Home' Border Enterprise : Enterprise Spring-Summer 2009 Contents 17
"Being part of the franchise allows us to
streamline our business and make it even more
effective, without someone looking over our
For Kerry Bosch, the decision to buy into the
Trios franchise was simply a common sense way of
planning for the future.
The franchise, which revolves around the sale of
prepared food such as baked potatoes, wraps and
salads, is based in Centro Albury, which makes it
a perfect location for Mr Bosch who moved to the
Border after establishing the business.
"I bought the franchise a bit over two years ago,
in partnership with my dad," he says.
"I've always wanted to own my own business
and I suppose I had planned for that to happen
once I finished in the media business.
"I had not intended to move back from
Melbourne but the business took off and I needed
to be more hands on; although now it basically
Mr Bosch says the advantage of being in a
franchise as opposed to establishing a business
from scratch is that you are taking a proven model
that has already worked and you are adapting it to
a new market.
"Some of the ideas that the franchisors have
brought to our business are things we would not
have thought of if we had started from scratch,"
Andrew Wilson purchased Sportspower in Olive
Street Albury about 15 months ago from previous
owner, Craig Cleary.
"I had worked there for the previous eight years
and when the opportunity came up I purchased it
in partnership with my wife, Alana, who also works
as a health professional," he says.
"I bought the business simply because I saw
a way of reaping the maximum rewards for my
efforts, rather than working for a wage."
Mr Wilson says he has access to plenty of
support and advice and that he was fortunate
because he already had an intimate knowledge of
the business when he bought it.
"But if you are going in cold you have to ask
questions, do your research, make sure it is for
you and that you will be able to do things like
manage your cash flow, especially in a business
where stock is influenced by the seasons," he
"Otherwise you could be back in the employment
market very quickly."
How do I finance the purchase of
Franchising in Australia is in a very favourable
position in comparison with independent
■ The vast majority of new business start-ups
use personal savings and loans from friends
and family to finance a new business.
■ Generally the banks will not finance new
business start-ups during their high risk
establishment period. As a result most new
business start-ups use a first or second
mortgage on their home to raise the capital to
start a business.
■ Franchising, however, enjoys a unique
space in the small business sector of the big
banks, all having dedicated franchise teams
who are trained specifically in franchise
■ Many of the established franchise systems
(those that have been franchising for 3-5
years and have over 15 franchises) have
"approved" status with some or all of these
banks, which means that, depending upon the
franchise system and which bank, between
20 per cent and 70 per cent of the total
establishment cost is finance by the banks
and secured by a charge on debenture (a
kind of mortgage) over the franchise and its
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