Mortgage Choice claims its exit strategy for franchise owners is offering significant financial rewards, which is contributing to increased sales activity in its franchise network this year.
It said exiting franchises were sold for “multiples of three times net trail” in 2011/12 FY.
“It is tremendously rewarding for the brand that not only are we attracting quality new franchise owners, but we are providing them with a system that upon exit, provides them with industry leading sale prices,” said CEO Michael Russell.
Mortgage Choice also reported an increase in new ‘greenfield’ franchises, from 19 in 2010/11 to 20 in 2011/12.
“[It] augers well for the sustainability of our business and the industry as a whole,” said Russell.