down south. Jaime mentioned this when meeting the Mexicali Fresh people one day and they told her about the site at Wigram. Jaime knew how good the franchise could be, so suddenly our 3-year plan became a 3-month one! ‘Mexicali Fresh had always appealed because we’re fitness people, and we liked their philosophy of fresh, healthy food and free range ingredients where possible. Other people obviously like it, too – people were really stoked when we opened in Wigram and we’re really very, very pleased with the way things have gone. Being a banker, Jaime set some very cautious targets for us and we’ve exceeded them comfortably from the very start. There’s a lot more to come, too.’

get organised, enjoy life Steve agrees with Dion that the training and support they received on opening was ‘Fantastic! The franchise team put so much effort in and were so great with our staff that it really set the tone for the business. Now I’m running the store while Jaime handles the admin and finance side. She can do that from home with our baby, so it’s worked out well.’ And he reckons his own background prepared him for life as a business owner. ‘In the police, the buck stops with you and you do a lot of problem solving. In business, even though the specific issues are very different, the mind-set is the same. Being organised and calm is what gets you through, and the Mexicali Fresh training and systems help you do exactly that. One day, we might look at opening a second store but we’re in no hurry. We’re fine-tuning our business and enjoying life!’

achieve your potential Mexicali Fresh is looking for enthusiastic, energetic people who are passionate about great food and excellent customer service to open further outlets around the country. Current stores range in size from 110-210 sqm, some with outdoor seating areas, and all are fully-licensed. Depending on size and location, the investment required starts from around $400,000 +gst. ‘This is a great opportunity for individual owners or couples with the ambition to own their own hospitality business based on our proven systems,’ says Nathan Bonney, the general manager of Mariposa Restaurant Holdings, the owners of Mexicali Fresh. ‘We believe in selecting great franchisees and supporting them to achieve fantastic results. To find out more, call me now.’

advertiser info Mexicali Fresh www.mexicalifresh.co.nz Contact Nathan Bonney P 0-9-973 4559 M 021 758 299 nathan@mrhltd.com

11 3/12/15 12:48 PM


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Remember running around or kicking a ball for fun? Kelly Sports brings back the joy

I

Tamati Montgomery

BACK TO BASICS

f you enjoy sport and enjoy working with 5- to 12-year-old kids, then Kelly Sports could be just the business you’re looking for. ‘This is a very rewarding programme,’ says new franchisee Tamati Montgomery. ‘The more kids have fun, the more likely they are to learn, and I’ve seen a lot of skills and confidence building among the children I’ve coached in only six months. It’s also a great business – there’s never a dull moment!’

Kelly Sports began over 20 years ago in Australia and came to New Zealand in 2007. There are now 33 franchisees here, ‘With room for a whole lot more,’ says Paul Jamieson, the managing director for Kelly Sports New Zealand. ‘Parents are becoming increasingly aware of the benefits to children from participating in sports, getting fit and learning how to interact with each other – it translates into so many other areas of a child’s life, and will stand them in good stead for many years afterwards.

and you can make a real difference to their lives.’

Kelly Sports is seeking additional franchisees to fulfil an increasing demand for programmes throughout the country. Although a teaching advertiser info qualification, sports and recreation degree or some experience as a Kelly Sports volunteer coach are helpful, they www.kellysports.co.nz aren’t essentials,’ says Paul. ‘What Contact you do need is to like kids and Paul Jamieson love sport,’ says Paul. ‘If you share P 0-9-427 9377 Tamati’s enthusiasm for making a M 021 409 241 difference through having fun, call paul@kellysports.co.nz me and find out more.’

‘Franchisees take a variety of sports programmes into schools in their area. Whether it be cricket, tennis, rugby or PE, the important thing is the kids have a blast and learn. There are no limits and we help our franchisees establish everything from holiday programmes to birthday parties, from fundamental skills to keep-fit. ‘Our out-of-school-time activities are very reasonably priced and a stateof-the-art online booking system makes it really easy for parents to enrol their kids. Kelly Sports coaches also deliver a lot of in-school programmes as part of the school’s curriculum, and work with a number of national and regional sporting organisations to deliver programmes on their behalf.’

low cost, high demand Tamati joined Kelly Sports in January 2015. ‘I’d spent 15 years as a production manager at various pharmaceutical plants, but I’d always wanted to go into business and thought a franchise of some sort would suit me. What attracted me to Kelly Sports was the relatively low entry cost (around $25,000) and the fact that it was about sport. I’ve done a lot of voluntary coaching in my time, so the combination of learning about business through sports was too good an opportunity for me – especially as my local area franchise was available.’ Tamati bought the Papakura/Franklin franchise in South Auckland, with the potential to hold programmes in 50 schools. ‘That’s quite a lot of schools, and I’m already running around nine programmes so the size of the area means I will be employing several coaches as it builds. Currently I have a couple of part-time coaches helping me and there is no shortage of opportunities. ‘Interpersonal skills are important in order to build relationships with schools, and I’m very good at those although I don’t have a sales background. The franchise promises introductions into the schools in your area, and they’ve delivered over and above in every aspect of the business since I started.’

making a difference Tamati feels lucky he has found Kelly Sports. ‘I like the company because it is in line with my own values. I feel there is a huge need to get children back to the “old way” of kids playing: they need to be active to learn, rather than being on computer screens or mobiles all the time. They’ll have a lot more fun out there knocking a ball around, franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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13 3/12/15 12:48 PM


UNHEARD Of Flexibility and Semi-Passive Income Introducing Xpresso Delights 1, 2 or 3 day a Week Business Solution At Xpresso Delight we are in the BOOMING Workplace Coffee Business We put Coffee Machines like this…

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Now you have flexible time to do the important things you need to do but still have a business and only work 1, 2 or maybe 3 days a week. What a typical franchisee’s calendar may look like below... Monday

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Join the Xpresso Delight Team now and experience real Business Flexibility

HURRY Limited Offer: Your COFFEE Machines come with Locations ready for you to earn almost immediate income. www.xpressodelight.co.nz

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opportunity: home & building

GROWTH POTENTIAL GrassPro is offering a special incentive to attract the people it needs – right now

T

he Pro Group has a remarkable track record of identifying highly profitable gaps in the market for its franchisees, but even it admits to being ‘totally unprepared’ for the demand it found for its latest service – GrassPro. GrassPro combines artificial turf supply and installation with real lawn maintenance, and was originally designed as an add-on income generator for existing franchisees of the group’s Deck & Fence Pro division. ‘They were all keen until we soft-launched GrassPro by slipping a 15-second commercial into our television schedule,’ says Rob Howard who, with Joe Hesmondhalgh, founded the company in 2009. ‘The message of perfect, lush grass that looks and feels like the real thing all year round obviously hit the mark. The advert was only broadcast to North Island viewers and generated 110 leads in just a few days! Two days later we pulled the commercial after franchisees told us they had too much work on already to be able to follow up the leads, with messages like, “We are flat out and fully booked with deck restorations and garage carpet installs until after the New Year – no way can we possibly fit anything more in right now!” ‘We realised we had a tiger by the tail, so we restructured GrassPro as a standalone franchise under The Pro Group umbrella. For a product that never grows, we see huge growth potential. Through our website, we’re getting enquiries daily from all over the country and we currently have customers ready and waiting nationwide that our current franchisees simply can’t cope with. ‘Sales potential is everywhere: infill housing and town house developments with pocket handkerchief lawns that still need maintenance; an ageing population who want a lawn but not the mowing hassles; apartment block balconies; or what about around swimming pools and under trampolines as an attractive, hard wearing, mud-free surface? It just goes on and on.’

multiple income streams Underpinning GrassPro’s long-term potential is an exclusive supply partnership with Irvine Flooring, importers of DuraTurf. ‘DuraTurf is South

Africa’s leading brand of harsh climate artificial turf, making it ideal for New Zealand,’ says Rob. ‘It’s available in a range of grass types and pile heights and is tailor-made for the residential market. Believe me, it’s nothing like the cheap green stuff used on motel balconies or the turf that used to burn knees of indoor cricket players!’ Artificial turf is only part of the opportunity – GrassPro franchisees are also fully-trained and certified to specialise in lawn and garden edging, irrigation systems, moss, weed and fertilisation programmes. ‘Another of the multiple income streams is Evergreen Turf Colourant, an eco-friendly colouring system which keeps live lawns looking lush and green year round. With a life of 8 to 10 weeks, that represents recurring income for franchisees,’ Rob points out. And The Pro Group has teamed with the NZ Sports Turf Institute, the country’s only full service turf consultancy specialising in research, training and advice on natural and artificial turf surfaces, to provide franchisees with the highest levels of training including Growsafe Handlers Certification.

just $19,950 for first six franchisees Rob then breaks the news that for the first six to sign up as GrassPro franchisees the cost is just $19,950 +gst. ‘That’s for the complete package: training, franchise manuals, tools, marketing and promotional material. For the right people we have finance available, and once we have six GrassPro franchisees established we’ll have a major launch backed up with ongoing television advertising.’ The Pro Group has a history of keeping its promises. GroutPro was originally launched in 2009 on to a market desperate for a specialist tile and grout restoration and after-installation service. It was then joined by Deck & Fence Pro, which restores and maintains decks, fences and garden furniture, and Prep & Paint Pro, a franchise less about brushing on paint and more about project management. Slipping in between these three services came Garage Carpet Pro, an add-on all-weather franchise that helps transform garages into multi-purpose spaces. It was actually the carpet that created the relationship with Irvine Flooring. ‘When we first approached them, we told them that we’d be the country’s biggest garage carpet specialists within a year. They were more than happy to do business with us but laughed at our ambition – at first. We did it though, and our performance helped cement a great relationship with Irvine’s.’

get in quick The Pro Group’s proven combination of effective lead generation and quality training is already well-established, and new GrassPro franchisees can look forward to more of the same. ‘We need people who have a practical streak, are good at talking to people and are ready to hit the ground running,’ says Rob. GrassPro franchisees can turn any area into a lowmaintenance, multi-purpose surface that will add value and look good all year round franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Grass Pro 15.indd 1

‘Visit grasspro.co.nz and you’ll see just how loaded GrassPro is with customer benefits. Wherever you are in New Zealand, don’t let the grass grow under your feet – ring us and let’s talk GrassPro. If you’re quick you can be one of the first six. You’ll not only get your choice of area – you’ll get a fantastic business for a remarkably low investment, too.’

advertiser info

GrassPro 378 Crawford Rd, RD1 Tauranga 3171 theprogroup.co.nz Contact Joe Hesmondhalgh P 0-7-552 5311 M 0274 108 940 joe.h@theprogroup.co.nz

15 3/12/15 2:23 PM


updates from our website

Our pick of the top news stories from www.franchise.co.nz

Franchise New Zealand is much more than a magazine. To keep up with the latest news, issues and opportunities, go to www.franchise.co.nz, subscribe to our free newsletter and follow us on Facebook or Twitter.

Kiwi company tops Australian awards Fastway Couriers has been named International Franchisor of the Year at the Australian Franchise Awards, with Fastway Australia CEO Richard Thame saying the award recognised what the company’s 800-plus courier franchisees across Australia do. ‘These guys are getting up tremendously early and working hard running their own business, servicing tens-of-thousands of customers. This award really goes to the courier franchisees out there that make up the brand and do the hard work every day,’ Mr Thame said.

‘We really differentiate ourselves by being a franchise. We were the first courier company in the world to franchise, which is something we’re immensely proud of.’ The International Franchisor of the Year award is given to one international franchise in recognition of its success in Australia, focusing on the company’s insight into the market and ability to refine its business model and services to meet the needs of local consumers, employees and franchisees.

SUBWAY FOUNDER DIES Fred DeLuca, the founder of Subway, has died at the age of 67. He created the company at the age of just 17 with a $1000 loan from a family friend. It became one of the largest franchises in the world, with over 44,000 outlets – more than McDonald’s. ‘I had the pleasure of interviewing Fred DeLuca when he visited New Zealand for the opening of the first Subway outlet here in 1996,’ recalls Simon Lord of Franchise New Zealand. ‘When he noticed how long it took the queue of customers to be served by the inexperienced young staff, he got his wife, Liz, to “work the queue” as we chatted. They had no idea that they were being greeted by one of the most successful franchisors in the world, but it worked – and when I asked Fred how it felt to see a new team struggling to cope, he grinned and drawled in his laconic way, “Man, I just remember

how bad I was on my first day.” ‘Fred had already won the hearts of everyone at the official opening of the restaurant a couple of days before when he turned up half an hour late for the ceremony. He and Liz got out of their car and apologised to everyone, saying, “Hey, I’m so sorry, we were out at Muriwai watching the gannets. Aren’t they something? We just couldn’t tear ourselves away.” He was immediately forgiven by everyone.’ Over the last 10 years, Fred DeLuca and his Subway co-founder Dr Peter Buck have shown an interest in other emerging franchises through their investment company Franchise Brands LLC. The company took a stake in New Zealand’s own BurgerFuel in 2014, which plans to expand in the USA in the near future.

McDonald’s new future

McDonald’s efforts to re-invent itself in the face of increasing competition and declining global sales have seen the company launch its ‘Restaurant of the Future’ in Auckland. McDonald’s New Zealand, which has reported increasing sales in defiance of the global trend, has spent $2 million re-fitting its Greenlane restaurant to create what it’s calling the ‘McDonald’s of the Future.’ Describing it as its ‘most significant evolution in a decade’, the new fit-out includes an open-kitchen gourmet burger bar, a lush ‘living wall’, new technology and a refresh of the McCafé experience. The new burger bar is an extension of the Create Your Taste service currently being rolled out across the country. It allows customers to create their own gourmet burger from more than 32 gourmet ingredients using a digital kiosk. The product is then made fresh in the open kitchen and delivered to the customer via table service. The burger bar also comes with new ingredients and sides including a gluten-free bun, vegetarian patty, thick-cut chips (!) and a condiment bar. The Greenlane restaurant also boasts a new gourmet breakfast menu featuring such items as Belgian Waffles and Avocado Smash, while McCafé offers a new range of decadent desserts served with a scoop of ice cream. ‘The burger bar is all about theatre and transparency,’ says Patrick Wilson, managing director of McDonald’s New Zealand. ‘With the new open kitchen, you can see your burger being made right in front of you and can be reassured that all burgers in McDonald’s are made fresh-to-order.’

Confidence bouncing back for 2016 After a dip in July, confidence in the franchise sector is bouncing back – but franchisees are still in high demand. The latest Franchising Confidence Index survey from Franchize Consultants found that franchisors are extremely positive in their outlook for general business conditions (net 42 percent), access to financing (21 percent), sales levels per franchisee (53 percent), franchisee profitability levels (26 percent) and franchisor growth prospects (47 percent). The biggest risk to growth prospects seems to come from the availability of suitable franchisees (negative

net 16 percent, up from negative 8 percent) and the availability of suitable locations (negative net 6 percent). Sentiment toward franchisee profitability, arguably a franchise system’s key health and growth driver, increased from a net 19 percent to 26 percent, as reported by responding franchisors.  Service providers were also more positive in their sentiment this quarter, reporting a net 27 percent.  Regarding the outlook for general business conditions, franchisors were encouragingly positive (net 42 percent) this quarter, up 14 percent.

World Franchise Council opposes joint employer liability The October meeting of the World Franchise Council (WFC) in Brisbane ratified a declaration to oppose the regulation of franchisors as joint employers of workers in individual franchisees’ outlets as contrary to the growth and development of a sector worth at least USD$1.6 trillion to the international economy. The declaration follows developments in some WFC member nations, such as the USA and

16 EDIT Web News 2404.indd 1

Australia, in which governments have already introduced, or are considering, legislation to force franchisors to be recognised as the ultimate employers of staff hired by their franchisees. The notion of franchisors being held responsible for the payment of wages and entitlements to workers hired by completely separate business owners (ie. franchisees) is a legislative overreach that commentators believe could be

catastrophic for franchising in the long term. The WFC joint declaration reinforces the obligation of franchisees to their own workers to pay correct wages and entitlements in accordance with their relevant national laws.

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:23 PM


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Kids’ cups celebrate Xmas

Are you searching for New Zealand's most Experienced Franchising Law Firm?

The Coffee Club New Zealand and KidsCan have unveiled four new Christmas takeaway coffee cup and napkin designs created by school children who won a nationwide Christmas Cup Art Competition. The winning images were chosen from more than 300 entries received from KidsCan-supported schools. The aim of the competition was to raise awareness of the work being done by KidsCan to support the education, health and wellbeing of children living in hardship. First place, to feature on the large takeaway cup, went to Rebecca Fruean (age 12) from Sir Edmund Hillary Collegiate School in Otara. The first-placed school received $4,000 from The Coffee Club; second place received $3,000; third place $1,500; and fourth place $500. The four young artists also each received $250 Westfield vouchers.

‘We are so pleased to have been able to run this competition for a second year,’ says Brad Jacobs, codirector of The Coffee Club. ‘We’ve been mind-blown by the response from the schools and kids. We received three times more entries than last year and the standard was very high. It was extremely difficult to narrow them down to just four winners.’

Too good to be true? If it sounds too good to be true, it probably is. A New Zealand man found this out the hard way recently when he bought into an online cruise booking scheme which suggested he could earn $8,000 a month by doing virtually nothing. While it was nothing to do with franchising, it’s a reminder to anyone looking at buying a business to do proper due diligence on the opportunity before signing up or parting with any money. According to the Stuff website, the elderly man had been cold-called by a man claiming to be from a company called ‘Coastal Vacations’ asking him if he wanted to make money from home. In return for paying ‘membership fees’ he was told he would be assigned a website in his name through which people could book cruises around the Middle East and Mediterranean. The man was told he didn’t need to do anything to earn the $8,000 as the company would do all the selling. He paid his ‘membership fees’ using his credit card but no bookings resulted and no commissions were earned. The case was publicised as part of Fraud Awareness Week in November. For advice on avoiding dodgy operators, see page 80.

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in brief • The 7-Eleven employment scandal continues to grow, with a Senate enquiry hearing that two-thirds of all 7-Eleven stores in Australia appear to have been underpaying workers. A whistle-blower is reported as saying, ‘The corruption and desire to break the law is so ingrained in some of these franchisees that we can have the best business model in the world and they will still find a way to enrich themselves at the expense of the workers.’ • Hell Pizza has changed tack over recent years – less shock, more social responsibility. Now they’re encouraging kids to read books by sponsoring the New Zealand Book Awards for Children and Young Adults.

• Wendy’s application for a liquor licence at its record-breaking store in Hornby has been opposed by over 300 people. Opponents are suggesting that granting the licence could set a precedent for other fast food outlets. • You won’t be able to get a Pepsi with your KFC any longer – the whole chain is switching to Coke in New Zealand. • The Mad Butcher has advised that it has not yet been able to re-sell some of the outlets it took over after franchisees went into liquidation. In its latest update to the NZX, Mad Butcher owner Veritas Investments says the chain faces a challenging environment.

We are passionate about Franchising! CALL US NOW 09 308-9925

www.franchise.co.nz/updates

read more on all these at www.franchise.co.nz/updates franchise.co.nz – PUTTING PEOPLE IN BUSINESS

EDIT Web News 2404.indd 2

17 3/12/15 8:23 PM


opportunity: food & beverage

THE WINNER bakes it all Paul Maguire and Carly Leddy with The Cheesecake Shop founder Robert Konopacki (right)

The Cheesecake Shop franchisees find offering the personal touch builds award-winning businesses

C

ombining well-trained staff and great customer service with a welldeveloped business system has turned two outlets of The Cheesecake Shop into local institutions in South Auckland. Paul and Raewyn Maguire, along with Raewyn’s sister Carly Leddy, bought their Papatoetoe shop in 2005. Just three years ago, they joined forces again to open a second outlet in Manukau. It’s proved a winning formula, and now both sides of the family have something to put on the mantelpiece after winning not one but two awards at The Cheesecake Shop’s annual franchisee conference in Sydney. Manukau was named NZ Franchisee of the Year while Papatoetoe took the title of NZ Artisan of the Year. And the family connection goes even deeper, as Carly points out. ‘My son, Jason, is our baker at Papatoetoe and daughter Claire is a highly-skilled cake decorator. I love the fact that The Cheesecake Shop works so well as a family-run operation – and there are no late nights or early starts, either, unlike so many food businesses.’ ‘The great thing about The Cheesecake Shop is that it is a fun product,’ says Paul Maguire. ‘We make and sell a wide range of cheesecakes, mud cakes, tortes and desserts, and people know where to come for a special occasion. Our customers love coming in here and there is no need to twist their arm – all they need is friendly guidance to help them choose! First-time buyers in particular can be a bit blown away by our displays, but there’s nothing like sampling the products to increase sales.’

simple and profitable Another great thing about the franchise is that the systems, processes and recipes that have been developed make it a simple and profitable business to run, even if you have no baking experience. Raewyn and Carly actually come from nursing backgrounds, although Paul admits he has retail in his DNA. ‘I learned about customer service in the old-style coffee lounges of rural New Zealand, but when I married Raewyn we bought a dairy in Auckland which we ran for five years before we went travelling. When we came back, we had children and I bought a small meat distribution business while Raewyn did her nursing degree. Then the Papatoetoe store came on the market and we started our careers as franchisees with The Cheesecake Shop. franchise.co.nz – PUTTING PEOPLE IN BUSINESS

The Cheesecake Shop 19.indd 1

‘Franchising was quite new to us at the time and, having been used to total independence, working within the system could have been frustrating,’ he admits. ‘But the benefits of the processes and marketing that The Cheesecake Shop offers far out-weigh any possible restrictions. Over the ten years we’ve seen the franchise evolving, improving and growing, and we’ve done pretty well, so opening the second store with Carly wasn’t a hard decision.’

marketing plus service means sales ‘The Cheesecake Shop was originally founded in Sydney in 1991 by brothers Warwick and Robert Konopacki, using their Polish mother’s traditional recipes. Today, the company has over 200 outlets selling more than four million cakes a year. ‘That success is due to combining an effective business model with appealing products and consistent quality,’ says Avril-Summer Cusack, the company’s National Marketing Manager. ‘We have high brand awareness among consumers and The Cheesecake Shop has become synonymous with the immaculately presented handcrafted cakes beloved by generations of Australians and New Zealanders.’ Paul agrees. ‘Every business has challenges over time, but the franchise team have done wonderful work in refreshing the stores to a much more modern look and then using electronic media and local marketing to bring people through the door. After that, it’s up to you to employ the personal touch to make the sale. Today we employ around a dozen staff at both outlets, and the key is to train them so that every customer gets the same attention, whether you’re there or not. Get it right and you can see the sales figures tracking upwards after every promotion. ‘If you keep to The Cheesecake Shop’s proven recipes and systems, you can’t really go wrong. We all know how our cakes taste and what the ingredients are, so we can describe each one to the customers. And asking open-ended questions such as “What’s the occasion?” helps them focus, choose and walk away with the best selection. It’s all part of the personal touch that makes the most of a first-class system.’

ready to start To open your own business with The Cheesecake Shop, you will need around $150,000-$250,000 equity. ‘This business comes ready-to-run,’ says David Reid, NZ General Manager. ‘We manage the equipment, shop advertiser info fit-out and every detail for you so that once you have completed your The Cheesecake Shop training you’ll be ready to move in. Nick Avgerinos ‘We’re looking for couples or families to set up The Cheesecake Shop in fresh new markets in both the North and South Islands. If you can offer great service and run a great business, like Paul, Raewyn and Carly, we want to hear from you!’

P 0061 2 9723 1011 M 0061 4 0653 3957 nicka@cheesecake.com.au David Reid P 0-9-475 9634 M 021 625 555 davidr@thecheesecakeshop.co.nz

19 3/12/15 12:06 PM


opportunity: home & building

DREAM RUN Dream Doors franchisee goes on growing

A

t the end of 2015, Adrian and Tammy Kay can look back with satisfaction. They’ve grown the team – their Dream Doors business in Christchurch now employs five people. They’ve grown sales – their business will top $1.5 million this year. And they’ve continued to build turnover by a solid 10-15 percent year-on-year. Along the way, the couple set a new record sales month for Dream Doors in Australasia and were named Dream Doors’ Franchisees of the Year for the second time. ‘It’s been a very busy year,’ Adrian laughs. Dream Doors supplies and fits replacement doors, surfaces and fittings to restore a home’s looks and value for a fraction of the cost and wastage of building new units. Franchisees offer a fast, efficient service with a huge range of finishes and fittings. The company was brought here from the UK in 2007 by co-founder Derek Lilly and has found a ready market among costconscious Kiwis.

no experience? no problem Adrian and Tammy cheerfully admit they knew nothing about the kitchen business before they bought the franchise – he was earning a six-figure salary as a corporate manager in the IT sector. But when they started looking for a business they saw the potential in Dream Doors, and realised that their sales and management experience was readily transferrable to a new industry. ‘As a Dream Doors franchisee, you don’t need to be kitchen experts already – the training and the systems that are in place help you to learn the business fast,’ Adrian says. ‘But you do need to be good at relationship building. You have to be able to listen to customers, share their vision and

Tammy & Adrian Kay: ‘A very busy year’ turn it into something tangible that adds beauty and value to their home – and all within budget. If you can do that, you can build an awesome business.’ And while the Christchurch rebuild might have passed its peak, Dream Doors is going on growing. ‘We never chased that business, preferring to focus on individual home owners and rental owners,’ Adrian says. ‘That’s paid off – a lot of kitchen companies are quieter now, but not us. We get a lot of referrals from people who love the fact that we can deliver a brand new look for a fraction of the cost of replacement.’ Dream Doors is now expanding into Australia, but still has franchise opportunities available in many parts of New Zealand. ‘The investment required is just $75,000 for a 10-year term, renewable for a further 10 years at no extra cost,’ says Derek. ‘A fixed monthly fee means franchisees have unlimited earnings potential. So if you’re looking for a business with real value, whether in New Zealand or in Australia, don’t wait – give me a call today.’

advertiser info Dream Doors (NZ) Ltd PO Box 31, Lake Hawea 9345 www.dreamdoorskitchenfranchise.com Contact Derek Lilly P 0-3-443 5133 P 0800 437 326 M 027 213 5133 del@dreamdoors.co.nz

Now you can ring up sales anywhere with your phone. ASB Accept mPOS With ASB Accept mPOS, and the ASB Pi app on your mobile phone, you can take EFTPOS and credit card payments anywhere you have 3G or a Wi-Fi connection. Payment at the table, split bills or a mixture of cash and cards means hospitality is no longer just an industry term to your customers. It’s also ideal on the showroom floor. So now your point of sale is anywhere your customer is. ASB Bank Limited PPU50134

For more information contact our franchise team on 0800 272 476 or email us at franchising@asb.co.nz.

The ambition to Succeed on.

20 Dream Doors 20.indd 1

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:10 PM


opportunity: food & beverage

we get invited to all the best parties Spitroast.com franchisees enjoy unique advantages from a business model proven over 20 years

P

Jason Olliver: ‘The smartest investment I ever made’

arties, weddings, functions and events, conferences, product launches and test days: Jason Olliver gets invited to them all – and he gets invited back, too. Jason is franchisor of Spitroast.com, New Zealand’s best-known mobile catering specialists. The company has over 20 years’ experience starting in Canterbury then expanding to Auckland and Otago, and is now looking for additional franchisees throughout the country.

profitable model

Jason and his fiancée Karen Whalley bought Spitroast.com in 2012 and brought a wealth of relevant experience to the franchise. Jason has international experience as a chef, has owned his own café, and is also a certified financial planner who spent 15 years in the corporate world.

Given Jason’s background, and his experience as a café franchisee himself, he was determined that when he and Karen decided to get serious about franchising they would turn Spitroast.com’s 20 years of experience into a highly-professional franchise system.

‘What attracted me to Spitroast.com was its striking brand, its reputation, its growth potential and, above all, its profitability,’ Jason says. ‘If only I’d known about mobile catering when I had my own café! Guaranteed numbers, less wastage and lower overheads – it’s a very good business model.’

The couple worked with Mega Franchise Consultants to structure a package that includes comprehensive training, business support, customer booking system and marketing material. ‘Population analysis has identified 19 sustainable territories throughout the country, including a further three in Auckland,’ Jason says. ‘In major metropolitan centres, franchisees will be able to build full-time businesses, while in provincial areas our financial modelling shows franchisees can make a very good living from running Spitroast.com part-time.

not just roasts As its name suggests, Spitroast.com specialises in meats cooked on the spit, but as full service caterers franchisees provide everything from breads and canapés, fresh salads and piping hot vegetables to desserts and cakes. ‘There’s a long list of set menus to make life easy, and we offer customers a stress-free service. We handle everything from food preparation using the freshest ingredients to arriving on time, setting up, cooking, carving and buffet service. We provide plates and stainless steel cutlery, and of course, we clean up. Quite simply, we’re the best, and we have plenty of comments from satisfied customers to prove it. Many individuals and companies have become regulars over the years.’ Jason is very aware that the prospect of catering for big numbers can sound daunting, but using Spitroast.com’s carefully-developed and documented systems, he says it’s a piece of cake even for a single operator or couple.

everything a café isn’t ‘Hospitality experience is helpful, of course, but if you have bucket loads of motivation, you’re outgoing and you like helping people have fun, Spitroast.com is virtually everything a café or restaurant isn’t. There’s no having to open each day; no paying staff to sit around waiting for customers; no stocking up with food that has to be thrown out as customers didn’t turn up. The Spitroast.com franchisee knows exactly how many people they’ll be serving so they prepare just the right amount of food, and they only employ staff when and where required. ‘Except for the festive season when business parties can be on any day, most of our catering is done at weekends with events from black tie to super casual. I usually take three days off a week – Monday to Wednesday – so I can tell you now, the benefits far outweigh any negatives.’ franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Spitroast 21.indd 1

And from his own experience, Jason suggests that Spitroast.com could also make an ideal add-on to an existing restaurant or café. ‘If you have an existing commercial kitchen, Spitroast.com enables you to utilise both the equipment and your kitchen staff more fully on the food preparation side.’

‘We recommend that franchisees cater for a minimum of 40 people. Based on our own experience, a full-time Spitroast.com franchisee could be turning over $300,000-plus within two years and close to $1 million in five years. For the hands-on franchisee, gross profit expectation is 25 to 30 percent or even more.

the smartest investment i ever made Spitroast.com franchises are available for between $25,000 and $50,000 depending on territory. Franchisees will also need access to $150,000 capital to invest in a commercial kitchen and at least two vans, although much of this can be financed. For a franchisee who already has a commercial kitchen or is able to lease one, Jason suggests the set-up cost would be around $20,000. ‘Our starter package includes two of our specialised portable spit roasters, with franchisees able to add more as demand grows – here in Christchurch we have 15 of them! ‘After years of seven-day weeks, late nights, early mornings, stress and the sheer endurance required to make a profit in the restaurant business, I can honestly say mobile catering is the smartest investment I ever made. If you want to do the same – and get invited to all the best parties – call me now.’

advertiser info Spitroast.com www.spitroast.com/franchises Contact Jason Olliver P 0800 333 666 M 027 442 4140 jason@spitroast.com

21 3/12/15 12:13 PM


THE HOUSE SELLER’S CHAMPION Real estate – everybody’s talking about it. Grab the chance to be part of an innovative company taking New Zealand real estate by storm. Here is your chance to manage your own business in a billion dollar industry. Control your own income – and build a great business at the same time. Finely-tuned franchise support team ensures you have all the assistance you need to create a thriving business. Excellent training for business owners and salespeople makes Tall Poppy an up and coming leader of real estate standards in New Zealand. No special licence required for franchisees (your salespeople will be government licensed, of course) Potential significant earnings, high ROI and the opportunity to create a business that that will be re-saleable or will provide a long term passive income. This is only part of the story of a thriving business that can elevate you to high income and an enjoyable business life that allows for work/ life balance. For further information please contact David Graves (Founder and Director) at david@tallpoppy.co.nz or 027 4432 897

Bulsara Ltd REAA-licensed MREINZ 0800 82 55 76


opportunity: home & building

low investment HIGH POTENTIAL Mr. Sandless® and Dr. DecknFence® has nationwide opportunities with a unique turn-key business

B

usinesses with real potential are hard to find. Businesses with a unique product advantage are hard to find, too. And if you find one that combines both advantages, it’s going to require a pretty big investment, right? Well, not necessarily – maybe you just haven’t heard about Mr. Sandless. Founded in the US fourteen years ago, the company offers a fast, safe and eco-friendly solution to the refinishing of wooden floors and tiles in homes and businesses of all types. It’s become a hugely popular alternative to traditional floor-sanding because it’s dust-free, Green-Certified and fast. The company has also developed Dr. DecknFence, which specialises in cleaning and staining outdoor areas. And, as a special launch offer, New Zealand entrepreneurs can benefit from a unique two-for-one deal on both brands. It means that for $30,000 +gst, a new franchisee gets two brands and all the equipment and starter products they need to establish a highly-profitable business. So what’s the catch? ‘There isn’t one – unless you consider the fact that we’re very fussy about who we appoint as franchisees,’ says Barry Walker. Barry and his wife Lianne are the master franchisees for Mr. Sandless and Dr. DecknFence in New Zealand.

is it for you? ‘Having run the business as franchisees ourselves for five years in Bay of Plenty, we know how good it can be,’ says Barry. ‘But we also know what it takes to succeed, so we will only appoint people with the right skills: 1. You have to have excellent English and communication skills. You need to be able to go out and get the business, explain the advantages of Mr. Sandless or Dr. DecknFence to potential customers and manage the process all the way through. 2. You have to be comfortable working with people at all levels, from householders and landlords to business owners and corporate managers. 3. You must know your area and the opportunities it presents: commercial, historic, apartments, laminates, outdoors, etc. Having a good local network is a big help. 4. You must be able to work logically and methodically and follow the process to get the best possible results every time. 5. You are able to work with others and manage them as your business grows. 6. You have a fair whack of common sense along with basic business skills. 7. You must deal with honesty and integrity, as you’ll be working in people’s homes and workplaces. As Barry says, ‘If you fit the bill, read on!’

Lianne and Barry Walker

no competition, high margins Barry says that Mr. Sandless invented sandless refinishing, ‘and because there are no other systems like it in New Zealand, there is no real competition. Traditional processes use sanding, which releases carcinogenic dust into the air, and finishes which create toxic fumes. Mr. Sandless avoids all that. With us, there’s nothing to clean up, guaranteed adhesion, and the best warranty in the business. ‘It’s also quick. We can go into a home during the day or a bar or restaurant at night, and finish the entire job with multiple coats in just hours rather than the three or four days that traditional processes take. It saves time and money for customers, and means high profitability for franchisees. ‘The average Mr. Sandless job is over $1200 and the cost of the specialised solutions and materials is very low – well under 10 percent. It’s all about the process, and we can teach you that. All the systems you need to run your business are included in the package, including a step-by-step opening guide, turn-key marketing plan, cloud-based customer management system, sales scripts, email, lead generation tools, training and support, and more. The only other things you’ll need to get started are a business phone, insurance and a suitable vehicle.’

low investment, high potential ‘One of the most difficult tasks faced by any business owner is finding customers,’ says Lianne. ‘That’s not the case with Mr. Sandless and Dr. DecknFence. With our turn-key marketing plan, you set your budget and the customers will seek you out. It’s a formula that has made us the largest refinishing company in the world with more than $125 million turnover and over 120,000 unique customers serviced. ‘The Mr. Sandless business model has been proven time and time again – it’s a low investment, high potential business. But as a franchisee, you need to have the motivation to get out there and make it happen. As Mr. Sandless founder Dan Praz puts it, joining the franchise is like getting the keys to a racing car. It’s up to you whether you drive it flat-out or leave it in the garage.’ Barry and Lianne say that the franchise is ideal for a couple, at least initially. ‘About 90 percent of the calls I get are from women, and the process itself works much more efficiently with two people,’ says Lianne. ‘But as you grow, you can employ people to carry out the work itself while you focus on getting the business – it’s about having the right combination of skills to grow. ‘If that sounds like you, we want to hear from you. We have opportunities available right now throughout New Zealand.’

advertiser info Before and after: Mr. Sandless (left) and Dr. DecknFence provide fast, safe and eco-friendly solutions. New franchisees get both brands for one low price franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Mr Sandless 23.indd 1

Mr. Sandless www.mrsandless.co.nz Dr. DecknFence dr.deck.co.nz Contact Lianne Walker P 0800 744 693 M 027 652 8908 nz@mrsandless.co.nz

23 3/12/15 8:25 PM


“Before I became my own boss, I worked out what sort of boss I’d be” Becoming your own boss is a big call, but with the Green Acres Design Your Own Business Calculator, you can work out exactly where you want to be. Do you want a six figure income? Green Acres can guarantee that. Do you want flexibility? With Green Acres DYOB calculator, you can build the sort of business you want, sort out the hours you want to work and when you want to work them. Check out our DYOB calculator under FAQ’s on our website.

* Guaranteed income varies depending on initial investment and hours worked. Visit greenacres.co.nz/calculator to see how much you could earn as a Green Acres franchisee.

www.joingreenacres.co.nz 0800 692 623

P204703 Green Acres Fra 2.indd 1

28/08/15 3:51 PM

Deloitte 2015

Congratulations to all the Kiwi franchises that are really going places! If you would like to have your business recognised through the Fast 50 programme contact us today and we will take you through a complimentary growth strategy review session valued at $2,500!

g Xtra Gore Floorin nked #8) (ra us Pl ur Colo

Lighthouse At-Home Childcare (ra nked #6)

p Grou Mad d #3) e k n a r (

Contact Neel Singh or Jon Bradley.

Wisdom Clea ning (ranked #19)

Neel Singh +64 9 303 0716 neelsingh@deloitte.co.nz

Anytime Fitness (ranked #39)

Jon Bradley +64 9 303 0739 jbradley@deloitte.co.nz

deloitteprivate.co.nz 24 Ads 24.indd 1

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:14 PM


opportunity: food & beverage

Savvy business people choose Pita Pit for themselves and their families

good nutrition makes for W

GOOD BUSINESS

hen you have a friend who is an accountant and business mentor, it’s obvious to ask him to look at a franchise you’re considering. So when Mike Poole asked his friend Dan Bees to examine the financials of a bright new franchise called Pita Pit, Dan was happy to help. Little did he know he would end up owning three Pita Pit stores himself. Mike was just the seventh franchisee of Pita Pit when he opened his first outlet on Auckland’s North Shore in 2010 after the company was brought to New Zealand by business partners Chris Henderson, Duane Dalton and Ross Tweedie. There are now over 90 franchised stores here and the company has become a very well-known brand, enjoying a starring role in this year’s season of TV3’s The Block. Dan was the consultant bookkeeper to Mike’s first store, so when Mike thought about opening a second, Dan knew enough about the figures to accept an invitation to be a passive investor in the new store. A couple of years later, Mike decided to take up the opportunity to launch Pita Pit on the Gold Coast and suddenly Dan wasn’t so passive any more. He eventually took over ownership of both stores, then opened a third near North Harbour Stadium – an exciting location, given Pita Pit’s role as the Official Quick Service Restaurant Partner for the World Masters Games in Auckland in 2017. ‘With people becoming more conscious of eating healthy food and the infectious enthusiasm and entrepreneurial flair of Chris and Duane, I’ve found Pita Pit is a personally and financially rewarding opportunity,’ says Dan. ‘I still have my accounting and mentoring business so I have a group manager and three store managers, but I enjoy getting hands-on whenever I can. For the past year, I’ve combined my interests as a Pita Pit business coach, too, advising franchisees and acting as a sounding board.’

mother & daughter Nicolette Steele, a former corporate insurance and banking executive, also found Pita Pit the ideal outlet for her talents. After arriving from South Africa in 2009, her daughter Chanelle started working after-school at the very first Pita Pit store in Takapuna. ‘I used to drop into the store to see Chanelle – and for the healthy and tasty food, of course,’ smiles Nicolette.

‘I really liked the vibe and the family atmosphere, and got to know Chris and Duane, who made Chanelle a team leader. ‘In 2013 I was working in the corporate world again but I wanted a business too, so knowing Pita Pit well I bought the Wairau Valley store. I put in a manager and worked there myself three nights a week and at weekends. After 18 months, I wanted more so I left my job, sold the store and set up the first Pita Pit mobile outlet with Chanelle. Then we replaced that unit with one custom-made for Chanelle to handle single-handed and, once it was going great guns, I returned to the corporate world. ‘But I couldn’t find any healthy eating choices near work, so I asked Duane about opening a Pita Pit there. He was all for it and by March this year I had my Downtown Pita Pit open and was running it myself! ‘Would I recommend Pita Pit to others? Look, the vision Chris and Duane have is infectious and inspiring, and the business is fun and successful. I run a Pita Pit, my daughter runs a Pita Pit and I’m looking at opening a second. What does that tell you?’

father & son

Pita Pit is very much a family business for many people, and the culture extends throughout the franchise. Petone franchisee Grant Henderson and his son CJ, who owns the outlet in Lower Hutt, confirmed that at this year’s Pita Pit International Conference in Canada. ‘There were over 500 people there and it was just as if we were one like-minded family,’ Grant reports. ‘We share the same values and we live and breathe Pita Pit. Everyone, including founder Nelson Lang made us feel so at home and we saw everything from the first store that opened in Kingston, Ontario, in 1995 to the latest innovation, a drive-through Pita Pit.’ Grant worked in the corporate world with CJ coming from a sales background and, like Nicolette, they can’t speak highly enough of the franchisor’s support team. ‘They are always there when you need them and constantly looking to make things even better. Pita Pit really is a business whose time has come.’

channel your enthusiasm

Pita Pit still has plenty of locations available throughout New Zealand for a total investment of between $250,000 and $450,000 depending on location. Required equity is generally around 40-50 percent.

