{"id":685,"date":"2015-05-20T18:00:52","date_gmt":"2015-05-21T01:00:52","guid":{"rendered":"http:\/\/sintelsystemspos.com\/?p=685"},"modified":"2015-05-05T13:31:25","modified_gmt":"2015-05-05T20:31:25","slug":"franchising-is-up-down-under","status":"publish","type":"post","link":"https:\/\/sintelsystemspos.com\/es\/franchising-is-up-down-under\/","title":{"rendered":"Franchising Is Up Down Under"},"content":{"rendered":"

\"franchise\"<\/a><\/p>\n

Franchising’s boom includes Australia, according to a report from down under.<\/p>\n

Franchising Australia 2014, collated by Griffith University and sponsored by the Franchise Council of Australia, found there were 1160 business format franchisors operating in Australia, with the sector employing 460,000 people and having an estimated total sales turnover of $144 billion.<\/p>\n

Impressively, between 2012, while the overall number of Australian businesses has been in decline, the franchise sector grew by an estimated 6000 franchise units, representing a net increase of 8.2 per cent.<\/p>\n

Just as we happily share our vast point of sale experience and expertise with startup owners in order to help them make the best decisions from the very beginning, we at Sintel Systems are happy to share articles and commentary about the perceptions and reality of the risks involved in a career change into franchising \u2014 a major area of our point of sale (POS) expertise<\/a>.<\/p>\n

In his Sydney Morning Herald post, Five Things To Look For In A Franchise, Nigel Brown writes, \u00abImpressively, between 2012, while the overall number of Australian businesses has been in decline, the franchise sector grew by an estimated 6000 franchise units, representing a net increase of 8.2 per cent.\u00bb<\/p>\n

Brown notes, however, that not all franchises are created equal. Here are five things you should look for before investing in a franchise business, based on information supplied by the Franchise Council of Australia and a straw poll of franchisees in the trenches:<\/p>\n

A Resilient Business Model<\/b><\/p>\n

\u2022 \u00abThe franchisor doesn’t have to have been around for a set period of time but you want to see some sort of track record,\u00bb say Craig Bruty, owner of Flinders Lane, Melbourne, Bakers Delight. \u00abI was confident about buying a Bakers Delight because they’d been around for 30 years and because they sold a product there’s a demand for every day of the year.\u00bb<\/p>\n

\u2022 \u00abEvery business is trying to sell something,\u00bb says Maria Varkevisser, owner of the PACK & SEND franchise in Chemside, Queensland. \u00abBut some products or services are in greater demand than others. I was confident investing in PACK & SEND because people will always need to have items packed up and couriered places.\u00bb<\/p>\n

Training and Support<\/b>
\n\u2022 \u00abMuch of the appeal of franchising lies in the pre-existing support network,\u00bb says Kym De Britt, general manager of the Franchise Council of Australia. \u00abA good franchise brand will consider product and service training paramount and offer franchisees induction training and ongoing refresher courses. On top of that, a good franchise brand will provide ongoing support in the field, working with the principals to make sure their business is a success.\u00bb<\/p>\n

\u2022 While established systems are useful, Catherine Gerhardt, who launched the first Australian Kidproof franchise in Melbourne in 2010, warns against getting involved with overly rigid franchisors. \u00abKidproof is a child and family safety education business that started in Canada and therefore used North American spelling and idioms,\u00bb she says. \u00abUnderstandably, franchisors always want to keep things as consistent as possible. However, if you are trying to make a go of a franchise business in a different culture, there needs to be flexibility to make the necessary adjustments that suit that culture’s ethos.\u00bb<\/p>\n

Brand Awareness<\/b><\/p>\n

\u2022 \u00abAn established brand should be well-recognized in the industry, while an emerging one should have a clear strategy for increasing brand awareness,\u00bb\u00a0 De Britt says. \u00abAs a franchisee you’ll be contributing to a joint marketing fund and it should be made clear how those funds are going to be allocated, as well as how franchisees are expected to market to and engage with their local communities.\u00bb<\/p>\n

\u2022 \u00abYou’re handing over a certain percentage of your earnings, so you want to be giving them to a smart franchisor who is going to be making intelligent decisions,\u00bb says Briony Vince, owner of preschool exercise business Ready Steady Go Kids in Melbourne. \u00abAre they spending franchisees’ money in a way you as a franchisee would approve of? Are they building a strong brand that’s going to drive customers to the individual franchisee’s businesses?\u00bb<\/p>\n

