FRANdata highlights need to address info shortage
In its first FRANdata report on Australian franchising, the research firm notes a great “need for improved franchising data”.
The report called into question some macro-economic data, as well as the accuracy of assertions as to the number of franchised businesses, industry turnover and employment by the Australian Franchise Agency.
“Questions will be asked of the franchise sector if the number of confirmed franchise systems does not increase substantially by October 31, 2015, being the deadline for updating franchise disclosure documents,” Darryn MacAuliffe, FRANdata Australia CEO, said.
“One would expect that regulators keen to ensure regulatory compliance would focus on franchise systems without ‘confirmed’ status, as that could be due to non-compliance.”
“Given the ease of registration and only nominal cost there is really no excuse for franchise systems not to register,” MacAuliffe said.
The report said that the voluntary registration feature of the Australian Franchise Registry that enables franchise systems to confirm their regulatory compliance is a strong positive for the sector.
The report is available to purchase for $365 plus GST through info@frandata.com.au.
