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  • 18 October 2022  The Franchise Council of Australia has honoured some of the nation’s best and brightest in business at the FCA Excellence in Franchising Awards. This year’s winner of......

    18 October 2022

     The Franchise Council of Australia has honoured some of the nation’s best and brightest in business at the FCA Excellence in Franchising Awards.

    This year’s winner of Australian Established Franchisor of the Year is the world’s largest global franchise pool service brand – Poolwerx, with RAMS Home Loans, Mister Minit, Quest Apartment Hotels, SILK Laser Australia and CouriersPlease named as finalists in the category.

    Accepting the award on behalf of Poolwerx, CEO Nicholas Brill highlighted the important contributions of their entire team, saying that “tonight it’s all about our franchise partners, its all about suppliers, its about all of our people.”

    He also noted that winning was “extra special” this year, as it was the company’s thirty-year anniversary.

    OMI Group was named the Australian Emerging Franchisor of the Year, with City Cave and Local Hero Singapore named as category finalists.

    “We started from zero. After five years, we have eighteen outlets and three retail brands. We are honoured that two of our brands were shortlisted in this category tonight,” said Ven Chin, OMI Group Founder.

    The Franchise Woman of the Year Award was won by Emma Glazebrook of MBCM Strata Specialists. Emma had recently won the Victorian Franchise Woman of the Year Award and said that she “wanted to thank my family, my team and my franchisor as they help prop me up everyday.”

    The International Franchisor of the Year Award was taken out by InXpress. Quest Apartment Hotels won both the Excellence in Marketing and Franchisor Social Responsibility Awards.

    Gayle & Des Purdue of Muffin Break (Coolalinga & Gateway Palmerston) were named as the Multi-Unit Franchisee of the Year. The pair were thrilled to receive the award and paid tribute to their team, saying that “they are an amazing group of people whose commitment is outstanding.”

    RAMS Home Loans took out three awards, winning Excellence in Franchise Innovation. Franchisee Cheryl Haywood from RAMS (Southern Vales) took out the Single Unit Franchisee of the Year (two or more staff) award and franchisee Andrew Erlandson, RAMS (Toowoomba) won the Franchisee Community Responsibility and Contribution award.

    Geotech Information Services was named this year’s Supplier of the Year, with Retail Doctor Group and GapMaps named as finalists. The Field Manager of the Year was awarded to Crystal Allen of Muffin Break.

    “The last two years have represented some of the most difficult economic conditions ever experienced by Australian business. The resilience, adaptability and determination that has been demonstrated by all finalists and winners is truly outstanding,” said Franchise Council of Australia CEO, Mary Aldred.

    “We commend each and every hard-working franchisee and franchisor across Australia for their vital contributions to employment, the economy and communities across our country,” said Ms Aldred.

    The FCA has also announced its annual Hall of Fame inductee for 2022, with Foodco Group Executive Chairman, Serge Infanti, named as this year’s recipient of this prestigious award.

    Serge was ‘born into coffee’ in his parents’ café bar in Italy. He joined Foodco in 1991 and became one of their early Franchise Partners – successfully operating two Jamaica Blue and two Muffin Break cafes.

    After 20 years Foodco is now one of the largest franchised coffee brands in the UK and has established networks in New Zealand, Malaysia, the UAE, and China. There are 50 Franchise Partners who have been with Foodco for more than 10 years, and over 40 franchisees who own multiple stores.

    – ENDS –

    Media Contact: James Stevens – 0406 265 559

  • 17 October 2022  Ongoing staff shortages for small businesses across Australia are now at a record high, representing a real challenge to current operations and undermining future growth plans, according......

    17 October 2022

     Ongoing staff shortages for small businesses across Australia are now at a record high, representing a real challenge to current operations and undermining future growth plans, according to the latest national survey of franchised businesses.

    The exclusive survey, prepared for the Franchise Council of Australia (FCA) by FRANdata, is designed to provide a quarterly snapshot of the Australian franchise sector. The September Quarter 2022 Franchise Business ‘Pulse Check’ survey received responses covering 105 brands, capturing 18,482 businesses who employ 202,223 Australians.

    The greatest challenge for small businesses reported by the survey is the availability of suitable employees for franchisees at 83%. This is a record high for the survey and represents an ongoing trend – with 80% nominating the issue in the July survey, and 64% in March.

    Availability of suitable employees for support offices (55%) was again the second largest issue for small businesses.

    Supply chain issues (45%) and rising interest rates & the inflationary pressures (39%) rounded out the top four challenges. Fewer small businesses nominated these challenges compared to the July survey – highlighting the sector’s focus on employment concerns.

    Despite ongoing challenges and economic headwinds, small business sentiment about the next six months is improving. 67% feel optimistic (up from 57% in July), with 19% neutral and only 14% pessimistic.

    Year-on-year quarterly trading continues to recover. Nearly half of small businesses (47%) reported an increase in their September 2022 quarter income compared to September 2021 of more than 10%.

    QLD, at 33% of respondents, remained the strongest performing state/territory for franchises over the past 12 months – down from 46% in the July survey. This was followed by NSW (24%), WA (21%), VIC (17%) and SA (5%).

    Despite this, 37% of small businesses nominated VIC as the most likely location for expansion within the next twelve months – followed by NSW (36%), then QLD (22%) and WA (5%).

    “Small businesses are the engine of the Australian economy. When they proposer, our country prospers”, said FCA CEO Mary Aldred.

    “The situation for small businesses across Australia in regards to staff shortages is worsening. We need urgent action at the national level to address this challenge.”

    “According to ABS data, 698,000 fewer people arrived in Australia in September 2022 compared to September 2019 – a reduction of 39%. It is not enough for the Australian border to be open, specific actions to increase the domestic participation rate and the attractiveness of Australia as a destination for international labour are needed”, said Ms Aldred.

    -ENDS-

    Contact:               James Stevens, 0406 265 559

  • By Mary Aldred, CEO, Franchise Council of Australia. In one of the most difficult economic environments ever experienced by Australian business, both franchisors and franchisees have had to demonstrate resilience,......

    By Mary Aldred, CEO, Franchise Council of Australia.

    In one of the most difficult economic environments ever experienced by Australian business, both franchisors and franchisees have had to demonstrate resilience, adaptability and determination to push their businesses through the challenges.

    The pandemic and associated restrictions disproportionately affected geographic areas and some niche markets, but franchising continued to demonstrate its strength as a business model.

    While coronavirus lockdowns saw activity shrink sharply in the third quarter of 2021, accelerated vaccination rates have since allowed the Australian economy to reopen and consumption is rising.

    The Reserve Bank of Australia forecasts that the rapid bounce back in domestic demand will continue as restrictions are further eased and Australia is projected to have greater economic growth in 2022 than most OECD countries. *

    The September Quarter 2021 Australian Franchise Business “Pulse Check” survey showed a significant rebound in business confidence, with 76% of respondents optimistic about the year ahead, compared with only 22% in the June quarter.

    The FCA is committed to continuing to work with government and policymakers to ensure that franchising remains the most successful model of small business ownership in Australia. Towards achieving that, the FCA will maintain focus on public advocacy and business support on the issues that are important to our members.

    After many months of restrictions on events, we are looking forward to bringing you the 2021-22 National Franchise Convention in Melbourne in April 2022. A highlight will be the keynote address by leading demographer, Bernard Salt on emerging trends as Australia rebuilds and rewards businesses that are bold, proficient, agile and determined.

    Another standout of the 2021-22 NFC program will be the entrepreneurial story of co-founder of Catch of the Day, Menulog, Scoopon and Luxury Escapes, Gabby Leibovich.

    This really will be an unmissable opportunity to gather to share ideas, experiences and knowledge of strategies for consolidation, revitalisation, innovation and growth in a vastly changed business environment. Find out more at www.nationalfranchiseconvention.org.au

    The FCA will also build on its successful 2021 program of issues-based webinars to again provide the opportunity for members to meet at face-to-face to events for networking and information exchange, as well as continuing to offer online events.

    The FCA’s delayed Regional Revitalisation Initiative also will be relaunched in early 2022 to promote franchising as an efficient and innovative means of addressing service and small business ownership gaps in regional towns across Australia.

    The Regional Revitalisation Initiative is even more relevant now with Covid providing the catalyst for many people to relocate from capital cities to nearby regions. It provides renewed incentive for franchise systems to look outside the metro areas as they pursue network growth.

    The focus of the initiative in 2022 will be on linking franchise members, government facilitators and prospective local franchise operators to spark a new wave of small business expansion to the benefit of regional communities across the nation.

    And we know that whether they are located in metropolitan or regional Australia, businesses that are part of a franchise network continue to outperform many other parts of the small-medium business sector.

    The FCA is optimistic that the innovation and resilience demonstrated by franchised businesses over the past two years will ensure that they will be at the forefront of national recovery in 2022.

    Note: * IMF WEO October 2021

  • By Mary Aldred, CEO, Franchise Council of Australia.  After the trials and tribulations of 2020, in 2021 most businesses are cautiously looking towards a better year ahead. The restrictions and......

    By Mary Aldred, CEO, Franchise Council of Australia. 

    After the trials and tribulations of 2020, in 2021 most businesses are cautiously looking towards a better year ahead.

    The restrictions and resulting tough economic climate have demanded adaptability, determination and innovation by all businesses and franchising has stood out as one of the most resilient business models.

    However, many franchise businesses have been operating in the hardest-hit sectors – food and catering, hospitality, travel and home services – and have relied heavily on the FCA for guidance, support and advocacy.

    This year the will FCA continue to focus on three key priorities:

    1. supporting members with access to information, resources and support through the transition from Covid-19 lockdowns and trading restrictions to business reopening
    2. advocating and representing the interests of members to all levels of government on the issues, concerns and needs of our members and the small business sector
    3. and through the media, enhancing the standing and reputation of franchising as the preferred model for small-medium business success, including highlighting the resilience of franchise systems during the challenges of 2020.

    The FCA has engaged deeply at all levels of government both informally and formally in recent months, including:

    • facilitating COVID-safe business recovery by emphasising the specific assistance and regulatory changes needed by diverse business sectors
    • bringing bad commercial leasing practices and landlord misconduct to their attention and urging government intervention
    • reinforcing the need for fairness in application of operating rules across sectors, including highlighting disparity between public and private outdoor workers
    • encouraging Federal Treasury and state governments to introduce or continue support for struggling businesses and workers facing unemployment
    • making submissions on specific issues to various state government small business departments on business restrictions, exemptions, customer registers and industrial relations

    The core of our advocacy has been a concerted campaign of dialogue with members to test government policy and temporary regulatory changes, as well as to provide input on specific measures requested by members.

    Feedback from FCA members, supported by a high level of membership renewal and retention (around 90%, plus 15 new members since July 2020) is that they feel they have been supported, listened to and represented through access to information and resources, and government advocacy.

    Concurrently, the FCA has continued to provide input on Franchising Code of Conduct reforms, based on the input of members on the negative impacts of specific measures.

    Whatever 2021 brings, the FCA will strive to support the ongoing success of our members and more broadly franchising and small business across Australia.

  • By Mary Aldred, CEO, Franchise Council of Australia. A lot has changed over the past months. Our businesses and community have had to face the massive challenges created by restrictions......

    By Mary Aldred, CEO, Franchise Council of Australia.

    A lot has changed over the past months.

    Our businesses and community have had to face the massive challenges created by restrictions to stop the spread of COVID-19.

    For the FCA, it has meant stepping up our advocacy and activity to represent members’ interests and concerns to government while delivering timely information, business advice and practical support to help meet the trading and workplace challenges.

    The response from our members has been terrific, including more than a hundred emails and messages of thanks and congratulations, as well as significant positive feedback from government and media.

    We have taken a strong public stance on the key issues which have impacted on the sustainability of franchising and small business, and the wellbeing of owners, managers and staff.

