Multi-Unit Franchising – Friend Or Foe?

Franchise.net.au:

There is some evidence that the incidence of multi-unit franchising is growing and Australia is following the US in the trend albeit many years behind. So is multi-unit franchising something you ought to consider?

At present, approximately 75 percent of franchisees in Australia are single-unit franchisees. This reflects the desire of most franchisors to harness the owner-operator effect – the almost magical effect on an individual’s motivation and performance that is legendary in the franchise sector. There would be few who would argue with the accepted benchmark that the owner-operator effect produces a 20 percent uplift in top line performance due to a range of behaviours which employees generally don’t exhibit.

Read more.

Leave a Comment

Your email address will not be published. Required fields are marked *