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CHOICE

by Simon Lord,
last updated 14/09/2018

If you've ever dreamed of owning your own business, there are hundreds of different opportunities in New Zealand.

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Business confidence might have taken a bit of a knock recently, but many franchisors are saying that their biggest problem isn’t a shortage of customers or sales, but a shortage of new franchisees. In many sectors, there are more opportunities and locations available than there are people to develop them.

If you’re keen to own your own business, then, it’s a good time to start looking. A good franchise can provide you with the training, the support, the marketing and the products or services to get you off to the best possible start. But what do you choose? Here’s a sector-by-sector guide to:

  • Auto Services
  • Business & Commercial Services
  • Computers & Telecommunications
  • Financial Services
  • Food & Beverage

 

  • Fitness, Health & Beauty
  • Home & Building
  • Home Services
  • Leisure & Education
  • Retail

In each category, we’ll tell you a little bit about the franchise environment, explore the investment range, outline the type of franchises operating and the sort of skills franchisees need. You can search for specific opportunities by category or investment level in the Westpac Directory of Franchising.

Auto Services

With the number of cars on New Zealand roads constantly increasing and WOF regulations becoming tighter, auto servicing and repair is a growth sector. Franchises available in this category divide into two: the fixed type, such as Pit Stop, or Midas, where customers bring their vehicle to you, and the mobile type, such as Touch-Up Guys and Snap-on Tools, where the franchisee goes to the customer. Often, franchisees deal with garages and car yards or fleet operators where they can get bulk business as well as servicing private individuals. An exception to this is the windscreen repair industry, which is largely financed by the insurance companies.

The investment required in this sector varies widely from $40,000 for a mobile business up to $180,000-plus for a fully-fitted automotive service centre. Other types of auto franchises include include car valeting and, at the upper end of the investment spectrum, full automotive dealerships.

Business & Commercial Services

New Zealand has a very high proportion of business-to-business (B2B) franchises compared to other countries. The high incidence of small businesses which need to buy-in external services rather than having them in-house may explain this. Whatever the reason, B2B has been one of our fastest-growing franchise sectors for some time and shows no signs of slowing down.

The sector offers a huge range of services: business coaching, commercial cleaning, courier delivery and accounting, among others. There’s an emerging niche in health and safety, and even promotional goods and media offer franchise opportunities for sales people.

A lot of B2B franchises are home-based and mobile, with investment levels starting from as low as $5,000 (although don’t forget you’ll need working capital, too). However, services such as EmbroidMe are premises-based. Having premises usually doesn’t mean franchisees don’t have to make sales calls, though – marketing to local businesses is usually a vital part of the franchisee’s role. In every case, good interpersonal skills are required to market to other businesses and it is equally important...

 

This article appears in full in the most recent issue of Franchise New Zealand (Year 27, Issue 3) and can be read in our digital issue of the magazine, or ask for your own free print copy.

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