We have been privileged to act for a highly successful retailer who has used franchising as a business expansion model throughout NZ. We have crafted and refined a fit-for-purpose franchise agreement, which has proven to be fair and beneficial to both franchisor and franchisee in building a national brand.
Franchising enables a proven business model, which has been tested and refined, to be licensed to franchisees who are empowered and enabled to build a business. The key component of a franchise is the right to use an established, well-known brand and the "get-up" and design of the store with which consumers can identify. In effect, the franchisee benefits from the established goodwill of the franchisor and the support required to launch a business, which includes central sourcing of stock at competitive prices, ICT systems, staff training, group advertising and promotions.
Franchising has proven to enhance credibility in financing, is considered a lower risk than other "start-ups" in business and franchisees are highly invested and motivated in the success of their business.
Our franchise agreement effectively governs all the critical aspects of franchising in a balanced sense, anticipating all eventualities and has proved itself in a challenging and competitive market.