    Some of the key platforms have been:

    • the need for rental relief and government intervention as some landlords refused to negotiate despite the plight of their tenants, especially in retailing;
    • the need for tangible government support for businesses to help maintain staff and supplement their income as trading revenue evaporated;
    • assisting with expert advice on managing staff working from home, including maintaining their commitment, morale and mental health; and
    • calling on the big food delivery networks experiencing a huge lift in volumes to help the struggling food retail and hospitality groups rather than profiteer.
    • currently making strong representations to the Federal Government on the issue of redefining casual workers, and we are hopeful of an improved result.

    Small businesses have been hit hard by COVID-19 and although restrictions are starting to be eased, the impacts on individual businesses and the economy nationally will be felt for some time.

    The FCA is continuing to work closely with government and other industry peak bodies to ensure that the voice of franchising and small business is heard by government as we head down the path to economic recovery.

     

Small Business

  • There has been a significant rebound in business optimism of recovery in the next six months after a tough third quarter, according to the latest Australian Franchise Business “Pulse Check”......

    There has been a significant rebound in business optimism of recovery in the next six months after a tough third quarter, according to the latest Australian Franchise Business “Pulse Check” survey.

    The September Quarter 2021 survey included responses from 105 Australian franchise brands covering 17,119 individual business outlets (15,671 franchised and 1,448 company operated) and employing 113,048 Australians.

    Average franchisee revenues for the quarter were more than 10% lower, compared with the corresponding 2020 quarter, according to 24% of respondents, compared with 10% in the preceding June quarter.

    Only 31% of respondents reported revenue increases compared with the corresponding 2020 quarter (down from 54% and 45% in the previous two quarters) reversing the previous recovery trend in trading conditions.

    Retail stores, baked goods and retail food industries reported the weakest performance with comparatively stronger or more resilient trading experiences occurring in the health, maintenance, courier, freight and logistics industries.

    A total of 524 new business units were opened across the brands of 46% of respondents. These were predominantly in the categories of home maintenance, retail food and general services. 48 franchised units were permanently closed by 24% of respondents, predominantly in the building and construction and retail food industries.

    QLD at 43% of respondents remained the strongest performing state for franchises over the past 12 months (up from 34% in the June quarter survey) followed by WA (27%), NSW (14%) and VIC (14%).

    Respondents indicated that in the next twelve months they were most likely to expand business in NSW (41%) followed by QLD (27%), VIC (23%) and WA (8%).

    Revenue expectations rebounded significantly with stronger revenue up to Christmas expected by 84% of respondents (up significantly from 32% in the June quarter).

    The percentage of respondents feeling optimistic about business conditions into 2022 rebounded to 76% from the 22% recorded in the June quarter.

    The greatest concerns reported in the September 2021 quarter were the risk of further government lockdowns (61%), availability of suitable employees (55%), wellness of franchisees and staff (49%), supply chain issues due to border closures (47%) and franchisee recruitment (40%).

    58% of respondents were also concerned by negative or aggressive behaviour being experienced by staff requesting compliance of COVID health directives. 38% of respondents identified this poor behavior as happening “sometimes” with a further 20% reporting frequent occurrence.

    “It is terrific to see an improvement in business sentiment but there are obviously still deep concerns about the risk of further lockdowns and border closures,” said Franchise Council of Australia CEO Mary Aldred.

    “It’s also disturbing that business owners and managers appear to have cause to be concerned about the safety of their staff enforcing health directives,” said Ms Aldred. “Most customer facing staff are trained in sales and service, not face-to-face enforcement of restrictions and compliance.”

    “Businesses which are part of a franchise network continue to outperform many other parts of the small-medium business sector and their optimism and resilience indicates they’re likely to be at the forefront of small business recovery in Australia in 2022,” said Ms Aldred.

  • Growing concern about the continuing impact of government lockdowns is undermining business optimism of recovery in the next six months, according to the latest Australian Franchise Business “Pulse Check” survey.......

    Growing concern about the continuing impact of government lockdowns is undermining business optimism of recovery in the next six months, according to the latest Australian Franchise Business “Pulse Check” survey.

