28
Franchise New Zealand | Spring 2026 | Year 35 Issue 03
Franchise Finance
Westpac’s Daniel Cloete on why franchising
gives business buyers an edge when
looking for finance
THE
FUNDING
ADVANTAGE
Starting your own business is one of the most exciting investments you
can make, but it can also be one of the most challenging. The question isn’t
simply which business should I buy? It’s which business model gives me the
best chance of success and the strongest access to funding?
For many aspiring business owners, franchising provides a compelling
answer. While independent SMEs remain the backbone of New Zealand’s
economy, franchises offer something unique: the opportunity to be in
business for yourself, but not by yourself. A proven model, established brand,
buying power, and ongoing support can create advantages that benefit
not only the business owner, but also the lender assessing the opportunity.
Banks continue to lend to good businesses in resilient industries, and strong
franchise systems often provide additional confidence through proven
performance, benchmark data, and established support structures.
Key funding advantages for franchise buyers
Easier access to finance
One of the biggest advantages of buying a franchise is that lenders can
assess more than just the individual applicant. Unlike many independent
start-ups, established franchise systems often have a track record of
performance, benchmark information, and documented operating systems
that help demonstrate business viability. This can provide lenders with greater
confidence when evaluating a funding application.
Support for first-time business owners
Many successful franchisees are first-time business owners. While they
may not have direct industry experience, banks often take comfort from
the structured training, operating procedures, and ongoing support provided
by quality franchise systems. This support can reduce execution risk and
help aspiring entrepreneurs enter industries they may otherwise not
have considered.
Proven systems and benchmarking
A key strength of franchising is access to proven business systems and
performance data. Franchisees benefit from established processes,
management information systems, and benchmark reporting that help
measure performance and identify improvement opportunities. For
lenders, this data provides additional insight that is rarely available in new
independent businesses
Buying power creates financial advantages
Buying power is one of the most overlooked benefits of franchising.
Franchisees can often benefit from discounts on purchasing stock and
equipment, with similar advantages available across insurance, banking, IT,
and other business services.
However, buying power is about more than cost savings. Franchise
systems can negotiate supplier support, training, innovation programmes,
marketing initiatives, and service agreements that would be difficult for an
independent operator to secure alone. Lower operating costs and stronger
SCAN TO CHECK OUT OUR CURRENT FRANCHISE OPPORTUNITIES
At Soul Origin we are known for our fresh
delicious food and seriously great coffee.
With 4 stores open across Auckland, we are
expanding across the country, and we’re
looking for passionate people to bring our
great food to local communities.
This isn’t just any franchise. It’s a chance to own
a business with a proven model, expert training,
marketing support, and a menu people love.
SO, why wait? Be one of the first to bring
Soul Origin to your community and serve
up the goodness made great every day.
To talk to one of our Sales Team, reach out on
PH: 09 873 4961
E: franchising@soulorigin.co.nz
, Are You Ready for Something Fresh?