January 23 2008 – Immigrant Franchise Opportunities in New Zealand

The 2007 Westpac New Zealand Awards were presented in front of 350 people including the Prime Minister. Jenny Chen one of the recipients was from China and her story is very informative. In previous years people from other countries like South Africa, United Kingdom and India have been recipients. However Jenny Chen has is the first China National.

Daniel Cloete, national franchise manager for Westpac stated that ‘Franchising offers many advantages to new immigrants,'. ‘Buying a franchise offers a very good way to get to know how business operates in a new country. With a franchise, they can get a name and a system that are designed to work in New Zealand conditions People who buy or attempt to set up independent businesses often struggle if they are trying to adapt a known business model to the totally different market and business environment here. Providing they can meet the franchisor's criteria and operate it well, a franchise will give them an excellent start.'

Jenny came to New Zealand to study English and Business studies with an eye on her future and the new China that was looking to engage the rest of the world. In the process she ended up marrying her flat mate an Italian.

The culture shock of New Zealand took some time to adjust but New Zealand was a friendly place and she established a number of friends mainly with other immigrants but not many Kiwis yet.

Clients, however, are another matter. After graduating, Jenny wanted to put her new-found knowledge to use in her own business and bought a Paramount commercial cleaning franchise. ‘I thought of a coffee shop at first, but I didn't know how to make coffee or even the names of all the desserts so I was too scared to do that,' Jenny laughs. ‘A friend told me about Paramount. It offered a stable income for a low investment and lots of support. I'd just finished studying, I wasn't confident with building customer relationships so it was a good way to start.' She soon learned. ‘Now I feel very comfortable. I think at the beginning some didn't trust me but Paramount told me how to handle that and give them extra care and now it's easy. It takes time and effort to set up good relationships. I visit my clients to talk about how we are doing every month. I take them coffee and muffins and talk about their family as well. I get them to show me anywhere where we didn't do a good job so they know I really care about my business. I think all my clients like me now!'

Jenny employs a team of Chinese and Korean staff, some older than herself at 31. ‘I think it is easier for me to communicate with other Asian people but there are other issues. In China young people should respect older people, so if I tell an older man what to do I have to think about how to do it first.' Her business has been very successful, with 20 clients and 200% increases in turnover leading to her winning the Franchisee of the Year title. ‘I have learned a lot which I can use in any type of business,' Jenny says. ‘I am much more confident for the future.'

Buying a franchise can be a great way to get into business in a new country. Potential franchisees must, however, be careful to choose their business well, make sure they have the skills appropriate to their role and, most important of all, take the advice of professional people with local knowledge. By doing so, they will increase the chances of following in the footsteps of Shiraz, Jenny and countless other successful immigrants.

Ten Tips For Immigrants

1. Remember that the immigration process takes time and that until it is complete you are not in a position to sign anything.

2. Never sign any purchase contract or franchise agreement until you have taken the advice of an accountant and a lawyer with experience in franchising in New Zealand.

3. Find out exactly what the role of the franchisee involves. Spend at least one day working with an existing franchisee. Are you going to be comfortable in that role?

4. If your language skills aren't up to the business yet, wait until they have improved. Take every opportunity to practice them.

5. If you need money, talk to a specialist franchise banker - good franchise systems often attract special finance packages.

6. Do expect to play a hands-on role in running the business yourself - franchises are not generally designed to suit passive investors.

7. Don't borrow more than the business can afford to repay. Leave yourself enough to live on.

8. What is your long-term strategy? Franchisors usually look for a minimum three-year commitment.

9. Where can you live? New Zealand has many delightful towns, but you may feel isolated if you are far from other members of your own community. That is why many immigrants settle in Auckland, at least at first.

10. Not all franchises will qualify an applicant for entry under the Long Term Business Visa scheme

If you are interested in immigrating to New Zealand then contact  info@amblercollins.com for further information and assistance.