It’s tough times for many in the general economy, but more and more Australians are leaving their jobs and buying into ready-made business franchises that give them the chance to be their own boss.

Australia’s franchise sector collectively turned over more than $128 billion last year, with around 1000 franchisors and 60,000 franchisees running operations ranging from juice bars to fitness centres, coffee shops, bookkeeping and lawn mowing services, pizza and hamburger joints.

Steve Wright, executive director of the Franchise Council of Australia, says the franchise sector as a whole has continued to perform strongly, averaging 7 to 8 per cent growth, with the top 200 franchises in the country recording double-digit growth in both turnover and profitability.

“The top franchises have recorded growth triple that of the general economy and those that have good systems in place have adapted to the tougher trading conditions and actually improved their sales and profit performances.”

But there are a number of fast-growing franchises in the second tier and lower down, offering would-be franchisees the opportunity to buy into their brand and make plenty of money in the process - that's if all goes according to the master franchise plan.

If the last recession is anything to go by, there is likely to be a flood of applications for franchises around Australian from people who have recently lost their jobs. But buying into a franchise is not an instant formula for making money, and people who have been forced out of their jobs - and are still invariably in employee mode - are not necessarily ideal candidates for a franchise unless they were already planning to go into a business anyway. It’s therefore important to think very carefully before taking the franchise leap.

Click here to read more