Franchising in New Zealand
Franchising in New Zealand has gone from strength to strength, with an estimated 300 franchise systems generating combined turnover of around $10 billion. The number of franchise outlets in the country totals over 14,000.
These figures catapult New Zealand to the leader board in terms of franchising utilisation. New Zealand has clearly embraced franchising as a method for distributing products and services.
Unlike some other countries, New Zealand has no specific legislation relating to franchising. However, we strongly support and recommend all franchisors adhere to the Franchise Association of New Zealand’s voluntary Code of Practice. Furthermore, whilst there is no specific legislation, it is important to recognise that the courts do view the relationship between franchisor and franchisee as unique and not a simple bilateral contract.
Franchising is exciting, but it must be done well.
Please contact us if you would like to investigate franchising in New Zealand.
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