Simple, proven steps on how to franchise a business

Starting a franchise can be daunting. There’s the cost, the systemisation and the documentation, not to mention all the legal requirements. It’s easy to get overwhelmed by the idea of franchising and thinking about how to start a franchise. The truth is, with franchise advice and assistance from experts, it can be a cost-effective way to expand and grow your business, even if it’s a small company. So, what are the steps to franchising your small business? Take a look at how to start a franchise in Australia:

Step 1

The first thing you need to determine before starting a franchise is whether or not your business can be franchised. If you do your research, you’ll soon discover that there is a standard list of criteria for what makes a business suitable for franchising. These include things such as:

  • An established brand

  • A proven track record

  • A niche business

  • Profitability

  • Longevity

  • Ability to be replicated in a number of locations

Many successful franchisors did not have ALL of these criteria in place before they ventured out. However, with guidance from a professional franchise consultant, they were able to successfully franchise because they approached the process in the right way by using the correct structures and models.

Step 2

The next step involves undergoing an in-depth analysis of your specific business and whether it’s suited to franchising. In the industry, this is known as a feasibility review and can often cost many thousands of dollars. At The Franchise Institute we offer the Franchise Feasibility Review for free. To find out more about the Franchise Feasibility Review Process

3 Tips When Considering Starting A Franchise.


Start the way you want to finish. It’s important to start the franchise process with a clear vision of the end in mind. Making significant changes along the way is difficult so set up your franchise as you want it to operate from the very start. One way to make sure you get it right is to use a proven program like The Franchise for Success Program.


You don’t just want a bunch of documents. Sometimes people think the steps to franchising a business involve only getting a few documents together and that’s all. Nothing could be further from the truth. Successfully franchising a business relies on you having robust and replicable business systems that appeal to others.


Franchising a business takes time and some initial investment. It’s not something that can be done overnight or in a few weeks. Allow at least 6 months and an initial investment of between $25,000 and $35,000. Remembering, of course, that franchising is about replicating your business over and over again. The initial investment is a once-off fee.

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How To Franchise Your Business

If you’d like to learn more about this wonderful opportunity, take advantage of our free 30 minute consultation with a specialist. Talk to us about your vision and know how to franchise your business.

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