Franchise jewellery chain enters administration
A Brisbane-based jewellery chain that pioneered the sale of laboratory-grown and simulated diamonds in Australia has gone into administration, according to a media report.
The trading entities of Secrets Shhh, including 23 company-owned stores, were placed into voluntary administration but continue to trade as administrators urgently seek a trade sale of the business as a going concern. Stores are still taking orders however administrators cannot guarantee that all orders can be fulfilled, or that gift cards acquired before the administration will be honoured.
The brand’s listing on the Australian Government’s Franchise Disclosure Register indicates that Secrets had only one franchisee at the time of its last listing update, but is understood to have been majority franchised cross its network some time previously. Read more 1; Read more 2
Franchise terminated for suspected money laundering
Banking group Bendigo and Adelaide Bank have terminated its franchise agreement with one of its branches after Victorian Police arrested four branch employees in relation to alleged money laundering, according to a media report.
One female and three males from Bendigo’s Pinewood Community Bank in Melbourne’s Mount Waverly were arrested and interviewed in relation to the Commonwealth offence of dealing property suspected to be proceeds of crime. The arrests resulted from Bendigo reporting suspicious activity at the branch to the Australian Transaction Reports and Analysis Centre.
Bendigo operates community branches under a franchise model with local organisations and independent directors. It is now the only franchised bank in Australia following the Bank of Queensland’s acquisition of all its franchised branches over the last two years. Bendigo has employed global advisory firm Deloitte to review its risk policies while also undertaking a full review of all branches and transactions. Read more
Chicken chain’s $1 billion deal is highest per outlet ever
The New York-based private equity firm behind aged and disability care platform Mable will acquire Australian family-owned charcoal chicken chain El Jannah for a price approaching $1 billion, according to a media report.
Established in 1997, El Jannah now operates 50 locations across New South Wales, Victoria, and the ACT. El Jannah plans to grow to more than 300 sites within the next decade. On a per-store basis, a $1 billion valuation ranks the El Jannah sale as the most expensive in Australian franchise history, and more than the cost per outlet of the Guzman Y Gomez initial public offering in June last year which valued the Mexican food chain at more than $3 billion with around 180 outlets at the time. Read more 1; Read more 2
Franchisees demand fee reduction in pizza standoff
Australian franchisees of listed fast food operator Domino’s Pizza Enterprises (DMP) are demanding an immediate fee reduction following claims that the company is making it impossible for them to earn a living, according to a media report.
Currently, DMP operates 829 stores in Australia. Represented by the Australian Association of Franchisees (AAF), 128 franchisees from 350 stores allege that increasing fees paid to DMP have been subsidizing a troubled international expansion. Disgruntled franchisees are also claiming that the dollar amount of their earnings has not changed in the past 15 years, which, after adjusting for inflation, means that profits have actually declined in real terms. Additionally, franchisees are concerned about the extent to which Domino’s profits from products supplied by the company to franchisees, and the effectiveness of an increase in the company’s marketing levy funded by franchisees. More than half of the 128 franchisees represented by the AAF claim they are on payment plans with the Australian Taxation Office, which can be an indicator of insolvency. .
DMP executive chairman and major shareholder Jack Cowin, founder of Hungry Jack’s, took over the reins of Domino’s earlier this year, embarking on a cost-cutting review which has resulted in the elimination of a number of executive roles. Cowin has assured franchisees that of the $70 million in expenses being stripped from the business, two-thirds will be directly reinvested into the franchisee network through lower food, packaging, and advertising fund costs. Read more
Coffee chain's first step outside of QLD is India
Brisbane-based café and drive-through franchise Stellarossa has signed a master franchise agreement with Franchise India as coffee and café culture in India becomes established, according to a media report.
Franchise India will adapt Stellarossa’s offerings to Indian conditions driven by a young demographic, changing social habits, and increased consumption of out-of-home food and beverages. Read more
Delivery drivers to receive minimum wage
Delivery drivers for food delivery companies in Australia are set to receive accident insurance for injuries sustained on the job and a minimum hourly wage, pending approval by Australia’s industrial relations tribunal, the Fair Work Commission (FWC), according to a media report.
Australia’s two largest food delivery services, DoorDash and Uber Eats, together with the Transport Workers’ Union (TWU) have submitted a joint application to the FWC following the introduction of Federal workplace reforms empowering the FWC to set minimum standards for gig workers. The submitting parties have been in negotiations for years around what protections are necessary and appropriate and what terminology is accurate and acceptable. The TWU has agreed to refer to workers as “employee-like.” DoorDash and Uber Eats have not confirmed how the increase in operating costs will be funded but they are likely to be passed onto the consumer.