A Franchisor You Respect<\/b><\/p>\n

\u2022 Brothers-in-law Kunal Shah and Mohit Patel co-own two franchises, a 7-Eleven and a Beaumont Tiles store in Blacktown, Sydney. They believe trust is central to the franchisee-franchisor relationship. \u00abThere will always be instances of franchisors doing things that may not seem beneficial to franchisees, but you need to trust that the franchisor knows what it is doing, that they have the resources to do the appropriate market research and forecasting,\u00bb Shah says.<\/p>\n

\u2022 \u00abIf you select a franchisor that shares your values you are less likely to have clashes down the track,\u00bb Vince says. \u00abYou’ve got to be confident you’ll fit in as part of the network,\u00bb Varkvisser says. \u00abAre you going to be comfortable working with the people you’ll be dealing with? Do they have similar standards of integrity to yours?\u00bb<\/p>\n

Happy Franchisees<\/b><\/p>\n

\u2022 \u00abIf you’re going to make a commitment to a franchise business, you want to make sure it’s a smart investment from a financial and lifestyle perspective,\u00bb De Britt says. \u00abA franchisor should encourage you to speak to their franchisees and you should take that opportunity to understand what your day-to-day life will look like if you proceed and how that fits with your expectations.\u00bb<\/p>\n

Brown concludes the post by writing, \u00abIt’s a lot easier to pass on a franchise business than it is to extricate yourself once you’ve bought one, so make sure to do your research and walk away if your criteria aren’t being met.\u00bb<\/p>\n

Read Nigel Brown’s full Sydney Morning Herald post here<\/a>.<\/p>\n

For more insights into the franchise-seeking mindset, check out our related posts,\u00a0A Franchise Personality Fit For A King<\/a>, Asked and Answered: 107 Franchisee Questions for Franchisors<\/a>, Franchise Coach Sees A World Of Opportunities, If You Ask The Right Questions<\/a> , Mitigate Your Risk By Hiring A Franchise Attorney<\/a>, Size Up Your Franchise Opportunities<\/a>, and Franchisees Have It. Got It?<\/a><\/p>\n

Sintel enhances our customers’ success by turning point of sale data into strategic decisions, allowing larger franchises to grow and providing startups the foundation for future growth from the very beginning by acting as a franchise incubator, nurturing their businesses for the long haul.<\/p>\n

Don\u2019t wait until late in the game to plan for your point of sale system. The benefits of establishing an early relationship with your point of sale company are many \u2014 not just in demystifying the process and determining the optimal system \u2014 even before you decide on a franchise direction<\/i>.<\/p>\n

Sintel Systems<\/a>\u00a0is the only direct to end user full-service provider of tailored Point of Sale systems across retail, restaurant and service industries, including\u00a0frozen yogurt shops<\/a>,\u00a0pizzerias<\/a>,\u00a0sushi restaurants<\/a>,\u00a0caf\u00e9s<\/a>\u00a0and\u00a0retail stores<\/a>.<\/p>\n

As a single source for business solutions, our experienced, knowledgeable team negotiates the complex POS landscape for you to enable you to find the right POS system for your business and budget.\u00a0Hardware<\/a>\u00a0–\u00a0Software<\/a>\u00a0–\u00a0Support<\/a><\/p>\n

Questions or Comments:\u00a0Contact us<\/a>\u00a0855-POS-SALES\u00a0www.SintelSystems.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Franchising’s boom includes Australia, according to a report from down under. Franchising Australia 2014, collated by Griffith University and sponsored by the Franchise Council of Australia, found there were 1160 business format franchisors operating in Australia, with the sector employing 460,000 people and having an estimated total sales turnover of $144 billion. Impressively, between 2012, […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-685","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-uncategorized","7":"czr-hentry"},"_links":{"self":[{"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/posts\/685","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/comments?post=685"}],"version-history":[{"count":1,"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/posts\/685\/revisions"}],"predecessor-version":[{"id":686,"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/posts\/685\/revisions\/686"}],"wp:attachment":[{"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/media?parent=685"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/categories?post=685"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sintelsystemspos.com\/es\/wp-json\/wp\/v2\/tags?post=685"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}