(top) Dan Bees owns three Pita Pit stores (left) CJ and Grant Henderson: ‘Pita Pit is a business whose time has come’ franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Pita Pit 25.indd 1

‘You don’t need previous experience to make a healthy living out of healthy food,’ says recruitment manager Tania Dalton. ‘We provide all the training you need to channel your enthusiasm into a business that really works, whether you want one store or three! Find out more by calling me today.’

advertiser info Pita Pit New Zealand PO Box 331 471, Takapuna, Auckland 0740 www.pitapit.co.nz Contact Tania Dalton P 0-9-486 4664 tania@pitapit.co.nz

25 3/12/15 12:23 PM


buying a franchise: finance

UNDERSTAN Philip Morrison explains what financial reports can tell you about the business you’re buying

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eople buy a business for many reasons: wanting to work for themselves rather than someone else; provide employment for the family; live in an area they choose; enjoy a different lifestyle; comply with residency requirements or any one of a hundred different reasons. Ultimately, though, everyone wants to make enough money to support the family, pay the bills at home, put something away for retirement and have an asset they can build up and sell when the time comes or pass on to a family member.

HOW BIG A BUSINESS DO YOU WANT? Are you just looking for a flexible, own-boss job OR are you motivated to take a business and roll it out across the country? With this broad-market refrigeration filter business,

THAT CHOICE IS ALL YOURS. Presented here is a whole business - tested and proven that would ideally suit an entrepreneur to roll it out nationwide (or beyond) as a franchise model. Or just as easy, it's suitable for a person wanting self-employment as an independent operator without franchise fees. Stock, supplier contacts, technical drawings, accounting systems, etc. It's like a start-up business with all the 'starting' already done! The developer's lack of follow through will be your gain.

SALE PRICE $68,000

including stock and assets with a replacement

value over $110,000 If you’re an ambitious business person, get in touch for further explanation of what’s on offer. Recurring income stream businesses like this are extremely sought after.

TAKE ACTION brendon@coolertech.co.nz 021-222-4040

But one of the biggest problems facing anyone buying a business is getting their head around the numbers. That’s true for many people who have business experience, so it’s an even bigger hurdle for newcomers. No matter what your background, though, it’s worth taking the time to read the financial reports and understand what they actually mean before you make your mind up about any opportunity. In fact, it’s essential to making an informed decision. And it doesn’t end there. The financial reports generated by your accountant and accounting software can help you evaluate how your business is doing, what it needs to grow and how you can make it perform even better. Learn to understand the numbers and you can build a better business. In this article, we’ll talk about three key financial reports and what they can tell you about the business you are hoping to buy – or already own. These are: 1. Profit & Loss Report 2. Balance Sheet 3. Cashflow Report. It’s important to point out that this article won’t replace the need for you to get professional advice from a franchise-experienced accountant, but should help you to understand that advice when you get it.

how much money will the business make? From a financial point of view, the first thing any business buyer wants to know is: ‘How much money is the business making, or could it make?’ The answer can be found in the first of our three reports – the Profit & Loss. This report shows the sales revenue of the business, less the costs of providing the products or services the business sells, and less the overheads of operating the business. It then calculates the profit (or loss) of the business – the bottom line. The Profit & Loss report for a typical franchised business might look like the table on the right. Of course, if the business is an existing franchise with a trading history, the figures shown will be actual sales achieved and costs incurred, so you can see how the current owner has been operating the business and compare them to indicative figures from the franchisor. For example, is the current franchisee spending a higher or lower percentage of revenue on rent or staff compared to others in the group? Any significant differences may point to areas for improvement. On the other hand, if the franchise is a new opportunity, the figures will be forecasts which may or may not be achieved. In general, franchisors are pretty good at forecasting costs based on their experience of other outlets. Where you will want to reassure yourself is in the sales area. What are the predicted figures based on and what are other franchised outlets in similar locations or territories achieving?

what to look for Test each income and expense line for reasonableness. Compare each of the income and expense lines against what you would expect from this

26 EDIT_Understanding the numbers 27.indd 1

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 2:43 PM


ANDING THE NUMBERS common traps

type of business – we call this type of analysis ‘benchmarking’. This will highlight any anomalies that will require further investigation. While any good franchisor will have such statistics available, because they are commercially sensitive the franchisor may not be prepared to make them available until you have joined the franchise. You should therefore ensure that your accountant has relevant experience across a wide crosssection of franchises. Some indicative questions you might consider are:

sales • Is there seasonality? • What are the trends? • Is this a cash business or does it offer credit terms? If the latter, what is the level of bad debts (people not paying)? And how long are customers taking to pay? • What is the sales cycle? What is the average time between quoting a job and closing the sale? PROFIT & LOSS FORECAST • And, for a new franchise, PROFIT & LOSS FORECAST how long will it take to reach Jan-15 the necessary sales levels to $ $ reach break-even (where the SALES Sales 35,000 business is paying for itself) 35,000 and to start to make a return on the money you are DIRECT COSTS COGS (Cost of Goods Sold) 5,250 putting into it?

calculating profit & loss

The first figure calculated is called Gross Profit, which is the difference between what you sell a product or service for and the direct costs for delivering that product or service: eg, if you buy a product from your supplier for $4 and sell it to customers for $10, then your Gross Profit is $6. This represents a 60% margin. Sounds good, yes? But Gross Profit isn’t the ‘bottom line’– out of this figure, you still have to pay all the other things that you need to run your business: rent, rates, electricity, insurance, salaries and all sorts of other costs that you’ll be incurring whether you sell anything or not!

GROSS PROFIT

2. Do your sums – is the return on your investment adequate? Does the profit the business can earn provide an appropriate return, given the risk involved? For example, if you will invest $100,000 for an annual profit of $20,000, this would be a 20 percent return. Government bonds pay under 4 percent so this might seem a pretty good deal, but they involve a lot less risk (and work!). Again, consult your accountant. 3. Finally, it’s important to realise that the profit the business generates is not money you will be able to take out of the business. Profit does not equal cash! (see more about liquidity below).

Feb-15

Mar-15 $

Apr-15 $

May-15 $

Jun-15 $

Jul-15 $

Aug-15 $

Sep-15 $

Oct-15 $

Nov-15 $

Total

Dec-15 $

$

40,000

35,000

35,000

40,000

45,000

45,000

45,000

45,000

45,000

45,000

45,000

500,000

40,000

35,000

35,000

40,000

45,000

45,000

45,000

45,000

45,000

45,000

45,000

500,000

7,000

8,750

12,250

14,000

15,750

15,750

15,750

15,750

15,750

15,750

15,750

157,500

5,250

7,000

8,750

12,250

14,000

15,750

15,750

15,750

15,750

15,750

15,750

15,750

157,500

29,750

33,000

26,250

22,750

26,000

29,250

29,250

29,250

29,250

29,250

29,250

29,250

342,500

5,417

5,417

5,417

5,417

5,417

5,417

5,417

5,417

5,417

5,417

5,417

5,417

65,004

375

375

375

375

375

375

375

375

375

375

375

375

4,500

67

67

67

67

67

67

67

67

67

67

67

67

804

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

45,000

OVERHEADS Rent Electricity Gas Wages -Staff Wages -Staff

3,750

Local Advertising & Marketing

2,000

2,000

2,000

2,000

2,000

2,000

2,000

2,000

2,000

2,000

2,000

2,000

24,000

750

1,000

1,250

1,750

2,000

2,250

2,250

2,250

2,250

2,250

2,250

2,250

22,500

Ongoing Franchise Fee (Royalty) 5%

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

45,000

Group Advertising Levy 2%

300

400

500

700

800

900

900

900

900

900

900

900

9,000

ACC

267

267

267

267

267

267

267

267

267

267

267

267

3,204

Accounting Fees

162

162

162

162

162

162

162

162

162

162

162

162

1,944

50

50

50

50

50

50

50

50

50

50

50

50

600

250

250

250

250

250

250

250

250

250

250

250

250

3,000

58

58

58

58

58

58

58

58

58

58

58

58

696

Internet Cost Interest Computer Expenses Business Insurance

417

417

417

417

417

417

417

417

417

417

417

417

5,004

Printing, Postage, Stationary

125

125

125

125

125

125

125

125

125

125

125

125

1,500

Telephone, Fax, Mobile

212

212

212

212

212

212

212

212

212

212

212

212

2,544

Vehicle Expenses - Fuel, Repairs & Service

483

483

483

483

483

483

483

483

483

483

483

483

5,796

Rubbish & Hazard Waste Other

158

158

158

158

158

158

158

158

158

158

158

1,896

208

208

208

208

208

208

208

208

208

208

208

2,496

19,149

19,499

20,199

20,549

20,899

20,899

20,899

20,899

20,899

20,899

20,899

244,488

2,551

5,451

8,351

8,351

8,351

8,351

8,351

8,351

8,351

98,012

NET PROFIT* 10,951 13,851 6,751 * Note :- Net Profit before Owners Drawings, Bank loan interest, Tax and depreciation)

After including all these items, you’ll end up with a much lower figure called Net Profit. This is the famous ‘bottom line’ that shows the real profit (or loss) for the business and will help you to decide where your future lies. But I’m afraid that’s not the end of it. You also need to consider the fact that some of the assets essential to the business, such as a van or a shop fit-out, will wear out over time and need replacing. Remember you’ll need to pay tax, too. franchise.co.nz – PUTTING PEOPLE IN BUSINESS

158

208 18,799

You also need to factor in the ongoing franchise fees. In some franchises, these may be calculated as a percentage of sales or as a mark-up on product, in which case they are directly related to the sales figure; in other franchises, there may be a flat weekly or monthly fee. You’ll want to be sure that the fee is realistic and allows for a fair return given the projected level of sales. And you also need to factor in the financing costs (how much are you planning to borrow to buy the business and what will the repayments be?), and a living wage for yourself and any family members.

EDIT_Understanding the numbers 27.indd 2

1. New franchise business earning projections are just that – projections. They are not a representation or guarantee of profitability; they are indicative only, and need to be analysed carefully in your due diligence process.

is the business worth it? As we said at the beginning, people buy a business for more than financial reasons. If you’re choosing a franchise for its lifestyle options – eg, because it allows you to work part-time alongside an existing job, or it enables you to work flexible hours or start and finish early – you may not require as much income as you would want from a full-time franchise business. However, you still won’t want to pay more for a business than it is worth, and this is where you’ll need to look at both the Profit & Loss and the Balance Sheet. The Profit & Loss shows the performance of the business, while the Balance Sheet shows a snap-shot of the financial condition of the business at a particular moment in time. It is made up of three broad elements and formatted as follows Assets – What the business owns less Liabilities – What the business owes equals Capital/Equity – The net worth of the business.

27 3/12/15 2:43 PM


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Over the last 20 years Caci has become a leading business within the beauty industry. Now is your opportunity to become part of this aspirational New Zealand brand. What can you expect as a Caci franchisee? • • • • •

Great brand awareness Marketing and business building support Group buying incentives Higher than industry average growth rates Comprehensive training

If you have a passion for the beauty industry and are looking to own your own clinic with an established brand, we would like to hear from you. Interested in owning a Caci clinic? Visit www.caci.co.nz/franchise or call Fleur Evans on 021 369 615 28 EDIT_Understanding the numbers 27.indd 3

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 2:43 PM


BALANCE SHEET FORECAST BALANCE SHEET FORECAST Opening

Jan-15

$

$

Feb-15

Mar-15

$

$

Apr-15 $

May-15 $

Jun-15 $

Jul-15 $

Aug-15 $

Sep-15 $

Oct-15 $

Nov-15 $

Dec-15 $

FIXED ASSETS

An example of a balance sheet is shown on the right. Assets are split out according to their order of liquidity – in other words, the amount of time it would take to convert them into cash. They go from Current Assets (such as cash in the bank, which is immediately available), Accounts Receivable (the balance owed by debtors – customers on credit terms who haven’t yet paid), and Stock (including raw materials, work in process and finished goods ready for sale) to long-term assets called Fixed Assets. These long-term assets are typically what generate the cash in the business: eg. Plant & Equipment, Land & Buildings, Motor Vehicles.

Fitout - Fixtures & Fittings

38,000

38,000

38,000

38,000

38,000

38,000

38,000

38,000

Plant & Equipment

70,000

70,000

70,000

70,000

70,000

70,000

70,000

70,000

70,000

70,000

70,000

70,000

70,000

0

-1,260

-2,520

-3,780

-5,040

-6,300

-7,560

-8,820

-10,080

-11,340

-12,600

-13,860

-15,120

108,000

106,740

105,480

104,220

102,960

101,700

100,440

99,180

97,920

96,660

95,400

94,140

92,880

41,319

Accumulated Depreciation

38,000

38,000

38,000

38,000

38,000

0

CURRENT ASSETS Bank

0

0

0

0

0

0

2,616

9,067

15,517

21,968

28,418

34,869

Stock

5,000

5,000

5,000

5,000

5,000

5,000

5,000

5,000

5,000

5,000

5,000

5,000

5,000

0

25,333

25,333

25,333

25,333

25,333

25,333

25,333

25,333

25,333

25,333

25,333

25,333

5,000

30,333

30,333

30,333

30,333

30,333

32,949

39,400

45,850

52,301

58,751

65,202

71,652

Debtors

0

CURRENT LIABILITIES Bank

0

4,333

10,397

16,014

11,385

5,862

0

0

0

0

0

0

0

Trade Creditors

0

7,026

8,637

10,245

13,467

15,075

16,686

16,686

16,686

16,686

16,686

16,686

16,686

Other Creditors

0

0

44

478

1,348

1,784

2,218

2,218

2,218

2,218

2,218

2,218

2,218

Provision for Tax

0

0

0

0

0

0

0

893

3,144

5,400

7,661

9,926

12,197

NET CURRENT ASSETS

0

11,359

19,078

26,737

26,200

22,721

18,904

19,797

22,048

24,304

26,565

28,830

31,101

0

5,000

18,974

11,255

3,596

4,133

7,612

14,045

19,603

23,802

27,997

32,186

36,372

40,551

0

TERM LIABILITIES Bank loan

TOTAL NET ASSETS

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

0

63,000

75,714

66,735

57,816

57,093

59,312

64,485

68,783

71,722

74,657

77,586

80,512

83,431

0

CAPITAL & RESERVES Capital

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

50,000

0

25,714

16,735

7,816

7,093

9,312

14,485

18,783

21,722

24,657

27,586

30,512

33,431

0

50,000 75,714 Liabilities are the opposite of assets. They are split out on a similar basis according to when they fall due for payment. Current liabilities are usually those requiring payment within 12 months such as accounts payable (balances owed to your suppliers for purchases of product & services). The ‘cash lock-up’ or liquidity of a business is measured by the difference between the current assets compared to current liabilities. Term Liabilities are those which can be paid off over a longer time such as a bank loan to finance the business, or hire purchase which financed some plant.

66,735

57,816

57,093

59,312

64,485

68,783

71,722

74,657

77,586

80,512

83,431

0

Retained Earnings

Capital/Equity is the funds that the franchisee introduces into the business. For example, the franchise CASH FLOW FORECAST business cost $500,000 to CASH FLOW FORECAST buy which is funded by a bank Jan-15 Feb-15 loan of $200,000 and funds $ $ $ introduced of $300,000. RECEIPTS Sales 22,250 35,000 The accumulated profits the 22,250 35,000 business generates are referred to as ‘retained earnings’, and PAYMENTS added here. Invoiced Costs

So a Balance Sheet tells you a lot about the solvency of a business and the cash locked up in it or, put another way, the working capital requirements of a business (see below).

can i afford it?

Mar-15

Apr-15 $

May-15 $

Jun-15 $

Jul-15 $

Aug-15 $

Sep-15 $

Oct-15 $

Dec-15 Total

Nov-15 $

$

$

39,500

40,250

46,000

51,750

51,750

51,750

51,750

51,750

51,750

51,750

545,250

39,500

40,250

46,000

51,750

51,750

51,750

51,750

51,750

51,750

51,750

545,250

11,131

14,141

14,546

15,080

15,753

16,154

16,423

16,423

16,423

16,423

16,423

16,423

185,343

COGS

2,013

6,708

8,722

11,404

14,759

16,771

18,113

18,113

18,113

18,113

18,113

18,113

169,055

Wages -Staff

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

3,750

45,000

62

186

186

186

186

186

186

186

186

186

186

186

2,108

4,601

4,602

4,601

4,602

4,601

4,602

4,601

4,602

4,601

4,602

4,601

4,602

55,218

18

61

110

113

72

17

0

0

0

0

0

0

391

0

0

44

478

1,348

1,784

2,218

2,218

2,218

2,218

2,218

2,218

16,962

21,575

29,448

31,959

35,613

40,469

43,264

45,291

45,292

45,291

45,292

45,291

45,292

474,077

675

5,552

7,541

4,637

5,531

8,486

6,459

6,458

6,459

6,458

6,459

6,458

71,173

6,227

13,768

18,405

23,936

32,422

38,881

45,339

51,798

58,256

64,715

13,768

18,405

23,936

32,422

38,881

45,339

51,798

58,256

64,715

71,173

Accounting Fees Bank loan Payments Overdraft Interest GST

NET CASH FLOW

Whether you can afford to buy OPENING BANK 0 675 the business or not doesn’t CLOSING BANK 675 6,227 depend so much on how much money you have as how much Note: GST inclusive figures you need to borrow – and whether the business can afford to service the loan repayments on that borrowing. That often comes down to the cash generation ability of the business. It has been said cashflow is more important than profitability in operating a business. After all, you can own a profitable business and still fail if your cashflow is not managed properly, hence the saying, ‘cashflow is king.’ This where the third report comes in – the Cashflow Projection (above). This is a report that you as a franchisee, your accountant and your banker will require in your assessment of any business opportunity. So what does it do that the Profit & Loss and Balance Sheets don’t do? It adds a whole new dimension to the numbers in the Profit & Loss and that dimension is Time. There is a timing difference between when you make the sales on your Profit & Loss report and when the cash is actually paid into your bank account. There’s a time difference between when you pay your suppliers for products and when you sell them to customers. There’s also a difference between when you collect GST and pay it (and your other taxes) to the IRD. Accordingly, you need to calculate how much cash will flow into and out of your business and, most importantly, when. franchise.co.nz – PUTTING PEOPLE IN BUSINESS

EDIT_Understanding the numbers 27.indd 4

To fund you through the period between cash going out (eg, buying stock) and cash coming in (customers buying the items and paying their bills), you’ll need additional funds. This is called working capital and you’ll need to factor this in when you buy the business over and above the purchase price. After all, there’s no point in spending every dollar you have on buying the business if you can’t afford to run it (see our article on working capital at www.franchise.co.nz/article/1872). That’s why the Cashflow Projection is so important – it tells you how much you’ll need to have available as working capital as your business grows. Here’s an example:

71,173

finally There is a lot to consider when buying any business and a franchise is no different. Although franchises have the advantage of benchmarking so that targets and performance criteria can be shared across the group, it’s still important for any incoming franchisee to understand the numbers that make their business work. Knowing how to read the three key reports is a vital part of understanding the viability, sustainability and affordability of your business. The good news is that you are not alone. If you’re shopping for a franchise, make sure you consult a franchise-experienced accountant and get the help you need. That way, you’ll know that you’ll get all the information required to make a sound financial decision and set you up for success in your new business.

about the author Philip Morrison is Principal of Franchise Accountants, the 2015/16 Service Provider of the Year. The specialist accounting practice has worked with over 150 different franchise brands throughout New Zealand.

29 3/12/15 2:43 PM


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franchise management: finance

Darren Eagle

thriving within the BRAND Darren Eagle of RightWay shares three insights on reducing stress and building sales

H

ow can you combine sales and marketing more effectively to build turnover in a sustainable way? According to Darren Eagle of accounting/advisory firm RightWay, ‘sales’ and ‘marketing’ are often seen as two separate functions – and that’s not helpful to anyone. ‘Our goal is to help our franchise clients earn more and stress less – no matter what the size of their business,’ he says. ‘So what can you do about it?’ In a franchise, marketing is often handled nationally by the franchisor while sales are handled locally by the franchisee. This can lead to tensions and a certain disconnect between message and experience which is even greater if the franchisee’s business is large enough to employ its own salesforce of people focused on personal targets and commission rates. Darren notes, ‘I’ve seen countless examples of companies advertising themselves as the friendly, customer-focused service provider, only to be let down by a sales person with only one goal: to win the end-of-year trip and get their bonus commission. ‘A hungry sales person can be dangerous as they are likely to stray from the carefully-structured sales process built around a value proposition and think. ‘How can I get this across the line this month and meet my own personal goal?’ The result can damage not just the franchisee’s business but the businesses of every other franchisee in the system.’ Darren outlines three clear steps to avoid this.

1. understand the sales process ‘Do you have a clear sales process? Do you know how many contacts need to be made to generate leads, how many leads you need to make a sale, what your unique selling proposition is and how you can present it clearly? What are the objections you can pre-empt, how do you do that throughout the sales process, and when? ‘Do you have a nurturing process that keeps potential customers warm and engaged until they are ready to purchase? If so, what is the process for delivering engaging content? How does your brand get delivered during the sales process? If your brand is a promise, how does your sales team deliver this and prove the brand is real?’ In short, Darren asks, ‘What does your sales cycle look like? Can you map it out on a board so every franchisee or sales person can understand it? Does it reflect your brand and marketing message?’

2. measure the right kpis Although there’s a lot of talk about Key Performance Indicators these days, when it comes to sales and marketing Darren believes a lot of people fail to measure the right KPIs. Because of this, the sales process goes from being a carefully thought-out and implemented sniper strategy to an allout shotgun spray assault. ‘I’ve been told multiple times that it’s not about inputs, it’s about outputs. And while it’s true that you must look at the outputs to measure success, the outputs are a result of inputs. These are often franchise.co.nz – PUTTING PEOPLE IN BUSINESS

RightWay 31.indd 1

non-financial activities but they are key to ensuring consistent results. ‘At RightWay we measure not just sales but calls per day, seminars held, networking events attended, advocate meetings and all other such activities. Why? Because these are all inputs –actions we need to perform that result in new or repeat business, and enable us to hit our output KPIs. ‘Too often we were seeing our sales team worry about hitting revenue targets and doing a multitude of things that only made matters worse, from taking short cuts during the sales process through to suffering from “paralysis by analysis”. ‘Do we still measure the outputs? Yes, but in order to help our team get better results we now spend 80% of our time monitoring and measuring the inputs. We know that if these are done, and done well, the outputs will come – and that’s what we’re starting to work on with our franchise clients.’

3. automate the sales process In addition to measuring inputs, RightWay has implemented a branded nurturing system that uses automated sales lifecycle marketing software and is mapped out to follow its sales process. ‘This ensures that the sales team don’t waiver from our core values while easily delivering our value proposition,’ Darren says. ‘Our prospects receive consistent communication that is aligned with our brand and marketing strategies, and the sales team can focus on the clients’ needs instead. ‘So now we have a sales team that is primarily focused on their inputs while the automated software helps deliver our brand and guides them through the sales process for a higher conversion rate. Such an approach ensures the brand is delivered consistently and becomes a major asset in achieving sales targets rather than something irrelevant.’

summary Whether you are a franchisor trying to help franchisees achieve higher sales within the brand guidelines, or a franchisee looking to re-ignite your sales activities, this process can add considerable value. Get people focused on the right activity and measure where possible. Ensure the people making sales understand your value proposition and how to deliver it. And automate anything you can – in today’s world there is a program or app for everything. ‘With 13 offices from Whangarei to Invercargill, RightWay can help you understand and implement these steps in your own business,’ Darren says. ‘Contact me to find out more.’

advertiser info RightWay Level1, 182 Vivian Street, Wellington 6011 www.rightway.co.nz Contact Darren Eagle M 021 791 971 darren.eagle@rightway.co.nz

31 3/12/15 12:22 PM


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opportunity: retail

Jeremy Sharp and Stihl Shop: a good combination

QUALITY first & last Stihl Shop offers quality products with quality customer service

I

didn’t know that was an option!’ That’s a familiar cry from people flicking through Franchise New Zealand, and no doubt it will apply to Stihl Shop, too. Originally a collection of Stihl dealers, Stihl Shop was created as a distinctive brand in 2003 and is now the largest network of outdoor power equipment retailers in New Zealand with 64 owner-operated stores nationwide.

‘At its most basic it’s money in/money out, and find the margins in between. That’s where having a fantastic and supportive licensor, both nationally and internationally, makes all the difference. I don’t suppose Henry Ford walked into any of his dealerships that often, but Nikolas Stihl, the grandson of the company founder, has visited us from Germany three times!

The Stihl range of outdoor power equipment is renowned for quality tools ranging from chainsaws to concrete cutters and everything in-between. In addition to the Stihl brand, Stihl Shop offers a wide range of premium quality equipment along with fully-equipped workshops and skilled technical staff to ensure full support is always provided for customers.

‘I’ve just returned from a visit to Germany to see the Stihl plants and I was very impressed. They put a huge amount of effort and money into research and development, particularly towards meeting environmental standards. I’m convinced that will keep a Stihl Shop like ours relevant, profitable and growing for the next generation and beyond.’

Jeremy Sharp knows the business well. Along with wife Colleen and her parents Richard and Sally Walton, he bought the Stihl Shop in Masterton in 2006. Since then, it has expanded from 3 staff to 25, and has moved premises to cope with the increased demand not once but twice. ‘Finally, we bought our own section and put a brand new building on it to give us the room we needed,’ he says. ‘Our timing wasn’t great as the recession hit us soon after, but the Stihl Shop brand is strong so we made it work.’

a business that matters Jeremy’s background wasn’t in power tools or even the outdoors. ‘I’d sold industrial storage facilities for five years before Colleen and I decided we’d had enough of Wellington,’ he says. ‘We were both born in Masterton and wanted to be close to our families when we had our own children. We cast around for opportunities and then heard that this store was available. Colleen’s an accountant and I have a sales background which we felt was a good combination, and Colleen’s parents came in with us as shareholders.

advertiser info Stihl Shop http://careers.stihlshop.co.nz/ Contact Francis Scordino P 0-9-262 4000 M 021 543 582 francis.scordino@stihl.co.nz

JOIN THE LEADER IN OUTDOOR POWER EQUIPMENT RETAILING

‘We were very keen on the Stihl Shop opportunity because of the reputation of the brand,’ Jeremy continues. ‘We all felt that such high quality outdoor power equipment would sell itself, allowing us to concentrate on running the wider business – which is pretty much how it has worked out.

• • • • •

‘We are a very close-knit community in the Wairarapa and that has been a big advantage when getting our name out there. As I explain to my staff, it’s not me that pays them, it’s our customers – I merely divvy up the money. So if they look after customers then that brings the rewards.’

STIHL SHOP is a nationwide network of locally-owned stores offering a wide range of high quality outdoor power equipment supported by fully equipped service workshops.

going on growing

STIHL SHOP owners and staff are friendly, approachable and fully trained with a strong focus on customer service and satisfaction.

Stihl Shop has opportunities for new stores and passionate retailers to convert to the brand across New Zealand. ‘Investment starts from around $200,000 depending on location, store size and the range of products you wish to stock,’ says Francis Scordino, the company’s retail network manager. ‘When you become a Stihl Shop licensee, you’ll instantly benefit from the support of Stihl as well as other leading brands such as Masport, Rover and Honda.

Own your own business Become part of your local community Join a network of retailers committed to customer service excellence Be supported by a team of people dedicated to your success A well-established, profitable business model

STIHL SHOP opportunities are available for new licensees in locations across New Zealand. For more information on how to join the STIHL SHOP team please contact 0800 864 264, email careers@stihlshop.co.nz or visit careers.stihlshop.co.nz

‘You get the recognisable Stihl Shop look, and you become part of a strong national retail brand with established operational support and systems that provide each licensee with tools to grow their business. This includes extensive training programmes for licensees and staff, along with a fully-supported IT and POS system. And, of course, you are part of national and local marketing initiatives that include television, print and online advertising.’

fantastic and supportive Jeremy and Colleen Sharp are proud to be the current Stihl Shop Retailers of the Year. ‘It doesn’t take an Einstein to run a business,’ suggests Jeremy. franchise.co.nz – PUTTING PEOPLE IN BUSINESS

STIHL 33.indd 1

LOVE YOUR LAND 33 3/12/15 12:12 PM


buying a franchise: financial matters

LOOKING AT THE OPTIONS See your specialist franchise banker as an ally, says Daniel Cloete of Westpac

O

btaining bank finance might seem to be a big issue, especially for firsttime buyers of small businesses. While it’s understandable that you might be nervous about starting a business, especially if you are borrowing against your home or other investment, funding and financing are a normal part of business life. Getting the finance is a straightforward process that uses the same information you will need to assess the business yourself. You should therefore consult a specialist franchise banker at a reasonably early stage and see them as an ally who has your interests at heart. A good specialist already knows most of the franchises available and can quickly see if franchisors’ claims (like income or expenses) are realistic. They can also offer different funding structures to make the best use of your equity, and may have the ability to partially fund against the franchise business’s cash flow. This does not mean you should not do a proper assessment yourself. Your bank is going to expect you to have an intimate knowledge of the business that you are planning to buy and its financial position or prospects. This is in your interests, too: by doing your own research and using experts like franchise accountants and lawyers to do the specialist work, you can increase your chances of finding the right business to suit your needs and ambitions.

34 Westpac 34.indd 1

One thing that any potential franchisee should remember is that it is in the bank’s interest that its clients join a stable, profitable franchise system without paying too much for the business. After all, it’s the franchisee who is going to be the bank’s client – not the franchisor!

what will your banker require from you? So what information does a bank require to process a prospective franchisee’s application quickly and effectively? Here’s a brief guide to some of the major areas. The Proposition. The bank will want to see a breakdown of the purchase price of the franchise and factors like details of the franchise location and demographics of the area if applicable. It will also look at the buyer’s own financial position. Business Plan. Producing a business plan is a very worthwhile exercise; it will help you to understand the business you want to purchase better, focus your thinking, and convince the franchisor and financier of your abilities. A business plan need not be elaborate but should include an explanation of how you plan to run the business; details of who will be operating the business (yourself, manager, family members) and their abilities; working

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 12:00 PM


IS THIS JUST A PILE OF BARK? capital required; information on the market environment; and background on the specific franchise under consideration. Cashflow Projection. A bank typically needs a 12-month cashflow projection for the proposed business, including a list of the assumptions used to determine the figures. If the business is an existing one, it will also want to see the historic financial accounts for up to three years. In the case of a new franchise, the franchisor may provide cashflow projections based on expectations and on what other similar stores in the system are doing. These are not guarantees, of course, but if the franchise has a good track record, it can give a good indication of possible performance.

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If done properly, and with input from a specialist franchise accountant, a cashflow projection will tell you about the real value of the business as well as how much bank finance you need to obtain. Your Finance Request. Getting the finance you need isn’t just about asking for a loan. To maximise the returns on your business investment, you want to borrow only the right amount of money, only when you need it, and always on the best possible terms. Different needs can be financed in different ways: for example, short-term working capital via overdraft, medium-term business finance via a term loan; funding equipment or vehicles via equipment finance (this is usually preferable to leasing as you end up owning the item, enjoy the same tax benefits and can use the item itself as security). In determining the best mix for your individual needs, the bank would look at the term of your franchise agreement, the debt servicing capabilities of the business and the particular needs of the industry.

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how much will the bank be prepared to lend you?

New business owners often ask, ‘How much can I borrow?’ This is actually the wrong question: the right question is, ‘How much can the business afford to repay while still allowing the owner a decent living?’ Neither you nor your bank would want your business to fail because you had borrowed more than it could afford to repay. Interest rates are at a historic low at the moment, which could easily lull you into taking on more debt, so you want to look at what happens to your calculations if interest rates rise during the term of the loan. Remember to consider any tax implications in making the calculations – this is another area where the advice of an accountant is vital. The bank will also look at how much money you are prepared to put in yourself; the security you can offer; your financial record of accomplishment and business acumen; and other factors if applicable. In certain exceptional cases, with proven franchise systems where the equipment or stock lends itself to this approach, they may also lend against the value of the business itself. This can reduce the total security required but, because of the many variables involved, it will be judged on a case-by-case basis.

points to remember Before committing yourself to any purchase, you should determine how much finance you require and involve your banker in the decision-making process on the required amounts, terms, timing and mix of financial solutions that will best meet your needs. Remember: • Your bank values your custom and wants to make it as easy as possible to obtain finance for the right business. • The information that you need to assess the viability of a business opportunity is the same that the bank needs to process a finance application. Get the information, do it once and do it right. Use expert advice where necessary. advertiser info • In obtaining finance, you are entering Daniel Cloete is the National into a long-term financial relationship Franchising Manager for with your franchise banker built on Westpac. You can contact trust. This makes it important for the Daniel or the Westpac Franchise Team on 0800 177 007 or email: bank to look after your interests. franchising@westpac.co.nz • Look at the services and added value The information contained in that your bank can offer over the longer this article is intended as a guide only and is not intended as an term after obtaining finance. You are exhaustive list of matters to be in this together for the long haul. considered. Persons entering Informed relationship banking can into franchise agreements should make a huge difference to the seek their own professional legal, accounting and other advice. eventual success of your business. franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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opportunity: retail

gotta have sole Smith’s Sports Shoes has a history of success – and new opportunities

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ack in 1994, Robert Sansom took voluntary redundancy from his first job with the Otago Harbour Board after 21 years. ‘I wanted to run my own business, so I became one of the earliest subscribers to Franchise New Zealand magazine and started to do my research,’ Robert recalls. The result was the opening of the Dunedin branch of Smith’s Sports Shoes and another 21-year career as a specialist retailer. ‘Although I looked at alternative options, I felt much safer with a franchise and Smith’s Sports Shoes have been trading continuously since franchisor Chris Smith’s grandfather opened the first store in 1949. I’ve always had a keen interest in sport, so I knew the value of good shoes. Smith’s concentrate on providing real customer service, taking their time to help people make the right choice, and that has paid dividends over the years both for the brand and the franchisees.’

ongoing trend Chris Smith had turned the company into a specialist sports shoes retailer in the 1980s, spotting a trend that has continued to this day. ‘In 1991 we decided that franchising was a better way to offer the sort of personal service required, and there are now 15 outlets around the country. We’re also looking for franchisees for new outlets in Rotorua, Gisborne, Invercargill, and two in the Wellington region. Total outlay will be around $200,000 - $300,000 depending on location.’

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Robert and Sally Sansom

Robert’s original Dunedin store is for sale, too. ‘My wife Sally and I have been running it with our son Luke, but now he’s off overseas and we’re planning on moving to Central Otago. It’s been a great business for us but I’ve seen too many people work solidly for 40 years, retire and die. We’re taking the time to enjoy life further!’ Robert is emphatic that Smith’s Sports Shoes has been good to his family. ‘Our books show consistently good profit and return, and anyone coming into the business will find that it has a very good name. The franchise is absolutely first class and in my whole time as a franchisee I’ve never had an issue with the company. Yes, we’ve worked hard, it’s not just 9-5 and you need to be thinking about it continuously, but it’s been fun – and rewarding fun, at that!’ Chris says that Smith’s Sports Shoes offers the right people the opportunity to build a really successful business in a specialised market. ‘We advertiser info provide full training, systems to help you Smith’s Sports Shoes manage and grow your own business www.smithssportsshoes.co.nz and plenty of support. Give me a call if Contact you want to learn more about joining Chris Smith a really successful home-grown Kiwi M 021 733 981 brand. You don’t have to stay 21 years – chrismsmith@xtra.co.nz but you might want to!’

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

4/12/15 12:14 PM


opportunity: business & commercial

the fellowship of franchisees SBA franchisees get together to celebrate training, successes and growth

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ecause its franchisees are small business owners themselves, Small Business Accounting is a natural choice for the SMEs of New Zealand. So says Craig Gardiner, the business development manager for Small Business Accounting (SBA), ‘Empathy is a huge advantage in business and our franchisees come from all sorts of backgrounds. This gives them a big advantage when helping other owners stay on top of their finances.’ With almost 50 outlets around the country, SBA is a highly successful one-stop-shop for small business owners who don’t want to spend their weekends dealing with the entrails of GST or taxation. As franchisor Adam Parore says, ‘If you have a business with a turnover of a couple of million or so, you don’t need expensive accounting. SBA can do the lot, save you megabucks on fees and give you up-to-date financial information you can trust. That makes our franchisees pretty popular – one of our franchisees has achieved 12.5 percent growth per annum almost since he started in 2010.’ By basing SBA outlets in strategic locations with high visibility and high foot traffic, many franchisees have acquired a lot of business from customers simply walking through their doors. By combining this friendly approachability with the latest online systems, SBA keeps its clients happy. ‘In fact, 33 percent of our group’s new clients come via recommendations and referrals by existing clients,’ Adam says.

professional development SBA helps its franchisees stay one jump ahead by holding regional events for franchisees throughout the year and an annual conference in November. ‘Generally 90-95 percent of our franchisees attend the main event because it’s such a great opportunity for everyone to get together and network,’ says Craig. ‘We also have speakers from industries such as banking, law and tax providing us with legislative updates, and the opportunity to discuss topical issues so everyone in the group can keep informed and up-to-date. ‘That applies to technology, too – it is constantly improving and adapting, so we also have software suppliers and technology companies talking about ways we can improve the collaboration between ourselves and our customers, and how we can streamline our processes and utilise the latest developments to enable us to provide more added value for clients while maintaining our low fixed monthly fees.’

SBA’s Adam Parore with CFO Robina Bhola and Rookie of the Year Shayne O’Hagan

it’s about teamwork But the conference is also about coming together as a team. ‘Everyone had experience in different industries before joining SBA so it’s good to find out each other’s strengths – you never know when you might have a client who needs specialist input. And we love to acknowledge those who have had a standout year with special awards for Rookie of the Year, Highest Sales, Highest Growth and the branch that has gone above and beyond the call of duty to support other branches. ‘During a panel discussion, Shayne O’Hagan, our Rookie of the Year from Mana in Wellington, was asked why he bought an SBA franchise. He replied that he had wanted a business that allowed him to meet people, assist other business owners and build long-lasting relationships. SBA met all those criteria. He also commented on the value of the network of peers he has developed within the SBA group, which he felt was instrumental in his success this year and had contributed greatly towards the ongoing development of himself and his business. That pretty much sums up the spirit of the franchise.’

from northland to queensland You don’t need an accounting qualification to be an SBA franchisee. ‘Many franchisees do have some bookkeeping or accounting experience but we also have many with impressive CVs in commercial, managerial, business ownership or merchant banking roles,’ Craig says. Opening your own SBA outlet costs just $42,000 +gst, with an additional $15,000 allowed for shop fit-out and other capital outlay. As awareness of what SBA can achieve for the average small business spreads, so demand for more offices across New Zealand has grown. In Northland alone there are opportunities in towns such as Whangarei, Dargaville and Warkworth while major cities such as Christchurch and Wellington also need more offices. There are even opportunities over the Tasman, where SBA is opening at the rate of 8-10 outlets per year, and plans are in place for further off-shore expansion. ‘Currently we believe there is room for up to 80 franchises in this country,’ says Adam Parore, ‘and in recent years we have seen a trend of multi-unit ownership as franchisees have opened additional offices or bought adjoining franchises to increase their presence and efficiency. ‘SBA continues to provide value to clients and franchisees through its continued dedication to quality and training. So if you fancy joining a franchise that has become a wellknown brand, provides a valuable service, and believes in helping franchisees help each other, contact us and find out more.’ Get together, network and learn: SBA franchisees keep up-to-date

franchise.co.nz – PUTTING PEOPLE IN BUSINESS

sba 37.indd 1

advertiser info Small Business Accounting PO Box 47 818, Ponsonby, Auckland www.sba.co.nz Contact Adam Parore P 0-9-378 0934 F 0-9-523 0355 adam@sba.co.nz

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BNZS 4887

buying a business: looking at franchises

Why buy a franchise when you could go into business by yourself and avoid paying all those fees? Here are some issues to think about

Working for yourself doesn’t have to mean working by yourself.