Proposed protections included a safety net rate of pay for delivery drivers of at least $31.30 per hour depending on the type of vehicle used (effective from 1 July 2026 with a further increase from 1 January 2027), personal accident insurance (excluding compulsory third party), new engagement and feedback mechanisms, new dispute resolution processes, and representation rights. Penalty rates and payment for time spent waiting between jobs are not included. Prior to approval, the FWC must consult with other stakeholders, including other delivery providers, and must determine whether delivery drivers are employee-like or already employees. Read more
New version of Franchising Code released
A new version of the Franchising Code of Conduct containing minor technical amendments was released by the Australian Government without any prior announcement to the franchise sector.
The new Code, which took effect on October 21, includes amendments dealing with powers and functions delegated to the Australian Small Business and Family Enterprise Ombudsman, and secretary of the Franchise Disclosure Register. They do not impact any of the obligations between franchisors and franchisees outlined in the previous Code, including those which come into effect from November 1. The new version of the Code can be accessed online here.
Mexican chain lowers US growth expectations
Listed Australian-based Mexican food chain Guzman Y Gomez (GYG) has lowered investor expectations on its proposed expansion in the United States, limiting growth to its current planned 15 locations until store revenues exceed USD $60,000 per week, according to a media report.
The company, which listed in June last year and experienced an initial surge in its share price has since seen its share price decline 40% this year and is now trading at around 17% lower than its listing price.
Currently GYG only has seven stores in the US and averaged sales growth of 6.7%, below expectations of 9.1%. The company claims it will focus on reduced portion sizes to better accommodate customers who take weight-loss drugs. Read more
Wellness chain to be liquidated
Victorian-based wellness chain Recovery Lab, which has up to 13 locations around Australia, has gone into liquidation according to an Australian Securities & Investments Commission (ASIC) notice.
The chain, operated by former professional AFL player Daniel Harford and rugby union player Ben Seymour provides treatments to help athletes to reduce fatigue and accelerate recovery after intense physical activity. Liquidators at accounting firm PKF Melbourne have been appointed to handle the winding-up of the company, which did not first enter administration, but instead went directly into liquidation, indicating that there were no prospects for a turnaround or sale of the business. Public records on the Australian Government’s Franchise Register website indicate that at least nine franchisees are impacted by the liquidation. Read more 1; Read more 2; Read more 3
Staff personalisation reduces retail abuse
Staff personalisation through the use of badges with a subtle note of self-disclosure can significantly reduce verbal abuse of frontline retail staff by customers, according to a media report.
Research into the concept has been undertaken by academics from the Queensland University of Technology’s Business School and Mexico’s EGADE Business School. The research suggests that the self-disclosure reminds customers, who may from a sociological perspective consider themselves to hold all the power in their interactions with retail staff, that employees are also individuals with lives, families, and communities, just like them. Examples of personalised messages of self-disclosure include “I’m a local” and “I’m a dad.”
In Australia, data indicates that 87% of retail and fast-food workers have faced verbal abuse from customers so badges may be a cost-effective way to improve service interactions and mitigate harm to employees. Read more
Franchise leaders 2026 professional development calendar now released
The Franchise Advisory Centre has now released its 2026 calendar of professional development courses for franchise leaders, covering topics including franchise recruitment, performance management, resales, engagement, retention and the Franchising Code of Conduct. For dates, costs and details of the available range of courses which commence in February 2026, visit www.franchiseadvice.com.au/overview.
Courses to boost the performance of existing and future franchise leaders cover job functions across a franchise head office, including field support, compliance, training and induction, franchise recruitment, finance, general administration and upper management. In-house delivery of customised course content can also be arranged by contacting [email protected]. All courses count toward the internationally-recognised Certified Franchise Executive (CFE) designation.
Jason Gehrke is the Director of the Franchise Advisory Centre and has been involved in franchising for more than 30 years at franchisee, franchisor and advisor level. He advises both existing and potential franchisors and franchisees, and conducts regular education courses for franchisors in Australia and overseas. He has been awarded for his franchise achievements, and publishes Franchise News, Australia’s only fortnightly electronic news bulletin on franchising issues.
www.franchiseadvice.com.au
