Franchising

For the purposes of the Franchising Code of Conduct, the relationship between the ACAS and member colleges is not a franchise because ACAS has no centrally controlled marketing plan or system.

The code had four elements, all of which must be present for a relationship to be classified as a franchise1:

  1. An operating business with a symbol or trade mark
  2. An agreement, which may be written or implied
  3. A marketing plan or system controlled by the centre
  4. A fee paid to the franchiser

This definition has been changed to three elements, but it means the same.

For more information see www.accc.gov.au

__________

1The franchisee's guide to the Franchising Code of Conduct: A Small Business overview, Australian Competition and Consumer Commission, (3/00).