Franchise Advice for Franchisees

Purchasing a franchise can be a great way of running your own business while benefiting from the reputation of an existing brand.

However, entering into a franchisee agreement carries risks you must be fully aware of before making that commitment. Understanding your rights and legal requirements to be a franchisee in Australia may seem intimidating, but our team of franchise lawyers can help you make sense of it all.

We are able to give you expert advice on the relevant regulations and codes in Australia. This will give you the clarity and assurance you need to make important decisions about your new business venture.

Purchasing a Franchise

When purchasing a franchise, you are buying a licence to use the franchise name for a set timeframe. Therefore, there are a lot of financial and legal issues to consider.

As you are not the owner of the product or service, you will be contractually required to run your business in a specific way. To ensure you are compliant, we will inform you of your franchisee rights and responsibilities under the Franchise Agreement and also the Australian Consumer Law and the Franchising Code of Conduct.

We can also help with other legal issues such as franchisor obligations, contract law, intellectual property law and employment law, and we can negotiate with franchisors on your behalf where necessary.

Reviewing Franchise Documents

When you apply or express an interest in becoming a franchisee, the franchisor has to provide you with specific documentation so that you can make an informed decision. The required documents include an Information Statement, the Disclosure Statement, the Key Facts Sheet, the Franchise Agreement, the Franchising Code of Conduct, and the Lease / Premises Licence Agreement (if applicable).

Our highly experienced franchise lawyers can review all these documents for you and provide expert advice including identifying any potential risks. If amendments are needed, we can liaise with the franchisor to negotiate a fair agreement.

Franchise Disputes

Unfortunately, disputes can happen between franchisees and franchisors. Differences or misunderstandings about contractual obligation, profitability and risk are often the cause. Disputes can get unpleasant and costly, so you need legal advice to ensure that dispute resolution procedures are being followed.

Our team at McMahon Fearnley have extensive experience in franchise disputes and are highly skilled in negotiation, mediation and litigation. In the case of a dispute, they will work closely with you to advise you of your options and to create a strategy to solve the dispute based on your individual business needs.

How We Help Our Clients

Becoming a franchisee can be stressful. There are many legal and financial ramifications to consider, which can be daunting and complicated to understand.

We can review all the necessary documentation from start to finish and provide impartial advice and assistance to ensure this is the right business venture for you.

If you are thinking about becoming a franchisee, contact us today to see how our team of franchise lawyers can help you.