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Can franchising be the turning stone in the financial progress of Australian investors?

Reveal the story behind the over 90% prosperity in the Australian franchise sector and discover how becoming a small business owner developed into a winning strategy for ambitious entrepreneurs around the country. In the past few years, the evolving franchising industry of Australia have accelerated a wave of entrepreneurial minds streaming with great force towards finding success in the world of small business ownership. Franchising campaigns find thousands supporters each year increasing the number of franchising businesses in Australia up to 1180 in comparison with the 693 franchise systems which have been registered until 1998.

With over a little less than 100% prosperity in the sector and sales turnover estimated in more than 131 billion Australian dollars, buying a franchise has become a top preferred strategy by businessman across the country. Expanding Your Ideas Yet, not all franchising initiatives end with a rate-busting profit. According to the 2012 Australian Franchise report, a top challenge for the franchising sector of Australia continues to be maintaining standards in system processes. Without a proper strategy of success, most startups are doomed to failure. Exceptions can be made for enterprises working in the top industry categories such as retail trade, accommodation and support services, such as aged care and home cleaning franchises. The inexhaustible capacity of these markets offer 96% return of the investments for a short period of time. Becoming a franchisee is a journey of the entrepreneurial mind which reflects the transit of innovative business ideas to the railhead of success.

The obstacles which franchising investors meet along the long road of getting their business off the ground, builds a strong basis of experience. With a clear idea, high motivation and a pinch of confidence, the competent and persuasive franchisees will be able to push their startups out of the void of uncertainty which covers the outset period of three to six months prior to setting up a franchising business. Despite the vacillation, which comprises first-time investors and the size of the Australian market, the Griffith University research indicates that industry competition, uncertainty and franchisor cash flow are the least of the challenges which the Australian franchise sector creates for new business owners. Regardless of the 90% prosperity of the franchise industries in the country, one of the biggest challenges for the sectors remains the recruitment of franchisees. Yet, the university report shows a net growth in the franchise systems in the continent of nearly 15%.

The in depth researches and case studies of leading franchisors in Melbourne and Sydney, show the years after the Global Financial Crisis have been perfect time for investing in already established business and buying a franchise. Although, the region of Victoria and New South Wales offers a great number of businesses for sale, investing in retail and cleaning franchises remains a top winning strategy for most Australians. Whether or not a certain business is going to hit top-selling rates is a matter of motivation and innovative thinking. Every business, no matter how small it is, has availability of prospective. The question is, are you willing to give your best in order to become a successful business owner?

It Takes a Good Plan to be Successful in Rental Property

(Investment Properties: Part 5 of 5)

For people considering a purchase of a rental home this is truly an opportune time. The tremendously low mortgage rates coupled with attractive home prices makes this a buyer’s market.

However, numerous reports indicate that home prices are rising consistently, although modestly. If you are considering buying a home it is time to take action. Here are a few guidelines to help you plan out your first purchase.

Look to Experts

If you are looking at your first investment property purchase it would be wise to work with a real estate agent that is experienced in these kinds of deals. An agent that intends to work with an investor over the long term will be meticulous about the property recommendations to insure the investor meets their financial goals and comes back to the agent for more homes.

It is also a good idea to speak with other investors. They can provide you some guidance about what to look for in homes, what areas to avoid and other general information that is generally not found in a textbook.

What Type of Investment Do You Wish to Pursue?

Some first investors choose to buy a home at a great price and rent it out on their own. Others use the service of a management firm. And then there are the individuals that buy a home, spend some money on repairs and put the home back on the market at a price to make a profit.

It is important to consider your options and tolerance for risk. Buying a home that you can easily afford while looking for a tenant may be a good opportunity to get your feet wet.

Develop Your Team before the Purchase

If you plan to manage the property on your own, there will be a few individuals you need to contact prior to purchase. First, you will need a lender that can handle investment loans. Second, you should consult with an accountant and attorney to make sure you are covered legally and that you minimize your tax liability. Third, you should speak to an insurance agent about the proper policies to cover your investment. Finally, you will need to talk to a general handyman or one each of plumbers, electricians, roofers, painters and HVAC repairmen. Having these people lined up and ready to work for you will make much of the process go by smoothly.

Choosing the Right Area

It is important to pick a home in an area that is accustomed to rental property. Places with a high population close to schools and shopping districts are usually safe bets. Rural areas can be difficult simply because the number of available applicants is typically small. Keep in mind that you may want to sell the property in a few years. If you buy the smallest, or the largest, home in a neighborhood it can be tough to unload later.

Buying an investment home should be approached as a strictly business transaction. Decide how much you can comfortably invest and how much you hope to make as a return and let those types of items help you with the decision.

Investment/Rental Properties (5 Part Series)

• Preparing to Purchase that First Rental Home (Part 1 of 5)
• Adding the Title of Landlord Behind your Name (Part 2 0f 5)
• Rental Property is Still a Safe Investment (Part 3 of 5)
• How to Pick Profitable Rental Properties (Part 4 of 5)
• Success Plan for Investing in Rental Property (Part 5 of 5)

Hi Everyone,

I just want to tell everyone about my success with an IndyMac shortsale. The property was in good condition. There were two liens on the property (same bank). I had excellent Sellers because they cooperated in everyway they were asked to. IndyMac was very responsive with responses within 10 days. Midway through, the contact negotiator changed and so then everything had to be resubmitted because it had been some time since the first submission. I used their shortsale package from their website and made sure the loans were referenced in all pages (bottom righthand). The second negotiator took more time to get back and their letter to my client indicated that they would do so within 30 days. After about 3 weeks, I received a response and everything went smooth from there. We closed in 10 days. The entire process did take about 6 months because the first time an offer was submitted to them they wanted a higher price and time passed as we waited for an offer to materialize when the first one walked.

But I did not technically wait for an offer. I got busy pitching it, door knocking, holding open houses, contacting everyone possible to let them know it was available and praying alot. One item of interest is that IndyMac did not like that my client vacated the property and my client had to move back to safeguard the home. The asset manager had someone enter the property with a master key which my client was not happy about. However, my client did write them a letter to let them know that they would continue to stay in the property so it would not be vandalized. Besides that and the long wait for a buyer to materialize, things went very well.

Hope this provides some hope to others.