Franchising In New Zealand

FranchiseUpdate:

There is a very positive climate in relation to franchising in New Zealand where over 300 systems exist. Franchising has been growing at about 20% per annum during the past 5 years and although there is no mandatory legislation, there is a Code of Practice which is mandatory for members of the Franchise Association of New Zealand.

The Code of Practice has 4 main aims:
1. To encourage best practice throughout franchising.
2. To provide reassurance to those entering franchising that any member displaying the logo of the Franchise Association of New Zealand is serious and has undertaken to practise in a fair and reasonable manner.
3. To provide the basis of self-regulation for franchising.
4. To demonstrate to everyone the positive will within franchising to regulate itself.

The Code applies to all members including franchisors, franchisees or affiliates such as accountants, lawyers and consultants. All prospective new members of the Association must agree to be bound by the Code before they can be considered for membership.

What Does the Code Cover? Here.