Independent experts to personally and thoroughly review your franchise outlet purchase about whether your going to make any money BEFORE you buy it.

That's the value proposition provided by Kate Groom and her business partner Peter Knight at Franchise Accounting and Tax, to would-be franchise outlet owners, which Kate talks about in detail in this episode.

There is no doubt that many buyers of franchises put a lot of decision-making weight in the brand name they are buying, and often make a lot of assumptions about the business.

Their Franchise Pre-purchase Review is part of the franchise due diligence for franchise buyers.

It helps buyers understand the cost structure of the business they are looking to buy, and from that they can work out what sort of sales need to be achieved to make a living and repay the debt. From that it forms the basis for a conversation to be had about the financial prospects of the business with all involved.

It's a key first stage part of the financial due diligence.

Podcast Produced by: www.magneticbusinessmedia.com.au

Franchise Stories and Knowledge Base (our other website): www.franchisebuyer.com.au

Connect with Kate and Peter:  www.franchiseaccountingandtax.com.au

Did you know some franchise companies have credit scores with the banks?   Gaining an underlying credit default risk score for a franchise brand in the process.   We all know a bit about personal credit scores through our own credit use for homes, cars and the like.   But the way financial institutions treat companies in this way potentially feels a little bit like the 'dark arts' to many. In this episode, Darryn enlightens us on;

• The current difficulties with franchise finance,
• How and why banks increase or reduce their appetite for franchise lending,
• How brands can improve their lending profile,
• Why franchise brands often do not give enough information to support franchise lending on their brand,
• Default risk scores for franchise brands - relatively new in Australia, but well-established in the US,
• More brands in Australia have been pleasantly surprised by their scores,
• Key takeaways for a franchise owner accessing finance for their business, and for franchisors looking to grow their network.

It was never in Sam's plan to be franchisor and CEO of a fitness franchise.   At just the young age of 22, a range of circumstances within the franchise brand that he owned a franchise in, meant that a group of older franchise owners turned to Sam to ask him to try to buy out the founding franchisor and run the whole franchise business in order to take it in the direction it needs to go.   Sam's own circumstances prior to this unknowingly already set him on this path, and shaped his direction.   Enduring a broken back as a teenager in school resulted in Sam becoming obese, and as a result he unfortunately suffered significant bullying in that environment.   Finding himself on a personal journey of a return to health, mental wellness and fitness, saw him discover a passion for being involved in the fitness industry.   This passion was driven by a desire to be able to impact the health and well-being of Australians after his own experience had such a profound impact on his outlook on life.   First as a personal trainer, then as an employee in a company owned gym of Stepz Fitness, a chance conversation he overhead one day while a potential buyer was touring the business, changed his life.   Vowing to get the $500k somehow within a quick space of time to buy the gym he worked in, set him on the course of becoming what he is today...

Franchise business models unpacked - Jonathan Payne, co-founder of Xpresso Mobile Cafe breaks down key aspects of the franchise with Glenn Walford.   The discussion focused around a number of key areas that make up the Xpresso Mobile Cafe franchise business offer;

• The brands change to now charging no franchise fees to make it easier and more attractive for people to join the brand,
• Van technology and in particular the battery powered capabilities of the vans - no generators anymore...
• The commitment to product quality and the departure from using a big 3rd party coffee brand, to now an exclusive coffee blend for the brand with it's own coffee roasted just for them,
• The people focus with the mobile cafe van operator, and customers and the importance of it in the business,
• What's the difference and reasons behind having a mobile van coffee business compared to a fixed cafe location.

Jonathan is very much about people in business, and this feature to his approach in the way he runs the Xpresso Mobile Cafe business, rings true throughout the conversation.   Also for context, Xpresso describes itself as being here to;   "...give people the knowledge and equipment they need to take control of their working life. We’re pushing the boundaries of employment freedom with inclusive business opportunities that allows a more flexible and enjoyable lifestyle. We set you up with everything you need to run your own mobile business and become a statement service in your neighbourhood."

Franchise owner journey: Nitin Khadalia - From a global award-recognised service advisor in one industry to multi-location franchise owner in another.

The journey to 3 franchises (and hopefully more on the way) with freight and logistics brand, PACK & SEND has been one of twists and turns for Nitin Khadalia.

After emigrating to Australia in 2006, Nitin initially stuck with his automotive industry background, predominantly as a service advisor with a number of major car brands.

With a successful career culminating in a second place finish as 'The World's Best Service Advisor' for Hyundai in 2014, Nitin had the itch to own his own business to build wealth and security for his family.

He took a leap of faith out of secure employment to free himself up to find his dream business.

While as an Uber driver on the side to keep things moving and income coming in for a few months, during this 'gap' time, a chance Google search result saw an advert that would go on to change the direction of his life...