Whilst franchising is currently a growth industry, it is quickly getting a reputation for "sharp & shoddy" practices.

There are numerous high-profile allegations of franchisees being misled, defrauded and generally treated in an unconscionable manner by well-known "national" franchisors. Major franchise brands accused

State governments in Australia are recognising that franchisors need EXTREMELY tight regulating and "policing" in order to address the problems being faced by many franchisees.

Unless this trend towards mediocrity (and the resultant trend towards regarding franchises in general with suspicion) is addressed and stopped, I believe that the strategic relevance of franchising as an industry will suffer.

This will require the "good" franchisors to develop (or promote the development of) the necessary systems/ regulations to prevent (or to identify) the "bad guys" joining the franchise family. Failing that, the industry risks working itself into a negative market position in the eyes of potential franchisees.

The Franchisees Advocate Group Business and Franchise Help