ACCC News Release Franchising

ACCC URGES PROSPECTIVE FRANCHISEES TO DO THEIR HOMEWORK
If you’re thinking about a new franchise opportunity in 2011, the Australian Competition
and Consumer Commission suggests prospective franchisees make the most of
opportunities to learn about the business model.
“In the New Year, many people are thinking of ways to change their lifestyle and income
and may see buying a franchise as one way of doing this,” Acting ACCC chairman
Michael Schaper said today. “As part of the due diligence process, pre-entry education
programs offer significant benefits to anyone looking to enter the sector.”
Since its launch in July 2010, more than a thousand people have enrolled in a free
online franchise education program funded by the ACCC and administered by Griffith
University.
This ‘buying a franchise’ pre-entry program provides prospective franchisees with the
tools and resources to make better informed decisions about franchise business
opportunities.
A survey by Griffith University has shown that the vast majority of participants have
found the program to be useful and would recommend the program to other potential
franchisees.
“By understanding more about buying a franchise business, including some of the
practical issues they could face as a franchisee, prospective franchisees will be more
informed before making a decision.”
The program consists of five modules. Prospective franchisees learn about franchise
specific issues, including the Franchising Code, franchise fees, royalties, operations
manuals, marketing funds and site selection, as well as general business concepts such
as cash flow, working capital and business reporting.
Dr Schaper said the program helps provide would-be franchisees with detailed, realistic
information about running their own franchise operation.
“The program can help maximise the potential for future success and minimise the
chances of conflict or failure, by better understanding the system you are entering.”
For more information about the program, visit
http://www.franchise.edu.au/pre-entry-franchise-education.html
For information about the Franchising Code of Conduct, visit the ACCC’s franchising
webpage: http://www.accc.gov.au/content/index.phtml/itemId/6118
Media inquiries
Dr Michael Schaper, acting ACCC chairman, (02) 6243 1106
Mr Brent Rebecca, media, (02) 6243 1317 or 0408 995 408
We can assist you with enrolement if necessary – please contact J J Riba & Co

Advertisements

About jjriba

Joseph Riba is an Australian Business lawyer. Joseph Riba has worked for more than a decade in the franchising industry. He was admitted as a lawyer in Queensland Australia in 1993 and commenced J J Riba and Company Commercial Lawyers in 1998. Between 1999 and 2010 Joseph Riba worked for a National Franchise System known as Bright Eyes. J J Riba and Company have developed structures and systems to help small business owners carry out their plans to expand their business interests using franchising. J J RIba and Company are developing new systems to assist their clients avoid risk and achieve results for small business owners without the expense associated with large firm advice. J J Riba and Company aim to use their knowledge of franchising and business law to provide high level advice at an affordable cost. View all posts by jjriba

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: