Business Franchise Australia


New Expansion Options for Those Who are Prepared

For the post-pandemic world, smart businesses are planning early with an expansion agenda. Look at the new businesses created after the Global Financial Crisis in 2008. Companies like Grill’d Hamburgers, Schnitz, Quest Apartments and many service industry franchisors have grown to become household names.

As happened in 2008, there was an increase in unemployment. It is in this environment when the franchise industry shines. As a franchise development and recruitment company, we assisted many individuals in making the transition from unemployment to becoming a business owner, for example, assisting an ex-marketing manager in purchasing a sports store or an accountant to buy a food business that was closer to home.  

We believe there is going to be a need for well-developed, franchise business systems, where individuals can be trained in new business skills and receive the financial benefit of owning their own business.  

For those people who have been in full employment, franchising is the ideal business opportunity compared to buying an independent business. It is a way to enter the business world, where they are primarily responsible for customer interface and delivering the service or products of their franchisor. It is the responsibility of the franchisor to have a financially viable business that supplies the other components of marketing, business systems, product improvement and quality control.

Although business conditions are very challenging at present, a 12th March 2020 IBISWorld COVID-19 report rated the Economic Assessment effect on every industry subdivision in Australia and New Zealand as being HIGH, MODERATE or LOW.

The industries that will experience the highest economic impact are agriculture, base metals, wholesaling, accommodation and aerospace. Moderately affected is the retail sector, with the service industry to experience a low economic impact due to the virus.

There will be lots of gaps across the Australian marketplace just waiting to be filled. These gaps create new opportunities. For a business, look at entering into new geographical markets, geographically. For example, a business currently operating in one city could look at launching an expansion strategy into every other regional city.

Now you might say, how am I going to fill gaps in new cities when my resources are elsewhere? This is where a business needs to think laterally. Use local people and local resources in these new markets who will pay to join that business.

Local area companies or individuals, of which there are likely to be many, are ideal prospective allegiance partners who would act as your franchisees in their local area, as your franchisees. Having a business opportunity clearly defined is the first step in developing and implementing a business expansion strategy.

A franchisee uses their own capital to establish themselves in a territory. A franchisee brings commitment, motivation and local knowledge to the business in a way that could not be achieved by setting up a branch outlet with employed staff. And franchisees represent the brand and the business in their local area, collectively creating a network that gives brand presence not possible by conventional organic growth alone.

In the post-COVID world, there will be many well qualified, highly motivated people more than willing to invest their energy and capital in a well-defined business opportunity to secure their future.


Prepared by Colin Crawford

 National Franchise Manager

Wollermann Franchise Developments