Positive Outlook for Retail & Service Franchises


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From The Sydney Morning Herald: Pwc Private Clients Franchise Sector Indicator finds Retail franchises are leading growth while service franchises are also performing strongly.

"Franchises are enjoying the fruits of an improving economy, having reported double-digit increases in revenue and profits and expect the same this financial year.

The findings are contained in the PwC Private Clients Franchise Sector Indicator, released this morning.

The survey found franchisors, those who sell the right to distribute or sell a particular product or service, lifted profits by 19 per cent and increased revenue by 12 per cent in the 12 months to June 30, 2010.

Meanwhile, profit and revenue among franchisees grew "around six to seven per cent", which PwC private clients partner Greg Hodson said was about twice the rate of the consumer price index."

Read the full article.