Franchising on high octane growth

As I sit and ponder the development of the franchising industry over the past 12 months, it seems apparent that three key factors have been the catalyst for the stunning growth in our industry:

1. The increased acceptance by many business owners to franchise their businesses as a cost-effective and profitable method of expanding operations.

2. The strategic alliances of the banks with franchisors to create greater opportunity for people to borrow money to finance a franchise.

3. Increased media focus on the industry.

In combination, the above has contributed to a massive transformation of the industry in what can only be described as an extraordinarily short period of time. In addition, the growth has not only been confined to Australia, with markets such as New Zealand, the US and UK also thriving.

Needless to say, everyone involved in the production of Franchising magazine is delighted to be part of an industry that is experiencing such exponential growth. Further, the magazine is committed to putting the case for franchising to any remaining sceptics in the sector so as to further facilitate a positive image for and growth within the industry.

As an example of this, editor Mark Phillips’ cover feature interviews over the last year with the likes of Bob Jane, Don Meij, Matthew Penfold and the ‘two Noels’ (Noel Carroll and Noel Roberts) have highlighted the ‘rags to riches’ success stories of what a good idea can develop into.

There is also no question that the ever-growing number of mobile franchise opportunities has helped open franchising as a viable option for many who previously could not afford the expense of establishing a stand-alone retail outlet. It has also enabled these aspiring franchisees to avoid rent-hungry landlords in shopping centres.

This trend will be reflected in a new influx of entries in our upcoming 2006 Franchising Yearbook. It is timely, therefore, to remind all franchisors and service providers to update their information before we close off the publication on 25 July 2005.

We look forward to hearing from you.

Click here for information on Franchise Council of Australia is a not for profit membership organisation that is the peak body representing the franchising sector in Australia.