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f you’re keen on running your own business, you might think that you can do it without buying a franchise and spending all that money on upfront fees and ongoing royalties. And it’s perfectly true – you can. Thousands of people do it every year, some with ideas they have thought up themselves and others by copying or adapting ideas they have seen elsewhere. If you are serious about creating a business as opposed to a paying hobby, though, consider this. Surveys in New Zealand and elsewhere tend to suggest that over three-quarters of franchisees succeed in their first three years compared with perhaps a third of small businesses in general. That can be a big advantage if you’re investing your savings or redundancy money, or putting your home and career on the line. While people always argue over the actual figures in any such survey, and what the definitions of ‘success’ and ‘failure’ should be, it is certainly true that franchisees enjoy a much higher rate of survival – and a much better chance of growing their businesses into true income earners – than independent small businesses. That’s not surprising, because franchisees begin with many advantages over independent operators.

starting your own business is risky If you’re considering a franchise, our specialists are here to help. 0800 269 018 bnz.co.nz/franchise

Starting your own business is risky. You need a good idea, the skills to make it happen, the cash to finance it and a whole lot of help to get it right. You need to have the right location and the right equipment. You need to find the right suppliers at the best price, and you need to arrange all the delivery and credit facilities. Then you’ve got to get your customers – let them know you exist, who you are, what you do and why they should start buying from you. You’ve got to find a way of reaching them that works, and you’ve got to do all this in the face of your competitors. No wonder so many businesses fail even to get started. So if you were starting your own company, imagine how it would be if someone took you aside first and taught you exactly how to run it; how to do the books, operate the equipment, train any staff, serve the customers and so on. Then how would it be if they ensured your business was in the right area, with the right equipment? What would happen if they arranged a major launch promotion for you with advertising that was proven to work for exactly your type of business? Gave you a name that already meant something to your potential customers? Organised your marketing, gave you an 0800 number that people knew and a website professionally developed to attract real business for you? And how would it be if this someone provided systems to help you monitor your business, and if they monitored it with you? What if they checked up on your progress regularly and gave you feedback on how you were doing and lots of new ideas for doing even better? It sounds like the ideal way to start up – and it’s exactly what many franchisors provide for their new franchisees. At its best, franchising is like having a dedicated mentor and business coach rolled into one – and so much more besides. Of course, no franchise is a guaranteed success and a potential franchisee must always be cautious, but there is no doubt that – providing you choose well – buying a franchise significantly reduces the risk of failure.

bright idea When you buy a franchise, you’re buying a ready-made business format that someone else has researched and developed for you. Your own business may not yet exist in the location you want, but all the product

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Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 2:42 PM


WHY BUY A

histockphoto.com/adekvat

franchise design, service parameters, business systems and profitability studies have been carried out already. You buy the franchise and it’s up to your own efforts to make it successful in your area. It’s like buying someone else’s bright idea – one that someone else has already proved does actually work. That’s not to say that you won’t have to work hard – you will. If you’ve never worked for yourself before, you won’t believe how hard running your own business will seem at first. But if you buy a franchise, because of the guidance you receive from an experienced franchisor, your own hard work will always be directed to the right areas. That saves your time, effort and money from being wasted on trying things the franchisor has already discovered don’t work. A franchisee once described it to me as “learning from someone else’s mistakes”, and there’s a fair amount of truth in that – although it must be emphasised that, unless you follow the franchisor’s system properly, then you may find yourself creating entirely new mistakes of your own.

training When you buy a franchise, a good franchisor will ensure that you are fully trained in every aspect of running your specific business – not only using the equipment but managing people and cashflow, creating your customer database, purchasing, promoting the business, and lots of other things. In many cases, this will extend to setting up your accounts on a computerised system using a standard template (something that can save you a lot of time) and setting measurable and achievable goals for your business using Key Performance Indicators (KPI’s). By sharing and comparing statistics from other franchisees in the same group, you can see how to improve your performance and stay on track as you grow. In addition to this, you should get a detailed operations manual which is your standard reference work to provide solutions in most situations. It’s because of this thorough preparation for running your own business that so many franchises require no previous experience of working in the same sort of industry. In another survey, 80% of franchisors cited ‘no experience necessary’ in a range of businesses from catering to printing, and it’s this that allows so many people to take up a whole new career.

support Franchising, properly done, is a ‘partnership’ between franchisee and franchisor: the franchisor makes his or her income from the success of your business, so it’s in their interests to help you make the most of your territory. Consequently, you should get a level of support which the independent business person can only dream of. This starts with the selection process. It’s not in the franchisor’s interests to appoint anyone who they don’t think will succeed, so just by being offered the franchise you should be confident you possess the necessary qualities. The more rigorous the selection process, the better for you – no matter how it feels at the time (see page 66). Equally important is the continuing support. A franchisor should have

people experienced in every aspect of the business you run who can answer any questions you have on a day-to-day basis. In addition to this they have a monitoring role, helping you to maximise your performance in such areas as production costs, sales, promotion, staff recruitment and so on, and providing additional training or advice as required. Field managers, who visit your operation regularly and keep a watchful eye on the KPI’s with you, are a vital resource – in fact, they are so important they are even recognised in the Westpac New Zealand Franchise Awards (see page 60). Many franchisors also carry out some management functions on behalf of their franchisees such as making customer bookings, quoting and even invoicing or credit control. These can be invaluable in saving your time to spend on actually doing the work that you get paid for.

buying power This is a major strength of franchised chains. If you owned an independent sports shop, for example, you’d pay the going rate for a brand of golf clubs. If you sold a lot of them, you might get them a bit cheaper. But if you’re part of a chain of 20 franchised stores, you’ll get a substantial discount. In the same way, if you buy a piece of equipment recommended by the franchise, or services such as insurance or communications, you should get them cheaper than you would as an independent operator. Some items may even be unique to your franchise. These benefits could more than make up the ongoing franchise fee you pay, as well as gaining you an edge over your competitors on price or improving your bottom line profit.

more help To work out whether any particular franchise is the right one to help you make the leap into business ownership, you’ll need to do some research and ask lots of questions. There are many helpful articles on the Franchise New Zealand website – here are five of the most important:

Find the Right Franchise For You – Our guide to finding a franchise that suits your pocket and your dreams. www.franchise.co.nz/article/639 250 Questions to Ask the Franchisor – A comprehensive list to help you analyse any franchise opportunity and help you make the right decision. www.franchise.co.nz/article/77 Doing The Sums On Buying A Franchise – How do you evaluate a franchise from a financial point of view? A case study of a real-life business opportunity. www.franchise.co.nz/article/1124 50 Questions To Ask Franchisees – If you want to know what a franchise is really like, you need to talk to the people who are already operating it. www.franchise.co.nz/article/935 Guiding Success – How do field managers help franchisees to achieve their goals? www.franchise.co.nz/article/2051

franchise.co.nz – PUTTING PEOPLE IN BUSINESS

EDIT_Why buy a franchise 38.indd 2

Buying a franchise saves you having to do everything yourself

Another advantage is that a manufacturer is a lot less likely to let you down on quality or delivery, too – and might help fund special promotions because of your importance to him.

up and running faster You’ll only open your business once, but your franchisor will have experience of doing it several times. That means that everything should be smoother, quicker and more efficient for you – service and quality should be better, wastage lower, and your business should be known and well-promoted right from the start. In turn, that means reaching profitability faster, which is good news for you and your bank manager. Of course you’ll still have to work at it, put in the hours and the effort, be prepared to get on the phone and follow up online contacts or go out and

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buying a business: looking at franchises

meet new people, but even here the franchisor will have been able to help you prepare what to say and how to organise your time. And you are likely to have one of the franchisor’s trained team come along and help you for the first few days or weeks to ensure that you feel comfortable with the business and, crucially, build a good reputation with your new customers right from the start.

ready-made reputation An independent business starting up has to create a name and a reputation for itself – often a long, slow and expensive process. In comparison, an established name is probably the most visible part of the franchise operation and, if the franchisor has done the preparatory work properly, it gives the new franchisee a head start. Not only will consumers know the name and what it stands for, but there will be a battery of back-up material – leaflets, clothing, signage, advertisements, websites, vehicle designs and so on – all reinforcing your business identity. Of course, not every franchise brand has the pulling power of, say, Pita Pit or Fastway Couriers, and some newer franchises won’t be able to offer that at first. But those franchises tend to require less investment in their early days, and as each new franchisee joins so the brand – and its buying power – become more valuable.

staying ahead When a new business opens, it needs a competitive advantage to succeed. As time goes by, new competitors often erode that advantage, and you have to find new ways of staying ahead. Because a franchisor needs to succeed to keep his profits up and to attract new franchisees, it is his job to carry out constant research and development on new products and better and cheaper ways of doing things. An independent business is just that – on its own. However, in an established franchise you have not only the support of your franchisor,

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EIGHTFOLD

but also all the other franchisees who have been through the stage you are now at and understand the problems. This support can be invaluable when the going gets tough – as it certainly will on occasions.

part of a team One of the hardest things about running your own business is that sometimes you feel very much on your own. Where do you go to when you want to chew over problems, or to talk over a new opportunity, or to get information on a new piece of equipment? With a franchise, you have a choice. There’s a franchisor on the other end of the phone or the email whenever you need specific advice. You have other franchisees who are running into exactly the same sort of issues as you on a regular basis, and some of them are certain to become good friends – the sort of friends you can ring up and let off steam to occasionally. And then there will be field visits from franchisor staff, franchise meetings, conferences, newsletters, intranets, funny stories, helpful hints… It all helps to reduce that feeling of isolation as well as ensuring that you have the knowledge and the tools you need to create your own business. There are many good reasons for paying franchise fees and this is perhaps the hardest to put a dollar value on – but that doesn’t mean it’s not worth anything.

it still means hard work Like any new business, a franchise still requires hard work and commitment to get it off the ground. If you are looking at taking up a franchise, don’t forget that. Choose one that you believe you will enjoy working in, and be prepared to put your all into it. Even then, be aware that franchising cannot guarantee success. Franchising is a way of doing business, and some franchises undoubtedly do it better than others. If you are looking at buying a franchise, be prepared to ask questions, take your time, take professional advice and be cautious. But remember – your chances of success are far higher in the right franchise than they will be if you go it alone.

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FINANCIAL SERVICES GROUP

40 EDIT_Why buy a franchise 38.indd 3

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 2:42 PM


opportunity: home & building

Good local builders can grow better businesses with Highmark Homes

start with

50 YEARS’ EXPERIENCE B

ob Hunt, the founder of Highmark Homes, is celebrating his fiftieth year in the building industry this year. You don’t survive that long in a traditionally volatile sector through luck; it takes great knowledge, great systems and great management. And it’s those qualities that Highmark Homes is passing on to the next generation of builders through its licensing programme. ‘Over the years, Highmark Homes has built many thousands of houses in the “golden triangle” of Bay of Plenty, Waikato and Auckland,’ explains Bob, ‘and we had requests from other areas, too. It was this demand for our homes that made me realise the value of our experience. ‘To be a builder these days you must have a Licensed Building Practitioner qualification, and to succeed you also need a whole lot of industry knowledge under your belt,’ says Bob. ‘But, just as few entrepreneurs have building skills, so many builders don’t have business skills. ‘Our unique offer is that we can take builders who are keen to build their business and help them grow by using the procedures we’ve developed over many years. We’ll teach them the art of growing a business, develop their sales and marketing techniques and give them the management and financial control systems to help them become successful business owners in a relatively short time. ‘It’s a proven system that has already been used by eight licensees around the country, and now we’re looking for more people to build Highmark Homes around the country, especially in Wellington, Hamilton, South Auckland and the South Island.

from starter homes to retirement homes Bob has building in his blood, as he explains. ‘My father was a structural engineer and boat builder who took to farming and I couldn’t wait to leave school in order to start building. But I soon learned that you need more

than just practical skills, and that was the foundation of all the systems Highmark Homes has in place today. Now my son, Ryan, is our General Manager and ensures licensees have all the tools and technology they need to run successful and profitable businesses.’ Ryan says that Highmark Homes has over 40 main house plans with an infinite number of variations, and custom designs plans for clients, too. ‘At Highmark Homes, we can put together first or starter homes relatively cheaply and build right up the range to five bedrooms, with specialist homes to suit farms, orchards or retirement homes, too. ‘On top of our nationally-recognised brand, we offer licensees a huge range of knowledge, skills, procedures and, of course, volume purchasing power. For any quality builder looking to grow their business into a sizeable company, those are big attractions.’

never looked back Jenine and Reuben Weber of Masterton recognised the potential of Highmark Homes back in 2007. ‘We were only 25 at the time, but as soon as we saw the Highmark Homes advert we felt it was us,’ says Jenine. ‘Reuben is a residential builder and I’d been in sales in the travel industry and we wanted to settle down, work together and have a family.’ With their combination of sales and building skills, Reuben and Jenine took the big jump. ‘Perhaps our youth gave us courage because we never looked back. Our first two years were hard, because of course the GFC hit just after we started and the building sector went through one of its downturns, but being part of Highmark saw us through and allowed us to expand in a way we couldn’t have on our own.’ These days, the couple have two children under two but Jenine is still running sales and marketing for their company. ‘Compared to my previous job, I actually have a lot more balance in my life,’ she laughs. ‘Thanks to Bob, Ryan and the team at Highmark, we’ve learned how to manage a business and we are with a brand that adapts rapidly to changes in the market. As a result, we’ve done very well financially and are able to employ a nanny so I can continue my role. I actually love what we do and being local to Masterton has been a real advantage. We’ve built homes now for people I used to send on holiday!’

for good local builders

Jenine and Reuben Weber: ‘Being part of Highmark allowed us to expand in a way we couldn’t have on our own’ franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Highmark Homes 41.indd 1

Bob and Ryan Hunt are keen to expand Highmark Homes around the country, and are now looking for experienced builders wanting to benefit from the brand and its proven designs in their own area. ‘The investment varies according to area, but is generally between $75,000 and $105,000,’ says Bob. ‘Turnover will depend upon the effort you put in and how many projects you are prepared to take on, but using our systems you can grow as large as you like – and advertiser info create a real asset for your future. ‘As Jenine and Reuben have found, Highmark Homes has the skills and experience to help you create a very successful business. For the right people, it’s a formula for ongoing success. Give Ryan a call and find out more.’

Highmark Homes www.highmarkhomes.co.nz Contact Ryan Hunt P 0-7-574 1956 M 021 388 626 ryan@highmarkhomes.co.nz

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opportunity: business & commercial

BEAUTIFUL BUSINESS Budding Ideas is a low-investment business generating full-time income from part-time work

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lowers brighten any environment – office, shop, hotel, restaurant, school or rest home. They please the eyes and lift the soul, making them a big industry. But fresh flowers have their drawbacks, too: they are expensive, need maintenance and, with one-in-four people now suffering from allergies, they are increasingly unwelcome. ‘That’s why Budding Ideas has proved so popular,’ says Manish Kemkar, the company’s director. ‘Now it’s a business opportunity that can offer licensees a fulltime income for part-time work.’ Budding Ideas offers a range of pre-arranged, ready-made silk flower arrangements which are set in a transparent resin to simulate the appearance of real water. Fresh looking and of the highest quality, they offer a practical alternative to real flowers. ‘They are attractive, longlasting arrangements designed by floral artists,’ Manish explains. The Budding Ideas business model is simple. Licensees hold a stock of arrangements which are rented out to businesses/corporates/ professionals at a fraction of the cost of real flowers. The arrangements are rotated for customers on an agreed schedule, thus building up a regular – and increasing – monthly income stream on a low-cost basis. Including initial stock, a Budding Ideas licence costs from $27,500 and can be built to whatever size you wish.

Seeks expressions of interest for Nationwide Franchises

satisfying business Philippa Bolland has been a Budding Ideas licensee on Auckland’s North Shore for five years. ‘In that time, I have paid off the business and am enjoying the rewards of a passive income while growing my business without the demands of a 9-5 work day,’ she says. ‘To work in an industry that brings pleasure to your customers is rewarding and makes for a fun day at work. Customers look forward to new flowers each month and always welcome me with a smile. Often, there’s talk over how real the flowers look and how customers have been fooled into smelling them. The displays add that bit of class to an office and brighten up dull reception rooms and I often get comments on how they love the fact that the flowers always look bright and new compared to real flowers, which die back after only a few days. ‘It’s nice to be able to finish work with a sense of satisfaction that you have made your customers happy.’ Manish is now looking for new Budding Ideas licensees in many parts of New Zealand. ‘If you’re out-going, personable, advertiser info have some sales or service experience and know your way around your area, it’s Budding Ideas a great way to get into business for a very buddingideas.co.nz low outlay,’ he suggests. ‘Our system allows Contact you to step up to full-time earnings in a Manish Kemkar matter of months. All you have to do is find P 0-9-837 1219 your customers and service them well. P 0800 BUDDING Contact me today and find out more – it’s manish@buddingideas.co.nz a beautiful business.’

Ray Lindstrom

We won’t be beaten on Quality or Price

Founder and Director

"We stand behind the best"

www.nzhousesurveys.co.nz/franchise

MEGA Franchise Consultants are the most professional and cost effective way of developing your franchise documents and recruiting franchisees to expand your business worldwide...

inspector@nzhousesurveys.co.nz

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Proven business model. Complete training. Ongoing support. Annual conferences. 42 Budding Ideas 42.indd 1

www.megafranchise.co.nz

MEGA Franchise Consultants Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:13 PM


Import4less have changed the way Kiwis buy cars. Now they’re looking for franchisees nationwide

changing gear IN AUTO SALES

B

uying a car can be a bit of a nightmare. Most people wanting value for money look at a used Japanese import, but buying through a dealer means paying their mark-up. Thousands of Kiwis have imported their own cars, but that often involves using unknown middlemen and, again, offers little protection to the buyer under New Zealand law should something go wrong. So is there a better way? Racheal Cancian says yes, and it’s called Import4less – Car Import Lounge®. Now the company has been launched as a franchise with opportunities available throughout New Zealand. How does it work? ‘Rather than going round the car yards, customers come to an Import4less car import lounge or register online so they can shop from home,’ explains Racheal. ‘They then use our custom-built software to search through the databases for over 140 Japanese car auctions. These can feature up to 100,000 ‘as new or used’ Japanese, European or American vehicles, so there’s a huge choice and our filtering system means we can usually find half a dozen suitable vehicles.’ ‘We hold the sales data of 1.6 million vehicles sold over the last 90 days at the auctions. From that, we can give people a pretty accurate idea of the price to pay. They then credit what they want to pay into an audited trust account. We have the car inspected in Japan by one of our staff there and provide a report. If the customer wants to go ahead we enter the bid and, if it’s successful, the vehicle will be delivered to the customer’s door within six weeks. Of course, if we manage to buy the car for less than their maximum offer, we refund the difference.’

making it easy ‘We handle all the paperwork including customs clearance, MAF quarantine, odometer inspection, bill of lading and even radiation testing. On arrival, every vehicle is inspected and complied, groomed and serviced before being trucked to the customer. If the vehicle fails on any count, the customer is refunded in full. It’s simple and transparent: we provide copies of all the invoices during the import lifecycle, reconcile everything and charge a flat fee based on the car’s landed cost. All the usual consumer guarantees apply under New Zealand law so customers really can buy with confidence.’

‘Since we launched late last year, we’ve had over 100 satisfied customers in the Tasman district alone – just look at the testimonials on our website. We’ve imported all sorts of cars, work vans, trucks, motorhomes and even diggers. Whatever vehicle you want, we can source it.’

based on experience The Import4less concept may be new but it’s based upon over 25 years’ experience. Key team members pioneered importing used cars from Japan in 1987 and then exported from Japan to most parts of the world, as well as inventing the popular LemonCheck system that thousands of Kiwis trust every day when buying and selling cars. But the idea for Import4less came after Racheal had a really bad experience buying a car and decided the customer should be able to do it on their own terms – hence the feminine touch of personal interaction in a comfortable lounge with a trained consultant who will take you through the whole process hassle-free. ‘Customers hate spending their weekends trawling round endless car yards being bullied by salesmen. Import4less enables customers to spend less money and invest less time to get the vehicle they really want.’ Racheal says that Import4less is a classic example of a market disruptor, using the power of the internet and global markets to change an industry. ‘400 people buy cars on TradeMe every day without driving their purchases first, and if it can work domestically, it can work just as well overseas – as we’ve already proven. You need top connections in Japan, of course, so our other director is Shane Nishimura, who has many years’ experience in the auto trade there.’

ready to grow With 11 vehicles passing through the pilot operation in Tasman in the last week of October alone, Import4less is now opening its first lounge at 1 Port Road in Seaview, Wellington, and seeking franchisees to open lounges in 15 key locations around the country. ‘Investment levels depend on location but will be between $150,000 and $350,000, and franchisees get the benefit of the internet, too. ‘Our website will take Import4less to every mobile, tablet, laptop and computer in New Zealand and a dedicated call centre will direct them to their local franchisee for personal service,’ explains Racheal. ‘We are looking for people with absolute integrity who understand the power of the internet and how to use it. A knowledge of cars is helpful but not as essential as a dedication to customer service. We’d also be interested in enquiries from car-centric service providers taking up the franchise as an add-on service.

Import4less customers can visit the convenientlylocated lounges (above and right) or register online and shop from home franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Import4Less 43.indd 1

‘Import4less is at the cutting edge of a big shift away from how consumers think about buying cars. The concept is simple, the technology is sophisticated and highly reliable, and the figures stack up for both customers and franchisees. Contact me now to find out more.’

advertiser info Import4Less www.import4less.co.nz Contact John Murphy P 0-3-528 1003 info@jmassociates.co.nz

43 3/12/15 1:41 PM


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Ecomist CEO Ben Payne

opportunity: home services

CONTROLLED EXPANSION

and one of them is on our staff, so franchisees can be assured of the best possible training as they enter this profitable new market. The opportunities for growth are considerable, and we fully expect franchisees to expand into employing specialist staff to manage the pest control aspect.’

Ecomist is adding pest control to its repeat-business services

P

ests are a pain for businesses and home-owners alike. They’re irritating, unhygienic and sometimes downright dangerous. But how do you create a welcoming environment for people while keeping pests out? New services from Ecomist make it easier – and this means new opportunities for franchisees.

Ecomist was established after an enterprising Kiwi invented the automatic aerosol dispenser 25 years ago. Today, the company has nearly 20 franchisees in exclusive territories throughout New Zealand and branches in Australia, South Africa, Korea and the Philippines. ‘Ecomist developed from the need to dispose of insects in an environmentally-acceptable way,’ explains CEO Ben Payne. ‘Using our unique technology, we moved on to dispensing a much wider range of complementary products, including over 50 quality French perfumes. That’s made Ecomist a familiar name in commercial premises, hotels, hospices and homes, and ensured a constant source of repeat business for our franchisees. Now we’re capitalising on our reach and our reputation by extending our service. ‘Ecomist pest control specialists understand the local market and the unique problems associated with ants, borer, cockroaches, flies, spiders, rodents, wasps and all the other creepy-crawlies that can make life a misery. It’s a market that is currently growing and represents a great opportunity for existing and new franchisees to develop multiple revenue streams.’

take charge of your destiny

Ecomist is seeking further franchisees all around New Zealand keen to enjoy the benefits and returns of a business with an investment of between $120,000 and $200,000. ‘The franchise involves everything you’d expect in a small business from planning to cold calling, marketing and managing staff,’ says Ben. ‘Some franchisees operate from home, while others run their own retail centres. We encourage all applicants to talk to and work alongside existing franchisees so they can fully understand the potential that Ecomist offers. ‘Franchisees do need to be pro-active, with a passion for selling, as it’s important to have the ability to identify sales opportunities and take full advantage of them. Many franchises are run by husband-and-wife teams, and the service model creates an opportunity for a business involving family members as well. advertiser info Ben sums up: ‘An Ecomist franchise offers a great opportunity for someone who wants to have a ‘hands-on’ operation in an expanding market and be in charge of their own financial destiny. Contact us today to find out more.’

DID YOU KNOW ECOMIST IS EXPANDING?

managing the problem ‘Ecomist’s integrated pest management system is a realistic approach to an ongoing problem,’ says Ben. ‘Rodents and other pests are not going to go away – they are part of the environment and we can’t ever eliminate them, but we can manage them. ‘Ecomist’s commercial service already includes installation and monthly maintenance of dispensers for odour, fragrance and insect control in business premises, so managing larger pests is a logical extension. Franchisees visit their clients regularly to check on the bait stations, ensure there has been no activity and write up the book for the council health inspectors. ‘It’s important to realise that this is a huge market. Most food establishments are required to have a pest programme in place, and any warehouse storing any type of consumables must have protection for their own stock. There are already warnings of a rat population explosion next winter so when you factor in the potential for residential pest control as well, you can see it’s a sizeable market,’ says Ben.

quality training Ecomist’s pest control programme is being added for franchisees at no extra cost. ‘We’ve been highly successful in the last 25 years, and now we’re setting up a solid foundation for the next 25,’ says General Manager Craig Cameron. ‘We are fully accredited through the Pest Management Association of NZ and also the Ministry for Primary Industries. ‘There are only three people in the country who are HSNO (Hazardous Substances & New Organisms) approved handlers Dave Gerrie has been an Ecomist franchisee for 14 years franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Ecomist 45.indd 1

Ecomist Systems Ltd www.ecomist.co.nz Contact Craig Cameron M 027 565 6418 craig.cameron@ecomist.co.nz

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INCOME FOR FRANCHISEE Call Craig on 027 565 6418 or email craig.cameron@ecomist.co.nz. Ecomist - Kiwi owned and operated for 25 years! 45 3/12/15 8:10 PM


Franchise Development

why

Franchising your business or improving an existing network?

FRANCHISE A BUSINESS?

Do it once, do it right.

Franchize Consultants says there are more reasons than you think

W

hy do companies start franchising? 20 years ago, this was the question that Callum Floyd was asking as he started his Master of Commerce thesis. He got 10 widely-varied NZ-founded franchise systems to share their motivations, and the results informed not just his thesis but his career. Today, many of the businesses he investigated have grown into large national companies – and Dr Callum Floyd leads the multi-award-winning team at Franchize Consultants (NZ) Ltd. ‘People often have lots of pre-conceived ideas about why people franchise, including that it’s just for small enterprises,’ Callum says. ‘But it’s not true. In the last two years we’ve certainly worked with SMEs but also with a large government entity and companies listed in Australia, the United Kingdom and Japan.‘

Callum says there are many reasons why companies franchise. ‘Franchising provides a number of potential commercial levers depending on the individual business model, and the motivations and strategy of the business’s ownership. For one large company, we recently identified no fewer than 16 different franchising-specific levers unique to their business! ‘The three main advantages that franchising brings are money, people and time. Here’s an explanation, with some real comments from our franchisors.’ 1. Money, or Access to Capital. Franchisees provide the capital to open sites or purchase existing ones. That means the franchisor doesn’t have to find or borrow the funds – clearly an advantage if they don’t have the resources to open new sites as fast as they’d like. “Because you eventually reach the limit of your own capital, [franchising] allows you to expand at a much greater rate than if you are relying on your own capital.” 2. People, or Motivation. Because franchisees invest in their business they are motivated to make a success of their operation. Because of this, they will often be more productive than their employee-manager counterparts. “We thought there would be an improvement, but the improvement was so dramatic as to be almost unbelievable.” 3. Speed or Time. The usual options for growing multi-outlet operations are opening more company stores or franchising. Franchising can dramatically speed up growth which, in turn, can provide economies of scale and sometimes first-mover advantages and defensible market positions. “We didn’t start off intending to be franchised, but it developed that way because, to be successful, you have to get to a critical mass and to do that we had to have stores nationally. [It’s] important both from a purchasing and marketing point of view. It allows you to go on national TV and to be able to do that cost-effectively is a advertiser info huge advantage.” Callum says, ‘Franchize Consultants has an unparallelled 25 years of experience helping companies to evaluate franchising, design and establish franchise structures, and develop national networks. Contact us to find out what potential advantages franchising could bring to your business.’

46 Franchize Consultants 46.indd 1

Franchize Consultants PO Box 9538, Newmarket, Auckland 1149 www.franchize.co.nz Contact Callum Floyd P 0-9-523 3858 M 021 669 519 callum@franchize.co.nz

Talk first with New Zealand’s longest established, largest and most award winning team. Work with a company engaged on major projects with many of the biggest and best emerging names in the franchise sector.

Brilliant Commercial Cleaners

Find out why. Call Callum Floyd (09) 523 3858 or email callum@franchize.co.nz www.franchize.co.nz

Six times winner service provider of the year

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 2:24 PM


opportunity: business & commercial

sharing experience BUILDING BUSINESS Stephen James

The Alternative Board’s franchisees are helping New Zealand businesses grow bigger, better

I

n business, it’s a proven fact that two heads are better than one and several heads can be better still. That’s why it’s a legal requirement for publicly-listed companies to have a board of directors – but it’s an advantage that smaller companies sometimes find hard to replicate. That’s where The Alternative Board comes in. Over the past 25 years, this international franchise has provided over 15,000 SME’s with incalculable benefits through bringing fellow business owners together at monthly board meetings, facilitating peer group input and offering one-to-one mentoring to generate real results. The franchise was brought to New Zealand in 2012 by Stephen James. With five franchisees already established in Auckland, and one each in Christchurch and the Bay of Plenty, Stephen is now looking for the right calibre of candidate for Hamilton, Wellington and Dunedin as well as regional centres such as New Plymouth, Whanganui and Nelson/Marlborough.

giving something back Stephen knows the value of boards only too well, having sat alongside the legendary Graeme Hart at Rank Group for 14 years as it grew from new startup to multi-billion dollar giant. It means The Alternative Board franchisees and their clients can benefit from the support and calm, focused energy of one of the country’s foremost executives. Many people will empathise with Stephen’s journey from big business to The Alternative Board. With business increasingly taking him overseas, Stephen resigned from Rank Group in 2002 to spend more time with his family and put his energy into a Waikato farm investment. By 2011, he felt he had reached the stage where it was time to give something back to the New Zealand business community, ‘Without,’ he says dryly, ‘giving up on the concept of making an income.

peer boards a melting pot After taking up the master licence here, Stephen soon proved that The Alternative Board’s processes were as valuable for New Zealand companies as they had been overseas. ‘It’s a fundamental truth that about 75 percent of the problems and challenges all businesses face are the same, whatever the industry,’ he explains. ‘This means that if the owners of a software company, a courier service and a marine engineering business get together for four hours every month with a franchisee from The Alternative Board chairing the meeting, they can help each other in invaluable ways. ‘Having the melting pot of different industries encourages cross-fertilisation of ideas and solutions. Combine that with one-on-one mentoring by the franchisees and a wide variety of business improvement tools, and The Alternative Board can achieve some really positive changes.’

use your experience Stephen says The Alternative Board is very selective. ‘Our franchisees need to be great communicators who are highly-motivated and either have decades of business experience at senior levels or have previously owned successful businesses themselves. We also welcome enquiries from business coaches and consultants who appreciate that having equity in a globally-connected franchise will give them a valuable, marketable business to sell when they want to move on.’ The investment is $83,000 +gst, which includes an exclusive territory, 8 days’ training at the Denver headquarters and 2 weeks in-field assistance as well as ongoing support to help franchisees get their first boards up and running. It also covers databases and promotional systems, and access to all the business tools and support that The Alternative Board has developed over 25 years, including ‘taster’ meetings where potential board members are invited to experience the value of the approach in a ‘try before you buy’ strategy. ‘Each franchisee has a professionally-mapped territory pool of approximately 9,000 SMEs from which to generate multiple and consistent income streams,’ Stephen explains. ‘These include facilitating and chairing monthly meetings of up to eight or nine members, and providing one-on-one business coaching. In turn, this can create additional revenue through advisory or consulting roles in particular aspects of members’ businesses.’

‘Flicking through an issue of Franchise New Zealand, The Alternative Board caught my eye. I called the USA and spoke to its founder and chairman Allen Fishman, who told me first-hand why he established The Alternative Board.

The potential for consistent income is endorsed by research revealing that, in North America, members stay with The Alternative Board for an average of 4.2 years. ‘The result can be a advertiser info significant income – some established US franchisees have over 100 members The Alternative Board and are still building,’ says Stephen.

‘Allen had some equity in the St Louis electronics company where he worked. When it grew to be listed and was compelled to have a board of directors, he saw the power that “many heads” brought to the business, and realised how much more quickly the company would have grown if it had had access to a board in its early years. When Allen retired from the electronics company in 1990 he established the first peer advisory board and in 1996, The Alternative Board began franchising.’

‘So if you have a strong track record of achievement and want to help others achieve while building your own business, give me a call and let’s talk,’ Stephen invites. ‘We’re building a team to help New Zealand businesses become all they can be.’

franchise.co.nz – PUTTING PEOPLE IN BUSINESS

The Alternative Board 47.indd 1

PO Box 32 234, Devonport, Auckland 0624 www.thealternativeboard.co.nz Contact Stephen James P 0-9-446 0963 M 021 606 934 sjames@thealternativeboard.co.nz

47 3/12/15 12:07 PM


franchise history

FRANCHISE PIONEERS Some of the people who have made huge contributions to the growth of franchising in New Zealand were honoured at the Westpac New Zealand Franchise Awards

honoured

W

ally and Hugh Morris, the brothers who brought McDonald’s to New Zealand in 1976, are the first people to be inducted into the Franchising Hall of Fame along with David McCulloch, who was one of the primary figures in the establishment of franchising in New Zealand. The Franchise Association also appointed a new Life Member in David Munn, who has served for many years as the Association’s Honorary Solicitor.

Wally and Hugh Morris When Wally Morris was in Ohio in 1964, he saw something that both intrigued and inspired him – queues of people lining up to buy a simple hamburger. ‘If people were lining up to buy hamburgers, something must be better and different,’ he thought. He kept being drawn back, trying to discover the secret, and the image stayed with him throughout the following years as he and elder brother Hugh built up their ShopRite supermarket chain. By the 1970s they were starting to think about diversifying and fast food had clear appeal. Convincing the legendary Ray Kroc that New Zealand was a viable market took all their persuasive skills. Having once visited the country on a cruise ship, he said, ‘New Zealand? We’re not going there… I cruised into New Zealand on a Saturday and there was no-one in the street anywhere, and on Sunday it was even worse. I never met a more dead-than-alive hole in my life. Where do all the people go on the weekend?’

David McCulloch David McCulloch saw the potential of franchising at an early stage, becoming one of the country’s pioneer franchisors when in 1986 he and his wife Laurel restructured their orange juicing and distribution business, Arano, into a franchise system. Typically, he not only took up the challenge for his own business but willingly shared everything he learned with others. Recognising the value of sharing experiences and setting industry standards, David forged a relationship with Australia’s long-established franchise association. A consequence of this was the formation of the Franchise Association of Australia and New Zealand and, in 1996, the establishment of the Franchise Association of New Zealand. David was its inaugural chairman and his combination of clear vision, commitment, people skills and general bonhomie ensured that it had a firm foundation and a welcoming attitude from day one. After moving away from the day-to-day management of Arano, David established The Franchise Coach, which has consulted to many of the country’s emerging franchise systems. In 2002, he was contracted by the World Bank to lead a programme introducing franchising to the emerging economy of Vietnam. His induction alongside the Morris brothers into the Hall of Fame recognises the fact that New Zealand has developed its own culture of excellence in franchising.

David Munn David Munn has served as Honorary Solicitor for the Franchise Association for over 15 years, giving freely of his time and services for the good of franchising. David is one of those lawyers who looks for solutions rather than confrontations, and his quiet good humour and careful consideration of the real issues have made him a tower of strength to successive boards and chairmen during that time. It says much for the regard his peers have for him that it is often his fellow solicitors who are first to move his re-appointment at the Association’s AGM each year, and he has always been elected unopposed. He has never sought any recognition for the important role he has played in the Association’s growth, making his appointment as a Life Member all the more deserved.

Despite this, in June 1976 the Morris brothers opened their first restaurant in Porirua. It was a revelation both to customers and to the New Zealand business world, which slowly came to appreciate not just the company’s passion for excellence but the potential that franchising had to offer businesses in all sorts of industries. During his induction speech, Wally talked about how, when he owned his first supermarket in Auckland, he and a rival would call each other on a Friday night and discuss their sales figures for the week. It’s hard to imagine competitors doing that now in such a cut-throat business, but it’s a measure of the confident and co-operative nature of the Morrises that was so important in establishing a successful franchise model. Today, New Zealand is the most franchised country in the world and it was Wally and Hugh’s vision that started to make franchising respectable here. Hugh sadly passed away a few years ago but Wally received the Hall of Fame honour on behalf of them both.

48 EDIT_Hall of Fame 48.indd 1

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 7:53 PM


Quinovic Property Management franchisees create stable, substantial businesses

right properties RIGHT PEOPLE A

fter working in the freight industry since he was 19, both as a corporate manager and running his own companies, Tom Finlay knew exactly what he wanted in a business. ‘When the time came for a change, I made myself a list,’ he says. ‘It gave me something by which I could evaluate each prospect.’ His list read: • A business with an established name and customer base • In an industry that is stable and growing • A premium brand, but not specifically a franchise • Large enough to employ an operations manager and be scalable so I can take holidays and avoid burn-out • Good cashflow • A star in its own industry • Operations-focussed, with good systems and processes ‘I spent about nine months looking at all sorts of businesses and there was only one that ticked all the boxes – Quinovic Property Management. I bought an established franchise in Hutt Valley in 2007 and a second area, Johnsonville, in 2013. Today we manage around 800 properties over the two offices and have 16 staff, including my wife Kate and myself. It’s everything I was looking for,’ says Tom, now 47.

market leaders Quinovic is New Zealand’s largest specialist residential property management company. Founded in Wellington in 1988, it now has 27 franchisees around the country and a limited number of new opportunities, especially in the Auckland, Hamilton and Christchurch regions. Established franchises are also available occasionally. ‘Our business model is designed to build profitable businesses that enjoy a steady, secure income stream,’ explains Ross Davey, the Executive Director responsible for business development. ‘It’s highly scalable, so each franchise can be as large or as small as its owner desires. With no debtors, no major plant, equipment or maintenance costs, and no inventory (which means no obsolescence) it’s a model built for high cashflow and capital growth.’

managing people brings results Quinovic carries out a variety of tasks on its clients’ behalf from finding suitable tenants for each property to arranging any necessary maintenance work and carrying out regular inspections.

Tom Finlay (top): ‘It’s about people management more than anything else - both of your own team and the clients’ franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Quinovic 49.indd 1

‘Really, it’s about people management more than anything else – both of your own team and the clients,’ Tom explains. ‘We have a certain number of properties per manager and on any one day, a few will require some action. It’s a matter of combining good systems and good training with logic and common sense. If a tenant says there’s no hot water, get them to look at the cylinder. If it’s leaking, send a plumber. If it’s cold, send an electrician. It’s the same skill set you’d use to run any business. ‘People can get emotional about property so what we strive for is a calm energy. One of our regular clients says, “Whenever I walk into your office there’s a feeling of people in control, quietly getting on with things.” And it works – we get a lot of business from referrals, and one in six of the properties that we sign up come from people who were once tenants of ours. They tell us, “We didn’t like how thorough you were in your inspections, but that’s how we want our properties managed.” ‘Our rule is that we want to manage any property for which we can get good tenants. We want good business, not all business, because if you get the right people they will stay. In my office, our average vacancy rate is just 1.9 days a year.’

a good group of people Although many Quinovic franchisees have been involved in the residential property market as investors, it’s not a pre-requisite. ‘We will provide you with all the systems you require and 350 hours of training on both the operation of your business and its growth,’ says Ross Davey. ‘Investment starts from around $140,000, and finance is available.’ Tom says his fellow franchisees are ‘a good group of people. They come from all sorts of backgrounds, and they’re all determined to work the system and protect the brand. The key thing is to select good staff, train them well and create a smooth team environment which allows you to concentrate on running your business. We have a sales manager in Johnsonville while Kate manages sales and operations in Hutt Valley. My main focus is staff management and the financial side. Between them the two businesses are turning over almost $2 million and I am very marginsfocused – I expect a minimum 15 cents in the dollar EBITDA.’

invest in the business Tom Finlay is a big fan of the Quinovic system: ‘Obviously, since I bought a second franchise,’ he smiles. ‘The initial and ongoing training is excellent, and we pass that on to our own staff. The specialist software is excellent, and so is the manual – even after eight years I still refer to it. ‘If you are looking for a solid, stable, professional business, I’d say “Go for it!” Be prepared to invest in the business, apply the system, set yourself up for growth and invest in your staff. The secret to success in this business is relationship management. If you can do that, and manage the numbers, it’s very worthwhile.’

advertiser info Quinovic Property Management www.quinovic.co.nz Contact Ross Davey P 0-4-801 7880 M 021 434 820 davey.rs@quinovic.co.nz

49 3/12/15 12:22 PM


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1/09/2015 8:50 am


opportunity: food & beverage

becoming kiwis’E CAFÉ OF CHOICE Long-time franchisee is excited by Esquires’ new direction

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f anyone can appreciate just what a small world it is, it must surely be Esquires Tauranga franchisee Gary Macilwee. When he left his 10-year career as a store manager with a leading retail group in 2006, Gary also left behind a fiercely-fought competition with fellow store manager Andrew Morgan. Now Andrew is back in Gary’s life and he couldn’t be happier. ‘When I was told that Andrew had been appointed General Manager of Café and Bakery for the Esquires franchisor, I was genuinely excited,’ smiles Gary. ‘As rival store managers for different brands in the same group, our outlets had been so close we always competed to see whose store performed best. We developed a sort of love-hate relationship, but Andrew ran a very good business then – and now he’s doing great things for Esquires. ‘He’s already masterminded the change for Esquires from a coffee house to a bold, bright café, and he’s got the best support team we’ve ever had. They’re all brilliant and incredibly hands-on. I owe a real debt of gratitude to franchise sales manager David Bernard, who didn’t just stop a rent increase I was battling but actually achieved a rent decrease! He’s just one of the people who could never be accused of not working hard for Esquires franchisees. ‘Two others who stand out for us are food trainers and advisors Sarah Stratford and Rachael Harris. Their enthusiasm knows no bounds. If I ask to meet with them at 6.30am before I open or late, after I close, one or other – or even both – will drive down from Auckland. The new recipes they have developed and the food preparation and barista training they have given my staff are superb.’

owner-led business Gary left his previous career to set off on a belated OE with his wife Michelle ‘before it was too late.’ When they returned to New Zealand 12 months later, they decided Gary should go into business for himself. With his experience of the power of branding, Gary knew his future lay in becoming a franchisee rather than starting up on his own. ‘I also appreciated the leverage that reputable franchises have with banks,’ he points out, wryly. Gary focused on opportunities relevant to his retail and staff management background. ‘As someone who enjoys coffee, I started leaning towards

We meet again: old friends Gary Macilwee and Andrew Morgan are on the same side this time franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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Gary’s refurbished café at Bayfair is attracting heaps of new customers

cafés and met with a number of franchisors,’ he recalls. ‘I also did my own review of the café industry. I quickly saw that, for a café to be successful and generate good profits, it has to be owner-led rather than a hands-off business investment. As I subsequently found, customers want to relate to the owner and to a stable staff team – it gives them a sense of ownership and involvement which builds loyalty. That’s why I’m still there five days a week, making coffee and doing customer care, but I’m able to enjoy a rewarding family life, too.’ Eventually, Gary decided on Esquires and in November 2007 he and soonto-be first-time mum Michelle opened their own café at Bayfair, Tauranga’s main shopping mall. They have never looked back; now with a son (7) and daughter (3), their franchise gives the couple the lifestyle they want in sunny Tauranga.

fresh, bright and eye-catching In 2011, the Esquires franchise changed hands, with Retail Food Group, Australasia’s largest multi-brand retail food franchisor, taking over the New Zealand and Australia rights to the brand. Then came Gary’s reunion with his old friend Andrew Morgan. When Andrew was appointed in 2014, one of his first actions was to finalise the work done by the Esquires team on the new brand. The results from an earlier survey of 1,300 Esquires e-club loyalty members and industry members had showed that tastes and the local café scene had changed significantly – and Esquires needed to change with it. For the franchise to achieve its new mission statement ‘To become Kiwis’ café of choice’ it was time to set Esquires on a new direction for every facet of the business – from franchise systems to front doors, typeface fonts to flat whites. Gary’s café is among the first Esquires franchises to have been refurbished with the bold new look he describes as fresh, bright and eye-catching with white walls and light toned wooden floors and table tops. This approach is reflected in an exciting menu from the new on-site kitchen. ‘We used to buy food in before, but now we prepare fresh food on site,’ Gary says. ‘Our staff are really excited about that and we’re getting heaps of positive comments and heaps of new customers as a result.’

opportunities everywhere The new look is now being rolled out across the country, and David Bernard says they are looking for franchisees for new locations in both North and South Islands. A few established cafés are also available. ‘Franchisees require a minimum of $100,000 capital, and there are finance options available for the right people. Contact me and advertiser info find out more.’ Gary Macilwee says that with a bold and bright new look and great franchise support in place, now is the time to be become an Esquires franchisee. ‘We’re going to become Kiwis’ café of choice,’ he says confidently.

