Are you wondering what would be the best way to expand your local bakery across the country? There are a lot of ways to do so. However, franchising your business would be ideal. Franchising allows other bakeries to run under your brand and offer your products across the country. Hence, it can help your local bakery reach every corner of the country. However, you must consider a few factors before proceeding with the process.
Want more information? Let’s discuss more about franchising your bakery in the following blog post.
What to consider when franchising your local bakery worldwide?
Franchising may seem easier than it sounds, right?
Let us tell you that franchising is much more than that.
Data shows that the franchise failure rate ranges between 20% and 50%.
Thus, you must consider the following 7 factors when franchising your local bakery:
1. Capital is one of the most essential factors you must consider when franchising your local bakery. Even though your franchisees will make the investments, you should have enough money to train them and prepare the legal documents.
2. Next, you should consider niche popularity to franchise your local bakery. Data shows that the Australian bread and bakery market is expected to grow at a CAGR of 3.40% between 2025 and 2029. Though this data is enough to attract potential franchisees to invest in the bakery franchises, you must ensure that your bakery is popular within and outside of your local market.
3. Now that you know that your business niche is popular, you must prepare the legal papers before franchising your bakery. Experts suggest that FDD (Franchise Disclosure Document) and FA (Franchise Agreement) are the two vital legal documents you must prepare with a proficient franchise lawyer before franchising your local bakery. Along with this, you must also ensure that these documents contain all the information about your bakery business.
4. Business revenue is another vital factor you must consider before considering franchising your bakery. Research shows that the bread and bakery market in Australia is expected to reach USD 9.77 billion in 2025. Though this stat alone can help you attract potential people to invest in your bakery franchises, you must ensure that your brand revenue is lucrative enough.
5. Hiring the right franchisees is another crucial factor you must consider before franchising your local bakery nationwide. Most people tend to hire their friends and family members as their franchisees. Even though there is nothing wrong with that, you should ensure that they have the potential to run a bakery franchise. Experts suggest hiring someone who is more interested in growing with your brand rather than getting rich faster will be ideal.
6. Providing enough franchisee training is crucial during franchising your local bakery across the country. It won’t only help your franchisees to learn your brand better but also assist you to maintain the quality and standard across all your bakery franchises in Australia.
7. Last but not least, you should discuss the franchising matter with a professional franchise consultant. With years of skills and expertise in franchising many bakeries across Australia, they can guide you through the franchising process.
Final thought
Can’t decide on how to expand your local bakery across the country? Instead of opening multiple units nationwide, consider franchising your business. Franchising is more than just allowing other bakeries to run under your brand name and offer your products across Australia. However, before proceeding with it, you must consider a few factors beforehand. We hope this blog post can help you understand everything about that in the following blog post.
Author Bio: The Author is a professional franchise consultant in Australia. For years, he has helped tonnes of people to expand their local brands across the country through franchising. Along with this, he also has written many articles and blog posts on related topics like the benefits of franchising your business in Australia, etc.
