Franchise Council of Australia

Franchisee Resources

What is franchising?

Franchising is a business relationship in which the franchisor (the owner of the business providing the product or service) assigns independent people (the franchisees) the right to market and distribute the franchisor’s good or service, and to use the business name for a fixed period of time.

The franchise operates through the use of a format, or a comprehensive system for the conduct of the business, including such elements as business planning, management system, location, appearance and image, and quality of goods.

The ongoing business relationship between the franchisor and the franchisee includes the product, service and trademark, as well as the entire business concept itself from marketing strategy and plan, operational standards, systems and formats, to training, quality control and ongoing assistance, guidance and supervision. In short, it provides small business (the franchisee) with the tools of big business (provided by the franchisor).

The contract between franchisor and franchisee is ultimately a legal relationship, with the full obligations and responsibilities of both parties outlined in a highly detailed franchise agreement.

What to know before buying a franchise

FCA19014_Whattoknow

Franchisee FAQs

Find out the answers to some of the most common questions asked by prospective franchises.

Information for franchisees

The FCA Franchisee Guide (available to view and download below) is aimed at assisting prospective franchisees and existing franchisees with a toolbox of information from due diligence, to understanding franchise regulations, what questions to ask, how to get expert advice, and how to resolve conflicts that may arise.

FCA19026_Franchisee-Guide

Remember, in considering whether or not buying a franchise business is the right decision for you, the most important thing you can do is research, analysis and read as much information as you can get your hands on. This will go a long way towards ensuring you get the right business for you.