    The June Quarter 2021 survey included responses from 148 Australian franchise brands covering 23,177 business outlets employing 141,072 Australians.

    Pessimism about business conditions in the next six months jumped to 22% in the June quarter from 6% in the March quarter and 10% in the December quarter. Only 48% of respondents were optimistic (down from 85% in the March quarter) with 30% of respondents neutral about the outlook.

    Forward sentiment in relation to revenue expectations weakened significantly with 45% of respondents expecting a revenue fall (up significantly from 13% in the March quarter and 11% in the December quarter).

    The greatest concerns or challenges reported in the June 2021 quarter were the risk of further government lockdowns (84%), availability of suitable employees (55%), wellness of franchisees and support staff (50%) and supply chain issues due to border closures (44%).

    However, 54% of networks reported they had revenue increases exceeding 10% in the June quarter (up from 45% and 33% in the previous two quarters) reflecting the relative solid trading performance of many franchises up to the end of June.

    Stronger trading was reported across the health, sport, recreation, and fitness industries. Respondents from printing and retail food indicated comparatively weaker performance with lockdowns and border closures remaining as significant issues.

    A total of 419 new units were opened across the brands of 64 respondents, predominantly in the categories of home maintenance, retail food and service industries. A total of 187 franchised units were permanently closed by 27 respondents, predominantly in the retail food, services, fitness and automotive categories.

    “After four successive quarters, the latest lockdowns and renewed uncertainty have shown a strong negative shift in business sentiment,” said Franchise Council of Australia CEO Mary Aldred.

    “Businesses that are part of a franchise network appear to be outperforming many other parts of the small-medium business sector but they are still dealing with many challenges and are nowhere near their level of revenue pre-COVID.”

    “The survey shows that franchise businesses are clearly very concerned about not just lockdowns but also the wellness of their support staff and the challenges facing their franchisees,” said Ms Aldred.

    Other key findings:

    • The majority (60%) of franchise systems were planning to or were already actively encouraging staff to get vaccinated.
    • The majority of respondents (43%) were unlikely or had already decided they would not be providing incentives to their staff or network for vaccination, a further 40% were undecided.
    • In relation to providing incentives to customers, 73% indicated they were unlikely to or would not and only 3% planned to place restrictions on customers who were not vaccinated.
    • Queensland remained the strongest performing state for franchises over the past 12 months at 34% of respondents (although lower than the previous quarter – 41%). This was followed by NSW (22%), WA (21%) and VIC was again poorest performer (10%).
    • Respondents indicated that in the next twelve months they were most likely to expand business in NSW (42%). followed by QLD (23%), VIC (22%) and WA at (10%).
  • Franchise networks have reported further recovery in revenues in the March quarter as positive sentiment strengthens, according to the latest Australian Franchise Business “Pulse Check” survey undertaken for the FCA......

    Franchise networks have reported further recovery in revenues in the March quarter as positive sentiment strengthens, according to the latest Australian Franchise Business “Pulse Check” survey undertaken for the FCA by FRANdata Australia.

    However, the risk of further government lockdowns remains a key challenge, with 51% of survey respondents citing this as their main ongoing concern.

    The Pulse Check survey includes responses from 113 Australian franchise systems covering 21,368 business outlets.

    45% of respondents reported March 2021 quarterly revenue increases exceeding 10% compared to the March 2020 quarter. This is up from 33% in the previous quarter, reflecting the ongoing general recovery in trading conditions and a solid performance by many franchise networks.

    The key areas reporting stronger trading were the health, building and construction, and courier and freight related industries.

    Cafes, sit-down restaurants and travel businesses continued to report comparatively weaker performance.

    “Business recovery is steadily improving and the Australian economy is in a strong position which is critical boost for small business right now”, said Franchise Council of Australia CEO Mary Aldred.

    “As our results show, the risk of snap state government lockdowns is the number one cause for concern across the majority of businesses surveyed. The FCA is recommending a consistent national approach on agreed thresholds for snap lockdowns, to improve business and community confidence,” said Ms Aldred.

