Legal Advice
I am looking to start up a franchise in Australia. What are my legal requirements?
As you may be aware some countries have specific legislation that regulate the way parties must conduct themselves and their businesses when involved in a franchising. In other regions, there are no regulations and general applicable laws will apply
What are the risks of social media to franchisors and franchisees and what are the steps to reduce that risk?
With the growing popularity of social networking sites like Facebook and Twitter, it is no wonder that business owners are increasingly using social media to reach out to customers.
I am having a dispute with my franchisor, I want to seek legal advice but don’t want to make it worse.
Many disputes between franchisors and franchisees occur due to the lack of communication between the parties or differing expectations.
I have a good business idea, what is my first step to developing a franchise?
A “good business idea” is simply that. In order for a business to be successful with franchising, the business will need to have a proven track record and at least be profitable and achieving a reasonable return on investment.
How much will it cost to start a franchise for example legal documents, manuals, marketing etc?
The cost of developing a franchise ranges dramatically depending on the nature of the business, size of the project and required speed to market and the accountants, consultants and legal advisors you choose to work with.
If I decide to franchise my business how will I know it’s going to work?
Franchising is often the most cost effective and widely endorsed business growth strategy for SMEs. Notwithstanding, it is not a silver bullet for success and many factors will need to be considered before you take the leap into franchising.
I have a successful business model, what do I need to consider before franchising?
Having a successful business model is only the start. In order to decide whether franchising as a growth strategy is right for your business many factors will need to be considered.
My franchise agreement term runs out soon and I want to continue to run my franchise business, what should I do?
You should check your franchise agreements for the requirements of renewing the term
When to update your Disclosure Document
The time of year has come for franchisors to prepare and finalise their 2012 disclosure documents.
Is an international franchise agreement exempt from the Franchising Code?
No. It used to be the case that there was an exemption whereby an overseas franchisor granting one franchise in Australia would not be required to give a disclosure document.
I have a distribution agreement and I think it might actually be a franchise agreement
Many agreements, despite their title, are actually franchise agreements due to the broad definition in the Franchising Code of Conduct.
I have a licence agreement and I think it might actually be a franchise agreement
Many agreements, despite their title, are actually franchise agreements due to the broad definition in the Franchising Code of Conduct.
How do Courts Construct Contracts when they are unclear or make no commercial sense?
Lawyers draft agreements that should reflect the parties intentions. That is their skill and the reason why clients engage their services.
Isn't the franchise agreement standard? Why obtain legal advice.
There is no such thing as a standard franchise and franchise agreements can differ from business to business.
Can I stop a former franchisee or employee from setting up a competing business?
A range of confidentiality and non complete clauses can regulate former franchisees from competing in similar fields
Can Franchisees serve a group Notice of Dispute on the Franchisor?
The Franchising Code of Conduct, Part 4, sets out dispute resolution procedures that must be included in every Franchise Agreement.
Should the Franchisor hold the Head-Lease to Retail Premises?
There is much debate & divergence of opinion between franchise lawyers and consultants, as to whether a franchisor should hold the lease to their franchisees premises.
Franchising: The First 5 Questions your Lawyer will ask you
Have you previously been involved in franchising either as a franchisor or franchisee?
When is it time to sell your Franchise?
A franchise is a licensed contractual right which is not necessarily transferable unless there is a provision in the Agreement to transfer and/or novate those rights.
Can I stop a former franchisee from setting up a business that is similar to mine?
In short – yes, where the restraints are reasonable and necessary.
I wish to take my franchise business overseas. What must I do before expanding? Where are the current market opportunities?
In the past Australian franchisors have first looked to in markets with similar culture and language (before Asia) to expand, however things are changing
I want to franchise my business, what is involved?
Before embarking on a franchising system, the franchisor must make themselves familiar with a range of legal issues from trademarks to intellectual property
I’ve chosen a franchise business I’d like to purchase. What should I do next?
This checklist provides a great place to start when making the next step after choosing your franchise business
The new Franchising Code changes apply from 1 July 2010. What does this mean for Franchisors?
It is important for Franchisors to be aware of the keys changes now required within their Disclosure Documents
How long is your franchise agreement?
Franchise agreements in general provide an initial term followed by an option to renew for a further term or series of terms
How flexible is the Franchising Code of Conduct?
Those involved in the process will see there is little inflexibility in the code, with some exemptions
Master Franchising - what do I need to consider?
When looking to expand internationally Master Franchising can be an effective option
How can I minimise the money I spend on lawyers?
There are 3 great ways you can keep the money you spend on lawyers to a minimum
How do I sign up a franchisee?
While reasonabley complex the guidelines can be referenced in the Franchising Code of Conduct
Do franchisors need to hold the lease for their franchisees' premises?
There are circumstances upon which it is reccomend for the franchisor to hold the lease
I have a business and would like to start granting franchises, what is the first step?
A franchisor is required by law to meet some basic requirements to start the Franchise model
What does it cost to have a franchise agreement prepared for my business?
The cost of the franchise contract will depend on the complexity of the business model
How do I sell my franchise business?
It is important to refernce the franchise agreement when looking to sell your business
Who selects the site? Do I need to sign a lease?
While there is variation from business to business for most franchise agreements site selection will rest with the franchisee
How do I know if the franchise I have chosen will make a profit?
While some franchises come with profit guarantees it may not always be the best options when selecting a business
I am in dispute with my franchisor, what do I do?
The procedure for the resolution of dispute is well structured by a code of conduct
Can the Franchisor insist that the Franchisee sign and return Franchise documents within a limited time frame to avoid Franchisees sitting on documents and shopping around for a more attractive option?
In providing the prospective franchisee with a franchise agreement, the franchisor is able to make a conditional offer of acceptance
Should I buy a Franchise in my own individual name or through a company or trust?
When considering this question it is important to seek the appropriate advice from a trusted source
I’m looking at purchasing a Franchise. Can I contact existing Franchisees to find out what they think of the Franchisor and the Franchise system?
The importance of research before taking on board a franchise can't be understated and talking to Franchisees is a great starting point
Should the Franchisor or the Franchisee hold the Lease?
There are pros and cons that must be considered with both options when protecting the goodwill of the franchise
How often do I need to update and give out copies of my Franchise’s Disclosure Document?
A Franchisor is required to be aware of their responsibilities when is comes to disclosure within Franchise Agreements
What are the restrictions on me, as a Franchisor, accepting deposit monies from an incoming Franchisee?
The Code applies equally to transferring Franchisees as it does to any new Franchisee
As a Franchisor, can I force Franchisees to buy products from me, or from a particular third party supplier?
It is important to know your legal obligations before requiring Franchisees to source goods from a specific supplier
Why can’t I sue the Franchisor? – An insight into your franchisee’s rights and interests when attempting to exit your system.
For a variety of reasons Franchisees may have become disillusioned with the system