Esquires Coffee www.esquirescoffee.co.nz Contact David Bernard P 0-9-973 4821 M 021 331 243 david.bernard@rfg.com.au

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opportunity: business & commercial

REPEAT BUSINESS Cartridge World franchisees enjoy high margins from an evolving business

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hen Cartridge World started re-filling printer cartridges, it was an immediate success. People liked the idea of saving money and reducing waste, and the company was soon regarded as the printer specialist for business and domestic users alike. Today, there are almost 1,500 Cartridge World stores in 56 countries, including 40 in New Zealand. Levels of repeat business are high, and a 100 percent guarantee removes any lingering concerns about using refills. In fact, Cartridge World has evolved into a sophisticated one-stop-shop supplying recyclables, toner cartridges, paper and other accessories. Some stores also sell brand new printers and even provide printer services by managing clients’ printers for them remotely. One such example is the Cartridge World store in Rotorua, which Robert McDonald bought last year. ‘It was an existing outlet which had been trading solidly because the franchise had diversified into all these other services early,’ he says. With a background in both franchising and the telecommunications industry, Robert felt Cartridge World represented the kind of go-ahead business he was looking for. ‘It’s an international brand, but has a strong local flavour with both Australian and Kiwi influences,’ he explains. ‘In the IT world it is vitally important to keep up with recent trends otherwise businesses are simply going to be left behind, and Cartridge World does exactly that. It does need a bit of technical nous, but the most important thing for anyone taking up the franchise is to be proactive. Sales and marketing are key skills in this business!’ Robert came across Cartridge World through a client who was a franchisee. ‘I got very interested and started asking him about his business. Colleagues in Australia were involved in a similar industry and my interest went from there. I live in Tauranga, but when the Rotorua store came on the market I decided it was a great chance to jump in. One day there may be more – I believe the franchise lends itself to multi-store ownership very well.’

so good we bought five Brad Winiata and Lisa Francis have already demonstrated that. Still in their late 20s, the couple decided Cartridge World suited their retail talents and, unlike a lot of retailers these days, operated in a growing market already worth billions. ‘We bought our first store in Auckland only three years ago and proved the concept very quickly,’ says Brad. ‘I suggested my father, Graham, get involved too and he reckoned it could be quite a good little venture. So it’s proved – we’ve just bought our fifth outlet!’ Brad believes the potential for further growth is considerable. ‘Fifteen years ago, few homes even had a printer, but today that market has expanded exponentially. So far, we’ve acquired existing Cartridge World outlets which have the advantage of offering instant cashflow as on-going businesses, but we are looking around for our first brand-new outlet shortly. ‘If you go into your average stationers you’ll get a cartridge for around $35,’ he explains. ‘At Cartridge World we can offer the same product, refilled or brand new for $20, hence customers are turning to us. The more stores we have, the better we can serve them.’

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easy to run Brad says that, although Cartridge World has got more sophisticated over the years, it is still not a difficult business to run. ‘The franchise gives you a great deal of freedom and we’ve found them very supportive when we have needed assistance. You don’t need technical skills to operate the business – the training is excellent and provided you are prepared to be “hands-on” then you’ll find the workload is low, but the margins are high.’ Geoff Smith, the NZ franchisor for Cartridge World, says, ‘As Robert and Brad have found out, Cartridge World has considerable future potential both for individual and multi-unit franchisees. We have some new locations under consideration and existing stores coming on the market as franchisees retire, so give me a call today to find out if we have an opportunity in an area of your choice.’

advertiser info Cartridge World cartridgeworld.co.nz Contact Geoff Smith P 0800 273 3455 M 0274 339 829 smithgeoff@xtra.co.nz

• The largest Franchise Operation Refilling & Remanufacturing Inkjet and Laser Cartridges in the world • Operating 1650 Stores over 60 countries worldwide • Established in New Zealand since year 2000 with 40 Stores operating nationwide

• New store areas and resales available • Turn Key operation • Full training & support provided • Excellent Returns For further information please contact:

REFILL & SAVE

Master Franchisee

Geoff Smith

Tel: 03 446 8600 Mob: 0274 339 829 Email: geoff.smith@cartridgeworld.co.nz Cartridge World stores are independently owned and operated

Why Pay more to print?

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:13 PM


opportunity: home & building

BUILDING A LEGACY

Versatile Homes built Richie’s Place. Now they want new franchisees on the team

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hink Canterbury and the qualities you think of include pride, courage, honesty, longevity and success. It’s no surprise, then, that Versatile Homes & Buildings is a proudly Canterbury-owned building company, even though its 30 franchisees now cover much of the country. It’s no surprise either, that the face of its brand is someone who epitomises all those values – rugby legend Richie McCaw. The most popular man in New Zealand says he chose Versatile Homes to build his southern house – Richie’s Place – because, ‘They are straight-up local guys who ensure nothing is a hassle.’ According to Jon-Paul Ferris, Versatile’s General Manager, ‘We’ve been a fixture in NZ construction for four decades, and many of our team have been with us for a good chunk of that time. That loyalty means it’s only recently that some have started retiring after successful careers. This has opened up opportunities for new franchisees and now we’re looking for people to build on their legacy.’ Jon-Paul started with Versatile Homes & Buildings over 10 years ago. ‘I had a corporate background, but what I enjoy about Versatile is that the company is big enough to have all the big buying advantages without being just another faceless business. We have been market leaders in garages and rural buildings for many years, and we are now aiming to be one of the top home builders in the country, too. While our brand is known as a market leader, it’s our franchisees that make the difference locally.’

changing sides

tools provided us with a massive head start on our competitors and we were able to get on with doing what we do best.’

gold medal Ruan and Leah-Ann have owned their business for nearly two years now and are delighted with their decision. ‘The business is profitable, it’s growing all the time and we’ve now employed a full-time sales representative to keep up that momentum. Oh, and we won the Operational Excellence award at this year’s Versatile awards evening, which was a nice surprise! ‘I think that to succeed in this industry, you need to be people-orientated and a good listener. You do need planning skills and some knowledge of how a building goes together, but if you have that and do what you say you’ll do for your clients, then the Versatile Homes & Buildings franchise is a great opportunity.’ Jon-Paul says that the company is ‘as versatile as the name suggests. Our franchisees offer a comprehensive range of engineered, timber-framed buildings for the domestic, rural and commercial sectors, which gives them a real edge over their competitors. Every building comes with a guarantee and all of our homes can be tailor-made to suit individual requirements with carefully-chosen design features to suit all sorts of budgets and areas. We want to build what our customers want and, as Ruan says, listening to them is an essential part of the process.’

Ruan Overbeeke had always wanted to own his own business but, rather than wasting valuable time looking, he simply bought the one he worked for. ‘It was an opportunity not to be missed,’ he laughs. ‘I joined Versatile Homes nine years ago as the Supply Chain Manager at head office but I did a lot of other things too, so I pretty much got to know the company from the inside out.’

Ruan says, ‘Actually, I’ve not yet built a home off the plans. Our brochure includes everything from small baches to subdivision-type homes which helps focus clients’ minds on what they want and what we can do for them. But everyone wants to personalise their dream home, so there’s a free design service to help them make their dreams come true.’

Originally from South Africa, Ruan met his Kiwi wife Leah-Ann in Ireland while they were both on their OE. ‘We settled in the South Island as all Leah-Ann’s family lived around Timaru, and when the Versatile Homes franchise came up for sale in Timaru, we didn’t hesitate.

Currently, Versatile Homes & Buildings has franchise opportunities in growth markets such as Hamilton and Queenstown, with other areas possible, too. Investment levels vary by region.

Leah-Anne and Ruan Overbeeke (top) offer a comprehensive range of quality homes and other buildings

‘Buying an existing franchise in a business I knew and understood well overrode any concerns, but the first few months were a bit nerve-wracking,’ he confesses. ‘I guess starting any business is scary but we found the systems and support provided by Versatile and the other franchisees enabled us to get up to speed quickly. The

franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Versatile 53.indd 1

building a new future

‘Franchisees will join a supportive group of like-minded go-getters and enjoy the benefit of a national marketing campaign where customers are directed to your door,’ says Jon-Paul. ‘If you have construction industry experience or have managed a successful medium-sized company and have the ambition to own your own business, then this could be the opening you have been waiting for. Call us now.’

advertiser info Versatile Homes & Buildings PO Box 11 013, Christchurch 8443 www.versatile.co.nz Contact Andrew Walker Franchise Development Manager P 0-3-349 5700 M 0274 970 128 andrew.walker@versatile.co.nz

53 3/12/15 12:04 PM


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opportunity: food & beverage

LIFE’S A BEACH New franchisees at The Coffee Club feel instantly at home

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ith many years’ experience in the hospitality business, including several years as operations consultants at McDonald’s head office in Auckland, you wouldn’t think that running their own café would hold many surprises for Milliza and Derek Raux. Yet when the newlyweds opened their brand new outlet of The Coffee Club in Orewa Beach earlier this year, there was one thing they weren’t prepared for – their rate of growth. Derek & Milliza’s first new baby is The Coffee Club Orewa, but there’s another on the way

‘Having seen how it’s gone over the winter, we are going to need many more than our current 14 staff to cope this summer!’ laughs Derek. Derek and Milliza are from India and the Philippines respectively, and both their families migrated here early this century. ‘It had always been my aim to own my own business,’ Derek says. ‘In fact, I’d been saving towards one since I was about sixteen! We looked seriously at about six franchises – all of them in food or hospitality – and The Coffee Club stood out. It was forward-thinking and flexible and we felt we could have a great café which we could still put our own stamp on.’ Derek and Milliza didn’t rush, taking 18 months to make their decision. ‘Our final choice was based on the knowledge that The Coffee Club is a very well-known and established brand on both sides of the Tasman, that both franchisors and franchisees have won multiple awards here in New Zealand, and it has a big expansion plan in place which will give it even more market presence and buying power.’

relaxed, stylish & affordable Originally founded in Australia, The Coffee Club now has over 350 stores internationally and opened its 50th store in New Zealand last year. ‘Good food, great service and excellent coffee are the foundations of our success, attracting a wide range of customers throughout all parts of the day,’ says director Brad Jacobs. ‘Our style is relaxed, stylish and affordable and, as Derek and Milliza have found, highly popular. ‘During the ten years we have been in New Zealand, The Coffee Club has won 14 Westpac New Zealand Franchise Awards, including winning the Supreme Franchise System title twice, and Franchisee of the Year no less than three times – a unique record. We now have solid plans in place to continue opening five or six new outlets each year and are looking for the right people, couples or business partners, to launch The Coffee Club into new areas. The investment level is from $300,000 to $450,000 depending on location.’

right place, right time With their background in franchising, Derek and Milliza obviously have a nose for a business with potential. ‘Location is crucial,’ says Derek. ‘We rejected several sites, but when we saw Orewa, we said “This is it!” within five seconds. It’s bang in the town centre but just a minute’s walk to the beach. Orewa, on the Hibiscus Coast north of Auckland, is a changing town. It’s a destination in its own right with a growing population and our experience over a wet winter has given us every confidence in our future.’ Milliza agrees. ‘We’ve found as much loyalty among our customers as franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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among our friendly, local staff, with a lot of repeat business. The Coffee Club’s slogan is “Where will I meet you?” and our customers include lots of local residents and business people. They return two or three times a week or more and we usually know their order as they walk in. With visitors over the summer, it’s just going to get busier.’

the right decision Over their years at McDonald’s, the couple learned a lot about business and franchising, ‘But of course we weren’t working for ourselves then,’ says Milliza. ‘Although we were always coached to operate as if we were spending our own money, at the end of the day it was a big corporation. Now we have our own business it’s very different – we are in control but we still have great training and support. And when it came to getting finance, The Coffee Club’s track record counted for a lot and Westpac were very helpful.’ With their first baby on the way shortly, Derek and Milliza look set to be part of the Orewa community for years to come. What tips do they have for anyone interested in joining The Coffee Club as a franchisee? ‘You need to have confidence, be passionate about the brand and love hospitality,’ Milliza says. ‘You have to know your customers and your area, and be able to cater to their tastes. Shortly we’ll be introducing our summer menu which keeps the feel of The Coffee Club brand, but adds our own personal touch. ‘The Coffee Club gives us the flexibility to do that with the reassurance of having an excellent system and a brilliant team behind us. We certainly feel we made the right decision.’ Brad Jacobs says that if you share Derek and Milliza’s ambition and enthusiasm, he’d love to hear from you. ‘The Coffee Club is a growing brand that receives a warm welcome wherever it goes. Where will I meet you?’

advertiser info The Coffee Club PO Box 78 203, Grey Lynn, Auckland 1245 www.thecoffeeclub.co.nz Contact Brad Jacobs P 0-9-304 0008 M 0275 263 333 b.jacobs@thecoffeeclub.co.nz

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KEEPING IT IN THE FAMILY

WESTPAC SUPREME FRANCHISEES OF THE YEAR Winner – The Hall family Columbus Coffee, Kapiti & Porirua Over the past 20 years, many couples have won the Franchisee of the Year title but this is the first time it’s gone to an entire family. The stupendous six are Korby and his wife Danielle, sisters Brooke and Tyra and their parents Brendan and Nicole Hall. The family opened their first Columbus Coffee outlet at Mitre 10 MEGA in Kapiti in 2011. They followed it up in 2014 with a second in Porirua – again within a Mitre 10 MEGA outlet, thanks to a venture launched between the two New Zealand-owned brands a few years ago. A proud dad, Brendan told the audience at the Awards night, ‘The family has really stepped up to the plate. They’ve worked hard, they’ve had great results and they’ve really deserved it.’ According to the family’s young and energetic operations manager, Korby Hall, ‘We started our venture with one clear objective in mind – to operate a café that our staff love to work in and create an atmosphere where our customers can relax and enjoy themselves.’ They’ve clearly achieved their aim – the Awards judges commented that their entry reflected a very strong focus on customer satisfaction and monitoring of business performance across a comprehensive range of measures. ‘They really are achieving their goal of delivering a comfortable environment with a warm family or second-home feeling.’ (see page 63 for more)

WESTPAC SUPREME FRANCHISE SYSTEM OF THE YEAR Winner – Paramount Services This is Paramount’s second time on the top step of the podium, having previously won the Supreme title in 2008. The company has gone on growing since then and now has 140 franchisees servicing 1,240 clients including banks, retailers, shopping centres, ports, cinemas, rest homes, student hostels and schools. It launched into Australia in 2012, where it operates under the Paraserve brand.

The Hall family of Columbus Coffee are New Zealand’s top franchisees, and Paramount Services is the Supreme Franchise System of the Year for 2015/2016

The company relies on its franchisees to give it the edge in a hugelycompetitive market against both home-grown and overseas brands. Despite its size and success, Paramount retains a real family feel in what has become a highly multi-cultural franchise – something which other franchises could learn from as New Zealand’s population changes. It is also an environmental leader in its sector, having introduced paper recycling bins, specialised cleaning agents and electricity-saving schemes for clients. The judges found that Paramount demonstrated highly-effective work systems coupled with sound leadership. ‘They have a strong focus on exceeding customer expectations and effective performance management is supported by a comprehensive suite of measures. Paramount Services show impressive results across all areas.’

Many franchises are run as family businesses, but the Hall family of Upper Hutt take it to extremes. There are six members of the same family involved in their Columbus Coffee outlets in Kapiti and Porirua, and they clearly work well together – the family have just been named Supreme Franchisees of the Year in the Westpac New Zealand Franchise Awards. There’s a family feel to the Supreme Franchise System of the Year, too. Paramount Services was started in 1979 by Suzanne and Galvin Bartlett. Although today the company is one of New Zealand’s largest commercial cleaning operators and has successfully expanded into Australia, the couple are still involved and include many couples and family teams among their franchisees. This year marked the 21st year of the New Zealand Franchise Awards, which were presented at a gala dinner in Auckland before an audience including Craig Foss, Minister for Small Business. Paramount Services brought a big team to the Franchise Awards and were rewarded with five trophies, including the biggest one of them all – Supreme Franchise System of the Year

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Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:04 PM


CATEGORY AWARDS The franchisee and franchisor awards were divided into five sub-categories: • Retail • Home Services • Business Services

• Food & Beverage • Lifestyle Services

Four of these were combined into two categories for the main awards: • Retail, Food & Beverage

• Home & Lifestyle Services

RETAIL

Best Franchisee

Winner – Maninder Singh, Mister Minit The Base, Te Rapa Mister Minit franchisees make a habit of winning the Retail category, having taken the title in 2012, 2013 and 2014. This year proved to be no exception, with one of last year’s finalists, Maninder Singh, stepping up to be named Best Franchisee – Retail for 2015/16. The company’s slogan is ‘Real people fixing problems’ and Maninder lives up to that from his kiosk at The Base in Te Rapa. ‘The franchisee’s use of many proven business methods, coupled with his business savviness, is evident in the results being achieved across all areas of financial, process and people management,’ said the judges. ‘Innovation is embraced and can be seen in the development of business relationships, distribution of vouchers and rewarding feedback. Collaboration with staff is seen as a key to success and involves open and clear communication between team members.’

Winner – The Hall family, Columbus Coffee, Kapiti and Porirua This was the Hall family’s first award of the evening – they would go on to win three, culminating in the coveted Supreme Franchisee of the Year title. It ended an amazing year of success, which started with the family being named joint winners of Columbus Coffee’s own Franchisee of the Year award. Both the Hall family’s cafés are situated in Mitre 10 MEGA stores some 30kms apart, but their individual approach to each market won the judges’ praise. ‘Serving food, coffee and other beverages prepared on site for stay-in and take-away customers, they Some of the victorious Hall family have adapted with sponsor Philip Morrison of their offerings Franchise Accountants (right) to their local clientele, including regular customer preferences at each location.’ Speaking at the Awards, Korby Hall commented that Columbus Coffee has an ‘awesome relationship’ with Mitre 10 MEGA that it’s great to have been involved in for the past four years - a sentiment echoed by Columbus managing director Graeme Tait. There are now 26 Columbus outlets within Mitre 10 MEGA stores.

Best Franchise System Maninder Singh, Mister Minit The Base, Te Rapa – Best Franchisee, Retail

Highly Commended Simpareet Singh, Mister Minit Johnsonville and HongHui Liang, Mister Minit Shore City

Best Franchise System

Winner – Mister Minit New Zealand Mister Minit now has three Best Franchise System awards to its name in the Retail category. The company provides a variety of essential services such as shoe repairs, key cutting, engraving and watch repairs in malls throughout New Zealand. Mister Minit is one of the oldest franchise systems in New Zealand, having been operating here since 1971. According to the judges, ‘Leadership and planning combine to form a key strength to the Mister Minit franchise system. Performance of the business is driven by two Stan Van der Ham of Mister Minit priorities – deliver a great collected the Best Franchise System – offer and grow people. Retail Award Customer focus is a common priority for both the franchisor and the franchisee. Mister Minit sees franchisees as enablers to achieving sustainable levels of high customer satisfaction.’ Highly Commended: Bedpost New Zealand franchise.co.nz – PUTTING PEOPLE IN BUSINESS

EDIT_Awards 56.indd 2

FOOD & BEVERAGE

Best Franchisee

Winner – Columbus Coffee

Twice winners of the Supreme Award back in 2009 and 2010, Columbus Coffee returned to the winners’ circle following a period of intense development. Its partnership with Mitre 10 Columbus Coffee celebrate their first MEGA has seen Franchise System Award of the evening the franchise almost double in size, with store numbers now approaching the 60-mark, while a concentrated focus upon its food offering has seen it introduce healthy options and ingredients across its menu range. A digitally-based loyalty scheme attracted almost 100,000 members in its first year. The judges considered this to be an excellent and well-presented entry from Columbus which demonstrated sound leadership across all aspects of franchise operations. ‘Particular strengths for Columbus Coffee are its business planning, performance measurement and strong focus on service excellence.’

RETAIL, FOOD & BEVERAGE

Best Franchisee

Winner – The Hall Family Columbus Coffee - Kapiti and Porirua

Best Franchise System Mister Minit New Zealand

Category sponsored by Franchise Accountants and Franchise Infinity

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HOME SERVICES

Best Franchisee

Winner – Cameron and Katie Brooks, V.I.P. Lawns and Gardens, Mangawhai

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Cameron and Katie put family first when they gave up their corporate jobs in Auckland and took up a V.I.P. franchise in the small Northland village of Mangawhai. Local residents might be surprised to learn that the man mowing their lawn has an MBA, but it’s enabled them to build a thriving business in the area of their choice – they achieved their Cameron and Katie Brooks of V.I.P. Lawns two-year goal and Gardens, Mangawhai – Best Franchisees in the Home Services category in their first 12 months. They get to enjoy more time with their two young children, too. The judges said that the couple had put together a well-written, concise entry. ‘The clarity and awareness about their business, and the factors required for good business performance, are demonstrated throughout the application.’ (see page 65 for more)

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Best Franchise System

Winner: Green Acres Green Acres has become a New Zealand institution, but that doesn’t mean it’s taking things easy. In recent years, the company has transformed itself with a bright, slightly quirky new image and the enthusiastic adoption of new technology to make life easier and more efficient for franchisees and customers alike. A new website featuring a Design Your Own Business calculator extends this approach to potential franchisees, too. The judges commented that Green Acres is a worthy winner of this category: a mature, well-managed Logan Sears, CEO of Green franchise system with a clear Acres – Home Services Best understanding of its business Franchise System of the Year environment and sound business objectives, supported by a state-of-the-art digital office system. Accepting the Award, Green Acres CEO Logan Sears paid tribute to Wally Morris who had earlier been inducted into the Franchising Hall of Fame (see page 48). ‘One thing that defines franchising is that McDonald’s can deliver the same burger anywhere on the planet at any time,’ said Logan. ‘I’d like to acknowledge the Morris family for bringing this to New Zealand. Without their example, we wouldn’t have the industry we have today.’ Highly Commended: Exceed Franchising Other Finalist: Refresh Renovations Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

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LIFESTYLE SERVICES

Best Franchisee

Winner – Craig and Karen Nuttall, Just Cabins, Selwyn Just Cabins franchisees have won this category for the last three years: after Waitakere and West Coast, this time it was Canterbury’s turn. Craig, a butcher, and Karen bought their portable cabin rental business in 2012 as a semi-passive investment which would provide better returns than their rental properties, and that’s how it turned out. According to the judges, ‘Just Cabins Selwyn Craig and Karen Nuttall – Best Franchisees operates an in the Lifestyle Services category efficient and effective business model that provides strong results. They have a clear, long-term strategy to build their business.’

Best Franchise System Winner – Just Cabins

2015 marks four years in a row for Just Cabins, once again named Best Franchise System in the Lifestyle Services category. Its franchisees rent out portable cabins as extra rooms, offices or on-site accommodation. Having dominated the New Zealand market for many years, the company is now looking at expanding into some massive overseas markets. ‘The franchisor has built a strong and recognisable brand delivering a professional, personal and quality service,’ said the judges. ‘Just Cabins operates an efficient and effective business model which provides consistently strong customer, financial, market and workforce results.’

BUSINESS SERVICES

Best Franchisee

Joint Winners – Bruce & Sara Mildon, Paramount Services, Hawkes Bay, and Atul Patel, Paramount Services, Wellington The judges couldn’t choose between these two Paramount franchisees, who looked delighted to share this prestigious Award. Bruce and Sara Mildon provide a wide range of cleaning services to some 29 clients including department stores, offices, schools and child care centres. The business has steadily grown in client numbers as well as site value in Kenina Court of sponsors Crowe Horwath is the past four years. flanked by Bruce and Sara Mildon (left) and ‘The principal factor Atul and Usha Patel (right) that has determined success has been its small dedicated team who pay close attention to quality and service,’ said the judges. Atul Patel also provides a wide range of cleaning services, in this case mainly in the Wellington CBD, to some 25 clients. These are primarily commercial offices and department stores including some high-profile national and international organisations. ‘By focusing on delivering consistently high quality work, this business has also grown steadily over the past five years,’ the judges noted. The franchisee team has been growing the business organically around business clusters such as office blocks. Other Finalist: Fastway Couriers (Auckland)

Best Franchise System

Winner – Paramount Franchise Services Paramount has won many Awards over the years and would go on to take the title of Westpac Supreme Franchise System of the Year later in the evening. ‘An experienced franchisor that has very clear objectives, Paramount has worked consistently and in a systematic and integrated way to achieve its business objectives and to support its franchisees,’ the judges reported. ‘The Paramount submission demonstrated clear results as evidence of success in their market.’ Category sponsored by Crowe Horwath

Just Cabins took both awards in the Lifestyle Services category. Franchisor Fenton Peterken (left) with Craig and Karen Nuttall Highly Commended: Caci Other Finalist: Mike Pero Real Estate

HOME AND LIFESTYLE SERVICES

Best Franchisee

Winner – Craig and Karen Nuttall, Just Cabins, Selwyn

Best Franchise System Winner – Just Cabins

Category sponsored by Yellow

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Paul Brown, Galvin and Suzanne Bartlett and Bill Wu of Paramount with Kenina Court of sponsors Crowe Horwath (second left)

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OTHER AWARDS

Community Involvement

Best Emerging System

Winner – Refresh Renovations Refresh Renovations was launched in 2011 after years of research and development by strategic marketing specialist Traffic, which has worked with some of the biggest brands in the building sector. Their research revealed that home renovation was a massive market worth over $6 billion per annum, but was highly fragmented, with no established national provider. The judges commented, ‘The applicant has identified clear business objectives and has robust planning processes complemented by formal and informal communication. The judges were impressed by the positive business results achieved to date.’ Category sponsored by MYOB

Master Franchisee of the Year

Winner – Viky and Nileshna Narayan, CrestClean South and East Auckland Commercial cleaning company CrestClean is based in Dunedin and operates nationwide via a network of master franchisees. Originally from Fiji, Viky and Nileshna purchased a CrestClean franchise in 2005 and took up the master franchise in 2008. They now oversee the operations of 75 franchises and 160 personnel providing commercial cleaning services for more than 350 customers in South and East Auckland. The judges found theirs to be ‘a well-structured business with a well thoughtout vision and strategy in place. Their results show that their systems, processes and practices are delivering the sort of value that the business has set out to achieve.’ Other Finalists: Fastway Couriers (Auckland); V.I.P. Home Services Bay of Plenty Category sponsored by Crombie Lockwood

Service Provider of the Year Winner – Franchise Accountants

Franchise Accountants is the only chartered accountancy practice in New Zealand that exclusively focuses on franchising, and has worked with both franchisors and franchisees of a large number of franchises throughout the country. They are also developers of Franchise Infinity specialist management software. 2015 marks the second time that they have won the Service Provider of the Year title. They impressed the judges with their business planning process. ‘The identification of client requirements, service delivery and engagement are a significant strength. There is clear evidence of an effective business model which is achieving good results against targets and providing valuable support to the franchise sector within New Zealand.’ Highly Commended: MYOB New Zealand Other Finalist: Franchize Consultants (NZ) Ltd Category sponsored by Printing.com

ABOUT THE AWARDS The Westpac New Zealand Franchise Awards are promoted by the Franchise Association of New Zealand, and entry is only open to its members. Brad Jacobs, the Association’s chairman and a previous winner himself, said, ‘In entering the Awards, each entrant opens up their business to the scrutiny of the evaluators and judges. Through this process those entrants learn more about their business, its strengths and its weaknesses to enable them to chart the directions for their businesses to follow for ongoing success.’

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Winner – Mike Pero Real Estate The judges were highly impressed by the commitment to the community of all the applicants in this category. The winner was Mike Pero Real Estate, whose strong focus on people is reflected in their commitment to community involvement. They are involved in a variety of initiatives, both national and regional, which include support for individuals in their time of need, charitable groups providing valuable services and recreational activities with strong ties to the local communities.

Mike Pero accepts the Award for Community Involvement

The judges said, ‘The engagement in community involvement is welldeployed and fosters involvement by all franchisees through a regional focus, internal recognition and regular business planning. The impacts of the community involvement are well understood with a clear link between the activity and the benefit it provides.’ Highly Commended Fastway Couriers (New Zealand); OPSM and charity partner, Onesight Category sponsored by Waipuna Hotel and Conference Centre

Media Campaign of the Year Winner – Columbus Coffee

The judges commented that Columbus had identified their core strengths and weaknesses, developed key business pillars and constructed a campaign that built consumer connection across the right platforms. ‘Their level of internal engagement with their franchisees was impressive and the results were favourable Columbus Coffee franchisee Jayson Hayde, across many different GM Peter Webster, marketing manager Anna measures.’ Walker and Christopher Gin of Reach Media Highly Commended: OPSM Other Finalists: Exceed Franchising; Mike Pero Real Estate; Refresh Renovations; Bedpost Category sponsored by ReachMedia

The Awards have some of the most rigorous criteria in the world. Entrants go through a comprehensive four-stage process with evaluations by the NZ Business Excellence Foundation based on the internationallyrecognised Malcolm Baldrige criteria. Fiona Gavriel, the Chief Executive of NZBEF, commented, ‘The applications this year were of a very high standard and both the evaluators and judges were impressed with the calibre. Selecting the winners was challenging and there was a lot of review, thought and discussion that went into the process.

‘Franchise operations have much to offer the New Zealand economy and it is very pleasing to see franchisors recognising the value in offering franchisees rigorous support systems. In the end, everyone gains through a clear vision backed up by well-developed operational processes – and a very real focus on the customer and their needs.’ Steve Atkinson, Head of Specialists, Westpac New Zealand concluded, ‘Westpac has sponsored these prestigious awards for 20 years now and during that time we’ve seen the franchising industry grow from strength-to-strength, developing and enhancing its reputation both locally and abroad.

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

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FIELD MANAGER OF THE YEAR AWARDS The Field Manager of the Year Awards recognise the work of those individuals who are the first point of contact for franchisees, helping them set goals and develop their businesses.

Business Services – over $500,000 Winner – Sangeetha Shaikh, Paramount Services

Sangeetha is a key member of the Paramount Services business. ‘As a key account and operations manager, she has played a critical part in both the franchisor’s and franchisees’ successes,’ said the judges. ‘She proactively networks with both franchisees and customers, which leads to a high level of client satisfaction.’

Home and Lifestyle Services – under $500,000 Winner – Ron Houben, Exceed Franchising

Ron provides an excellent level of technical, business and sales and marketing support to all Exceed franchisees across New Zealand. ‘A number of initiatives that Ron has been involved in have reaped some serious financial and organisational benefits,’ the judges noted. Category sponsored by Franchise New Zealand magazine and website

Retail, Food & Beverage – under $500,000 Winner – Kirsty Robertson, New Zealand Post

The judges said that, ‘Kirsty has demonstrated an effective, systematic approach to her fieldwork. Operating in a challenging environment, Kirsty has shown how she is making a difference to the results of the franchisees through her relationshipbuilding skills.’

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Winner – Stan Van der Ham, Mister Minit New Zealand

Stan provides a broad range of support and coaching services to Mister Minit franchisees. According to the judges, ‘His effective approach to field visits ensures that the franchisees not only become better service providers, but also better business people.’ Category sponsored by ABC Business Sales All the winners of the Field Manager Awards also received a year’s free membership of the Franchise Operations Network programme run by the Franchise Relationships Institute. (see page 66) ‘Franchising is a key driver of growth in New Zealand and an important part of our economy. It’s a real tribute to the industry that so many great franchises have entered these awards this year and we would like to congratulate all the winners.’ The Westpac New Zealand Franchise Awards 2015/2016 were presented at a gala dinner attended by more than 270 people at the Rendezvous Hotel, Auckland, on 14th November 2015.

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SUPREME AWARD FRANCHISEE OF THE YEAR

How do these Columbus Coffee franchisees work together and win together?

FIRST FAMILY spill the beans B

rendan and Nicole Hall are proud parents – and they have every right to be after the Hall family won the Supreme Franchisee of the Year title at the Westpac New Zealand Franchise Awards. With one son, two daughters and one daughter-in-law all involved, they bring a new intensity to the phrase ‘family business.’ ‘But it’s not just about the family – it’s about everyone in our cafés and the Columbus Coffee franchise team, too,’ says operations manager Korby Hall. ‘This Award reflects what happens when everyone works hard, everyone has a stake in the success of the business and you achieve great things.’

their expertise is awesome The Hall family’s involvement with Columbus began when Brendan was manager at the Kapiti branch of Mitre 10 MEGA. Columbus Coffee has opened outlets in many of the DIY giant’s outlets, and when Brendan learned the Kapiti café was for sale, he told the family. ‘We had been looking for a business opportunity for some time, so it seemed perfect,’ says Korby. ‘Columbus struck us as being very professional and we felt very comfortable buying a big-name franchise as a first business.’ Korby’s instincts were further reinforced after he started training. ‘All Columbus Coffee franchisees go on an intensive training programme that covers everything you need to know: hospitality, management, administration, menus, health & safety, staffing… in fact, all the basics. Then when we took over, even though it was an existing café they sent a team to help us settle in and get everything running the way we had been taught. Their expertise is awesome.’ Columbus Coffee’s arrangement with Mitre 10 MEGA has been an inspired one, says Korby. ‘It gives us a captive market with lots of foot traffic, and the plants around the garden area create a very relaxed atmosphere which appeals to our target market. We do a lot of joint marketing and promotion with Mitre 10 MEGA, and with lots of free parking and a children’s playground, we are constantly bringing people in. All those little things add up to create a very successful business.’

splitting the roles Having opened their first Columbus Coffee in December 2011, the family hadn’t planned on a second, ‘But then we heard the Porirua café was coming on the market,’ Korby grins. ‘We’d had two years to consolidate, and the family had plenty of experience in all the key roles so it seemed like an opportunity not to be missed and we took it over in 2013. ‘Now I’m operations manager, splitting my time between the two outlets; Danielle, my wife, moves between the two as required as chef, barista and franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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front of house manager, and helps me with the accounts and payroll. My sisters are at Porirua, Brooke as manager and Tyra as second chef. Mum and Dad are the company directors (both have other careers) and are a wonderful sounding board for us.’

ahead of the game Korby speaks highly of Columbus Coffee’s instincts for spotting trends and acting on opportunities. ‘The Mitre 10 MEGA move is just one example – they seem to know exactly what people will want next,’ he says. ‘Then there’s the menu. That’s been transformed since we started with the addition of healthier recipes, gluten-free, dairy-free, refined sugar-free and Paleo products as part of a new Lifestyle Favourites range. They’ve done all the research and costings for us, supplied the recipes and negotiated with suppliers; all we have to do is select the items to appeal to our own market. ‘One thing we do know, though, is that customers want the basics done really well. They want a friendly welcome, a great environment, good service and plenty of options on top of the core menu. We deliver that and let the geniuses at Columbus keep us ahead of the game.’

making the most of it Peter Webster, Columbus Coffee’s general manager, says that Korby and his family are being unduly modest. ‘We give all our franchisees the training and support they need, but it’s always up to them to turn that into a first-class business – and that’s exactly what the Halls have done. The family has had clear objectives right from the start, has really worked hard and produced great results. No wonder the Awards judges were so impressed! ‘Columbus Coffee is a New Zealand-owned and operated franchise with 65 cafés throughout the country. Opportunities in Mitre 10 MEGA and high street locations are available from $280,000 to $380,000. You don’t need hospitality experience advertiser info but you do need to love people and embrace new ideas. If that’s you, Columbus Coffee I want to hear from you.’ The last word goes to Korby. ‘If you asked me which café franchise to buy, I’d have to say “Columbus Coffee”. You get a hell of a lot for your franchise fee and it’s worth every cent. Listen to the franchisor, love your customers and you won’t go wrong!’

PO Box 911 030, Victoria Street West, Auckland 1142 www.columbuscoffee.co.nz Contact Peter Webster General Manager P 0-9-520 1044 M 021 883 852 peter@columbuscoffee.co.nz

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opportunity: home services

HOME SERVICES BEST FRANCHISEE

build the life YOU WANT Award-winning V.I.P. franchisees made their dreams come true

O

Cameron and Katie Brooks bought a V.I.P. franchise to put their family first

ver the 21 years of the Westpac New Zealand Franchise Awards, one of the most regular names in the winners’ circle has been V.I.P. Home Services. But it’s not just the franchisor who gets the glory – it’s the franchisees, too. Even more impressively, it seems to be a different franchisee every time.

that I spoke to Estelle on my very first call, not some answering service, and she was completely upfront with me. She felt there weren’t enough houses for a viable business in Mangawhai and we had to convince her, which was very encouraging – she didn’t just want to sell us a franchise, she wanted us to succeed!’

‘I like to think that’s a measure not just of the effort we put into selecting our franchisees, but of the way we support them,’ says Estelle Logan who, with her husband John, is the company’s national franchisor in New Zealand. ‘When you join V.I.P, you’re not just buying a job – you’re buying a business. With over 40 years of experience, V.I.P. has very solid systems in place and we train our franchisees to make the most of the opportunities they are offered. As a result, so many of them achieve more than they ever expected.’

The couple put their considerable business skills into researching the area and came up with a plan that persuaded Estelle to back them. It would see them maintaining holiday homes as well as nearby towns and initially combined V.I.P’s indoors and outdoors services while they built their customer base and reputation – and it worked.

That’s certainly true of Cameron and Katie Brooks, who were named Best Franchisees in the Home Services category this year. Cameron explains, ‘Estelle suggested it would be a good move to enter the Awards, as it’s a searching process that really makes you look at how your business is performing. We also had a good story to tell: we were into our fourth financial year, we had experience, a future strategy for growth and our level of income is already exceeding our expectations.’

pinstripes to ponytail Cameron and Katie both have corporate backgrounds, Cameron having worked at the head office of Caltex while Katie was in human resources and payroll. ‘Hard as it is to believe now, I was the one in suit and tie with a short back and sides haircut,’ Cameron laughs. ‘I completed my MBA then within days we made the decision to change our lives totally and put our young family first. Katie and Cameron dreamed of living in Mangawhai, but the beautiful coastal area north of Auckland isn’t exactly a business hub. ‘I had a good understanding of the power and benefits of franchising from Caltex, though, so we looked at several franchising models to see what might work there,’ Cameron recalls. ‘What I immediately loved about V.I.P. was Franchisors and franchisees celebrate the latest of many awards for V.I.P.

