NZ Franchise News - June 2022

In this newsletter: franchisees charged more under visa scheme – questions to ask franchisors – help us help you– franchise conference in wellington – 2022 awards open for entry – NZ in the spotlight – wacky or wondrous? – more snippets – opportunities: brand power– advice: improving outcomes

Franchisees charged more as employers under visa scheme

Franchisees have been singled out for special treatment under the new Accredited Employer Work Visa policy being implemented next month – and not in a good way. The new policy will see franchisee-owned businesses being charged $1980 for accreditation under the scheme, versus the $740 charged to non-franchised businesses. The new policy will see franchisee-owned businesses being charged $1980 for accreditation under the scheme, versus the $740 charged to non-franchised businesses. There are implications for resales, too, where new franchisees take over existing businesses. Read more.

If you’re looking at buying a business, it’s vital to ensure that it is right for you and your own particular needs. Never buy a business assuming ‘She’ll be right’ just because you have seen the name around or because other people have already bought in. What you want to find is a franchise that suits your own abilities, ambitions and lifestyle. Here's a comprehensive list of over 250 vital questions to ask the franchisor that will help you make the right decision.

We’ve just launched a new study to help us understand franchisees’ purchase journeys, so that we can help provide people like you with the information you need to make good decisions. The New Zealand Prospective Franchisee Research Study is for those who are interested in purchasing a franchise or those who have already bought one. It’s entirely confidential, and you can go into the draw to win?one of three $200 Prezzy Cards.

If you can spare a few minutes to help, we’d be grateful – find out more about the survey here.

Almost coinciding with the Prime Minister’s trip to Washington, Global Franchise magazine has featured New Zealand in its latest issue, with an article by Dr Callum Floyd of Franchize Consultants highlighting the results of the 2021 Franchising New Zealand survey and providing an introduction to aspects of the New Zealand market, legal framework and culture for overseas readers.

Events

This year’s National Franchise Conference will be held at Te Papa, in Wellington, on 22-24 August . The theme is?Stronger together in a new normal, with a great line-up of speakers and panel sessions catering for everyone from very new franchisors through to the most experienced. International speakers include Ned Lyerly, CEO of CKE Restaurants, which operates almost 4,000 Carl’s Jr. and Hardees restaurants in 42 countries, and the always insightful Greg Nathan. Find out more about the other speakers, topics and sessions.

Thanks to Covid, it’s not long since the winners of the Westpac New Zealand Franchise Awards for 2021 were announced in an online event. Now the 2022 Awards are open for entry, with a glittering gala dinner planned for November. The new simplified entry process introduced last year proved popular, and there are?different categories?for Franchisees, Regional Master Franchises, Franchise Systems and Service Providers. Read how to enter here.

Oh, and you can catch up on all the 2021 winners here.

Wacky or wondrous, and more snippets

Will it come here? A fascinating (and lengthy article) in the USA’s Franchise Times looks at the growth in new age wellness franchises and interviews the 28 percent-old father of biohacking. ‘Why are these services so alluring?’ the article asks. ‘Because they promise eternal life? Because our healthcare system is broken? Because traditional Western medicine is unaffordable and doesn’t work? All of the above, devotees might say, about a niche that could be called wacky or wondrous or maybe a little of both.’

McDonald's has said it will permanently leave Russia ?after more than 30 years and has started to sell its 850 mostly company-owned restaurants there. Last year, Russia and Ukraine reportedly accounted for about 9% of McDonald's global sales. The company says it's the first time the company has ever exited a major market, but it was losing US$55 ($87m) million each month after closing its Russian restaurants in March.

The Australian Government’s new Franchise Disclosure Register that was legislated into existence by the latest changes to the Franchising Code of Conduct on March 31 is now available online at?www.franchisedisclosure.gov.au. Franchisors will be required to upload certain information to create a profile on the Register by publishing disclosure information about their franchise no later than November 14. The Register will go live and be searchable by potential franchisees and others from November 15.

opportunities – BRAND POWER

One of the benefits of buying a franchise is that people already know your name. Here are some well-known local and international brands that are offering you the chance to get on board.

Black & White Coffee Cartel feels boutique, with on-site coffee roasters and quirky fitouts, but the franchise is big in the South Island and expanding in the North.

Health 2000 has looked after the natural health needs of Kiwis since 1993, and has opportunities available to join its cooperative membership model.

International café brand Hudsons is looking for franchisees to invest now and reap the benefits of a fresh start with a great brand, great products and great new sites.

With its fresh taste and signature Red Bowls, Katsubi is a well-established NZ brand, now offering franchises for streetside and mall locations nationwide.

One of the best-known food brands in the world, Pizza Hut gives franchisees the chance to embrace new trends with smaller footprint stores.

Hairdressing franchise Rodney Wayne is looking for franchisees with?strong people skills, management expertise and an excellent customer focus.

Pioneers of appearance medicine in New Zealand, Ian and Jennifer Little are offering nationwide opportunities to join their Transform Clinics franchise.

Advice – IMPROVING OUTCOMES

Business in 2022 involves a number of legal, financial, technological and competitive challenges. Whether you’re a franchisor or franchisee, stay on top of them with support from franchise-experienced advisors.

Auckland-based Brand Machine is changing the way the world’s franchise brands reach customers with game-changing technology for local area marketing.

Franchize Consultants explain why measuring franchisee satisfaction really matters to the long-term health and sustainability of a franchise system.

Gaze Burt say that to successfully engage with the innovative and challenging world of franchising, the help of an experienced franchise lawyer is essential.

ASB specialises in designing innovative and practical banking solutions to meet the financial needs of all New Zealand franchises – small, medium and large.

Goodwin Turner Commercial Lawyers judge success by the relationships they build with their franchise clients, always looking for opportunities to add value.

More?

For more information on franchising and franchise opportunities, visit New Zealand’s top source of franchise information at www.franchise.co.nz or see the latest issue of Franchise New Zealand magazine. www.franchise.co.nz/shunts/72