How does the Franchise Council of Australia function?

By Sarah Stowe | 16 Mar 2018 View comments

Inside Franchise Business: the FCA membership elects board membersAttention has been drawn to the structure of the Franchise Council of Australia after former Brumby's chief Michael Sherlock suggested changes to the organisation's structure.

Sherlock said “We need to reform the FCA board so it better represents franchising, which is an essential sector of the Australian economy.”

The FCA is a nationally incorporated not-for-profit association headquartered in Melbourne, Victoria with the role of executive chair appointed.

Localised member services are provided through five state chapters – one in each mainland state of Australia.

Each state chapter elects a president, automatically appointed to the national board which comprises a maximum of 12 directors: the remaining directors include the executive director, three elected franchisor members, and three directors elected from any membership category.

Sherlock’s view is that professional service providers, including lawyers and accountants, should have a restricted membership which excludes a seat on the board.

Franchisor members should have a minimum of five years trading experience and at least 30 franchisees, as well as a “history of ethical trading”, before being allowed to join, Sherlock said.

“Franchisees should also have a similar track record to be eligible to be on the board,” he added.

Current executive chair and independent director Bruce Billson said the election process that enables members to shape the board "strongly encourages franchisee and franchisor representation".

Billson said "The FCA has been and continues to be well-served by non-franchisee and non-franchisor directors chosen by the membership for their experience, insights, availability and capacity to contribute."