‘From day one, our goal was to build a level of income we could live on comfortably,’ says Cameron. ‘Ultimately, I would run the business, and Katie would do something different. By last year the outdoor work was so solid that I was doing it full time and Katie took a job at the local school as a teacher’s aide. Our children are now six and eight and go to the same school. Along the way we sold our central Auckland home at the top of the market, and bought a very nice home in Mangawhai – something which worked very much in our favour!’ Today Cameron has a big, loyal customer base and is able to structure his work around his family. ‘I consider 8.30am to be an early start, and overtime begins at 4.30pm,’ he jokes. ‘But I’m still a business man first and foremost – not a man who mows lawns for a living. V.I.P’s support has been excellent from day one and I’m so glad we joined the franchise rather than trying to do it ourselves.’

it’s your choice According to Estelle, ‘Cameron and Katie are a perfect example of people who have used our strategy and systems to create the life they wanted. They’ve built a highly successful business to the extent that the V.I.P. brand is now well-known in what was previously a desert for us. In fact, we’re currently looking at appointing more franchisees in the area to handle the extra work that Cameron has generated, and we have opportunities in many other parts of the country, too. ‘You can choose an indoor franchise (all types of cleaning) or outdoors (lawnmowing, gardening and other outside jobs). You can choose what level you start at and enjoy the security of an income guarantee while you’re getting established. And you can build the business to whatever level you want by employing staff or on-selling extra work to new franchisees.’ The last word goes to Cameron. ‘Looking back, despite all our experience I doubt if we would have gone into business without V.I.P. It’s been a very good move and now we’ve got a great big trophy to prove it! Why not contact V.I.P. today to find out more about opportunities where you want to live?’

franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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advertiser info V.I.P. Home Services www.viphomeservices.co.nz Contact Nationwide Enquiries P 0800 84 74 96 Estelle@viphomeservices.co.nz

65 3/12/15 12:02 PM


franchise relationships

made of the right stuff Greg Nathan explains why some franchisees wouldn’t be asked back

A

few years ago, the Franchise Relationships Institute invited franchisor executives to say whether they would select the same franchisees again, based on what they now know about these people. Of 2,083 franchisees rated, 28 percent were given the thumbs down. After analysing 355 specific comments on the reasons why, 14 reasons emerged. The top 4 are shown below along with sample comments.

1. lack of operational commitment

‘Failure to appreciate the work required to run a business. This franchisee is frequently absent from his business and yet expects high returns.’ A whopping 28 percent of comments referred to passive investors or part-time operators who were seen as having a poor appreciation of what is needed to make the business work. A significant number of comments also referred to the franchisee’s engagement with the business declining over time, with commitment levels dropping as the franchisee’s business matured.

2. lack of ‘get up and go’

‘I think this franchisee’s heart is in the right place but she hasn’t got what it takes to take the business to the next level.’ The second strongest theme, accounting for 17 percent of comments, related to franchisees expecting the franchise system to drive their business for them. Other research we have done shows franchisees with high levels

of pro-activity achieve 14 percent better financial results and deliver a 12 percent superior customer experience.

3. poor compliance

‘They spend time chasing “shiny objects” believing this will provide a quick fix/ return as opposed to following the proven system they purchased!’ 14 percent of comments referred to a lack of compliance to standards and a refusal to submit financial information. Franchisors said these franchisees thought they knew what was best, rather than drawing on the proven track record of the business model.

4. negative attitudes or behaviours

‘This franchisee is out to break the company’s back to make a name for himself. He starts rumours, is absent at meetings and wants to change everything we do to suit himself.’ Negativity also accounted for 14 percent of the comments, in particular franchisees not willing to maintain a collaborative working relationship with the franchisor team or with other franchisees. Aggressive, suspicious and combative behaviour was commonly cited as a frustration for franchisors.

avoid or resolve

The other reasons given for not selecting franchisees again, in order of importance, were: lack of business acumen; lack of management or leadership ability; poor sales performance; resistance to change; personal or family distractions; untrustworthiness; lack of English literacy; personal disorganisation; and emotional instability. This is a good list of attributes for franchisors to look out for when interviewing. In my view, though, half of the 28 percent who got the thumbs down were not necessarily poor selection decisions but became tarnished by about the author relationship difficulties. These could Greg Nathan is founder of possibly be resolved through mediation the Franchise Relationships or straightforward discussion. At a time Institute and creator of the when new franchisees are in short supply, keeping the ones already in the system well- Nathan Profiler Recruitment system. supported, motivated and on-track is more www.franchiserelationships.com important than ever.

ONCE YOU BECOME A HUBBY, EVERYONE WANTS

YOUR NUMBER For over a decade, Hire-A-Hubby have helped Kiwis nationwide to improve their properties with skilled service and a can-do attitude. If you have skills in project management, team leadership, a trade or general property maintenance work then Hire-A-Hubby could be the ideal platform to help you build a successful business. A variety of national service and installation contracts ensure there’s always plenty of work available in both the residential and commercial sector.

Plus you’ll be able to leverage the benefits of the hugely popular Hire-A-Hubby brand including impressive discounts on materials, fuel, hardware, vehicles and more from companies such as Bunnings, Z Energy, VW, ANZ and Vodafone. For a smaller initial investment comparative to most other franchise systems you’ll enjoy flexible working hours, control over your income, and the support of an award-winning business that’s dare we say it - in pretty amazing shape.

To find out more:

www.joinhireahubby.co.nz

66 EDIT Half A 66.indd 1

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:09 PM


COMMUNITY INVOLVEMENT HIGHLY COMMENDED

opportunity: business & commercial

was able to realise through Fastway,’ says Paul. ‘The appeal of a flexible, dynamic and team-driven work environment really attracted me and when the opportunity came up, I was eager to take on the challenge. ‘I have a real passion for my business and I love what I do, which ultimately gives me the motivation to want to succeed.’ But there’s more to it than that, as Paul explains – it’s also about learning what drives his business and using the tools Fastway provides to make the most of every opportunity.

Paul Archbold: ‘The support I received from Fastway has allowed me to achieve more than I could ever have hoped’

DELIVERING

success Fastway Couriers franchisees bring the local touch to a growing market

W

ith reports showing that the total online retail spend in New Zealand for the month of September was up by 15 percent compared to last year, it’s good to know that all our parcels are in safe hands. Fastway Couriers are known as the ‘friendly courier experts’ who go the extra mile to deliver each parcel. Although innovative technology has undoubtedly become essential to delivering high levels of service, the company’s most important asset is still its people. ‘Each day, across the length and breadth of New Zealand, it’s Fastway’s 250 dedicated Courier Franchisees who ensure parcels are picked up and delivered on time, every time,’ says Scott Jenyns, CEO of Fastway Couriers NZ. ‘2015 has been a fantastic year for Fastway. We successfully trialled our first drone parcel delivery in Auckland, and were recently named 2015 International Franchisor of the Year in Australia. With online sales increasing, franchisees nationwide are seeing their businesses grow, and we’re constantly looking for energetic new Courier Franchisees to join the team.’

supported to succeed Over the years, it’s been Fastway’s enthusiastic and energetic Courier Franchisees, with their strong customer focus and desire to build a successful business within the franchise system, who have driven the company forward. Paul Archbold, a Courier Franchisee at Fastway Couriers Canterbury, knows a thing or two about what it takes to succeed. He’s been running an affordable and efficient service for the past two years, and just eight months after buying his franchise he won Fastway Canterbury’s Courier of the Year award for 2014 through sheer dedication and hard work. ‘Becoming your own boss is a dream for a lot of people, and one that I franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Fastway Couriers 67.indd 1

‘I believe that knowledge is power – having an indepth understanding of the business model gives me the confidence to provide exceptional service to my customers,’ says Paul. ‘I would say that I’m pretty motivated and I’m always looking out for opportunities to grow my business. As I pick up and deliver to the same senders and receivers regularly, I get the chance to form a strong relationship with my customers. I know them by name and I always try to get as many new business leads as possible. ‘With Fastway, I am able to offer my customers a cost-effective, reliable, timetabled courier service. That’s backed by scanner technology and online parcel track and trace facilities which make it an ideal choice for businesses,’ says Paul.

keep getting better From its beginnings in Hawkes Bay back in 1983, Fastway Couriers has become an export success story, serving B2B and B2C customers in four other markets including Australia, Ireland, Northern Ireland and South Africa.

‘We’re always striving to provide our customers with the highest levels of service,’ says Scott Jenyns. ‘Our franchisees are at the core of that service and we believe in supporting them from day one so they can make the most of their businesses. Ongoing training and giving franchisees the ability to provide feedback on Fastway’s processes helps us ensure best practice is used by every member of our team. ‘Being a franchise business is in our DNA and it’s the biggest difference between Fastway and other courier companies. We find great franchisees dive into their own businesses and we’re very focused on improving their earnings, expanding into new marketplaces and getting the coverage that our customers expect in New Zealand. ‘We also have the advantage of working with our colleagues overseas and learning from other markets. For instance, the European online retail market is far more developed than our own so we are able to leverage our Irish counterpart’s experience and adapt innovative concepts for local conditions.’

dive into your own business ‘Cost-wise, it’s very achievable to become a franchisee with Fastway Couriers,’ says Scott. ‘Factors such as the size of the franchise and how well developed the business is in the area obviously affect the price. ‘Unlike other franchise systems, we’re a network-based business so we rely on each franchisee’s success to benefit the wider network. To ensure this happens, it’s critical for us, as the franchisor, to pass on our knowledge and expertise to our franchisees and give them the skills and support they need to run their own successful business,’ says Scott. And it works. As Paul Archbold sums up, ‘Although I had no previous experience within the courier or logistics industries, the support I received from Fastway Couriers has allowed me to achieve more than I could ever have hoped.’ If you want to do the same, contact Fastway today and find out more.

advertiser info Fastway Couriers fastway.co.nz Contact P 0-6 833 6333 recruitment@fastway.co.nz

67 3/12/15 2:37 PM


NO PROBLEM! IT Effect helped taxi company improve productivity and profits

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reen Cabs had a problem – and an opportunity. The environmentallyfriendly taxi company’s drivers are all independent operators. Fares paid in cash are received by the taxi drivers directly; however, electronic payments (eftpos/credit card) or fares paid on account are received by Green Cabs and must be reimbursed back to the driver. Green Cabs recovers its operational costs from the taxi drivers.

the problem The reconciliation of income and expenses was a labour-intensive process. It involved Green Cabs staff entering data from various sources into Excel spreadsheets to maintain a running balance and calculate Jonathan Alsop the amount to be reimbursed to each taxi driver. These amounts were then individually typed into a business banking system to transfer the funds to the drivers. The process created a number of issues: Slow, infrequent payment. It was difficult to increase the speed with which funds were disbursed. Increasing complexity. The increasing number of data sources feeding into the process typically had varying business rules and reporting periods. Inefficient and inaccurate. Manual data entry from multiple sources was both time-consuming and error-prone.

the opportunity Green Cabs commissioned IT Effect to provide a solution that would manage both the reconciliation and driver reimbursement processes. The resulting system: • Utilises the latest in cloud-based technologies to deliver a secure, scalable and cost efficient application; • Caters to Green Cab’s unique business rules; • Integrates with a variety of external systems to automatically retrieve and process data; • Simplifies the reimbursement process by integrating with Green Cabs’ banking and accounting services; • Provides transparency of the reimbursement process to both staff and drivers. The result is a system that is simpler to use, less error-prone and which increases productivity. It has increased cashflow to drivers, thereby improving their satisfaction levels, and enabled Green Cabs to focus on growth. As Toni Hogg, the general manager of Green Cabs says, ‘Greg and his team from IT Effect have been terrific. They delivered the project on time and all requirements were met, as well as some added extras that make the software so much better than we could have expected.’

sound familiar? Jonathan Alsop, IT Effect’s director of business development, says, ‘We know that many franchises have inefficient processes that impact upon both the productivity and profitability of franchisees. But help is here! ‘Could your business benefit from process automation or simplified administrative tasks? Does your advertiser info business have multiple systems that need to be integrated? Do you have IT Effect applications that require integration with www.iteffect.co.nz Xero or banking services? Contact ‘If you want some advice on how technology can keep you competitive, then give us a call. IT Effect can help turn your problem into an opportunity.’

Jonathon Alsop P 0-4-499 9615 M 0274 366 661 jalsop@iteffect.co.nz

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expressbusinessgroup.co.nz 68 IT Effect 68.indd 1

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 12:51 PM


opportunity: food & beverage

fresh food

FRESH FIELDS believes her store has as much potential as the brand itself. ‘Getting our message out there and building up a loyal clientele was our first challenge, and it is down to the franchise that we’ve done so well in such a short time. People like the options we offer, and being able to see everything is so fresh really makes us stand out.’ Evie Rua (left) with Tim Benest and her daughter Aroha

Latest Habitual Fix is busy seven days a week as franchise gathers speed

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t says much for the potential of Habitual Fix that a newly-qualified Bachelor of Business & Finance should choose to invest in the fresh food franchise over more established brands. Of course, getting in early gives you the choice of the best locations, but for Westgate franchisee Evie Rua, ‘It was the prospect of selling fresh, healthy food that was the principal attraction.’ Habitual Fix’s mission is ‘to turn the world into fresh food addicts’ with its appetising range of salads, sandwiches, noodles, wraps and toasted pitas. The company was founded by long-term business partners James Tucker and Tim Benest back in 2008. ‘As a chef, I’d grown tired of what passed for fresh food in the restaurants and cafés of New Zealand,’ says Tim. ‘Processed food was commonplace – and still is – so we went on a crusade for honest, fresh food. ‘At Habitual Fix, all our restaurants have everything on display and all our dishes are made right in front of you so you can see we have nothing to hide. Our meats are only selected from the best and freshest cuts, and our fruits and veggies are delivered daily fresh from the growers. In France, as you know, bread is only bread if it’s made daily, so our bakers are in early to deliver on our promise by baking fresh bread every morning.’ Freshness and tastiness go hand in hand at Habitual Fix and the names alone tempt the appetite. How could anyone not want to know what is in a Caesar Pleaser, or a Bansai Bowl Salad? ‘Whatever it is, you know it will be fresh,’ promises Tim.

based on experience James and Tim always had franchising in mind – the pair had previously owned six Hell Pizza restaurants, while Tim learned his management skills working with Pizza Hut – so after proving that people really are prepared to pay for fresh, healthy food, they started to expand. There are now 12 franchisees and 15 Habitual Fix outlets in Auckland and Wellington, and they are looking for more people like Evie Rua to take the brand to cities and towns throughout the country. Evie’s Habitual Fix is the first in West Auckland, located at the massive new Northwest Mall at Westgate. With ever-increasing foot traffic, Evie franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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smooth sailing Having seen franchising from both sides, Tim and James provide three months’ training for new franchisees, but things moved faster than expected for Evie and her store opened early. ‘That was daunting but exciting at the same time, but Tim and James more than made up for it with their support,’ she says. ‘We opened in October and they’ve been right behind us all the way.’ Evie and husband Dean have five children. ‘I wanted to get them all into school before I took my degree at Massey, which is why I started my business and food career a little late, but it has worked out very well. I have four part-time staff and Dean’s mum is pretty much full-time, while Dean is concentrating on the children. ‘This is the first seven-day Habitual Fix store so it’s important to have good systems and good staff, and in fact it’s been pretty smooth sailing with no nasty surprises. We knew what to expect and the franchise team at Habitual Fix have been very helpful. It’s nice to know we have people with such experience behind us – they represented us with regard to the lease and look after negotiations with our suppliers. It’s a big advantage to have solid support like that behind you,’ she says.

looking for a fix Habitual Fix has proved it can attract an instant and loyal fan base wherever it goes. ‘People are always asking, “When are you going to open one near us” and we have already identified opportunities for at least 60 stores around the country,’ says Tim. ‘The important thing is to find franchisees who love the idea of real fresh food as much as we do and who have the energy and enthusiasm to build a successful business of their own. ‘Careful planning has kept entry costs to a very reasonable level, and $200,000 should get you up and running depending on location. As a lunch bar it works very well, five days 9am – 4pm and, as Evie is proving at Westgate, it also thrives as a seven-day business. ‘This is a format that really works in New Zealand. It’s fast, it’s fresh, it’s popular, and offers value-formoney to our loyal customers while generating good margins for franchisees. Put all those together and you’ve got the next big thing. Get in early to get a Fix in your preferred area.’

advertiser info Habitual Fix www.habitualfix.co.nz Contact Tim Benest P 0-9-378 4158 M 021 755 947 tim@habitualfix.com

69 3/12/15 1:42 PM


opportunity: food & beverage

time to

WISE UP

Streetwise Coffee franchises are going places with their stay-put outlets

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merican entrepreneur Victor Kiam used to tell the world he was so impressed with the Remington shaver his wife gave him that he bought the company. Rod Te Whatu of Palmerston North has a similar story: while he didn’t buy the Streetwise Coffee company, he did buy a franchise. Seven years later, he owns three outlets! Rod’s move into the coffee business came almost by accident. He was heading a contact centre for the IRD when he was seconded to a project team for 12 months. It meant driving regularly between Palmerston North and Wellington, and a regular highlight of the trip was stopping at the Streetwise Coffee outlet in Otaki. ‘I really liked the vibe – the people were friendly and chatty, and the coffee was always excellent,’ recalls Rod. ‘Towards the end of my secondment, I started talking franchise opportunities with the owner. I’d always had a desire to be in business for myself so, loving coffee, I started thinking seriously about Streetwise.’ What Rod found was that Streetwise Coffee offered genuine points of difference compared to other chains. For a start, there’s the stylishly swept-back black and silver design of the outlets. Secondly, there’s the fact that although each outlet is fully-equipped with everything from espresso machines and grinders to climate control and touchscreen POS systems, they are kiosks rather than walk-in shops. ‘That keeps both ingoings and overheads low, not to mention staffing levels,’ Rod smiles. Finally, although connected to plumbing and electrical services, each outlet is on wheels, making it relocatable should the need arise. The compact design means Streetwise Coffee outlets can be sited in highly visible positions on high-traffic arterial routes. ‘Standing alone like this, a Streetwise outlet draws customers like bees to a honeypot,’ says franchisor Graeme Harris. ‘And if road changes impact on customer numbers, or rental increases eat into profitability, you can simply hitch it up and tow it to a new site.

an offer he couldn’t refuse Rod and his wife Sharon met with several existing franchisees and carried out thorough due diligence before opening their first Streetwise Coffee outlet outside Michael Grant Motors on Palmerston North’s busy Rangitikei Street in May 2008. ‘Business was good, very good, so in 2011 we purchased a second outlet which we sited at a local panel-beating business in Main Street.

Rod Te Whatu: three outlets so far and ‘Who knows, there may be a fourth’ ‘Having borrowed to buy the Main Street outlet, that was supposed to be it for a while until Graeme contacted me to say that our local Pak’n’Save operator had been so impressed by the Streetwise in the carpark at Pak’n’Save Kapiti that he wanted one too. He even offered to pay some of the set-up costs. If ever you wanted endorsement of the popularity of Streetwise, this is surely a telling example.’ And so Rod and Sharon opened outlet number three in November 2013. ‘Two years on, I can honestly say all our outlets are performing very well and, who knows, there may yet be a fourth! Since the franchise began it has only got better and better and, with Wellington’s Havana Coffee Works roasting our exclusive four-bean blend, our coffee has gone from excellent to sublime. Even after seven years, I’m still loving this business.’

napier newbie Matt King is the ‘newbie’ of Streetwise’s 14 franchisees. After 23 years with the New Zealand Police, Matt, a regular customer at the Hastings Streetwise, was ready to make the change to business ownership. After starting due diligence in November last year, Matt opened his Napier Streetwise outlet in May on the road-frontage car park of an industrial complex in Taradale Road, a main arterial route. ‘I can’t say enough about the quality of support I get from Streetwise,’ enthuses Matt, ‘Right from the get-go they’ve been there, finding the best location, negotiating rent, sorting services installation and making the advertising happen. After I received full training at Havana, Luke Mullinger from Streetwise HQ spent the first week with me – what an asset. I now know about everything from making the perfect coffee through to setting up in the morning, closing at the end of the day and delivering first-class customer service in between.’ ‘I’m now doing joint promotions with Stew Brodie, the franchisee in Hastings where I used to be a customer, and having attended our national conference in September I can say Streetwise franchisees are a great bunch – very welcoming and very helpful,’ says Matt. ‘I’m tracking ahead of projections for my first six months’ trading and I couldn’t be happier.’

auckland and everywhere Streetwise Coffee offers new franchisees entry into an ever-growing market opportunity. ‘Start-up costs vary depending on site works and council fees, but allow for $150,000,’ suggests Graeme. ‘This includes site selection and preparation, the fully-equipped Streetwise Coffee outlet, initial stock and working capital. Within 3–5 years, franchisees can earn a six-figure income. We have opportunities nationwide, including Auckland, where we have already identified locations on main arterial routes. ‘You’ve read Rod and Matt’s stories of success with Streetwise – isn’t it time to write your own? Wise up and call us now.’ ex-policeman Matt King: ‘I couldn’t be happier’

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advertiser info Streetwise Coffee www.streetwisecoffee.co.nz Contact Jol Glover P 0-6-364 5733 M 021 762 124 jol@streetwisecoffee.co.nz

71 3/12/15 12:08 PM


franchise management

DATA is the lifeblood of business KeepItSafe ensures your business’s lifeblood keeps on pumping

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n our last issue, Iain Hook from KeepItSafe stressed how important it is that a franchise protects its data from viruses, computer crashes or theft. With database marketing, electronic payment, digital loyalty schemes, online banking and all sorts of other computer-based systems, data is the lifeblood of the modern franchise. Its loss would severely impact the ability of any business to function, franchisor and franchisee alike. It’s noteworthy, then, that on 5th November 2015 the New Zealand Herald ran a front page story on ‘The six threats facing New Zealand’ as identified by the Security Intelligence Service (SIS). Number 2 on the list was ‘loss of information and data’, which the Herald explained as ‘the means by which a cyber-attack is done [are becoming] easier to acquire and easy to combine with insider threats. It poses economic and reputational risks.’ ‘Most commentators and IT advisors agree that the sophistication of cyber viruses continues to increase over time,’ says Iain. ‘It may therefore not be a question of ‘if’ such an event hits your IT environment but ‘when’. You don’t want to wait until you are faced with losing your data (think financial, payroll, emails, customer databases, etc) or paying a ransom. ‘That’s particularly true for franchises, where the multi-site, multi-user nature of the business makes them more vulnerable than most.’ The good news is that there is a simple and cost-effective solution which works not only as a mitigation against cyber viruses but also protects

businesses against theft, human error and computers crashing. The solution is called online backup. ‘With KeepItSafe online backup, your important business information and other data is automatically backed up to a secure, off-site location,’ explains Iain. ‘Once KeepItSafe software is installed on your computer or server, you set up schedules that back up your data automatically on a regular basis. To keep it totally secure, KeepItSafe uses the same encryption levels as international banks, sending your compressed data to servers in New Zealand-based data centres. In the event of disaster, you can retrieve your data simply by logging into a portal and selecting the files you require to be restored. ‘And if you’re hit by a cyber virus in an email or on a USB, it’s a time machine – you are able to go back to a point before the virus hit and extract the data from files when they were still clean. With simple plans starting from around $35 per month, advertiser info it’s a fraction of the price that a cyber virus infection will cost you! KeepItSafe ‘The message is, “Don’t be caught out by a needless threat.” Get your online backup sorted now to keep your business lifeblood flowing,’ Iain suggests.

www.keepitsafe.co.nz Contact Iain Hook P 0800 14 11 14 sales@keepitsafe.co.nz

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Health Smart Heat Pumps is a unique opportunity to own and operate your own heat pump servicing and cleaning business, while playing a significant part in shaping a quality brand and concept. Health Smart Heat Pumps Head Office and support centre is based in Christchurch, with franchises currently operating in Christchurch and Auckland. We are seeking individuals who share our same vision, passion and enthusiasm, who are quality conscious and service driven. To find out more about the Health Smart Heat Pumps franchise opportunity visit our website or contact us for an application form.

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72 Keep It Safe 72.indd 1

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:39 PM


opportunity: auto services

HITTING THE

GROUND RUNNING Touch Up Guys find customer demand puts the ‘busy’ in ‘business’

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ne thing seems assured when you buy a Touch Up Guys franchise – it’ll put the ‘busy’ in ‘business’. ‘That’s certainly my experience,’ laughs West Auckland franchisee Tom Williamson. ‘I only started four months ago and I’m already in big demand!’ Touch Up Guys is a mobile service that repairs stone chips, scratches, bumper scuffs and other paint damage to vehicles of all types. Franchisees also offer buffing and polishing, while some repair kerbscuffed alloy wheels too. It’s a service that’s popular with car dealerships, fleet operators and private owners alike. Martin Smith, the local master franchisee for Touch Up Guys in New Zealand, says. ‘Over the 22 years Touch Up Guys has been in business, we’ve seen the number of cars on the road grow every year. As a result, our franchisees have enjoyed a constant stream of work, riding out recessions and going on growing. Today, we have over 130 franchisees in Australia and New Zealand and the company is expanding into the USA, too.’

reputation matters Tom Williamson is the newest franchisee to join the team in New Zealand. Not yet thirty, he spent nearly ten years as a panelbeater before becoming a sales and service representative for a software company for a change. ‘But I didn’t like the lifestyle so after a year I decided to try something different,’ he explains. ‘That’s when I heard about Touch Up Guys. ‘I’d never been self-employed but, like a lot of people, I’d dreamed of owning my own business. I wanted more of a challenge than just being another employee – I wanted responsibility and control over what I do. I started to make enquiries and the more I asked around, the more positives I heard – in fact, those who knew of the Touch Up Guys franchise only seemed to have great things to say about it.’ Then Tom ran into some familiar objections. ‘Some of my friends were quite negative about a franchise, thinking that you pay good money for nothing. Some of them asked, “Why don’t you do it yourself?” Looking back, I’m so glad I didn’t try – I wouldn’t have known where to start or

Tom Williamson: ‘The great thing about a good franchise is that so much of the work has already been done, and Touch Up Guys has all the experience, training, support and knowledge in place to make it quite painless’ franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Touch Up Guys 73.indd 1

what to do. The great thing about a good franchise is that so much of the work has already been done, and Touch Up Guys has all the experience, training, support and knowledge in place to make it quite painless.’

it all checked out It still meant some big decisions. To fund their new business, Tom and his wife Melissa let out the house they owned in West Auckland and borrowed against it, while renting a cheaper property from Melissa’s aunt. ‘That has worked out really well, as our two small kids love being in the country with sheep and chooks and things!’ Like all intelligent franchisees, Tom also took the franchise proposition to a lawyer and accountant before signing it. ‘The figures certainly stacked up, but both parties were cautious about my first few months and suggested I arrange more borrowing capacity just in case. In fact I’ve earned above expectations and I’ve not needed to touch that cushion.’

only good surprises Tom started work in August this year after three weeks’ training on the Gold Coast which he says was invaluable. ‘Every franchisee goes through that very thorough training and despite my knowledge of the industry, I’m really glad I did. The whole process is fantastic and all the info you need is in the manual if you forget anything. Once I got back, Martin spent two weeks with me in the van going round my area and as time has passed I’ve got very comfortable with meeting new customers and faster and better at the job, too.’ In fact, all Tom’s surprises have been good ones. ‘First, it has been much easier to get into the car dealerships than I expected – the reputation of Touch Up Guys just opens the doors. And secondly, I’m not working as hard as I used to! Most of our weekends have been spent on a bach up north which my parents purchased recently and needs a lot of renovation work. The family love it, and think it’s great I have a business which has given me the time and the cash to enjoy it.’

is it for you? Martin Smith says that Touch Up Guys can be an ideal business for anyone, male or female, who likes working with their hands, has a good eye for colour and is a bit of a perfectionist. ‘The franchise package includes an exclusive territory, marketing support and a van fitted with all the equipment and colour matching technology you need so that, after training, you can produce a quality result every time. The investment advertiser info required is between $88,000 and $120,000 +gst depending on van Touch Up Guys leasing options. 444B Beach Road, Murrays ‘As Tom has found, our glowing reputation means we have opportunities nationwide for the right people. If you like being busy and want a business with a good name, good support and lots of customers, call me today.’

Bay, Auckland www.touchupguysfranchise.co.nz Contact Martin Smith P 0800 286 824 M 021 721 430 martin.smith@touchupguys.co.nz

73 3/12/15 12:05 PM


buying a franchise: legal matters

HOW LONG does a franchise last?

When you buy a house or a business, you usually own it outright – but that’s not true of a franchise. Miles Agmen-Smith explains why, and what it means for you

I

f you are becoming involved with a franchise, whether as franchisee, franchisor, finance provider or supporter, you’ll find that there are certain things about it which are different from other forms of business. One of these is the fact that a franchise is never actually sold – instead, it’s more similar to a leasing arrangement in that it’s granted to the franchisee for a specific term. This term may vary from 3 years to 25 years or more; it may be renewed or not renewed; and it may or may not be transferred when the franchisee exits the business. Here are answers to some of the most common questions about franchise terms. why are franchises only granted for limited periods? There are several reasons for this. First and foremost is that the environment in which all businesses operate is constantly changing and the rate of change, as with most things, continues to get faster. This means that a franchise

74 EDIT_How long is a term 74.indd 1

developed to supply particular needs in particular business conditions must be able to change with the market. Sometimes, customers’ needs and fashions move so far that the kind of business which the franchise was carrying out is no longer relevant or viable. In those cases, either it can no longer be carried on at all, or it needs to be so fundamentally changed that the business and the business model will be entirely different. In such circumstances, neither franchisor nor franchisee can or would wish to be locked-in indefinitely. In addition, a successful franchise business thrives and goes forward by seeking new and additional opportunities and, where they are suitable, adding them to the business. Granting franchises for fixed terms allows opportunities to refresh the business and brand. how long should i expect a term to be? What is reasonable depends entirely on the nature of the franchise and such factors as the amount of capital invested, the period it takes to build up the business to profitable levels and the speed of change in the industry in which the franchise operates. Very commonly, franchise initial terms are for periods of between 3 and 10 years but sometimes they may be longer (up to 20 years or more). Franchise terms as long as 100 years have been known, but both parties might need a crystal ball to see how such a system would operate in the later years! Sometimes, especially with a franchise which represents a new business for the area in which it operates, there may also be a short preliminary period allowing for the franchise arrangements to be set up before the term fully commences. Generally, an agreement will also include one or more rights of renewal for similar terms to the initial term. Franchise specialist lawyers and accountants would both generally advise that the viability of the business to provide a reasonable return on investment should be analysed over the period of the initial term only, on the basis that nothing is certain after that. For this reason, some higher-investment franchises offer longer initial terms. McDonald’s franchise term, for example, is generally 20 years.

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 7:53 PM


what if i want to renew – can i? That depends on two things: first, does the franchise agreement expressly provide for a right of renewal; and secondly, what are the conditions attaching to that right which I would have to comply with to be able to do so? The basic rule here is, as it is for most other things, to ensure that you and your advisers have read and clearly understand whether or not there is a right to renew and, if so, what is involved. If there is a right of renewal, it is important to be clear whether the terms of the renewal agreement are or might be different from the terms of the agreement for the previous period. If so, you would certainly want to have an understanding as to what the differences might be.

trusted legal advice from the franchise specialists buying, selling, setting up or importing a franchise?

will i have to pay all over again? Where there is a right of renewal, most franchise agreements do not require payment of the amount of the initial franchise fee all over again. However, most franchise agreements do require something to be paid. First, the franchisor has costs of its own to meet in investigating and approving an application for renewal and often there can be more work and cost in that for the franchisor than meets the eye. The franchisor may pass on some of those costs. In addition, at renewal time there may be requirements for additional staff training, refurbishment of the franchise premises or the upgrade of plant and equipment. Some of these costs can be quite expensive so you need to know and allow for them.

Our franchise team at ASCO Legal specialises in working with you to deliver the best solutions for all your legal needs. The team has many years' experience in all aspects of franchising and is headed by Miles Agmen-Smith, former Chairman of the Franchise Association of New Zealand Inc.

what do i own at the end of the term? There’s an important distinction to be made here between what you do own and what you don’t. It will entirely depend on what the franchise agreement says. If the term has come to an end and there is not going to be a renewal then the key ingredients which were involved just beforehand fall under four main headings: 1. The intellectual property rights to the name and operation. 2. The premises, if there are premises involved in the franchise. 3. The hard assets in the form of plant, fixtures, and fittings (including such items as vehicles). 4. Goodwill (this is a broad term including the benefit of the customers built up during the course of the business). For intellectual property, a franchise only grants a licence to use the company’s name, trademarks, manuals and operating systems during the licence (franchise) term. Almost every time, then, the end of the term means that all of the intellectual property rights go back to the franchisor and they must no longer be used. With premises, the position can vary. Usually, premises are leased and the franchisor has a right to take back the premises, or to require them to be made available to a new franchisee. That needs to be locked in place with the right documentation involving the landlord. Occasionally, premises (sometimes very substantial premises) are owned by the franchisee: in this case, careful arrangements need to be made at the beginning which are suitable to the situation. So far as plant, fixtures and fittings are concerned, that will again depend firstly on the agreement and the position will vary somewhat depending on the nature of the franchise. Usually, the franchisor will require control of these items if they are essential for the continuance of the business. These may include the right to buy them from the franchisee at their used value or written-down book value at the time of termination, which may not be much. Something to be aware of is that franchise agreements often contain provisions giving the franchisor a power of attorney to act on the franchisees’ behalf in enforcing agreement rights. This can (and has frequently been known to) involve the franchisor taking back ownership of the franchisee’s vehicles, sometimes much to the franchisee’s surprise. Such actions should, of course, be subject to the provisions in the agreement including entitlements to be paid. The remaining big item is the value or premium payable for the right to own and operate the business and generate income from its customers. Mostly, this falls under the heading of “goodwill”. It is very important to be clear as to whether or not, if the agreement is not renewed when the term comes to an end (either at, before or after the expiry date), there is actually any claimable value for the franchisee relating to the goodwill. Usually there is not because, just like a lease of a house or office space, the franchisee’s rights to continue in the business have come to an end so there is nothing to sell. It is very important for the franchisee to find out and understand exactly how that situation will apply under the franchise agreement they are considering. franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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buying a franchise: legal matters what if the franchisor refuses to renew? can they do that? As already mentioned, there are usually conditions attaching to any right to renew. The main ones can be summarised as follows:

material giving details of customers – especially items such as customer lists and databases.

Not only is it important that both parties have a clear understanding of the wording of the renewal clause but also the dates by when things must happen. These must be strictly complied with: we recommend that important dates, such as the date for giving renewal notice, are diarised at the outset so that they will not be forgotten, along with some reminders as the date approaches.

Cases about restraint issues come before the courts quite commonly, and the outcome in nearly every case depends on the construction of the actual agreement. A case involving Green Acres, for example, involved looking at ownership of customer lists. The Court expressed some very clear views on those, supporting the concept of the franchisor’s rights to its customers, customer lists and databases (note: in that particular case the judge referred the matter back to arbitration which was provided for in the franchise agreement). In a more recent decision where our firm acted for the franchisor Video Ezy, the Court enforced compliance with the restraint provisions by issuing an interim injunction restraining a Video Ezy franchisee from rebranding his franchised stores to that of a competitor. The message is clear: it all depends on the agreement, but if the agreement is clear then the restraints will be enforced and the franchisor is normally entitled to the customer lists and other such materials and the franchisee is not entitled to carry on the business until the end of the restraint period. How these different principles apply in each case depends, as always, on the details.

once the term is over, can i just change my name and go on with business?

summary

• A requirement to give formal notices at the right time in the right way as set out in the agreement; and • Often there is an option for the franchisor to consider taking back the franchise at that time, generally linked with a specified form of buy-back procedure; and • The franchisor usually has a discretion to not allow renewal in various situations, including if the franchisee has committed breaches of the franchise agreement or is for some other reason not considered suitable to continue.

The usual answer to that is an absolutely definite ‘NO!’ Franchise agreements almost always contain restraints of trade provisions, which are very important to the franchisor for the onward protection of the business. They will normally prevent the franchisee and associated parties carrying on the same business in the same area in which the franchisee was authorised to operate and often also forbid operating anywhere else where it would compete with the franchisor’s business. This restraint usually lasts for a defined term, eg. two years, and tends to be strictly enforced by franchisors for the protection of their own business and the business of other franchisees. Restraints link in with the question of goodwill and all of those less tangible items which relate to the value of the business and its ongoing future customer and profit generation. Very commonly, a combination of restraint and intellectual property ownership and retention clauses provide not only a prohibition on dealing with existing customers after the franchise is terminated, but also claiming and retaining ownership by the franchisor of all

Anyone going into franchising needs to be aware that a franchise is not sold: it is granted for a set term. At some point that term will end, at which time it may about the author or may not be renewed. If it is renewed, Miles Agmen-Smith is a very the conditions on which it is granted may experienced franchise lawyer, change; if it is not renewed, then the and principal of ASCO Legal. franchisee may or may not have assets He is a former chairman of to sell, or may be required to sell them to the Franchise Association of the franchisor. After leaving the franchise New Zealand Inc and has also system, the franchisee is unlikely to be represented New Zealand able to continue in the same type of franchising internationally. business in the same area. This article is general in When considering any franchise, therefore, it is very important that all of the relevant details are clearly and properly understood and that you seek proper legal advice.

nature and every transaction is different. It is not a substitute for proper legal and other professional advice.

Novus Auto Glass are

seeking expressions of interest from: • Existing auto glass companies wishing to join NOVUS • Automotive companies wishing to add NOVUS to their business • Individuals wishing to purchase an existing NOVUS location The NOVUS Auto Glass opportunity offers: • • • • • • • • • •

A proven business model A nationally recognised brand Instant credibility National accounts and referrals Superior ongoing training and support The highest quality products Full-time research and development department National advertising 24/7 call centre Annual conference

Email: opportunities@novus.co.nz 76 EDIT_How long is a term 74.indd 3

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 7:53 PM


opportunity: leisure & education

Annette King, Deputy Leader of the Labour Party, with the FoodStorm team and sKids franchisees

kids

COOKING UP A STORM A new programme for sKids franchisees could see children teaching parents

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ext year, children could well be teaching their parents a thing or two about healthy cooking and eating. The FoodStorm programme from sKids has been developed in partnership with the award-winning cooking company, Little Cooks, to help kids have fun making 12 tasty recipes using only basic kitchen appliances. With recipes such as Kaboom Curry, Surfie Fish Pie and Colonel Cluck’s Scrambled Egg, it sounds like a winner already.

FoodStorm is the latest initiative from the before-school, after-school and holiday programme franchise that aims to make a real difference in children’s lives. Statistics suggest nearly a quarter of New Zealand children are overweight. For busy working parents too worn out at the end of the day to prepare healthy meals or deal with picky eaters, the least course of resistance is to buy-in takeaways or throw together meals made from highly-processed ingredients. Now sKids, which already has over 60 franchisees looking after more than 5500 children in 148 schools nationwide, is aiming to help them help themselves. The FoodStorm programme has been designed by Suzi Tait-Bradly and Bex Woolfall. Motivated by the belief that knowing how to cook is a vital life skill, the pair has been teaching kids how to cook since 2012. Their children’s cookbook, Piggy Pasta & More Food with Attitude, was selected as one of The New Zealand Listener’s top 50 children’s books for 2014, and won a Gourmand International children’s cookbook award.

boots and all When FoodStorm was announced at this year’s sKids annual conference, one of the first to sign up was Wellington franchisee Neil Hancock. A father of five, the former plastics technician and forklift engineer can relate to the pressures of being a working parent. In fact, that’s what interested him in sKids in the first place, having seen a remarkable difference when sKids took over the after-school care programmes at Newlands Primary School which a number of his children attended. ‘Only when sKids arrived did we feel we were getting value-formoney,’ explains Neil. ‘Almost overnight, our children were in a Devonport sKids kids show off their culinary creations with local franchise JP Tang franchise.co.nz – PUTTING PEOPLE IN BUSINESS

sKids 77.indd 1

structured environment and loving every minute of it. I was so impressed with the planned activities and staff involvement that I looked into sKids, liked what I saw and spoke to the franchisors. That was in term three – by the beginning of term four, I was the sKids Newlands franchisee! Not long after, I was offered the existing sKids site at Wadestown School and, telling myself I might as well jump in boots and all, said yes. That all happened in 2009, and in 2010 I established a third sKids site at Newtown Primary School.’

children first Neil very much fits the sKids franchisee mould in that he runs a thriving business employing 3 managers and 11 staff and has a passion for children’s welfare and wellbeing. He says that being able to empathise with children, parents and caregivers is what makes him so enthusiastic about FoodStorm. ‘I believe that through FoodStorm, sKids children will be able to influence their parents or caregivers into spending 20 minutes preparing a healthy meal rather than making the 15-minute round trip to the local chip shop. Over time, those 5 minutes will make a huge difference to a child’s physical and mental wellbeing. I know the majority of parents from all socio-economic groups would dearly love to be much more involved with their children, but they are under so much financial and time pressure that teaching food preparation and cooking is hard. Term one 2016 will see us launching FoodStorm as part of our programme and also as a stand-alone opportunity for all kids. It’s so much fun that this will become a programme children want to come to.’

plenty of opportunities For new franchisees, investment starts from around $45,000 +gst for a fully comprehensive package, including site development and training. Neil says that although the business is very successful, ‘If making money is your only motivation then don’t bother. But if you love having involvement with children, sKids is an awesome and fulfilling business. You’ll also wake up each morning knowing you have the most unbelievable sKids support team. It’s not just the help they provide; they’re constantly changing, improving and coming up with new ideas such as FoodStorm and the sKids Active sports programme. Another is The iHub, which puts sKids sites in intermediate schools with the objective of encouraging leadership and personal growth among year 7 and 8. These are things that can make a real difference in kids’ lives advertiser info and they love it.’ sKids director Chris Bartels says, ‘Within a few years we aim to increase from our current 148 sites to over 300, which means a lot more opportunities for new franchisees. As Neil has said, the key requirement is a genuine love and care of children. If this is you, wherever you are in New Zealand, I’d love to hear from you.’