    While the risk of further lockdowns and border closures was the major concern for more than half of survey respondents, other challenges included franchisee recruitment (33%), compliance (32%), wellness of franchisees and staff (32%) and workplace relations issues (30%).

    Despite these challenges, positive forward sentiment strengthened in the March 2021 quarter with 65% (up from 51%) of respondents anticipating a moderate (59%) or significant (6%) increase in revenue in the upcoming June quarter.

    41% of respondents identified Queensland as their strongest performing state or territory over the past 12 months, followed by New South Wales (23%), Western Australia (16%) and Victoria (11%).

    Respondents indicated that in the next twelve months they were most likely to expand business in New South Wales (49%), followed by Queensland and Victoria (both at 18%) and Western Australia at (10%).

    Overall optimism increased to 85% (up from 75% in the December survey) towards business conditions for the next six months.

    A total of 520 new units were opened across 85 brands during the March quarter. These were predominantly in the categories of retail stores and home maintenance services. For the corresponding period 109 franchised units were permanently closed across 28 franchise networks, predominantly in the retail food (café) category.

  • The Franchise Council of Australia (FCA) has honoured some of the nation’s best and brightest in business at the 2020 MYOB FCA Excellence in Franchising Awards. This year’s winner of......

    The Franchise Council of Australia (FCA) has honoured some of the nation’s best and brightest in business at the 2020 MYOB FCA Excellence in Franchising Awards.

    This year’s winner of Australian Established Franchisor of the Year is The Cheesecake Shop. Now in its 27th year of franchising, with 228 cake bakeries across Australia, New Zealand and the United Kingdom, The Cheesecake Shop took out the category from finalists Just Cuts, Rapid Tune and Banjo’s Bakery Café.

    “Putting this award together with our team, one of the things I learned was the average tenure of our 50-odd staff as a franchisor was about eight-and-a-half years, and that says a lot for their commitment and their passion and their love for our brand. This award is for them,” said Ken Rosebery, Managing Director, of The Cheesecake Shop in accepting the Award.

    “It’s been a trying year for everyone and this is a big achievement for the business. To all of the head office staff and the franchisees – we’re absolutely ecstatic,” added The Cheesecake Shop’s General Manager of Marketing and Operations, Peter Dable.

    SILK Laser Franchising was named the Australian Emerging Franchisor of the Year, with MoneyQuest Australia, Home Caring Franchise and Fitstop Australia all named as finalists in the category.

    “It’s been a pretty amazing journey for our company. We started all the way back in 2009 with one staff member and one laser in Adelaide. We’ve now been franchising for four years and are getting close to 60 clinics nationwide,” said SILK Laser Clinics CEO, Martin Perelman.

    The International Franchisor of the Year Award was taken out by XTEND Barre, who in accepting the Award shared their story of innovation that saw the brand convert their bricks and mortar business to be entirely digital within 36 hours as COVID hit hard.

    Poolwerx took home the Excellence in Marketing Award while the Excellence in Franchise Innovation Award was won by the RAMS Product, Construction Lending Proposition.

    FC Business Solutions was named this year’s Supplier of the Year.

    The vital role that being part of a team and their local communities plays for franchisees was on show as Bakers Delight and ANZ Mobile Lending took out two franchisee category awards apiece.

    Chris McIntyre of ANZ Mobile Lending on Queensland’s Gold Coast was named Multi-Unit Franchisee of the Year for 2020 and Sallie Williams of ANZ Mobile Lending, Wanneroo was named Single Unit Franchisee of the Year, less than two staff for 2020.

    Andrew Toogood of Bakers Delight, Mount Gambier – Commercial Street won the Single Unit Franchisee, two or more staff Award while the Franchisee Community Responsibility and Contribution Award was won by Geoff and Jo Harrington of Bakers Delight, Southern Highlands, marking the second consecutive year the brand has taken home this Award.

