For many people the idea of owning or starting their own business remains constant in their mind and while they are working away at their careers they are thinking: - “how could I get into my own business”.
Franchising is the perfect pathway to fulfil this dream or idea, and more and more people are turning to franchising.
The FCA undertakes a survey of franchisors each quarter and this gives a sentiment about what is brewing or what is on the minds of franchisors. In the most recent survey for last quarter of 2025 to December, franchisee recruitment bubbled to the top of the list of key concerns and challenges. It speaks volumes to the opportunities available across the franchise ecosystems and presents a golden opportunity for those considering entering a business via franchising.
Of the networks surveyed and this is just a representative sample set, the survey indicated that in the year of 2026 around 2000 new franchised units were expected or planned to be opened. Now this only gives a guide from the sample set, the true number of new franchised unit openings in 2026 could be more than double that number and that’s a big number. This presents those considering entering franchising with ample opportunity to be considered.
The other big factor that needs to be considered by potential franchisees is to ensure that the format or sector that might be considered is the right fit. There are ample considerations for the financial obligation required including the initial investment and set up costs but equally important is the fit between the business format and the person. Franchisor recruitment processes do help with this by providing support and guidance and information to ensure that the right choice is being made. But, at the end of the day the person going into the franchise really needs to stop and consider; is this the right choice for me.
There are lots of success stories in franchising where people start with one franchise and grow to two, three, four and more and truly become the entrepreneur they set out to be. In some cases, the entrepreneurship is accidental, however one common theme in this journey is that the right choice and decision was made in the first place, to ensure a fit between the person and the network.
Franchising is a proven business model where support, branding, guidance, training and in some cases business leads become all part of the business journey and that is why it truly is a proven pathway to entrepreneurship.
When a person starts a small business they set out to be successful and be the best they can be in the chosen business. What franchising offers is a proven business model, business support and strategy, marketing, branding, supply chain and much more, enabling a new entry to move quickly into operations knowing there is a support network at the ready to help.
In another recent survey of potential franchisees conducted by the FCA found that 56% of people surveyed felt that the risk of failure was the second major factor in their considerations to enter a franchise. Curiously, the failure rate in small business across the economy on an annual basis is large with some reports saying that in 2025, failure rates were up some 30% on the previous year. Remember however, that the cost of living pressures remain real, higher energy costs remain real, and these factors do contribute to these challenges. But for franchising as a sub class of small business, the failure rates are extremely low, such that statistical tracking as an industry does not flag.
This leans to the reality that franchising as a format across so many sectors of the economy hold up far greater than small business running it alone. The stark reality is that a small business in franchise is at a much lower risk of failure than small business outside of franchising due to the network support and branding factors. To call out further from the survey, 44% of people rated the risk of failure low as a consideration to purchase a franchise. At the end of the day however, the real decision and real measurement of success for a person entering a franchise is the person themselves and the belief in their ability to run a business, be successful and find their path to entrepreneurship.
The FCA supports the franchising eco-system across franchisors, franchisees and service providers in education, industry and government advocacy, engagement and celebration of excellence, industry representation and communications. The recognition component of the FCA support comes about via the Franchise Industry Awards (FIA), which is celebrated each year at a national level across more than 20 categories to recognise businesses in franchising, with notable achievements, service, standards and via an independent rigorous judging process. These awards truly recognise both people and business in franchising and are the peak franchise industry awards in Australia. Many of the winners are truly entrepreneurs as they have chosen a pathway in franchising that has enabled them to use the system, the processes and protocols to be successful and then via the FIA be recognised for their success.
Franchising is a prominent industry in Australia. It employs over 500,000 people and is intertwined in almost every part of the economy. There truly is something in franchising for everyone and the FCA encourages interested people who are considering their next step or their path to entrepreneurship to look at franchising, you might be surprised how easy it is to find your fit and your next step on life’s journey.