Safe Kids in Daily Supervision www.skids.co.nz Contact Chris Bartels P 0-9-576 6602 P 0800 SKIDSBIZ 0800 754 372 chris@skids.co.nz

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Iconic Kiwi Brands In play NOW!

If you’re serious about business, United Franchise Systems offer five well-known business opportunities loved by Kiwis across New Zealand. Choose one that suits your financial reach, your business goals and your lifestyle ambitions. Kick off your game today: contact Murray Belcher 021 483 500 murray.belcher@ufsltd.co.nz

Boutique café and in-house roastery established 1992

New generation of European inspired garden centre, includes a licensed café

New Zealand’s largest garden centre chain

Stylish and contemporary garden centre cafés

Kiwis' most popular buffet restaurant

established 1958

established 1958

established 1989

Opportunities range from $220,000 upwards

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10/09/14 2:44 pm


opportunity: retail

PACKING A

PUNCH

Pack & Send franchisees have enjoyed a big sales boom as business grows

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t the end of 2015, Pack & Send can look back on a great year after a successful online marketing campaign saw sales across the franchise increase by up to 25 percent. ‘We set ourselves three main goals – increased website visitors, increased requests to the group and, most importantly, a big increase in individual franchisees’ transactions and revenue,’ explains Matthew Everest. ‘We achieved them all just ten months into the campaign, so it’s been a huge boost for everyone.’ As master franchisee for New Zealand, Matthew brought Pack & Send here in 2008. Founded in Australia 22 years ago, the company promises to “send anything, anywhere – no limits,” and originally concentrated upon the Fragile, Large, Awkward or Valuable items (FLAV for short) that other freight companies wouldn’t touch. ‘That was the hole in the market,’ says Matthew, ‘but we rapidly expanded into everyday run-of-the-mill stuff because we offered such a bespoke service. Customers walk in and we do the rest – bubble wrap, boxes, freight, the whole lot – and all for one credit card transaction. Now we do a lot of work for commercial clients, too.’ But getting the message out to such a wide audience proved to be difficult. ‘Initially, people didn’t know such a service existed and, of course, it wasn’t until they needed us that they started looking. So after a lot of research we moved away from awareness advertising with flyers, newspapers and radio, and with additional support from all the franchisees we focused upon four key online channels that would reach people at the right time. The results speak for themselves.’

good fun, good hours, good profits Cherry and Garry Le Verne have certainly seen their business take off. The couple opened their Pack & Send outlet in Albany six years ago after experiencing the uncertainties of employment and redundancy. ‘We knew Matthew personally and had heard a lot about Pack & Send, so we decided to take our careers into our own hands,’ says Cherry. ‘Our first two years, like any business, were a bit of a struggle – we knew it was a solid concept, but achieving a national profile was not easy. For a while clients walking in would say, “We’ve never heard of you...” But that changed as the group grew and with the new advertising strategy, we’ve seen a massive 50 percent increase in our sales this year.’ As the Pack & Send business has grown, so franchisees and customers have benefitted from better rates all round. ‘If rates, particularly fuel costs, come down, we make a point of passing savings on,’ explains Cherry. ‘This is one of the reasons we’ve built excellent relations with many business customers who keep coming back to us. And we offer a collection service for clients where there is no alternative risk-free method of despatch, which has seen us travel as far as Whangarei! No two days are the same – there are always new customers and new challenges to meet. ‘I love Pack & Send because, although it’s very profitable, the hours aren’t crazy. Basically it is a Monday to Friday, 8.30 to 5 operation, and we open on Saturday mornings to cater for those customers who really can’t get to us during the week. And we’re a strong network, so franchisees regularly get together to discuss problems and help each other to solve problems and share ideas.’

Garry & Cherry Le Verne

targetted locations. The franchise package is $210,000 +gst for a turnkey operation which includes everything from finding premises to initial stock, marketing, fit-out and working capital. ‘You don’t need freight experience – our franchisees include everyone from ex-accountants to landscape gardeners! It’s a relatively easy business to learn in a high growth market, and there’s very little competition. ‘If you enjoy meeting people of all types and providing a much-needed service, and can manage a fastgrowing, fast-moving business of your own, I’d love to hear from you. Contact me today.’

advertiser info Pack & Send PO Box 9028, Tower Junction, Christchurch www.packsend.co.nz Contact Matthew Everest P 0-3-982 7252 M 021 799 783 matthew.everest@packsend.co.nz

Want a Franchise that really Delivers? Choose PACK & SEND™ – buy a business not a job! Awarded Emerging Franchise System at the Westpac New Zealand Franchise Awards, PACK & SEND is one of the fastest growing franchise systems in New Zealand. Be part of a growing international franchise network which is becoming a leader in the freight, packaging and logistics sector, providing “No Limits” to your customers and your earning potential. The PACK & SEND offer includes: • Unique Business Model • Award Winning Franchise System • Be Your Own Boss • Low Staffing Levels • High Gross Profit Margin • Low Entry Level Costs

BECOME A PACK & SEND FRANCHISEE Opportunities available in a town that you know and love! There are real opportunities for you to become an owner of one of the franchises available right now in key metropolitan markets and provincial main centres throughout New Zealand. For further information about the ‘Pack & Send Franchise Opportunity’ visit our website

PACK & SEND DELIVERS DREAM LIFESTYLE Bill and Jo Lawrence have stepped out of their corporate lifestyle and have opened a Pack & Send outlet in Nelson City.

or call Matthew Everest at Pack & Send New Zealand on (03) 982 7252

“We liked Pack & Send’s business model, customer focus and its overall customer proposition” says Bill. “We’ve worked hard over the years and wanted to get back to a more balanced family lifestyle. Pack & Send offered us the opportunity to do something exciting and build a business that has customer service as one of its cornerstones.”

easy to learn Pack & Send now has 14 stores around New Zealand and Matthew says there are at least 10 more opportunities currently available in carefullyfranchise.co.nz – PUTTING PEOPLE IN BUSINESS

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79 3/12/15 12:24 PM


buying a franchise: choosing wisely

don’t be taken for a ride Some business opportunities may not be all they seem

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hile genuine franchises offer a low-risk way of getting into business for yourself, you need to watch out for the others. Some business opportunities that you see advertised on the internet or in the papers may not be all they seem. Most problems come from companies that claim to offer ‘franchises’ or ‘business opportunities’ when in reality they offer little or no training, support or systems (see the story about the cruise venture on page 16). They may genuinely believe that they have a great opportunity, but it is up to you to make sure whether that really is the case. Here are some warning signs you should be aware of. If you come across any of these, be very, very careful – and don’t sign anything until you’ve had time to check the ‘opportunity’ out fully (our list of 250 Questions to Ask should make any dodgy operator run a mile – see page 38). • The ‘franchise’ has no operation already running in New Zealand to prove that it works in practice (we’d suggest looking for a minimum of 12 months so that any seasonal variations are obvious). • The offer suggests you can make a lot of money for very little work. • The opportunity makes more money from recruiting sub-franchisees than from operating the business. • The opportunity sells you the equipment to manufacture product or carry out a service without proof of the demand for it.

• The business depends for its success on an advertising campaign that cannot take place until all the franchises have been sold. • There is no adequate explanation of the reasoning behind any claims made for potential profitability or income in New Zealand (ask an accountant if you’re unsure). • The initial franchise fee is higher than can be justified. • The franchisor is more interested in selling you the business than finding out whether you have the experience and ability to run it. • You have only met the franchisor in a hotel and there is no operating entity in New Zealand. • There are unreasonable restrictions on who you can buy goods from, or how much you must buy, or at what price. • You are put under pressure to sign up now rather than lose the territory of your choice. • You are not given time to carry out due diligence on a company before making a decision. • There is no ‘cooling-off’ period allowed after signing. • The franchisor does not see the need for you to consult a lawyer and an accountant. • The franchisor wants to take your credit card details for a deposit payment, promising not to use it unless you confirm you wish to proceed. • Previous franchisees have closed or failed and you are given no satisfactory explanation why. • The contract allows the franchisor to terminate without cause. Being aware of these danger signs should help you to avoid being taken for a ride. However, it’s still up to you to ensure that the franchise you choose is a genuine opportunity that will be a good match for your interests, skills, financial resources and expectations. A good franchisor will not only allow you time to do this – they will insist that you take professional advice from a lawyer and accountant and actively encourage you to make an informed decision. In the long term, the best franchises succeed not because they do the hard sell but because they take the time to appoint the right people. It’s your life and your money, so make sure you take care.

LOVE accounting… Looking for the freedom of running your own business and having a great lifestyle, then an SBA franchise is the ideal solution. Franchising since 1999, SBA is a market-leading brand that will provide maximum support and enormous potential to grow. • Well-known brand with 50 branches nationwide & 20,000 clients • Proven business model • Low entry cost and low overheads • Own your own local territory • Xero Platinum Partner • Ongoing training and support Email franchisesales@sba.co.nz for a free info pack.

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Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 8:08 PM


opportunity: food & beverage

Mr Woo Sushi franchisee makes a dramatic start in Christchurch

quick start

Nick Eschenbach

TASTY RETURNS A

fter just six weeks of operation, new Mr Woo Sushi franchisee Nick Eschenbach is delivering up to 95 boxes per day of the super-fresh premium sushi. ‘I’m stoked,’ he says, ‘I never expected my business to grow so quickly. Establishing a regular run has been a lot easier than I thought – I did a lot of research before buying the franchise, but I didn’t foresee this.’ One person who isn’t surprised is Adam Parore, the creator of Mr Woo Sushi. The business is the result of two years’ solid research by the former financial analyst (and international cricketer) who is also the man behind the APM, Pegasus Rental Car and Small Business Accounting franchises. ‘The takeaway food market is valued at a massive $1.5 billion in New Zealand, but finding the right opportunity took time,’ Adam explains. ‘Mr Woo Sushi had all the advantages I was looking for, so I manned the original Mr Woo van in Manukau myself to learn the business. Now Nick is experiencing the same thing that I found – the demand for fresh, healthy food is enormous and meeting it can be very profitable. Our pre-packaging operation means a franchisee can serve a lot of people in a short time and, of course, being mobile means you can go where the customers are without needing to have expensive retail premises. It’s not just a lunch-time product, either – people want take-home packs and event catering as well.’

amazing from the start Not surprisingly for someone with a Sales & Marketing degree, Nick Eschenbach always had ambitions to own his own business. While working at Christchurch Polytechnic Institute of Technology, he was researching opportunities in Franchise New Zealand magazine when he found Mr Woo Sushi. ‘I had thought about a coffee run but that market is pretty busy already,’ he explains. ‘What appealed to me about Mr Woo Sushi was its unique advantages. People are getting far more healthconscious these days, and I reckoned that having an alternative option to junk food delivered to the workplace would be well-received.’ 24 year-old Nick is the first Mr Woo franchisee in Christchurch. ‘Adam and his team have been amazing from the start, training me and helping me set up my own business. At the same time, they encourage me to make my own decisions about growing the business in my area rather than dictating every detail. For example, I built my own Facebook page which has been a fantastic tool – the response and engagement from people showed it was going to be a success right from the start.’ All the product Nick sells is produced in a central kitchen by highlyqualified sushi chefs, leaving him free to concentrate on building his business. ‘I just have to place my order and pick it up each morning,’ Nick franchise.co.nz – PUTTING PEOPLE IN BUSINESS

Mr Woo 81.indd 1

smiles. ‘Although I always carry a good range, many customers like to pre-order – that’s great because it maximises your profitability. And it’s not just workplaces; schools are a great source of business, too. I’ve just added one to my route which has 40 boxes pre-ordered, so things are going very well.’ Not that Nick is flat-out yet. ‘Currently I’m doing just a pre-lunch run and have the afternoons free for researching new markets – or the beach. It’s been a great way to get into a business of my own.’

creating converts If you fancy following in Nick’s footsteps, a new Mr Woo Sushi mobile business is available for just $49,000 +gst, and Adam says that funding options are available to the right people. ‘The investment includes all fees, a fully-fitted van and four weeks’ dedicated training,’ he explains. ‘We have a revenue guarantee in place for the first two weeks of business, and a gross income of between $70,000 and $100,000 is easily achievable.’ Nick says that while he believes social media will be an important tool for franchisees, ‘You definitely need to be a people person as well. You must have the sort of personality to be able to waltz into a company and get all the staff so excited about your sushi they’ll come on board and become regular customers. Get them sampling the product and they’ll become converts! ‘Of course, every area is different and what I’ve established so far in Christchurch won’t be exactly the same as anywhere else, but I’d say Adam was spot-on in his thinking. The appetite for sushi deliveries is enormous!’

mobile or master Adam is now developing the next stage of Mr Woo Sushi by appointing master franchisees in main centres who will operate retail outlets combined with kitchens to supply the mobile franchisees in their local area. ‘The total investment is under advertiser info $100,000, making them a very real opportunity for people who have Mr Woo Sushi some experience in food or service PO Box 47 818, Ponsonby, and now want their own business. Auckland ‘So whether you want a mobile business or a growing investment, Mr Woo Sushi has something to offer you,’ Adam says. ‘Talk to me about opportunities in your area – wherever you are.’

www.mrwoosushi.co.nz Contact Adam Parore P 021 781 250 F 0-9-523 0355 adam@sba.co.nz

81 3/12/15 12:46 PM


SUCCESS?

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

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

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

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

Ongoing training and support for franchisees and their teams.

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

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

Call 0508 437 262 or visit: dominosfranchise.co.nz


franchise opportunity: food & beverage

SOUND

business Domino’s Pizza is a brand in tune with its customers and franchisees

W

hen you’re looking for a franchise in the food business, it pays to start with the industry leaders. ‘And once you do, you’ll find it hard to look past Domino’s Pizza,’ says Scott Bush. ‘It’s a dominant brand and a force to be reckoned with wherever it goes.’ As New Zealand general manager for Domino’s, Scott has overseen three years of double-digit growth here. ‘And we’re not slowing down, either. Our ambitious growth plans make it an exciting company for franchisees to be a part of, and one that they know will work for them. Our success – and our franchisees’ success – is the result of an approach which focuses on understanding what the customer wants, using the latest technology to communicate it, and then providing franchisees with the training, tools and support they need to deliver.’ Venny Liu agrees – in fact, he’s so convinced that he owns not one but three Domino’s Pizza stores in the Auckland suburbs of Forrest Hill, Belmont and Browns Bay. ‘Coming into Domino’s was an easy decision for me once I saw the effort they put into the brand,’ he says. ‘By being part of a brand that focuses on customers’ needs, it is one less thing for me to worry about. I only need to focus on having my operations running perfectly to ensure all my customers are extremely happy. ‘I have 100 percent confidence in knowing that our menu is designed for Kiwi customers and all of the offers and technology Domino’s create are designed to engage with the customers, leaving us to run the business well. It removes a lot of the stress.’

new look, new menu, new opportunities Domino’s has recently had a complete overhaul in New Zealand. The franchise has almost 100 outlets here and 90 percent of them have recently been refurbished, with the remainder to be completed by June 2016. New franchisees will benefit from all that experience – and the buying power of over 11,000 stores worldwide. ‘Our new modern, clean aesthetic reflects not just our brand but the way our Kiwi customers live their lives: vibrant, fresh and constantly-evolving,’ says Scott. ‘Our menu has had a refresh, too, to reflect the changing tastes and preferences of the New Zealand public. It mixes classic favourites such as Meatlovers and Margherita with new flavours from around the world including Argentinian Pulled Beef, Spicy Harissa and Peri-Peri Chicken. There is also a range of side options such as chicken bites and wedges, and dessert options including churros, fudge brownies and an irresistible chocolate lava cake.’ As with all Domino’s initiatives, the new menu items were thoroughly researched to guarantee a successful launch. ‘Testing isn’t just about whether customers will like new products – it’s about ensuring they can be made efficiently and, above all, profitably,’ Scott explains. ‘In this business, getting the processes and margins right is vital if franchisees are to build a really successful business.’ And that efficiency extends to understanding the busy lives their customers lead by offering ordering options via the Domino’s website, on mobile phones, through apps or social media. The new GPS Driver Tracker launched earlier this year even allows customers to see how far away their delivery is in real time. franchise.co.nz – PUTTING PEOPLE IN BUSINESS

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Scott Bush: ‘ We never stand still’

Venny Liu, owner of three Domino’s stores

never stand still ‘At Domino’s, we never stand still – we’re always looking for what our customers want and trying to stay ahead of their needs,’ explains Scott. ‘We engage with them at all sorts of levels – in-store through our franchisees, on the doorstep through our delivery drivers, and we also encourage direct communication and input with the brand through apps, emails and social media. This ensures that we know what they want and they are involved in everything we do.’ This includes raising awareness of Youthline, the telephone and online counselling service run by youth, for youth. Although in its early stages, franchisees have already raised over $30,000 for the charity through a nationwide Doughraiser event in November and there are plans to make it an annual event.

join the family So if you’re looking for a food franchise that’s really in tune with its customers, what attributes do you need? Scott lists the following: • Passion, commitment and the drive to succeed • Strong leadership skills • Good people skills • Good administration skills • Entrepreneurial flair • Ability to have fun and work in a young, energetic and vibrant organisation ‘As a new franchisee, you’ll receive thorough training in all areas of store operations,’ he says. ‘You’ll also be given simple but highly effective management tools to ensure the success of your business, then our dedicated franchise consultants will continue to work with you on an ongoing basis. The investment required is around $400,000-$600,000. If you think you’ve got what it takes to be part advertiser info of the Domino’s Pizza success story, contact us today for more details about Domino’s Pizza becoming part of our family.’ www.dominosfranchise.co.nz With three stores, Venny Liu is a happy man. ‘Being part of the Domino’s franchise system means you get the benefit of a big brand while owning your own businesses,’ he says. ‘It is a great balance.’

Contact Franchising Team P 0508 4 FRANCHISE 0508 4 37262 franchise.recruitment@ dominos.com.au

83 3/12/15 8:10 PM


A Profitable Industry with Proven Business Systems “Hi, I’m Ryan Hamilton, founder and Managing Director of Grime Off Now. I’ve built two successful companies in the exterior cleaning industry over the last 15 years and have developed excellent business systems and industry knowledge which led to that success. I am now expanding by offering franchised territories around the North Island and am looking for highly motivated, hard-working, and practical people who would like to step into business ownership in this profitable industry. Grime Off Now is quickly emerging

as a market leader in the exterior cleaning industry, for both residential and commercial properties. We have a secondary service called Bug Off Now which treats properties for insects. This unique opportunity will enable you to start as a one-person business, with minimal overheads, and then grow to build an established business. I’ve done it twice, and I’ll guide you through the process.”

FROM ROGER BAILEY – TAURANGA FRANCHISEE “Advice is freely available from the franchisor along with mentoring and coaching enabling the franchisee to concentrate on business growth knowing they are supported by someone who has built their own business from scratch. After only 6 months in a brand new territory I have more work than I can shake a stick at and I’m loving it!” Roger Bailey – Tauranga Franchisee

Mobile 027 27 88813 Email ryan@grimeoff.co.nz Web www.grimeoff.co.nz

Huge, never-ending market and repeat business! We have developed a system which provides alloy wheel repairs to a very high standard in a short space of time. This means you have delighted customers and get to lots of jobs in a day. Enjoy: Fantastic technical training Great sales training and marketing Devoted franchise support team Low overheads High potential income

Exclusive territories across New Zealand. Price on application (includes equipment and training). You also need a suitable van, computer and a mobile. Alan Thomas – Franchisor/Owner 021 537 311 Head office: 04 477 0284 alanthomas@wheelmagician.co.nz www.wheelmagician.co.nz

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Now it’s got even better. New Zealand’s top franchising website just got even better. www.franchise.co.nz has been the biggest and best source of opportunities and advice for anyone looking for information about franchising in this country. Launched in 1997, it’s now in its 10th generation. Franchise New Zealand is an independent website with details of over 275 franchises, existing businesses for sale and 50 specialist service providers – and that’s not all. There are also hundreds of articles to help anyone looking at buying a franchise or franchising their own business, step-by-step guides, franchise profiles and an archive of news and other articles from the past 20 years. But with all that content, it was getting hard to know where to start and how to find the information you were looking for. Now we’ve made it easier for everyone with new search functions and a new layout that makes it easy. Here’s a guide to some of the new features.

The whole of the left frame of the new website is given over to our new navigation tool. This will display wherever you go in the site, so if something catches your attention you can quickly find out more.

After

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www.franchise.co.nz is New Zealand’s best and most-visited franchise website.

easy navigation

Before

• • • • •

THE BEST G

for sale Brings together over 275 listings, master licence opportunities, existing franchises for sale and profiles of franchise businesses all in one place. You can search the listings by industry, price or brand name. That means you can quickly find exactly what you’re looking for or bring up a range of opportunities to suit your skills or your pocket. advisors When you’re buying a franchise or franchising your own business, using a specialist advisor can save you time, money and, just possibly, your whole business. We’ve made it easy to find the help you need to make the right decision. And it includes specialists who can help you run your business better, too.

Franchise New Zealand

Summer 2015/16

Year 24 Issue 04

3/12/15 7:52 PM


T GETS BETTER www.franchise.co.nz free stuff franchise.co.nz is free, of course, but if you visit the site there’s even more free stuff available. free mag Click on the panel, enter your postal address and we’ll send you a free copy of the very latest issue of Franchise New Zealand magazine. Sometimes, print is easier. read on your device If you want to read the latest issue on your tablet, laptop, PC or phone, just click here and you can read the digital issue online or download it for later. in our latest issue Here’s a view of three of the articles that are exclusive to the latest issue. Get the print or digital mag to read them.

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85 3/12/15 7:52 PM


what’s available?

what does it cost?

what do they do?

how many are there?

who do I contact?

number in NZ and globally

Over 275 different franchises

get more information

description

FANZ

industry

investment from

company

page number

A-B franchise and business opportunities

0800 2 Fix It

Home & Building

$30,000

NZ’s leading trade services franchise system. Seeking plumbers, mechanics and electricians.

6 6

N

M 022 0177 889

0800 Sunshade

Home & Building

$25,000

0800 Sunshade are designers, manufacturers and installers of outdoor weather protection products.

7 7

N

P 0-6-876 9675

AA Auto Centre

Auto Services $150,000

NZ’s premier provider in the auto service and repair market.

29 29

N

P 0-9-966 8800

A Buyer’s Choice Home Inspections

Home & Building

$65,000+

A Buyer’s Choice Home Inspections are the largest home inspection franchise in Canada and are rapidly expanding in USA, South America, Europe and New Zealand. This is your chance to start your new career with your own home-based business.

13 200

N

John Goodrum P 0800 863 636 M 021 945 140 E john.goodrum@abuyerschoice.com W nz.abuyerschoice.com

Accessman

Home & Building

$250,000+

Specialist hire company supplying access equipment to the construction and maintenance industry.

8 8

Y

P 0-3-341 6333

ActionCOACH

Business & Commercial

$80,000

ActionCOACH is the world’s #1 global network of business coaches and trainers.

30+ 1200

N

P 0800 228 466

AGATHA Paris

Retail

$300,000

Iconic French fashion jewellery that fuses the fashionable with the affordable.

11 340

N

P 0800 AGATHA

Airify

Home Services

$48,000+

Airify is New Zealand’s leading heat pump cleaning and service company.

3 3

Y

P 0-9-377 7735

AluRestore

Home & Building

$49,500

Mobile aluminium joinery repainting business giving durable lustrous modern finishes to faded damaged 1 outdated joinery everywhere. Only franchise of its kind. Great profit margins, huge potential for growth. 1 Operating successfully for 18 years. Great support from national joinery outlets and thrilled customers. Call now.

N

Steve Todd P 0508 737 867 M 0274 756 937 E steve@alurestore.co.nz W alurestore.co.nz

Anchor Franchise

Food & Beverage

$300,000

Market leader in the sales and distribution of milk products and beverages throughout New Zealand including Anchor, Primo, Zing, Mammoth Supply Co, Fresh N Fruity, De Winkel, Country Goodness, Mainland, Kapiti, CalciYum and Eon. National franchise structure operating since 1992 offering exclusive territories.

65 65

Y

Shannon Davidson P 0-9-573 7050 E franchiseopportunities@fonterra.com W anchor.co.nz

Anytime Fitness

Health & Fitness

$280,000

Anytime Fitness is a convenient 24-hour international fitness club franchise.

4 1300+

N

P 0-7-839 0209

Business & Commercial

$74,500+

Appliance Tagging Services are Australia’s leading electrical testing and tagging franchise and are now franchising in New Zealand. Join our award-winning franchise business and enjoy the support of our proven system. We are seeking safety-minded well-organised people with a passion for success.

New 40

N

Steve Wren P 0061 3 8520 9750 M 0061 401 655 655 E steve@ats.com.au W appliancetaggingservices.com.au

Armstrong Smarter Security

Business & Commercial

$150,000

Armstrong for smarter security. Retail and mobile locksmith and alarm specialists.

18 18

N

P 0-9-415 0585

At Your Request Franchise Group

Home & Commercial

$14,000

NZ’s premium home, commercial and lawn service franchise system.

200+ 200+

N

P 0800 297 297

Baby On The Move

Retail

$120,000

Specialising in rental and sales of baby and toddler car seats and other products.

17 17

N

P 0-9-422 2285

Bakers Delight

Food & Beverage

$295,000

With over 30 years of experience, Bakers Delight is a successful franchise business with a growing network of over 700 bakeries spanning across four countries. Bakers Delight has a proven business formula which provides comprehensive training and on-going support.

36 700+

Y

P 0800 225 388 E franchiserecruitment@bakersdelight.com.au W bakersdelight.com.au

Bark Busters

Leisure & Education

$20,000 $40,000

Bark Busters is the world’s largest, most trusted dog training company.

2 350

N

P 0800 167 710

Bathroom Direct

Home & Building

$150,000$250,000

Franchised bathroom renovation business. Supply and installation of bathroom products.

4 4

N

P 0-9-913 3110

Bedpost

Retail

$50,000

New Zealand’s premium specialist bedding and bedroom furniture retailer seeking motivated owneroperators.

16 16

Y

P 0-9-278 1010

Big Paddle Company

Business & Commercial

$42,500 $54,500

We provide a business-consulting model. Seeking experienced successful business people.

1 2

N

P 0-9-630 7710

Bin Inn Retail Group Co-operative

Retail

$110,000

Co-operative of nationwide wholefoods and speciality grocery stores. No previous experience required.

36 36

N

P 0-7-575 6939

Bookends

Education

$30,000

Specialists in supplying all textbooks nationally to schools and other educational institutions.

18 18

Y

P 0-3-377 9555

Breakers Café & Bar

Food & Beverage

$25,000$200,000

Proven franchise model providing Kiwi fare at affordable prices.

7 7

N

P 0-6-834 0537

Brucies Lawnmowing & Garden Care

Home Services

$49,000

Brucies Lawnmowing and Garden Care has grown dramatically since launching. We have a strong presence in Auckland and are looking to establish master franchises throughout New Zealand. We can help you build a strong business. No experience required, but professionalism and integrity are a necessity.

12 12

Y

Bruce Rea P 0-9-267 7244 M 027 273 4992 E bjrea@xtra.co.nz W thebruciegroup.co.nz

Appliance Tagging Services

86 EDIT_DIR_2404.indd 1

10

Westpac Directory of Franchising and Advertiser Index Franchise New Zealand Summer 2015/16 Year 24 Issue 04

3/12/15 7:55 PM


86 franchise and business opportunities

95 national master licence opportunities

95 specialist advisors

looking for a business opportunity but don’t know where to start? choose by industry

choose by investment

We have divided all the opportunities into ten main industries. Just look down the third column to select the type of business you are interested in. You can also search the Directory by industry online at www.franchise.co.nz

The ‘Investment’ figures quoted in the fourth column are for guidance only and may not include GST, equipment, working capital or other items unless specifically included. You should confirm such items direct with the franchise concerned.

choose by type

The description contains a brief description of the franchise and may include information on the type of people the opportunity is best suited to. More information can be found online at www.franchise.co.nz

note

Listing information is supplied by that particular entity. The FANZ column denotes membership of the Franchise Association of NZ. You are advised to confirm the accuracy of the listing and the membership status of any entity. Neither the sponsors of this Directory nor the publisher accept liability for any omissions or errors.

Brumby’s Bakeries

FANZ

description

number in NZ and globally

industry

investment from

company

page number

franchise and business opportunities B-C get more information

Food & Beverage

$400,000$450,000

Australasia’s longest running and very successful bread franchise. The Brumby’s system and procedures have been developed to help you run your business. Every facet of running a Brumby’s store has been standardised to promote efficiency. Estimated turn-key price, depending on size and location.

18 329

N

David Bernard P 0800 894 199 M 021 331 243 E david.bernard@rfg.com.au W brumbys.com.au

Business & Commercial

$25,000

100% NZ owned, specialising in the hire of artificial flower displays. Our displays look real and fresh. Rental charges are very reasonable. Suitable for a business minded person. No special skills required as training provided. Home based lifestyle business with minimum capital outlay required.

6 6

Y

Manish Kemkar P 0-9-837 1219 M 027 205 3158 E manish@buddingideas.co.nz W buddingideas.co.nz

Bugger Café

Food & Beverage

$250,000+

The Bugger concept is different from other cafés. We focus on an uplifting, entertaining food and coffee experience.

1 1

N

M 027 551 0963

BurgerFuel

Food & Beverage

$300,000+

The ultimate experience in gourmet burgers. Seeking hardworking people with great attitude.

30 41

Y

P 0-9-376 6007

Budding Ideas

42

Burger Wisconsin

74

Food & Beverage

$200,000$280,000

At Burger Wisconsin, it’s always been about the food. Now is an exciting time to join us, with new sites planned throughout New Zealand and an existing store refresh programme underway. It’s a gourmet opportunity for operators with good taste.

22 22

Y

Nathan Bonney P 0-9-973 4559 M 021 758 299 E info@burgerwisconsin.co.nz W burgerwisconsin.co.nz

Caci

28

Health & Beauty

$250,000+

Caci is a highly sought-after, well-recognised household name. Our clinics are a profitable business in a growing industry. Successful Caci franchisees come from all walks of life – from nursing through to corporate executives and beauty therapists wanting to go to the next level.

34 34

Y

Fleur Evans P 0-9-320 2610 M 021 369 615 E fleur.evans@fabgroup.co.nz W caci.co.nz

Café Botannix

78

Food & Beverage

$150,000

Contemporary deli cafes serving organic coffee and organic food options in Palmers garden centres.

4 4

N

Murray Belcher P 0-9-444 4369 E murray.belcher@ufsltd.co.nz

Cafe2U

Food & Beverage

$129,410

Cafe2U is the world’s largest mobile coffee van franchise.

11 230+

N

P 0508 004 388

CAL Systems

Financial Services

$90,000

Turn-key operation. Set up and run a finance company from home.

30 30

N

P 0-4-293 6899

Carl’s Jr.

Food & Beverage

$1,000,000

We are looking for enthusiastic franchisees to join the Carl’s Jr. team and grow the business together with Restaurant Brand’s support. You need to be hands-on and goal focused. Operational training is provided.

18 1300+

N

Alan Brooks M 021 276 9769 E franchisesales@rbd.co.nz W restaurantbrands.co.nz

Cartridge World

52

Computer

$100,000$125,000

The largest, most experienced cartridge refilling company worldwide. Franchisees operate from retail premises, refilling cartridges, retailing new cartridges and other printer consumables. Operating worldwide. Easily learned, full training provided. Includes stock, plant, training and licence fee.

36 1650

N

Geoff Smith P 0-3-446 8600 M 0274 339 829 E geoff.smith@cartridgeworld.co.nz W cartridgeworld.co.nz

Cash Converters

8

Retail

$650,000

Looking for an exceptional return on your investment? We’re New Zealand’s favourite place to buy and sell, the world’s largest second-hand dealer and market leader in short term credit services. With more than 700 stores internationally you’ll be buying a tried and tested, well respected brand.

24 700+

Y

Colin Mahoney P 0-9-281 7327 E enquiries@cashconverters.co.nz W cashconverters.co.nz/own-a-franchise.aspx

Home & Commercial

$62,500

Specialist cleaning system designed for ceilings, walls and exterior house washing.

3 3

N

P 0-3-365 5111

Home & Building

$200,000

Landscape and garden supply yards providing bulk and bagged products. Pick-up and deliveries. Will 9 suit hands-on owner operators with a passion for excellent customer service who take pride in customer 9 satisfaction.

Y

Mike Armour P 0-9-273 5352 M 0274 506 639 E mike@centrallandscapes.co.nz W centrallandscapes.co.nz

City Cake Company

Food & Beverage

$300,000

Boutique bakery selling cakes and desserts. Franchisees must have business experience.

1 1

N

M 022 042 8824

Civic Video

Retail

$150,000

Home entertainment stores specialising in the rental and sale of DVDs and games.

56 300

N

P 0-9-523 6322

Cleancorp

Home & Commercial

$25,000

Cleancorp offers home cleaning and commercial cleaning franchises. Seeking committed people to 105 deliver great service. We source and acquire commercial cleaning contracts for our franchisees who are 105 provided with full training, ensuring the same professional standards are offered to all customers.

Y

Rose Dunn P 0-9-304 0599 M 021 507 293 E rose@cleancorp.co.nz W cleancorp.co.nz

Clean Planet

Business & Commercial

P.O.A.

Clean Planet, environmentally better for you and your customers. No selling, no invoicing, we do it for you. Well-established and growing strongly throughout regional New Zealand. Now looking for master licensees and franchisees. Work for yourself with the support of our proven processes and systems.

100 100

Y

Tony Pattison P 0-9-622 0828 M 021 244 1709 E tony.pattison@cleanplanet.co.nz W cleanplanet.co.nz

Cleantastic Commercial Cleaning

Business & Commercial

$13,800

A business of your own with a guaranteed income and lifestyle opportunities.

280 1000

Y

P 0-6-843 3320

Club Physical

Health & Fitness

$200,000

Club Physical is a health club. Our vision is to become New Zealand’s first choice in wellness.

14 14

N

P 0-9-417 0071

Cobb & Co

Food & Beverage

$200,000

The iconic kiwi family restaurant operating successfully throughout New Zealand since 1970.

8 8

N

M 0204 1007 007

Coffee Culture

Food & Beverage

$350,000+

Creating luxurious environments for our guests to enjoy the finest espresso coffee since 1996.

14 17

Y

P 0-3-377 2605

Ceiling Master Central Landscape & Garden Supplies

35

Search the Westpac Directory of Franchising at www.franchise.co.nz

EDIT_DIR_2404.indd 2

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FANZ

description

number in NZ and globally

industry

investment from

company

page number

C-F franchise and business opportunities get more information

ColorGlo International

Auto Services $47,000

Colour restoration and repair of leather, vinyl, plastic, cloth, carpet.

4 315

N

P 0-9-524 6214

Colourplus

Retail

$200,000+

A wonderful opportunity for someone with a passion for decorating and design.

29 29

Y

P 0-9-818 9215

Food & Beverage

$250,000$350,000

NZ’s premium café franchise. A highly recognised and trusted brand offering customers exceptional coffee and chef-prepared food. Awarded both Supreme Franchisee of the Year and Food & Beverage Franchise System of the Year 2015/16. Suit owners with passion for coffee, food and the value of customer relationships.

58 58

Y

Peter Webster P 0-9-520 1044 M 021 883 852 E peter@columbuscoffee.co.nz W columbuscoffee.co.nz

Complete First Aid Supplies

Business & Commercial

$55,000

Market leader in supply of first aid kits to businesses. Seeking self-motivated people.

4 4

Y

P 0-9-827 7726

Computer Troubleshooters

Computer

$27,500

Offering the small to medium and SOHO business sector a full range of ICT services. CT are a global franchise group established in 1997, operating in 25 countries. National brand, full training and support. Ideal for those with a corporate background and management skills.

15 300+

N

Dennis Jones P 0800 728 768 M 0274 922 911 E dennis@cts.net.nz W technology-solved.co.nz

Contours

Health & Fitness

$95,000

Contours is a nationwide chain of health and fitness clubs exclusively for women.

10 10

Y

P 0-9-577 4223

Columbus Coffee

63

Food & Beverage

$75,000+

Distribution of snack products to retailers & other on-sellers.

43 43

N

P 0-3-349 6161

Cookright Kitchen Services

35

Food & Beverage

$70,000

Cookright, the kitchen hero, saving kitchens time and money. Deepfryer, overhead filter and hood cleaning. Cooking oil filtering. Oil and kitchen consumables product sales. Cookright has significant income potential with minimal competition for motivated, hard-working, practical operators who can sell and are well organised.

31 31

Y

Robyn Broughton P 0800 804 104 E headoffice@cookright.co.nz W cookright.co.nz

Coolertech

26

Business & Commercial

$68,000

Ideal Master Franchise opportunity, or run it as an independent operator business. Complete business New package ready for roll out. Refrigeration filter distribution – both commercial and domestic products. New Huge potential market and easily scale-able for growth. Extremely profitable recurring revenue business model.

N

Brendon Hosken M 021 222 4040 E brendon@coolertech.co.nz W coolertech.co.nz

Cooltime

Home & Building

$30,000

Air conditioning installation company. Preferred installer for NZ’s leading electrical retailer.

7 7

Y

M 0275 973 737

Coresteel Buildings

Home & Building

$75,000

Specialises in the design and construction of rural, commercial and industrial buildings.

22 22

N

P 0-9-438 1562

Corporate Cabs

Business & Commercial

$35,000+

Founded more than 25 years ago, Corporate Cabs is New Zealand’s premier national cab operator, with 400 a 400 strong fleet in Auckland, Wellington, Christchurch, Queenstown and Dunedin. The strength of our 400 respected brand is in the professionalism and dedication of our owner operators.

N

Jeff Coyle P 0-9-632 0602 M 0274 570 986 E jeff@corporatecabs.co.nz W corporatecabs.co.nz

Business & Commercial

$10,000

Full service franchise, all contracts provided. Guaranteed income paid twice monthly. CrestClean prepares GST returns, accounts and tax returns. NZQA training programme provides career pathway. Operating since 1996. Franchises operating nationwide. Master franchises are also available.

507 507

Y

Grant McLauchlan P 0800 273 780 E info@crestclean.co.nz W crest.co.nz

Crewcut

Home Services

$8,800+ equip

Quality home service franchise providing property maintenance requirements to the domestic market.

260 260

Y

P 0-9-481 0004

Crust Gourmet Pizza

Food & Beverage

$300,000

Crust Gourmet Pizza is ideally suited to today’s fast-paced lifestyle, providing excellence in service and high-quality product to customers. Seeking business-minded people with financial management experience, committed, willing to take advice and direction to achieve results. Need to be entrepreneurial with an appetite for success.

2 134

N

David Bernard P 0800 894 199 M 021 331 243 E david.bernard@rfg.com.au W crustpizza.co.nz

Cutshop

Home & Building

$800,000

Cutting, edging and drilling of sheet materials. Cut to any shape or size. With increased demand and a 1 proven business concept we are seeking for experienced individuals prepared to employ and manage a 1 production and marketing team to achieve above average return on investment.

Y

André Hofer P 0-9-527 2856 M 021 879 413 E franchise@cutshop.com W cutshop.com

Home Services

$49,950+

Professional home service franchise offering specialised restoration services to homeowners for decks, fences, garden furniture, garage doors and more. Oil, stain and paint restoration specialists. Franchises available nationwide. Full training and equipment included. Download a free info pack at www.deckandfencepro.co.nz

28 28

Y

Joe Hesmondhalgh P 0-7-552 5311 M 0274 108 940 E joe.h@theprogroup.co.nz W deckandfencepro.co.nz

$250,000

Specialist quick service pizza franchise opportunity. You must have passion, commitment and a drive to succeed. Strong leadership skills, good people and administration skills, plus an entrepreneurial flair required. Have fun and work in a young, energetic and vibrant organisation.

85 1404

N

P 0508 437 262 E info@dominosfranchise.com.au W dominosfranchise.co.nz

Food & Beverage

$250,000$330,000

Donut King is a speciality donut and coffee chain which has been growing steadily in Australia since 1981. Now available in NZ. Full training and support given. Seeking self-motivated, energetic, positive people with good communication skills. Estimated turnkey price, depending on size and location.

3 350

N

Craig Watson P 0061 4 1836 0392 E watsoncraig@me.com W donutking.com.au

Home & Building

$75,000+

Design, manufacture and supply of made-to-measure kitchens, bathrooms and bedrooms for retail and trade customers. Seeking hard-working, sales-driven, computer literate go-getters who are willing to follow a proven dynamic international business model.

10 75

Y

Derek Lilly P 0-3-443 5133 M 027 213 5133 E del@dreamdoors.co.nz W dreamdoors.co.nz

Home Services

$26,000

Driving Miss Daisy is New Zealand’s number one reliable companion driving service.

58 65

Y

P 0800 948 432

Home & Commercial

$30,000

A product sales-based business selling automatic insect control, odour control and fragrancing systems. 18 Selling to both commercial and residential customers. Suitable for husband/wife teams or individuals 30 with sales or business experience. A franchise opportunity with room for independent thinking.