    “There are three main groups that I need to thank tonight. The first is my team of 18 people – without them, this wouldn’t be possible. Secondly, the community of Mount Gambier. We’re only a small regional centre and we get behind the town and they get behind us. Thirdly, the franchise team at Bakers Delight,” said Andrew in his acceptance speech.

    Field Manager of the Year was awarded to Phil Colburn of Poolwerx, while Wendy Donaldson of Narellan Pools was named Franchise Woman of the Year.

    “The 2020 MYOB FCA Excellence in Franchising Awards showcase just some of the franchisors, franchisees and individuals who continue to make outstanding business contributions in extraordinary circumstances,” said Franchise Council of Australia CEO, Mary Aldred.

    “The achievements of all award winners and finalists in what has been an extremely difficult year for small business owners is truly remarkable.”

    “I congratulate winners and finalists on their exemplary performances, resilience in the face of adversity, and continued contributions to their franchise systems and communities.”

    A total of 12 Excellence in Franchising Awards were presented on the evening, which was proudly sponsored by MYOB.

    2020 Excellence in Franchising Award Winners

    Australian Established Franchisor of the Year – The Cheesecake Shop

    Australian Emerging Franchisor of the Year – SILK Laser Franchising

    International Franchisor of the Year – XTEND Barre

    Multi-Unit Franchisee of the Year – Chris McIntyre, ANZ Mobile Lending, Gold Coast x 2

    Single Unit Franchisee of the Year, two or more staff – Andrew Toogood, Bakers Delight, Mount Gambier – Commercial Street

    Single Unit Franchisee of the Year, less than two staff – Sallie Williams, ANZ Mobile Lending, Wanneroo

    Franchise Woman of the Year – Wendy Donaldson, Narellan Pools

    Field Manager of the Year – Phil Colburn, Poolwerx

    Supplier of the Year – FC Business Solutions

    Excellence in Marketing – Poolwerx

    Excellence in Franchise Innovation – RAMS Product, Construction Lending Proposition

    Franchisee Community Responsibility and Contribution – Geoff and Jo Harrington, Bakers Delight, Southern Highlands

  • The Franchise Council of Australia has welcomed the Queensland Government’s implementation of the national commercial leasing code. This follows the ACCC’s recent decision to allow tenants to collectively bargain with......

    The Franchise Council of Australia has welcomed the Queensland Government’s implementation of the national commercial leasing code. This follows the ACCC’s recent decision to allow tenants to collectively bargain with landlords if they’ve been adversely affected by COVID-19, which has also been welcomed by the FCA.

    FCA CEO Mary Aldred says the ACCC’s decision recognising the urgency for retailers and landlords to collectively negotiate rent relief is an excellent outcome following the joint application to the ACCC by the FCA with the National Retail Association, Australian Hotels Association and the Pharmacy Guild.

    The FCA had also directly raised concerns with Queensland Small Business Minister Shannon Fentiman that franchisees who had their head lease held by their franchisor may not be covered under the national leasing code principles where the franchisor was above the $50,000 threshold set by JobKeeper eligibility. This meant many franchisees would be excluded from being able to access provisions in the code, such as the proportionality principle, where a drop in turnover caused by the current COVID-19 economic environment should be met by a commensurate reduction in rent.

    According to Ms Aldred, Queensland’s implementation of the national commercial leasing code sets out the most balanced and fair playing field for small businesses and franchisees in the country. State parliaments around Australia are currently implementing the national commercial leasing code, agreed to by the National Cabinet process.

    “Small businesses have been hit hard by COVID-19 and although restrictions are starting to be eased, the impacts of COVID-19 on individual businesses and the economy nationally will be felt for some time,” says Ms Aldred.

    “The ACCC’s decision to allow tenants and landlords to get together and collectively negotiate outcomes that optimise businesses’ ability to meet rental obligations will support their ongoing sustainability. “

    “On behalf of thousands of small businesses, we also thank Minister Fentiman and the Queensland Government for being willing to listen to feedback from small business and respond by ensuring there is a fair and level playing field set for everyone. This will give mum and dad small businesses owners in Queensland every shot at making it through the current Covid-19 environment to the other side,” said Ms Aldred.