Y

Craig Cameron M 0275 656 418 E craig.cameron@ecomist.co.nz W ecomistsystems.co.nz

Business & Commercial

$95,000

World’s largest embroidery, screen printing and promotional products franchise. No experience required 8 but good communication skills essential. 350

Y

P 0-9-577 4223

Food & Beverage

$350,000$450,000

Esquires has a bold new look that sets us apart, and an expanded menu to get more value out of every sale and whole new level of support for our franchisees. We can bring your café dream to life.

42 100+

N

David Bernard P 0800 894 199 M 021 331 243 E david.bernard@rfg.com.au W esquirescoffee.co.nz

Exceed Franchising

Home & Building

$60,000

Exceed specialise in fixing windows and doors, enhancing and extending the life of joinery.

21 21

Y

P 0800 25 27 36

Expense Reduction Analysts

Business & Commercial

$79,500

World leading cost management group represented in 32 countries. We help clients reduce overhead expenses. Contingency based - no savings - no fees - no risk. Seeking experienced business people who want to capitalise on their experience. Earn what you’re worth, not what someone else wants to pay you.

26 700+

N

Denis Stevens P 0-4-566 6615 M 0274 487 089 E dstevens@expensereduction.com W expensereduction.com

Cookie Time

CrestClean

2

Deck & Fence Pro

15

Domino’s Pizza

82, Food & 83 Beverage

Donut King

Dream Doors

20

Driving Miss Daisy New Zealand Ecomist

45

EmbroidMe Esquires

51

Express Business Group

68

Home Services

$5,950+

Join one of the fastest growing businesses in New Zealand. Don’t pay anywhere from $20,000 to 15+ $85,000+ gst when from just $5,950+gst you can own your own home services franchise which includes 2500 all initial equipment, training and great back-up and support.

N

P 0800 397 737 E info@expressbusinessgroup.co.nz W expressbusinessgroup.co.nz

Fastway Couriers

67

Business & Commercial

$20,000+

Fastway Couriers is an award-winning franchise system that provides local and national courier services at competitive prices and a simple prepaid system. One of New Zealand’s most successful franchisors with 1,600+ franchisees across 5 countries and 40+ franchise and industry awards.

275 1600

Y

P 0-6-833 6333 E recruitment@fastway.co.nz W fastway.co.nz

Fifo Capital

Financial Services

$39,500+

Invoice discounting and factoring services designed to assist clients’ cash flow needs.

12 16

Y

P 0-9-447 1999

Fix It Building Services

Home & Building

$5,000+

New Zealand’s only nationwide trade-based building repair and renovation franchise.

11 11

Y

P 0-9-566 0297

Flip Out New Zealand

Leisure & Education

$500,000

Flip Out is one of the world’s largest and most successful trampoline arenas. The thriving international business is now heading to New Zealand. We are seeking active individuals to join the hugely successful franchise and enjoy the benefits of a proven and effective business model.

New 30

Y

Adam Hetherington M 0417 422 897 E franchise@flipout.co.nz W flipout.co.nz

FMK Keratin Hair Straightening Salon

Health & Beauty

$120,000$150,000

Offering you a fantastic opportunity to own your own FMK salon.

New New

N

M 021 933 322

Footloose

Retail

$160,000

New Zealand’s largest franchised ladies fashion footwear group. Ideal for motivated owner-operator.

22 22

N

P 0-9-298 5228

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Freedom Companion Driving Services

36

FANZ

description

number in NZ and globally

industry

investment from

company

page number

franchise and business opportunities F-J get more information

Home Services

$19,900

Freedom Companion Driving Services provide a highly personalised companion driving service for those who can’t drive themselves. Based on award-winning systems with great ongoing support. Seeking caring individuals wanting a great lifestyle business helping people in their community.

12 12

Y

Richard Bright P 0800 956 956 E franchises@freedomdrivers.co.nz W freedomdrivers.co.nz

fridgefreezericebox

Retail

$150,000

Affordable on-trend street-wear in cool, individual, retail outlets. Benefit from our buying power.

2 2

N

P 0-3-348 4768

Fritz’s Wieners

Food & Beverage

$75,000

Fritz’s Wieners offer award-winning German bratwurst sausages with a variety of condiments.

16 17

N

P 0800 437 489

Frontrunner

Retail

$160,000$250,000

Well-established retailer of technical sports and athletic footwear, clothing and accessories.

9 9

N

P 0-3-348 4768

Generation Homes

Home & Building

P.O.A.

We build houses for clients all over New Zealand for a fixed price and on a time guarantee.

14 14

N

M 0274 908 399

Giggle TV

Business & Commercial

$175,000$350,000

New Zealand’s largest digital signage network which uses a unique formula to entertain viewers and promote small business. Seeking forward-thinking, self-driven, focused people with pizzazz who want a business with lifestyle and repetitive income.

12 12

N

Jazz Kiihfuss P 0-6-355 3480 M 027 603 9991 E info@giggletv.co.nz W giggletvfranchise.co.nz

Gloria Jean’s Coffees

Food & Beverage

$300,000

Gourmet speciality coffee franchise. Seeking people passionate about coffee.

25 925

N

P 0-9-520 6477

Golden Nuts

Food & Beverage

$70,000 $100,000

“The best nut roasting retail kiosk in the world” state-of-the-art design kiosk.

6 6

N

P 0-9-622 0333

GrassPro

15

Home & Building

$19,950

GrassPro are lawn care and artificial grass specialists. Seeking franchisees for all areas of NZ. Customers ready and waiting. Full training, tools, uniforms included and financing options available for the right person.

5 5

Y

Joe Hesmondhalgh P 0-7-552 5311 M 0274 108 940 E joe.h@theprogroup.co.nz W grasspro.co.nz

Green Acres Franchise Group

24

Home Services

$24,000

Green Acres, the largest and most successful home services group in New Zealand, started in 1991 and is still growing. Franchises available: home cleaning, commercial cleaning, lawn & garden care, car valet, pool valet or home maintenance services with Hire a Hubby, our sister company.

550 550

Y

Mitchell Cooper P 0800 692 643 E mitchell@greenacres.co.nz W joingreenacres.co.nz

Grime Off Now

84

Home Services

$40,000 $50,000

Grime Off now provide residential and commercial washing and insect control This unique opportunity will enable you to start a business with minimal overheads and quickly grow to build an established business. Easy to use software and support. One of the best value NZ franchises.

2 2

N

Ryan Hamilton M 027 278 8813 E ryan@grimeoff.co.nz W grimeoff.co.nz

GroutPro

15

Home & Building

$49,950+

GroutPro are a multi award-winning franchise. Earn $2,000+ per week in one of the hottest sectors in the home improvement industry today. This is your chance to join an established, and very successful, industry-leading franchise group.

42 75

Y

Joe Hesmondhalgh P 0-7-552 5311 M 0274 108 940 E joe.h@theprogroup.co.nz W deckandfencepro.co.nz

Retail

$250,000$300,000

Decorating specialists retailing paint, wallpaper, accessories, floor coverings, custom-made curtains, and blinds.

44 44

Y

P 0-9-306 1040

Food & Beverage

$180,000$200,000

New Zealand’s freshest food fix – salads, sandwiches, wraps and smoothies. Seeking outgoing people who take pride in what they do and can relate to customers. Hospitality experience not required, extensive training provided.

15 15

N

Tim Benest P 0-9-378 4158 M 021 755 947 E tim@habitualfix.co.nz W habitualfix.co.nz

Hardy’s Health Stores

Health & Beauty

$300,000

New Zealand’s premium group of retail natural health stores.

31 31

Y

P 0-7-838 3274

Harrisons Carpet One

Home & Building

$80,000

Earn a high income and build an extremely saleable business of significant value.

50 1800

Y

M 021 283 8040

Harrisons Curtains & Blinds

Home & Building

$60,000

Own your own interior design business. Fully supported franchise opportunity available from Harrisons Curtains & Blinds. We are now looking for individuals with a natural sense of flair and style who are considering owning their own business, backed by an iconic Kiwi owned brand.

3 3

Y

Dan Harrison P 0800 102 004 E enquire@hah.co.nz W harrisonscurtains.co.nz

Harvey World Travel

Retail

$100,000

High profile award-winning retail travel agency.

54 350+

N

P 0-9-307 1860

Home Services

$13,000

Specialist heat pump cleaning and sanitising system. No experience required, full training and support provided. Offered for a limited time at a discounted price, including a $6,000 start-up kit. If you want value for money this is it.

2 2

N

Peter Wyatt P 0-3-377 5441 E info@hshp.co.nz W hshp.co.nz

Healthy Air

Home Services

$30,000+

Healthy Air is the recognised leader in the heat pump service, cleaning and sanitising industry.

New New

N

P 0-3-352 6986

Hell

Food & Beverage

$200,000

A brand with attitude that cannot be missed. Our damned fine gourmet menu, coupled with sophisticated systems and support, make this a wicked opportunity. Hell is looking for new franchisees with a passion for our brand and a willingness to learn. Opportunities available nationwide.

64 70

N

Ben Cumming M 027 364 2431 E franchise@hell.co.nz W hellpizza.co.nz

Guthrie Bowron Habitual Fix

Health Smart Heat Pumps

69

72

Highmark Homes

41

Home & Building

$75,000

We are looking for licensed qualified builders who are ready to take their business to the next level. Establishing a Highmark Homes in your local area provides you with access to our proven systems, central office business support and our team of designers and quantity surveyors.

6 6

N

Ryan Hunt P 0-7-574 1956 E ryan@highmarkhomes.co.nz W highmarkhomes.co.nz

Hire-A-Hubby

66

Home & Building

$32,000

New Zealand’s first choice for professional home maintenance, building and renovation services. Hire-A-Hubby has the distinct advantage of being the only franchise that offers a complete home maintenance and building service that’s professional and totally customer focused.

60 60

Y

Mitchell Cooper P 0-9-845 2640 E mitchell@hireahubby.co.nz W joinhireahubby.co.nz

Hog’s Breath Café

Food & Beverage

$750,000

Opportunity to own and operate a licensed family restaurant with a very successful brand.

2 82

Y

P 0800 HOGSTER

HRV Ventilation

Home & Building

$350,000

Become part of the change at HRV. Certified HRV ventilation franchise opportunities available.

20 23

N

P 0800 HRV 123

Humitech

Business & Commercial

$90,825

Simple, effective panels to reduce commercial chilling costs and improve performance.

12 12

N

P 0800 486 434

Food & Beverage

$180,000

Illy EspressoBar

Illy EspressoBar is the latest in exciting café opportunities. Full training provided.

2 2

N

M 021 707 758

Auto Services $150,000

Simple and easy - you find the customer, the system finds the car and we manage the car to your customer’s door. It’s a proven model and now increased customer demand means we are looking for franchisee candidates to help take our business nationwide.

1 1

N

John Murphy P 0-3-528 1003 E info@jmassociates.co.nz W import4less.co.nz

Insultech Group

Home & Building

$80,000 $125,000

Supply, install & advise on full range of insulation materials for new & existing properties.

5 5

N

P 0-9-263 9770

InXpress

Business & Commercial

$49,990

Global courier and freight sales consulting franchise. As an authorised global sales partner for DHL we offer competitive rates to SME markets for international and domestic freight. Start building your future with the right company and business model: Contact us now for more information.

200 2

N

Graeme Rees P 0-3-322 5634 M 021 364 616 E Info.nz@inxpress.com W inxpress.com/nz/

Issimo

Retail

$150,000

Issimo is the fashion shoe franchise where exclusive doesn’t mean expensive. A destination store.

2 2

N

P 0-3-348 4768

Jamaica Blue

Food & Beverage

$370,000

Grow from strength to strength with your very own Jamaica Blue franchise.

6 134

Y

P 0-9-377 1901

Import4Less – Car Import Lounge

43

Getting started? If you’re just starting in franchising, talk to someone who isn’t. Westpac New Zealand Limited

Search the Westpac Directory of Franchising at www.franchise.co.nz

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FANZ

description

number in NZ and globally

industry

investment from

company

page number

J-M franchise and business opportunities get more information

Jani-King

Business & Commercial

$22,200+

World’s number one commercial cleaning franchise company. Full support for franchisees.

300 13K+

Y

P 0-9-441 9996

Jellybeans Music

Leisure & Education

$25,000

Jellybeans Music provides curriculum based music programmes for schools.

New 30+

Y

P 0800 754 372

Jesters Pies

Food & Beverage

$220,000

Award-winning gourmet pie franchise. Easy business model to operate.

18 50+

Y

P 0-9-442 4680

Jim’s Mowing

Home Services

$15,000

Jim’s are the largest lawnmowing franchise in the world. Master franchises available all services.

282 2015

Y

P 0-9-522 2265

Jim’s Test & Tag

Business & Commercial

$75,000+ vehicle

NZ’s number one choice for mobile electrical testing and tagging of in-service equipment.

20+ 120+

Y

P 0800 454 654

Jim’s Trees & Stump Removal

Home Services

$55,000+

Progressive and professional services – pruning, removal and climbing. Highest standards of training.

3 40

N

P 0-6-843 2848

Jumping Beans International

Leisure & Education

$40,000 $45,000

Leading edge, fun physical skills programme for children 0 to 6.

6 7

N

P 0-9-475 9204

Just Cabins

Home & Building

$185,000

Just Cabins provides portable cabins for rent which are just perfect as sleepouts, extra room, portable office, or as storage at your home or business. Long-term cabin rentals provide a passive income, excellent growth and are easily run by one person part-time.

46 46

Y

Fenton Peterken M 021 716 776 E fenton@justcabins.co.nz W justcabins.co.nz

Just Cuts

Health & Beauty

$100,000$200,000

Just Cuts franchise. You don’t need to be a hairdresser to join.

24 174

N

M 027 277 7071

Leisure & Education

$25,000

Giving kids a sporting chance. In-school curriculum, after school academy programmes, school sports days. Education outside of the classroom. Before and after-school care holiday programmes. We are looking for people who have a passion for kids and sport.

33 65

N

Paul Jamieson P 0-9-427 9377 M 021 409 241 E paul@kellysports.co.nz W kellysports.co.nz

Kinetic Electrical

Home & Building

P.O.A.

Electricians, electrical contractors – become more successful as part of the Kinetic team.

9 9

Y

M 0274 852 010

Kitchen Studio

Home & Building

$150,000+

Kitchen Studio is New Zealand’s best-known kitchen design and installation specialist.

16 16

Y

P 0-9-815 3000

KiwiHost

Business & Commercial

$50,000

Turn your B2B sales skills into profit with an iconic brand.

18 18

N

P 0-3-343 5007

Kiwikrane

Leisure

$50,000+

Kiwikrane is a national franchise. Franchisees own and operate amusement machine routes.

51 163

Y

M 021 410 009

KiwiYo

Food & Beverage

$150,000$600,000

Self-serve frozen yoghurt business. Fastest-growing international hospitality sector.

3 5

N

M 021 339 644

Kwik Kerb

Home & Building

P.O.A.

Market leaders in domestic and commercial continuous concrete kerbing.

42 800

N

P 0800 865 945

Landmark Homes

Home & Building

$50,000

A growing building franchise with a well-established brand offering stylish designs.

10 10

Y

P 0-7-578 2295

Laser Electrical

Home & Building

$30,000+

Multi award winning Laser Group assists electrical contracting companies become more successful.

56 131

Y

P 0-9-820 3800

Laser Plumbing

Home & Building

$30,000+

Multi award winning Laser Group assists plumbing contracting companies become more successful.

36 69

Y

P 0-9-820 3800

Latitude Homes

Home & Building

$50,000$150,000

A business opportunity that puts you in control of your future with proven financial rewards.

7 7

N

P 0-9-238 7661

LawnFix

Home Services

$85,000

Lawn care – everything except mowing them. We are the qualified pros.

2 2

N

P 0-7-548 0008

Leadership Management

Business & Commercial

$75,000

LMA licensees deliver a process that provides skill and competency development.

6 44+

N

P 0800 333 270

Lifetime Distributors

Business & Commercial

$20,000

Display marketing company that delivers the convenience of shopping in the workplace.

23 150+

N

P 0-9-574 6695

Lime Juice Bar

Food & Beverage

$25,000

Mobile juice and smoothie bar. Easy to operate business in healthy food sector.

1 1

Y

M 027 222 7487

Liquorland

Retail

$250,000+

Specialist retailer of liquor and associated products. A member of Fly Buys nationally.

85 85

N

P 0-9-621 0357

Little Dribblers

Leisure & Education

$12,500

An easily run part- or full-time business. Kids football for ages 1 – 7 years.

7 7

N

P 0-4-586 6006

Little Kickers

Leisure & Education

$8,000+

Fun football (soccer) training for children aged 18 months – 7 years.

4 120+

N

P 0-9-815 8607

LJS Seafood Restaurants

Food & Beverage

$190,000$230,000

The largest NZ fast-food chain of fish and chips and associated seafood stores.

13 13

Y

P 0-9-530 8090

Lollipop’s Playland & Café

Leisure

$400,000$450,000

New Zealand’s most progressive childrens’ indoor playland. Offering unlimited parent supervised play.

3 30

Y

P 0061 3 9579 7493

Lone Star

Food & Beverage

$600,000+

Lone Star is New Zealand’s largest restaurant & bar concept.

26 26

N

P 0-3-374 3208

Loven

Home Services

$25,000

Eco-friendly oven, BBQ and range hood cleaning. No experience necessary. Full training and ongoing support.

3 3

N

P 0-9-294 9319

Mad Butcher

Food & Beverage

$350,000$450,000

One of New Zealand’s best-known home grown franchises, trading since 1971.

36 38

N

P 0-9-531 5910

MathZwise

Leisure & Education

$32,000+

Quality maths tutoring programme following NZ maths curriculum. Suits people with teaching background.

8 8

Y

Kathy Redwood P 0800 120 965 E kathy@mathzwise.co.nz W mathzwise.co.nz

McDonald’s

Food & Beverage

$750,000+

The world’s market leader in the quick service restaurant industry.

165 31000

N

P 0-9-539 4300

Meticulous Home Services

Home Services

$13,000

New Zealand’s premier home services franchise offering a range of professional services.

35 35

Y

P 0-9-442 2004

Food & Beverage

$375,000+

Mexicali Fresh has led the Mexican evolution in NZ since 2005. With giant American-style burritos and Mexican beer in a colourful, casual atmosphere. We are recruiting energetic, enthusiastic franchisees with a passion for great food and excellent customer service for our turnkey restaurants.

13 13

Y

Cindy Buell P 0800 EAT MEX M 021 750 070 E info@mexicalifresh.co.nz W mexicalifresh.co.nz

Kelly Sports

Mexicali Fresh

13

11

Midas Car Care

Auto Services P.O.A.

New Zealand’s premier specialist automotive servicing franchise.

26 3000

N

P 0-9-415 0234

Mike Pero Mortgages

Financial Services

$20,000

Leading mortgage broking brand committed to future growth.

42 42

Y

P 0800 500 123

Mini Tankers

Business & Commercial

$75,000 $150,000

On-site diesel refuelling service.

19 124

Y

P 0-9-622 2671

Mobile Car Valet

80

Auto Services $25,000

Mobile car valet at your place or ours covering all your valet needs. Very high potential income, very low 2 overheads perfectly suited for two people working together. Enjoy a great lifestyle with financial freedom 2 and flexible hours.

N

M 0274 973 955 E info@mobilecarvalet.co.nz W mobilecarvalet.co.nz

Mobile Hand Car & Marine Grooming

Auto Services $10,000 $39,000

Mobile grooming and detailing service providing professional, environmentally friendly valet services.

17 17

N

P 0800 803 737

Mr Fencer

Home & Building

$80,000

Award-winning franchise system. Strong branding. Excellent buying privileges. Loads of forward work.

3 3

N

P 0800 673 362

Mr Green Auckland

Home Services

$20,000+

Mr Green Auckland Commercial Cleaning has new franchise opportunities in the Auckland area. We’re looking for hard working professional people and in return we offer a minimum guaranteed weekly income of $1,000 incl GST, full training, and business support. Call now for more information.

22 22

N

P 0-9-414 6949 M 021 223 3236 E admin@mrgreenauckland.co.nz W mrgreenauckland.co.nz

90 EDIT_DIR_2404.indd 5

Westpac Directory of Franchising and Advertiser Index Franchise New Zealand Summer 2015/16 Year 24 Issue 04

3/12/15 7:55 PM


FANZ

description

number in NZ and globally

industry

investment from

company

page number

franchise and business opportunities M-P get more information

Mr Plumber

Home & Building

$35,000

Franchise system designed to deliver quality plumbing, roofing, drainlaying and gasfitting services.

10 10

N

P 0800 677 586

Mr Rental

Home & Building

$600,000+

Mr Rental can train passionate, enthusiastic, people with the drive to be successful.

17 89

Y

P 0-9-950 4145

Home & Building

$28,000

Mr Sandless, the world’s number 1 floor re-finisher, offer new franchisees with excellent people skills and communication full training, fixed royalties and great margins. Plus exclusive offer - get Dr DecknFence franchise free when you purchase a Mr Sandless territory. T&Cs apply.

2 300+

N

Lianne Walker P 0800 744 693 M 027 652 8908 E nz@mrsandless.co.nz W mrsandlessfranchise.co.nz

Food & Beverage

$120,000

One of New Zealand’s oldest and established franchises is seeking new franchisees.

50 50

N

P 021 333 333

$49,000

New Zealand’s first mobile sushi franchise. Mr Woo is your chance to get ahead and control your lifestyle. Full training and support, low overheads, great margins. Franchises available throughout the upper North Island. Finance available.

2 2

N

Adam Parore M 021 781 250 E adam@sba.co.nz W mrwoosushi.co.nz

Mr Sandless NZ

23

Mr Whippy Mr Woo Sushi

40, Food & 81 Beverage

Muffin Break

Food & Beverage

$340,000

Proven systems, our world class training and commitment to field support.

39 284

Y

P 0-9-377 1901

Muzz Buzz

Food & Beverage

$270,000

Drive thru-outlet serving quick, convenient, sensational coffee. We have a proven business model.

2 56

N

P 0-9-359 9068

Navigation Homes

Home & Building

$75,000 $175,000

Navigation Homes are offering an opportunity to own and drive a profitable house building franchise.

12 12

N

P 0-9-298 5972

New York Deli

Food & Beverage

$250,000

New York Deli is a themed sandwich bar that uses wholesome ingredients.

2 2

N

M 021 707 758

New Zealand Home Loans

Financial Services

P.O.A.

Seeking confident self-starters with financial services expertise and excellent communication skills.

80 80

N

P 0-7-839 0998

New Zealand Letting Agents

Business & Commercial

$12,500

Property management services with full training and support for your business success.

6 6

N

P 0800 103 203

New Zealand Natural Ice Cream

Food & Beverage

$250,000

International ice cream parlour brand operating in 20 countries.

13 500+

Y

P 0-9-274 6168

Night ’n Day Foodstores

Retail

$300,000+

Night ‘n Day are the NZ grocery store market leaders. Seeking energetic operators.

45 45

Y

P 0-3-471 7660

Auto Services P.O.A.

The Novus auto glass opportunity offers a proven business model with a nationally recognised brand. Seeking expressions of interest from existing auto glass companies as well as individuals wishing to purchase an existing Novus location. Highest quality products. Full training and ongoing support.

58 2100

N

Mike James P 0-3-366 0870 M 021 228 7395 E opportunities@novus.co.nz W novus.co.nz

NumberWorks’n Words

Education

$62,000

Specialist maths and English tuition company, boosting confidence and academic results.

27 70

Y

P 0-9-522 0800

NZ Floor Sanding Co

Home & Building

$95,000 inc. vehicle

Specialists in sanding and coating of timber floors. Supply and lay new timber floors.

7 7

N

P 0800 272 888

Home & Building

$19,900

Reputable and trusted house inspection business providing quality pre-purchase surveys including multiple income streams from other revenue sources such as drug testing and safe and sanitary reports. Strong branding with nationwide opportunities. Best suited to building industry applicants including designers and carpenters.

1 1

N

Jeff Twigge P 0-6-353 5990 M 027 222 4328 E inspector@nzhousesurveys.co.nz W nzhousesurveys.co.nz/franchise

Office Products Depot

Business & Commercial

P.O.A.

NZ’s leading independent business-to-business supplier of stationery supplies since 1989.

39 74

N

P 0-9-915 4544

Oil Changers

Auto Services $150,000$250,000

Oil Changers provide the convenience of drive-through vehicle servicing. No previous experience required.

11 29

N

P 0-3-343 6080

Oporto New Zealand

Food & Beverage

$350,000

Oporto chicken and burgers are big on taste and even bigger on value. With 20+ years in Australia and close to 15 years in New Zealand we have a proven franchise model. Seeking committed, energetic, entrepreneurs wanting to establish a long-term business with a strong brand.

11 160

Y

Lawrence Pereira P 0800 238 439 E Franchising@oporto.co.nz W oporto.co.nz

Retail

$210,000

Pack & Send move and handle freight through a network of retail stores with a professional custom packaging service. A one-stop shop for customers. We are looking to grant franchises to those who are prepared to embrace our ‘no limits’ culture.

13 120

Y

Matthew Everest P 0-3-982 7252 M 021 799 783 E matthew.everest@packsend.co.nz W packsend.co.nz

Food & Beverage

$500,000

Paleo Café is looking for a passionate partner to bring Paleo Café to New Zealand.

New 16

N

P 0061 7 4225 5388

Novus

NZ House Surveys

Pack & Send New Zealand

76

42

79

Paleo Café Palmers

78

Retail

$350,000

New Zealand’s largest garden centre chain established in 1958. Offering both metropolitan and provincial opportunities. Serious business opportunity for motivated and capable business person/s. Growth market.

18 18

N

Murray Belcher P 0-9-451 9102 M 021 483 500 E murray.belcher@ufsltd.co.nz W palmers.co.nz

Palmers Planet

78

Retail

$1m

Like the truly successful garden centres of Europe, Palmers Planet is as much a destination as a retail store. This is an amazing opportunity for a business person looking for a new challenge.

2 2

N

Murray Belcher P 0-9-451 9102 M 021 483 500 E murray.belcher@ufsltd.co.nz W palmers.co.nz

Paper Plus

Retail

$400,000

The Paper Plus Group is New Zealand’s largest franchised book and stationery retailer.

100 100

Y

P 0-9-261 0871

Para Rubber

Retail

$150,000$250,000

Iconic New Zealand retailer dominating the market in sales of foam, foam mattresses, rubber, including mats, and the iconic Para pools. Looking for energetic people serious about customer service and looking to build a successful business through determination.

9 9

Y

Vaughan Moss P 0-9-532 8794 M 021 921 976 E vmoss@pararubber.co.nz W pararubber.co.nz

Business & Commercial

$30,000

General commercial cleaning plus specialised franchises: car park scrubbing, carpet cleaning, 140+ decontamination, office equipment sanitising, pest control, window cleaning. Established in 1979, 140+ Paramount Services has 140 franchisees servicing 1,240 clients including 320 bank branches, retailers, shopping centres, ports, cinemas, rest-homes, student hostels and schools.

Y

Paul Brown / Bill Wu P 0-9-376 7850 M 027 543 0233 E pbrown@paraserv.co.nz W service-is-paramount.co.nz

Pegasus Rental Cars

Leisure Transport

P.O.A.

Pegasus Rental Cars offers the best value for money car hire in New Zealand.

24 24

N

P 0-9-378 7940

Pit Stop

Auto Services $100,000+

New Zealand’s leading automotive repair franchise. Specialising in vehicle servicing, brakes, exhaust, suspension and tyres.

49 49

Y

P 0-9-634 3666

Food & Beverage

$300,000$500,000

If you thought you missed the sub-sandwich boat, the international challenger is now here. One of the 75 fastest growing QSR brands and back-to-back Deloitte Fast 50 finalists is keen to expand into provincial 534 NZ. Move now before the remaining locations are taken.

N

Tania Dalton M 021 669 290 E tania@pitapit.co.nz W pitapit.co.nz

Pizza Hut

Food & Beverage

P.O.A.

Established pizza chain with occasional resale opportunities available.

84 1000+

N

P 0-9-525 8700

Plumb’In

Home & Building

$215,000$260,000

Plumb’In is the largest bathroom specialist bulk retail franchise in New Zealand.

6 6

Y

P 0-9-448 0280

Poolwerx Corporation

Home Services

$88,800+

Pool and spa maintenance. A strong business model available to the NZ franchise market.

2 250+

Y

P 0800 888 031

PostShop Kiwibank

Retail

P.O.A.

One of NZ’s largest retail networks. We offer our communities a wide range of postal and financial services for personal and business needs.

300+

Y

Kayleen Smith P 0-9-336 8284 E kayleen.smith@nzpost.co.nz W nzpost.co.nz

Paramount Services

Pita Pit

62

25

Experienced hand? We’ve had franchise specialists longer than most NZ franchisees have been in business. Westpac New Zealand Limited

Search the Westpac Directory of Franchising at www.franchise.co.nz

EDIT_DIR_2404.indd 6

91 3/12/15 7:55 PM


Prep & Paint Pro

15

FANZ

description

number in NZ and globally

industry

investment from

company

page number

P-S franchise and business opportunities get more information

Home & Building

$39,950+

Prep and Paint Pro is a division of The Pro Group, New Zealand’s preferred specialist home service franchise group. We are looking for motivated customer-focused people to join our rapidly expanding team. Download your free info pack at www.prepandpaintpro.co.nz. Franchises available nationwide.

5 5

Y

Joe Hesmondhaigh P 0-7-552 5311 M 027 4108 940 E Joe.h@theprogroup.co.nz W prepandpaintpro.co.nz

Printing.com

Business & Commercial

$100,000

At printing.com everything we do we believe in challenging the status quo. We believe in thinking differently. If you’re the kind of person who wants to take control of your future, we have an opportunity for you.

40 300

Y

Adam Still P 0-4-232-7653 M 021 430 417 E myfranchise@printing.com W joinprinting.com

Property InDepth

Home & Building

$45,000

Residential valuation franchise, customised technology, fantastic business systems, awesome team, nationwide aspirations.

10 10

N

M 021 477 673

Propertyscouts Property Management

Business & Commercial

$22,000

Become part of the nationwide Propertyscouts property management team. This opportunity provides great returns in a growing industry, combined with unparalleled business support including onsite training, a comprehensive operations manual and ongoing coaching. Enjoy a flexible lifestyle working for yourself but not by yourself.

5 5

N

Jessica Down P 0-3-477 9228 M 027 222 7209 E info@propertyscouts.co.nz W propertyscouts.co.nz

Provender NZ

Food & Beverage

$125,000$240,000

Provides snacks and drinks directly to the workplace. Earn a great hourly rate.

80+ 80+

N

P 0800 661 663

Provista Balustrade Systems

Home & Building

$25,000

Provista Balustrade Systems are New Zealand’s leading independent balustrade and pool fencing specialist.

18 18

N

M 0275 961 264

Quest Serviced Apartments

Business & Commercial

$150,000$600,000

Serviced apartment accommodation facilities. Operating in New Zealand since 1997.

33 150

Y

P 0-9-366 9680

Business & Commercial

$140,000 +

NZ’s preferred national residential property management service since 1988.

27 27

Y

Wayne Verhoeven P 0-4-801 7880 E wayne@quinovic.com W quinovic.co.nz

Rack n Roll Ribs

Food & Beverage

$250,000

Easy operating systems, a proven menu and great future prospects. Exciting opportunity!

1 1

N

P 0-9-555 1492

Rainaway Spouting on the Spot

Home & Building

$45,000

Proven award-winning continuous spouting company selling to commercial and residential clients.

10 10

Y

P 0-9-265 2147

Home & Building

$20,000 $60,000

Triple filter system. Sales, installation & servicing. Suitable as add-on or stand-alone business.

3 3

N

P 0800 724 622

Home & Building

$45,000+

Hydroseeding erosion control roll-out turf. Niche industry. Self-motivated, interested in working outdoors? Great opportunities available throughout New Zealand. Full training. Ongoing support given.

5 5

Y

Peter Harvey M 021 365 296 E admin@rapidlawn.co.nz W rapidlawn.co.nz

Realsure The House Inspectors

Home & Building

$65,000

Respected, strongly branded business providing trusted property reports for buyers and sellers.

5 5

N

P 0508 732 578

realtyRETURNS The Property Improvers

Home & Building

$55,000+

Renovation agency specialising in arranging and managing residential renovation projects.

5 5

N

P 0-9-213 7993

Refresh Renovations

Home & Building

$150,000

New Zealand’s leading renovation business. Limited franchise opportunities. No building experience necessary.

35 35

Y

M 021 454 502

RE/MAX New Zealand

Other

$20,000

Global real estate network.

20 6500

N

P 0-9-309 8478

Rent a Dent

Rental Vehicles

$100,000

Rent a Dent are one of the largest rental vehicle networks in New Zealand.

24 25

N

P 0-7-574 1490

Rented.org.nz

Business & Commercial

$22,500

‘Any time, any place, 100% property management’ systemised property management licensed model. Exceptional support, work/life balance, variety of opportunities, comprehensive training. Sense of humour and solid work ethic required.

7 7

N

Hamish Turner P 0800 562 3733 M 027 569 9991 E info@rented.org.nz W rented.org.nz

Resin Weld

Auto Services $10,000

Resin Weld offers a range of services in auto glazing which include windscreen repair and replacement. 4 The franchise is 100% New Zealand owned supported by imported US technology under an exclusive 4 distributor agreement. Good financial rewards are on offer with training and marketing support.

N

Peter Callendar P 0800 858 888 M 021 533 761 E resinweld@vodafone.co.nz W resinweld.co.nz

Food & Beverage

$150,000 min equity

Robert Harris Coffee Roasters is New Zealand’s best-known and largest chain of retail café franchises. Proven success in cities and provincial centres nationwide. We look for team players with high standards in presentation who have customer service experience plus the ability to work with people.

45 45

Y

Rod De Lisle P 0800 426 333 M 0274 518 435 E rodd@robertharriscafe.co.nz W robertharriscafe.co.nz

Rodney Wayne

Health & Beauty

$100,000+

We invite you to join this iconic Kiwi brand.

51+ 51+

Y

P 0-9-358 4644

Room2rent

Home & Building

$200,000$250,000

Mobile cabin rental business which uses a unique chassis system to deliver and level cabins.

2 2

N

P 0508 222 464

Rugbytots NZ

Leisure & Education

$7,500

Seeking active and passionate people to run their own Rugbytots franchise, NZ’s first rugby-specific play programme for 2 – 7 year olds. Following the success in Auckland there is high demand for Rugbytots classes in areas across New Zealand. A fun and rewarding business opportunity.

1 50+

N

Annalie Marks M 021 878 335 E annalie@rugbytots.co.nz W rugbytots.co.nz

Saddlery Warehouse

Retail

$230,000$460,000

New Zealand’s leading equestrian retailer. Supplying all the items needed for horse and rider.

7 7

N

P 0-9-970 1058

SafeTSupplies

Business & Commercial

$120,000

Custom-fitted safety supplies retail outlet on wheels.

New New

N

P 0-9-525 2767

Seal A Fridge

Home Services

$30,000 $50,000

Seal-A-Fridge has been operating in Australia and New Zealand since 1988, and is the market leader in the replacement of commercial and domestic refrigeration seals. Refrigeration experience is not necessary, just a can-do attitude and a determination to build a successful business.

4 31

N

Craig Foxwell P 0061 4 0847 1950 E info@sealafridge.com.au W sealafridge.co.nz

Select Cleaning

Home Services

$13,300

Home cleaning services franchise offering cleaning and lawn mowing businesses. Award winning system.

70+ 70+

Y

P 0-9-278 4930

Shaky Isles Coffee Co

Food & Beverage

$150,000

Shaky Isles Coffee Co. is a versatile café brand seeking savvy multi-site licensees.

4 4

N

P 0-9-529 9177

Shed Boss

Home & Building

$95,000+

ShedBoss are suppliers of high quality steel frame buildings.

12 37

N

P 0-7-579 1525

Shingle Inn Café

Food & Beverage

$290,000 $450,000

Shingle Inn Café is a world-class café franchise now available in New Zealand.

New 40

N

P 0061 7 3399 3000

Shoe Clinic

Retail

$200,000$250,000

Shoe Clinic is NZ’s leading sports footwear retail store. Proven system.

12 12

N

P 0-4-499 4495

Food & Beverage

$120,000$280,000

Network of premium cafes specialising in gourmet coffee and freshly prepared food.

32 32

N

Murray Belcher P 0-9-444 4369 E murray.belcher@ufsltd.co.nz W sierracoffee.co.nz

Signature Homes

Home & Building

$500,000

New Zealand’s leading branded custom home builders, established 1983.

19 19

Y

P 0-9-415 2468

SimpliFood

Retail

$150,000

Strongly-branded food retail store franchise. Sells quality food ingredients and specialised products.

6 6

N

M 021 997 722

Simply Squeezed

Food & Beverage

$80,000

Sell and distribute NZ’s favourite range of chilled juice and beverage products.

40+ 40+

Y

M 021 747 643

Leisure & Education

$34,000

Out of school care. Established 1996. Now in 100+ schools. Before school, after school and holiday 100 programmes for primary school children. Would suit people who are looking for a change in lifestyle and 100+ enjoy the company of children.

Y

Chris Bartels P 0-9-576 6602 M 021 974 221 E chris@skids.co.nz W skids.co.nz

$42,000

A monthly accounting service specifically designed to provide regular support for the self-employed and small business operators. Retail locations accelerate client base growth. Accounting qualifications not necessarily an advantage. Would suit someone with business experience and / or with sound bookkeeping knowledge, and good communication skills.

Y

Adam Parore P 0-9-378 0934 P 0800 114 SBA E adam@sba.co.nz W sba.co.nz

Quinovic Property Management

49

Raincatcher Systems Rapid Lawn

Robert Harris Coffee Roasters

Sierra Boutique Café

72

76

78

sKids

77

Small Business Accounting

37, Business & 80 Commercial

92 EDIT_DIR_2404.indd 7

48 48

Westpac Directory of Franchising and Advertiser Index Franchise New Zealand Summer 2015/16 Year 24 Issue 04

3/12/15 7:55 PM


Smallprint NZ Smith’s Sports Shoes

36

FANZ

description

number in NZ and globally

industry

investment from

company

page number

franchise and business opportunities S-T get more information

N

P 0061 1 800 762 557

Smith’s Sports Shoes’ biggest strength is the relationship between franchisor, franchisee and suppliers. 15 What you can expect from the Smith’s team includes integrity, fun, and profitability. We focus on team 15 building and provide support and training. Seeking people with vision, great attitude and communication skills.

Y

Chris Smith M 021 733 981 E chrismsmith@xtra.co.nz W smithssportsshoes.co.nz

Other

$40,000

Work from home business making jewellery that captures loved ones’ hand and foot prints.

Retail

$200,000

3 140+

Snap-on Tools

Auto Services $52,000+

Snap-on Tools franchisees sell the world’s best tools via mobile stores to professional tool users.

14 5000

Y

P 0800 SNAP ON

Snap Printing

Business & Commercial

$220,000+

Australasia’s leading and most successful ‘on demand’ printing and copying franchise.

5 180

Y

P 0-9-379 0822

Spagalimis Italian Pizzeria

Food & Beverage

$250,000

Pizza, pasta, salad and dessert in a contemporary dining environment. Comprehensive training.

5 5

N

P 0800 113 113

Speedy Signs

Business & Commercial

$95,000

New Zealand’s and the world’s largest signs and graphics franchise. No previous experience required.

24 850

Y

P 0-9-577 4223

Spiderman

Home Services

P.O.A.

Pest control offering good opportunities to trade within the Spiderman network.

4 4

N

P 0-3-455 3793

Spitroast.com

21

Food & Beverage

$25,000$50,000

We get invited to all the best parties and due to huge demand – you’re invited too! Spitroast.com; New Zealand’s iconic catering business is looking for franchisees to join our growing group, with existing franchisees already located in Christchurch, Dunedin, Mid Canterbury, and Auckland.

4 4

N

Jason Olliver M 027 442 4140 E jason@spitroast.com W spitroast.com/franchises/

Stihl Shop

33

Retail

$200,000

Stihl Shop is a nationwide network of independent, locally owned specialist outdoor power equipment retailers. Every Stihl Shop is operated by friendly approachable people who are passionate about outdoor power equipment. Full training and on-going support. Sites with real growth potential available across NZ.

64 64

N

Francis Scordino P 0800 864 264 M 021 543 582 E careers@stihlshop.co.nz W careers.stihlshop.co.nz

Stirling Sports

34

Retail

$340,000

We play to win by delivering world-class retail experiences, inspired by sport, executed with style. Stirling Sports will provide all the training and support to build and sustain your business. Opportunities available throughout New Zealand. Retail experience is an advantage but not essential.

44 44

Y

Wayne Turner M 021 748 144 E wayne.turner@stirlingsports.co.nz W stirlingsports.co.nz

Retail

Storage Box

$100,000

The preferred storage specialists in New Zealand, providing storage solutions to customers.

20 20

N

P 0-9-271 1025

70, Food & 71 Beverage

$145,000

Every day thousands of coffee lovers buy a Streetwise coffee. Our designer coffee outlets have become 18 symbols of coffee perfection. We’re seeking people nationwide who love the thought of selling fantastic 18 coffees to appreciative customers. Site selection assistance, training and support is given.

Y

Jol Glover P 0-6-210 2257 M 021 762 124 E jol@streetwisecoffee.co.nz W streetwisecoffee.co.nz

Subway

Food & Beverage

$250,000

The world’s largest quick service submarine sandwich and salad franchise. Opportunities for new and existing restaurants available.

266 46K+

N

W subway.co.nz/about-us/own-a-franchise

SumoSalad

Food & Beverage

$450,000

The healthy fast food alternative. Join Australia’s fastest growing franchise.

2 80+

N

P 0061 4 0105 5437

Sunbright Lamp Distributors

Home & Building

$26,000

Sunbright provides a mobile lighting maintenance and installation service.

13 13

N

P 0-9-478 9824

Super Liquor

Food & Beverage

$300,000

New Zealand’s largest retail liquor group offering convenience, value and exceptional service.

102 102

Y

P 0-9-523 4064

Super Shuttle

Business & Commercial

$90,000

Super Shuttle is New Zealand’s No. 1 nationwide airport passenger transport system.

120 120

N

P 0-9-522 5710

Superbuild

Home & Building

$50,000

Superbuild is one of New Zealand’s largest suppliers of construction and coating systems.

9 9

N

P 0800 GO 4 SUPER

Swimart Pool & Spa Services

Retail

$175,000

Retail store franchise providing all the needs for pool & spa owners.

4 63

Y

P 0800 928 373

TACA NZ

Business & Commercial

$65,000

Tungsten coating specialists. Supplier of hard facing services to a range of industries.

5 13

N

P 0061 3 8727 5000

Take Note

Retail

$300,000

Over 60 stores throughout New Zealand, all of which are locally owned and operated.

20+ 20+

N

P 0-9-261 0871

Business & Commercial

$100,000

With strong business focus (maybe without real estate experience) you’ll be capable of high quality recruitment, the ability to think innovatively, strategically and possess marketing flair. You’ll be comfortable in a highly client-centric environment fostered by a fast-rising star with huge market share aspirations.

11 11

N

David Graves P 027 4432 897 E irene@tallpoppy.co.nz W tallpoppy.co.nz

Home & Building

$30,000

Installation of PinkBatts into new and existing residential properties.

19 19

Y

P 0-9-525 9563

Retail

$70,000

A proven retail concept that has successfully run since 1994.

17 17

N

P 0-6-757 2702

Business & Commercial

$83,000

The Alternative Board, a leading international franchise organisation, seeks franchisees to facilitate peer board meetings and offer executive coaching to local business owners. With a background as an executive, coach, consultant or business owner, you will help businesses achieve more profitability, productivity and personal fulfilment.

7 150+

Y

Stephen James P 0-9-446 0963 M 021 606 934 E sjames@thealternativeboard.co.nz W thealternativeboard.co.nz

Retail

$250,000

World’s leading sports footwear retailer. Exclusive fitprint technology and proven training.

9 600+

N

P 0-6-875 1479

$200,000+

The Cheesecake Shop was established in 1991 and has developed into a network of 200 cake shops operating across Australia, New Zealand, Poland and the United Kingdom. With The Cheesecake Shop franchise, you don’t need to be a baker. Our excellent training course teaches you how to make our wonderful desserts in just 4 weeks.

17 200

N

David Reid P 0-9-475 9634 M 021 625 555 E davidr@thecheesecakeshop.co.nz W thecheesecakeshop.co.nz

Streetwise Coffee

Tall Poppy Real Estate

22

Tasman Insulation The 2n’5 Franchise The Alternative Board

47

The Athlete’s Foot The Cheesecake Shop

18, Food & 19 Beverage

Retail

$60,000

Providing high quality, luxurious Christmas decorations. A profitable seasonable business.

11 11

N

P 0-7-839 6209

The Coffee Club

55

Food & Beverage

$300,000$450,000

One of NZ’s fastest growing café and restaurant franchises, with a comprehensive menu and relaxed dining experience. Proven track record with further expansion planned. Take advantage of a proven track record, great training and ongoing support. Ideal if you are passionate about people and building customer loyalty.

55 350+

Y

Brad Jacobs P 0-9-304 0008 M 027 526 3333 E b.jacobs@thecoffeeclub.co.nz W thecoffeeclub.co.nz

The Coffee Guy

50

Food & Beverage

$98,500

New Zealand’s number one mobile coffee company. The Coffee Guy franchise opportunity is simple, fun 56 and flexible. With full training and support, a stand-out brand, and minimum sales guaranteed, you can’t 56 go wrong. We have franchises available throughout the country.

N

David Bernard P 0800 894 199 M 021 331 243 E david.bernard@rfg.com.au W thecoffeeguy.co.nz

The Interface Financial Group

Financial Services

$39,000+

The Interface Financial Group is a world-class franchising operation which provides a debtor financing service to the SME business market. Interface has been operating worldwide for over 40 years and in NZ for 10 years. Full training and support provided. $100,000 minimum working capital.

9 150+

N

Gary Wong P 0-9-302 7704 M 021 801 710 E ifgnz@interfacefinancial.co.nz W interfacefinancial.co.nz

The NZ Manuka Egg Company

Food & Beverage

P.O.A

A taste sensation - Manuka smoked bacon and egg franchise business opportunity.

3 3

N

P 0-3-485 9660

Auto Services $44,500

Mobile alloy wheel repair service providing an affordable and convenient solution to the problem of repairing kerb-damaged wheels. No previous experience required. The power franchising has is in gaining a competitive edge through the sharing of knowledge and resources. We have that edge.

7 7

Y

Alan Thomas P 0-4-477 0284 M 027 253 7311 E wheelmagician@xtra.co.nz W wheelmagician.co.nz

Food & Beverage

A total food and beverage concept, operating in more than 5 countries.

7 30

N

P 0061 3 9480 1030

The Christmas Heirloom Company

The Wheel Magician

Theobroma Cafés, Lounges and Bars

84

$200,000$600,000

Like shortcuts?

Why learn from your mistakes when you can learn from our nationwide franchise banking specialists? Search the Westpac Directory of Franchising at www.franchise.co.nz

EDIT_DIR_2404.indd 8

Westpac New Zealand Limited

93 3/12/15 7:55 PM


Thexton Armstrong

54

Business & Commercial

Touch Up Guys

73

description

FANZ

number in NZ and globally

industry

investment from

company

page number

T-Z franchise and business opportunities get more information

This is a long-term extremely profitable opportunity where you are fully trained and supported to grow your own successful consulting business. Seeking business-consulting franchisees. Would suit CEOs, CFOs, professionals, directors, ex-corporates ex-business owners and others wanting more lucrative, fulfilling and less stressful career alternatives.

30 80

N

M 027 509 3385 E thextonhq@thextonarmstrong.co.nz W thextonarmstrong.com.au

Auto Services $88,000

New Zealand’s premier mobile paint and bumper repair franchise. High quality car paint restoration services to commercial and private customers. Professional, reliable, cost effective and convenient. No industry experience required. Comprehensive training and full ongoing support provided. Great opportunities are available throughout New Zealand.

26 200

Y

Martin Smith P 0800 759 363 M 021 721 430 E info@touchupguys.co.nz W touchupguysfranchise.co.nz

Toyhire

Retail

$5,000+

Toyhire rents baby equipment, slides, climbers, playhouses, bouncy castles and birthday party gear.

3 3

N

P 0-9-573 6124

Toyworld

Retail

$200,000$500,000

Join New Zealand’s largest independent toy retailing group.

29 180

N

M 021 390 954

Ultra-Scan

Agriculture

$80,000+

Ultra-Sonic animal pregnancy scanning. Mobile rural lifestyle working with animals.

19 19

Y

P 0508 858 727

United Video

Retail

$250,000

NZ’s leading video rental retailer. National coverage. New and existing franchises available.

78 78

N

P 0-7-853 7035

Urban Turban

Food & Beverage

$250,000

It is never too late to transform your passion for Indian cuisine into a profitable business.

1 1

Y

P 0-9-538 0006

Food & Beverage

$400,000

Value-for-money buffet restaurants, great for the special occasion or groups. Established in 1989. Proven model. Suitable for metropolitan location. Solid business opportunity for person/s with energy and preferably hospitality background. Full training and ongoing support provided.

11 11

N

Murray Belcher P 0-9-451 9102 M 021 483 500 E murray.belcher@ufsltd.co.nz W valentines.co.nz

Home & Building

$40,000

A unique opportunity to be part of an iconic New Zealand company and build a real business of value.

16 16

N

P 0-9-913 4185

Valentines Restaurants

78

Venluree

$25,000$50,000

Versatile Homes and Buildings

53

Home & Building

P.O.A.

Versatile Homes and Buildings provides you with all the benefits of owning your own business, with the full support and resources of a nationwide organisation. We are looking for high calibre franchise owners that are capable of significant future growth as the business expands.

35 35

N

Robin Howison P 0800 VERSATILE. M 021 519 569 E franchise@versatile.co.nz W versatile.co.nz

V.I.P. Home Services

65

Home Services

$15,000+

Professional home services franchise providing flexible, multi-serviced businesses. Work either indoors or outdoors. Exclusive territories with established customers. Providing a lifestyle choice for over 30 years. Actively seeking area master franchisees for both lawnmowing and cleaning throughout NZ. Comprehensive training and support provided.

120+ 1200

Y

John & Estelle Logan P 0800 84 74 96 E estelle@viphomeservices.co.nz W viphomeservices.co.nz

Warmup New Zealand

Home & Building

$20,000

Warmup has become the heating product of choice for the majority of property and construction professionals.

15 30

N

P 0-9-820.3850

Waxnlaser

Health & Beauty

$35,000+ clinic

Specialist beauty business. Become the market leader by focusing on doing one thing really well.

3 3

N

P 0-4-565 0353

Wet-seal

Home & Building

$50,000

Wet-seal waterproofing and underfloor heating provides leading products. Full training and support.

8 47

Y

P 0800 436 000

Window Cleaning Plus

Home Services

$14,950+

Built on more than 60 years of company history and perfected over the past 10 years.

New New

N

P 0800 000 309

Whats Up House Inspections

Home & Building

$69,995

New Zealand’s leading pre-purchase home inspection company providing reports you can rely on. Work 6 from home with the latest systems and full support. Excellent opportunities available throughout New 6 Zealand. This is an amazing opportunity for builders wanting a new challenge with excellent returns.

N

Karl Papa M 021 952 397 E karl@wuhi.co.nz W wuhi.co.nz

Wholly Bagels & Pizza

Food & Beverage

$250,000$400,000

Turn-key opportunities available nationwide with this iconic bagel and pizza franchise.

6 6

Y

M 021 272 2422

Window Dressings

Home & Building

$25,000

We offer quality window treatments in the comfort of the client’s home. Low start-up and overhead costs 1 make this opportunity perfect for those who want to take control of their earning potential and be proud 1 of the products and services they offer.

N

Glenn Crowe M 021 345 109 E sarah@windowdressings.co.nz W windowdressings.co.nz

Window Treatments

Home & Building

$30,000

Window Treatments manufacture and supply blinds, awnings, shutters, insect screens as well as provide onsite blind cleaning and repair services to some regions. Franchises available on the West Coast of the South Island, New Plymouth, Gisborne and Hawkes Bay.

21 21

N

Graeme Rose P 0-3-343 1876 M 021 338 031 E Graeme.rose@window-treatments.co.nz W window-treatments.co.nz

2 2

N

Geoff Luke P 0-9-570 1985 M 021 957 600 E geoff.luke@woolgro.co.nz W woolgro.co.nz

75

Home & Building

$25,000 $50,000

Woolgro is a unique and proven system to establish premium lawns using our innovative pre-seeded lawn mats. You don’t have to have a landscaping background - just be customer-focused and enjoy working outside building a business based on excellent service.

Xpresso Delight

14

Food & Beverage

$64,950

We transplant the café experience into the workplace using state-of-the-art commercial grade automatic 17 bean-to-cup espresso machines providing quality coffee. We provide a semi-passive income based on 183 one day of work but equivalent to a week’s salary with lifestyle benefits.

Y

Allan Parker M 021 875 431 E allan.parker@xpressodelight.co.nz W xpressodelight.co.nz

Yard Art & Moulds International

Home & Building

$6,000 $40,000

Established garden ornament manufacturers and distributors of quality latex and fibreglass moulds for concrete. There are options available from full Licensed Dealerships to backyard hobby businesses. Sell online, at markets or from your own premises. Thousands of designs available. Email me for options.

15+ 20+

N

Steve Wigglesworth P 0-9-431 3176 M 021 108 6486 E steve@yardart.co.nz

Z Energy

Retail

$500,000

Self-employed multi-site retailers who are highly skilled and passionate about leading people and delighting customers.

208 208

N

P 0-4-498-0200

Zexx NZ

Food & Beverage

$25,000 $50,000

Zexx NZ offers a range of better-for-you fruit juice slushy and smoothie products that meet the ‘Fuelled 4 Life” criteria. This represents an exciting opportunity for someone who is motivated and looking to capitalise on an existing business success.

12 16

N

Derek Sampson P 0800 556 022 M 021 724 290 E derek@fruzo.co.nz W zexxnz.co.nz

Zones Landscaping Specialists

Home & Building

$50,000

Zones is New Zealand’s only franchise specialising in design and build landscaping services.

3 3

N

M 021 118 5810

Find more info franchise.co.nz

Woolgro

REACH THE BUYERS Only Franchise New Zealand combines print, digital and on-line media to reach potential franchisees throughout New Zealand – and beyond. Contact us now to promote your opportunity or service.

For Franchise Advice in the Wellington region

Have a chat with our legal experts:

Claire Byrne Dave Robinson

NZ’s best-read franchise media 0-9-424 8236 sales@franchise.co.nz

94 EDIT_DIR_2404.indd 9

04 916 7483 04 916 6307

www.gibsonsheat.com

www.thefranchiselawyer.co.nz sarah@thefranchiselawyer.co.nz 027 564 9942

Westpac Directory of Franchising and Advertiser Index Franchise New Zealand Summer 2015/16 Year 24 Issue 04

3/12/15 7:55 PM


national master licence opportunities get more information

industry

description

investment required

A selection of master licence opportunities from our website – find more at www.franchise.co.nz

number globally

company Cinderella Limo

Alena Kouzmenkov P 0061 4 1171 5300 E admin@gcluxcars.com.au W gcluxcars.com.au

Leisure

Fairy tales can come true. The Cinderella Limo is an innovative idea in formal transport. A chauffeur-driven car modified to resemble a beautiful princess carriage. The only one in the Southern Hemisphere. No competition. Now available for a lucky first who would be a master franchisor in New Zealand.

2

NZ$ 300,000

Get Threaded

Liz See P 0061 4 1300 4127 E franchise@getthreaded.com.au W getthreadednow.com

Health & Beauty

Get Threaded is an exciting international business leading the industry in the ancient art of hair removal by the technique known as threading. Popular all over the world. We are looking for entrepreneurs who want to be part of a cutting-edge niche concept for Get Threaded brow & beauty bars and salons, offering threading and other beauty services.

30+

AU$ 100,000+

Lolita S.A.

Michel Cohen P 00598 2309 0890 E mcohen@lolitavirtual.com W lolita.com.uy

Retail

Fashion franchise system. Most successful Latin American chain of ladies’ fashion stores already operating in 12 countries. Seeking master franchisees for the New Zealand and Australian markets.

75

US$ 150,000250,000

Magnetite

Ian Harkin P 0061 2 9565 4070 E ian.harkin@magnetite.com.au W magnetite.com.au

Home & Building

Magnetite retrofit double glazing - your window of opportunity. Do you “get” double glazing? Are you “handson?” Can you motivate a team? Do you want variety, including marketing, installation & customer service? Our mantra is assess, design and deliver comfort. We aim to provide trusted advice. If you connect with that, contact us about a master licence today.

12

AUD$ 150,000

Ready Steady Go Kids

Stuart Derbyshire P 0061 1 300 766 892 E franchise@readysteadygokids. com.au W readysteadygokids.com.au

Leisure & Education

Australia’s leading multi-sport and exercise programme for pre-school aged children (2.5 – 6 years). More than 200+ 200 locations in Australia, Singapore, UK, India, Indonesia and Vietnam. Fun, flexible and rewarding. Love working with kids? Passionate about sports and physical activity? Understand the importance of customer service? If you answered yes, Ready Steady Go Kids would love to hear from you.

AU$ 55,000

The Source Bulk Foods

Jurgen Kernbach P 0061 411 422 228 E jurgen@thesourcebulkfoods. com.au W thesourcebulkfoods.com.au

Retail

Providing an old-fashioned personal service in a fun, no waste, shopping experience. Huge range of bulk whole foods and health foods. Seeking a national master franchisor for New Zealand who is passionate about customer experience, The Source brand and principles. You should be a great communicator with welldeveloped management and leadership skills, energy, focus and persistent commitment to hard work.

NZ$ 800,000

22+

service

description

Location

FANZ

company

page number

specialist advisors get more information

ACCOUNTANTS Blackler Smith & Co

Blackler Smith & Co is a relationship-based chartered accounting firm. For years, Ben Blackler has assisted franchisors and franchisees with structures, business advice and annual tax accounting. Ben can help you buy a business, set it up correctly, run it effectively and protect your investment.

Greater Wellington

N

Ben Blackler P 0-4-555 9090 E ben@bsco.co.nz W bsco.co.nz

Crowe Horwath

Crowe Horwath (previously WHK) provides specialist accounting and business advisory services to the New Zealand franchise industry. Your one-stop franchise shop.

National

Y

Liz Le Prou P 0-4-569 9069 M 021 529 759 E wellington@crowehorwath.co.nz W crowehorwath.co.nz

Franchise Accountants

95, 98, 99

Save time, money and tax by benefiting from our specialist franchise advice and proven accounting solutions. Your success is our business. Ring now 0800 555 8020. Specialist franchise accounting solutions including due diligence, benchmarking, budgeting, valuations, business mentoring, tax planning, cashflow management and reporting software systems.

National

Y

Philip Morrison P 0800 555 8020 M 021 229 9657 E pmorrison@franchiseaccountants.co.nz W franchiseaccountants.co.nz

Inspired Accountants

95

We are Chartered Accountants who specialise in franchising. Having a look under the bonnet (due diligence) is key when buying a business. We do this and set up robust reporting systems so you know how the business is performing! Inspired Accountants – Inspiring You.

National

Y

Craig Weston P 0-9-309 2561 M 021 309 309 E craig.weston@inspired.co.nz W inspired.co.nz

RightWay

30, 31

Small business advisory and accounting. We offer regular client site visits and fixed monthly pricing packages. Our National core focus is on small businesses, especially hospitality, trades, retail and professional services. Regional partners are able to help with advice without getting bogged down with number crunching.

N

P 0800 555 024 E info@rightway.co.nz W rightway.co.nz

Staples Rodway Christchurch

Assistance with franchise purchases and ongoing accountancy and I.T. support in the franchise area. Over 15 years’ experience in franchising in the SME market, acting for both franchisors and franchisees.

South Island

Y

Jon Robertson Dave McCone P 0-3-343 0599 E jrobertson@srchch.co.nz W staplesrodway.com

Young Read Woudberg

Specialists in all business areas, with substantial experience in franchising. Our services include appraisals, structure review and planning, monitored business performance, mentoring and technology. We are committed to easily accessible, personal service focusing on client needs, building individual relationships and providing added value solutions.

Tauranga, Bay of Plenty

Y

Eric Woudberg Raimarie Pointon Steve Read Natalie Milne P 0-7-578 0069 M 027 570 1172 E accountants@yrw.co.nz W yrw.co.nz

97

Zebra helps Kiwi businesses and individuals by looking after their accounting for a low price. Zebra is an easy to use and stress free accounting service made to save you time so you can spend it on the more important things in life.

National

N

Deidre Graham P 0800 110 160 M 027 229 0067 E deidre.graham@zebratax.nz W zebratax.nz

ANZ

12

ANZ is dedicated to providing financial services to the New Zealand franchise sector. We deliver this through local business bankers in all major towns and centres throughout New Zealand. As part of our commitment to franchising in New Zealand, ANZ is an affiliate member of the Franchise Association of New Zealand.

National

Y

Karpal Singh P 0800 39 40 41 M 021 815 605 E franchising@anz.com W anz.co.nz

ASB

20

ASB provides a comprehensive range of financial solutions for both franchisees and franchisors including finance, insurance, savings and investment options, everday banking and more. So if you are thinking of starting or buying a franchise, talk to our franchise specialists on 0800 272 476.

National

Y

Craig McKenzie P 0800 272 476 M 021 805 425 E craig.mckenzie@asb.co.nz W asb.co.nz

Zebra Accounting

INSPIRED ACCOUNTANTS

We specialise in Franchising and love to help Franchisors and Franchisees with: • Due Diligence (should I buy this business?) • Budgets and Cashflow projections • Financial accounting and reporting systems • Benchmarking reports • Liaising with other advisors (banks, lawyers, consultants) • Tax Advice • Best structure for the business (company/trust etc) Call us for a no obligation chat on 09 969 7450 | 021 309 309 www.inspired.co.nz | craig.weston@inspired.co.nz

Find more info franchise.co.nz

FINANCE PROVIDERS

Inspiring You! Search the Westpac Directory of Franchising at www.franchise.co.nz

EDIT_DIR_2404.indd 10

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company

service

description

Location

FANZ

page number

specialist advisors get more information

BNZ

38

Talk to us about our wide range of specialist services that we can tailor to meet your needs as a franchisor or franchisee. We’ll use our 145 years’ experience in business banking, giving your business the support it needs to grow and succeed.

National

Y

Warren Sare P 0800 ASK BNZ M 029 222 0430 E warren_sare@bnz.co.nz W bnz.co.nz/franchise

Eightfold

40

Looking to finance your franchise or expand? We know banks and can assist you in getting the best deal to suit your needs. Let us help you take the stress and hassle out of this process. For efficient friendly service give Sean a call.

National

N

Sean Dwyer M 021 115 7730 E sean@eightfold.co.nz W eightfold.co.nz

Heartland Bank

32

If you’re running a small business and need finance to take it to the next level, you don’t want to waste hours filling out National forms or waiting for an appointment. Our application takes minutes to complete and you’ll get a quick decision from us.

N

Todd Lynch P 0800 88 40 40 M 027 221 6184 E info@openforbusiness.co.nz W openforbusiness.co.nz

Westpac New Zealand Ltd

34, Westpac is New Zealand’s most experienced bank in franchising and the only bank offering dedicated franchise only 100 specialist managers throughout the country. Westpac has a high level of expertise in the franchise industry; this has been built up over the past two decades by working closely with franchisors, franchisees and industry specialists. The resulting depth of experience enables us to provide you with informed specialist advice regarding franchise funding and franchise specific transactional solutions. Specialists in franchise financing: Auckland/Northland - Dean Madsen, Chris Gavin, Sujam Ratnayake Waikato – Emily Zhang Lower North Island – Mick Robinson Christchurch/South Island – Mark Schrader Otago/Southland - Graeme Wyllie

National

Y

Daniel Cloete P 0800 177 007 E franchising@westpac.co.nz W westpac.co.nz

75

New franchise system set-up, franchise agreements, disclosure documents, brand name, trademarks, IP, master licensing, import/export, leasing sale and purchase structure compliance, disputes. Highly experienced team. Wide experience in all aspects of franchising. Extensive network of franchising contacts NZ and internationally.

National & Worldwide

Y

Miles Agmen-Smith P 0-9-308 8070 M 0274 779960 E miles.as@ascolegal.co.nz W ascolegal.co.nz

Baldwins

A patent attorney firm and associated law firm offering intellectual property services including patents, trade marks, copyright and registered designs. We help our clients achieve and maintain a commercial advantage in the marketplace by protecting, developing, commercialising and enforcing their intellectual property assets.

National

Y

Rachel McDonald P 0-9-359 7738 M 027 645 3198 E rachel.mcdonald@baldwins.com W baldwins.com

Botting Legal

Franchise and commercial law specialists. We provide practical legal advice in plain English for both franchisees and franchisors at very competitive rates. Preparation and review of franchise documentation, advice on structuring and IP protection, franchise operation and dispute resolution.

National

Y

Bradley Botting P 0-9-950 3880 E franchise@bottinglegal.com

Carson Fox Bradley

Carson Fox Bradley is a compact Auckland law firm. All 3 directors have significant experience in franchising. Chris Bradley is author of the ADLS standard franchise agreement. Matt Carson has completed an MBA thesis in franchising. We act for many national franchise systems.

National

Y

Chris Bradley Matt Carson Linda Fox M 021 899 609 E chris.bradley@carsonfox.co.nz W carsonfox.co.nz

Deirdre Watson - Barrister

25 years’ experience in litigation, disputes, court cases and mediation. Franchise dispute specialist.

National

Y

Deirdre Watson P 0-9-309 6988 M 021 791 740 E deirdre.a.watson@xtra.co.nz W deirdrewatson.co.nz

LAWYERS ASCO Legal

Gaze Burt

58

Lawyers providing full legal services for franchisors and franchisees including advice and documents relating to National franchise development, franchise evaluation, risk management, transactional management and dispute resolution. Our experience is extensive over many years and we understand the important and significant fundamentals required for quality franchising.

Y

Michael Bright P 0-9-414 9800 E michael.bright@gazeburt.co.nz W gazeburt.co.nz

Gibson Sheat Lawyers

94

We provide comprehensive advice on the legal aspects of franchising to both franchisors and franchisees. For details see our website. We can quickly establish the issues each party is likely to encounter and address these at the outset before they become problems.

Greater Wellington

Y

Claire Byrne Dave Robinson P 0-4-916 7483 M 029 916 7483 E Claire.Byrne@gibsonsheat.com W gibsonsheat.com

Goodwin Turner Commercial Lawyers

3

Goodwin Turner advise on all aspects of franchising including developing franchise systems, preparing franchise documents, reviewing franchise arrangements and advising on disputes and intellectual property protection. Team of leading law experts that are well-known in the franchise industry and who focus on making it possible.

National & Worldwide

Y

Scott Goodwin P 0-9-973 7350 M 027 700 7396 E scott@goodwinturner.co.nz W goodwinturner.co.nz

Comprehensive legal service for both franchisors and franchisees including franchise and disclosure documentation, employment, leases, terms of trade, dispute resolution and business structures. Full service legal firm that prides itself on being solution driven. Franchise specialists with a proven track record.

South Island and National

Y

Mark Sherry P 0-3-352 2293 M 021 524 890 E mark.sherry@harmans.co.nz W harmans.co.nz

All aspects of franchising and business advice including disputes resolution. Advisors to franchisees and franchisors locally and nationally. Experienced in advising the franchise industry. Franchisor and franchisee advice. Full commercial advice.

Bay of Plenty and National

Y

David Foster Katrina Hulsebosch Oliver Moorcroft P 0-7-578 0059 E david@harris-tate.co.nz W harristate.co.nz

Wellington and lower North Island experts in the specialised field of franchising and licensing. We are practical, personable and professional. We can help both franchisor and franchisee clients with all their legal requirements.

Wellington and National

Y

Hamish Walker P 0-4-499 7809 M 027 288 2339 E hamish.walker@izardweston.co.nz W izardweston.co.nz

Harmans Lawyers

Harris Tate

96

Izard Weston

96

Expert franchise lawyers who specialise in fixed price packages for legal services. A specialist firm based in Parnell offering sound, practical and timely advice, we can assist with all business legal requirements.

National & Overseas

Y

Rory MacDonald Tim Lewis P 0-9-307 3324 E info@mllaw.co.nz W mllaw.co.nz

Sarah Pilcher The Franchise Lawyer

94

Over 15 years’ experience in franchising providing focused, cost-effective legal advice, plain English documents and commercially relevant solutions. Start-ups and existing businesses. Fixed price documents and legal advice for franchisees and franchisors. Converting franchise documents for use in other countries.

Auckland & National

Y

Sarah Pilcher P 0-9-579 3526 M 027 564 9942 E sarah@thefranchiselawyer.co.nz W thefranchiselawyer.co.nz

Stewart Germann Law Office, Lawyers and Notary Public

17

Over 30 years’ franchising and licensing experience. Expert legal advice to franchisors and franchisees nationwide. Stewart Germann is a Past Chairman of FANZ and is passionate about franchising and small to medium businesses. Selected as Best Lawyers in New Zealand – Franchise for 2014-2015. Winner of Global 100 – Law Firm of the Year – Franchise – New Zealand 2014.

National & Worldwide

Y

Stewart Germann Harshad Shiba P 0-9-308 9925 M 021 276 9898 E stewart@germann.co.nz W germann.co.nz

Find more info franchise.co.nz

MacDonald Lewis Law

SE F R AN C H I OU ADVICE Y RU S T CAN –T ––––

As the Bay of Plenty’s leading franchise lawyers, you can count on us for tailored and practical advice that adds value to your business. With more than 20 years of experience in franchising, we know what works best. Our track record in providing comprehensive sound advice speaks for itself. Just ask.

Contact: David Foster | david@harristate.co.nz Tel. 07 578 0059 | 29 Brown Street, Tauranga | harristate.co.nz

96 EDIT_DIR_2404.indd 11

We have the expertise and the experience to find cost effective legal solutions for your franchising needs Let us help you make the right decision • Free initial 30 minute consultation • Fixed fee packages Contact: Rory MacDonald (09) 307 3324 rory@mllaw.co.nz 92 Parnell Road, Auckland

Westpac Directory of Franchising and Advertiser Index Franchise New Zealand Summer 2015/16 Year 24 Issue 04

3/12/15 7:55 PM


company

service

description

Location

FANZ

page number

specialist advisors get more information

CONSULTANTS & OTHER SERVICES Cumulo9

Deloitte

24

Design for Marketers

Email Branding

Franchisors and franchisees send hundreds of emails every day, and every single one reflects the franchise brand. Every email also has the potential to generate more sales, upsell, cross-sell or increase web traffic for your business.

National

N

Chris Hogg P 0-9-889 3458 M 021 345 690 E chris@cumulo9.com W cumulo9.com

Business Advice

Working with you, we’ll deliver the financial knowledge, tax-savvy, strategic advice and connections, to help your business deliver outstanding performance in competitive markets. So, if you’re looking for a smarter solution, talk to the Deloitte Private team because we’re willing to do things differently.

National

Y

Neel Singh Jon Bradley P 0-9-303 0716 M 021 280 8222 E nzdeloitteprivate@deloitte.co.nz W deloitteprivate.co.nz

Design Resources

Engage Design for Marketers to obtain design resources for you to market your franchise brand effectively and consistently. Planning, creation and supply of resources for branding, advertising, promotional, recruitment, point of sale etc. Over 20 years’ experience with leading franchise brands. Be seen, be bought, be recommended.

National

N

Paul Donovan M 021 64 45 45 E paul@cdq.co.nz W cdq.co.nz

Y

Philip Morrison P 0-9-265 2657 M 021 229 9657 E pmorrison@franchiseaccountants.co.nz W franchiseaccountants.co.nz

Franchise Accountants

95, 98, 99

Franchise Consultants & Accountants

Specialist advice on franchise system development, feasibility studies, recruitment, documentation, manuals, ongoing mentoring, strategic planning and partnering to grow your business.

National

Franchise Association of New Zealand

61

Franchise Association

The peak body representing the franchise community. Franchise members are required to submit their agreement and disclosure documents to ensure compliance with our codes of ethics and practice before being accepted into membership and biennially thereafter. Affiliate members are suppliers to the franchise sector.

National

Franchise Coach

97

Franchise Consultants & Recruitment

Comprehensive advice on franchise system development. Feasibility studies, manuals, documentation, legal briefs, franchisee recruitment, exporting and importing, mediation and ongoing mentoring to grow your business. The Franchise Coach has been a major contributor to the success of franchising in New Zealand since 1983. Consultants, trainers and speakers.

National & Worldwide

Y

David McCulloch P 0800 4FRANCHISE M 021 943 776 E davidm@berkshire.co.nz W franchisecoach.co.nz

Franchise Infinity

58

Software Management Tool

Franchise Infinity is a cloud-based software that combines a range of effective management tools which enables you to manage all aspects of your franchise from one centralised operating system. These efficiencies are driven through a focus on communication, compliance and performance.

International

Y

Shane Boulle P 0800 555 8020 M 021 836 6253 E sales@franchiseinfinity.com W franchiseinfinity.com

Franchise Research & Development

Franchisee selection systems, satisfaction surveys, recruitment and training for franchise management. Assistance with organisational change and restructuring, conference presentations on managing the franchise relationship. “The Franchise Coach” has been awarded the agency for the Franchise Relationship Institute’s products, including Greg Nathan’s popular books.

Australia & New Zealand

N

David McCulloch P 0800 4FRANCHISE M 021 943 776 E davidm@berkshire.co.nz W franchiserelationships.com

National & Worldwide

Y

Callum Floyd P 0-9-523 3858 E callum@franchize.co.nz W franchize.co.nz

Franchise Relationships Institute

Sarah Watane P 0-9-274 2901 E contact@franchise.org.nz W franchiseassociation.org.nz

Franchize Consultants (NZ)

46

Franchise Consultants

Specialists in franchise development, strategic planning, legal briefs, systems and manuals, recruitment processes and documentation, ongoing mentoring and sound advice on franchising and licensing. Recognised as New Zealand’s leading management consultancy specialising in franchise development. Experience with many of NZ’s top franchised companies.

IT Effect

68

Information systems development and management

IT Effect provides information systems development and management including business National analysis, process improvement, software/web development, project management, application integration, Xero integration, and systems/ application integration.

N

Jonathon Alsop P 0-4-499 9615 M 0274 366 661 E jalsop@iteffect.co.nz W iteffect.co.nz

Retail Real Estate

We specialise in finding suitable retail premises for franchisors and franchisees in New Zealand. We also manage a number of shopping centres throughout New Zealand.

National

N

Chris Beasleigh P 0-9-363 0286 M 021 597 856 E chris.beasleigh@ap.jll.com W jll.nz

JLL (Jones Lang LaSalle)

72

Data Backup

KeepItSafe’s cloud-based backup solution eliminates the need for tape backup, and frees National your IT resources. Our backup software is tailored to the demands of your business. Your data is safeguarded across multiple offsite data centres with each backup fully managed and monitored 24/7.

N

Chris Rush P 0800 14 11 14 E sales@keepitsafe.co.nz W keepitsafe.co.nz

LearningWorks

9

Training & Education

Learning, education, eLearning and training solutions. LearningWorks provides a range of services focused on the development and delivery of learning and training solutions to businesses and organisations.

National

N

Peter Shergold P 0-7-923 4063 M 021 372 343 E info@learningworks.co.nz W learningworks.co.nz

LINK Business Brokers

44

Franchisee Resales & Recruitment

LINK are the authority on selling businesses in New Zealand & the Southern Hemisphere National and are franchised specialists in business sales, franchise re-sales and recruitment and sales of franchise opportunities. We provide professional, practical franchise advice to our clients. LINK has more brokers than any other brokerage.

Y

Nick Stevens Laurel McCulloch Theresa Eagle P 0-9-579 9226 E link@linkbusiness.co.nz W linkbusiness.co.nz

MEGA Services Franchise Consultants

42

Franchise Consultants

MEGA Services Franchise Consultants are the most professional and cost effective way of developing your franchise documents and recruiting franchisees to expand your business world wide. Expand your business with MEGA Services Franchise Consultants now! Check out our free Feasibility Report – can you franchise your business? (normal value $1,500).

National & Worldwide

N

Ray Lindstrom P 0800 006 444 M 027 252 5334 E ray@megaservices.co.nz W megafranchise.co.nz

MYOB

64

Accounting & Payroll Software

MYOB is New Zealand’s largest provider of business management solutions including accounting and payroll software.

National

Y

Emma McMulkin P 0800 606 962 M 029 201 4366 E grow@myob.com W myob.co.nz/franchise

Parallel Directions

4

Commercial Property Parallel Directions are independent commercial property advisors working exclusively for National Consultants tenants, never landlords so you know we are always working for your benefit. Set up in 1998, we offer commercial property advice including search, lease negotiation, design and build, and relocation.

Y

Peter Scott P 0-9-550 8500 M 021 896 649 E info@paralleldirections.co.nz W paralleldirections.co.nz

The award that spells confidence and trust

New Zealand’s Best Accounting Offer Financial statements completed for a low cost by NZ Accountants We’ll save you time, money and stress. Why pay for business advice when all you want to know is how much GST do I pay and how much is my tax bill! Call us for free – 0800 110 160

www.zebratax.nz

Find more info franchise.co.nz

KeepItSafe

Service Provider of the Year

Smart buy? Find the right franchise by starting with the right people. Westpac New Zealand Limited

Search the Westpac Directory of Franchising at www.franchise.co.nz

EDIT_DIR_2404.indd 12

97 3/12/15 7:55 PM


managing a franchise: financial matters

unleash

SERVICE PROVIDER OF THE YEAR

your potential in 2016

Philip Morrison

Helpful advice for the year ahead from the award-winning team at Franchise Accountants

W

ith the dawning of a new year upon us, it’s a valuable time to recharge, refresh and reflect on the past 12 months and work out where you want to be this time next year. Whether you are starting afresh with a new business or revitalising an existing one, here are some practical suggestions to help you achieve your business and personal goals. Show me a successful franchise and you’ll see a well-developed business plan being executed. It might sound scary, but there are five simple stages to creating your business plan.

1 dream it ‘There are some people who live in a dream world, and there are some who face reality; and then there are those who turn one into the other.’ Douglas H. Everett A dream paints the picture in your mind of what is possible when you have no limitations. What is your dream regarding your business? I remember vividly one business planning session with a franchisor client when I asked them what their dream for the business would be if nothing were a problem? They reflected for a moment and said, ‘World domination’. I asked what would that look like, and they told me, ‘We want a national brand with 100 business units. I asked what else. They said, ‘We want to go international.’ I asked which countries. They said, ‘Australia, UK, Ireland, and Singapore.’ I asked when. They said, ‘In the next 5 to 10 years.’ I asked what roles they saw themselves in. One said, ‘International director’; the other said ‘NZ director’. At the time of this session, from memory, they had fewer than 30 franchise business units in New Zealand. I asked them to articulate the dream and be specific about the goals and time frames, and it set things in motion. Seven years later, with the exception of going into Singapore, they have achieved their dreams.

3 kiss it Keep It Simple! A one-page business plan is all you need – it forces you to distil your thinking into simple thoughts. Write so that someone who knows nothing about your business understands your plan. One key that is helpful is to write SMART goals. This is an acronym that stands for: Specific – I want to be a national brand; Measurable – What does that look like? Put numbers on it. Attainable – the numbers are within reach; Realistic – stretch yourself but don’t set yourself up to fail; Timely – there’s a set time frame to achieve each step.

4 share it ‘Planning is bringing the future into the present so that you can do something about it now.’ Alan Lakein Once you have a well-written business plan with SMART business objectives, share it with your team and let them be part of it. It then becomes a living document, not just an academic exercise. If you like, write it in bite-size pieces so you can give a piece away to each team member with clear alignment with their roles, responsibilities and key performance indicators. This helps them focus and measure their success. A franchisee we worked with was new to business. After we helped them develop their business plan, they took their entire team away to share the plan, then put up progress charts with goals in the back office and discussed it at weekly meetings. The impact of engaging and empowering their team was amazing to watch, and others noticed it too – they won a Westpac Franchisee of the Year award in their category.

5 do it

So what is your vision? Articulating it unlocks possibilities that can spawn into realities. Dare to dream.

‘Plans are only good intentions unless they immediately degenerate into hard work.’ Peter Drucker

2 write it

Once the team share ownership of the business plan, you need to empower them to act on it. Monitor performance, coach, resource, talk to and encourage your team. You will be surprised what they can achieve.

‘Reduce your plan to writing. The moment you complete this, you will have definitely given concrete form to the intangible desire.’ Napoleon Hill Writing your plans down moves them from the abstract to the literal. Putting your thoughts into words gives substance to your dream. It provides clarity, direction, focus, shape and substance. Ask and answer the questions Where, How, What, When, and Who? The discipline of working dream it through the process of planning sharpens your thinking. do it

write it

share it

98 Franchise_Acc 98.indd 1

KISS it

The essence of every business plan is made up of three parts: Where are you now, where do you want to be, and how do you want to get there? If you don’t have a business plan, create one. If you do have one, update it.

Another client we assisted established regular accountability sessions with their team which created a focus on delivering on key actions and eliminated excuses. It resulted in their becoming the top-performing franchisee in their system, setting new KPI benchmark standards and winning a national Franchisee Of The Year award in their category.

get started with a free template

advertiser info

So as you think about what you want out of the year ahead, start by thinking about what’s working and what’s not. Whatever your dream, commit to the planning process. Dream it, write it, KISS it, share it, do it – and you’ll be well on your way to achieving it. Franchise Accountants has a one-page business plan template available to help you get started. Contact us for a free copy and to learn more about how you can benefit from a business planning session. Franchise New Zealand

Franchise Accountants www.franchiseaccountants.co.nz Contact Philip Morrison P 0800 555 80 20 M 021 22 99 657 pmorrison@ franchiseaccountants.co.nz Disclaimer : This advice is of a general nature only and expert advice should be sought to get the right advice for your specific situation.

Summer 2015/16

Year 24 Issue 04

3/12/15 2:26 PM


Are you seeing this opportunity as clearly as you should?

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20/11/15 12:36 PM

Franchise New Zealand - Year 24 Issue 04 - Summer 2016  

What are you looking for out of life – and could buying a business help you achieve it? That’s the theme of the summer issue of Franchise Ne...