The four ways to start a service business
- Do it yourself. Cheapest in cash, most expensive in time and error. Realistic for people who have run a compliant business in the same industry before.
- Buy an existing business. Revenue from day one, but you inherit the seller’s clients, staff, systems and problems, and you pay goodwill for all of it – often several times annual profit.
- Franchise. A proven model and brand, with an initial fee, ongoing royalties, a marketing levy, approved suppliers and a territory. You operate someone else’s system under licence.
- Ready-to-run setup. An advisory practice builds the entity, brand, website, compliance documents and systems to a fixed scope for a fixed price, hands everything over, and walks away – or stays on as optional support. You own 100%.
Side-by-side
| DIY | Buy a business | Franchise | Nemco setup | |
|---|---|---|---|---|
| Up-front cash | Low (fees only) | High (goodwill + assets) | Medium–high (fee + fit-out) | Fixed price ($2,500–$7,990 by setup) |
| Ongoing cost | None | None | Royalties 5–15% + levy 1–4% | None (optional Owner Hub) |
| Time to trading | 3–12 months | Immediate | 2–6 months | 1–4 weeks build (registration decisions longer) |
| Ownership | 100% | 100% | Licence to operate | 100% |
| Systems and documents | Build yourself | Whatever exists | Franchisor’s, licensed | Built for you, yours |
| Brand | Build yourself | Inherited | Franchisor’s | Built for you, yours |
| Support | None | Handover period | Ongoing (paid via royalty) | 60 days + Owner Hub (optional) |
| Exit | Sell freely | Sell freely | Franchisor approval + transfer fee | Sell freely |
Ten-year cost of ownership
Franchise vs setup over ten years
Use the numbers from a real disclosure document. Revenue is your estimate, not a promise.
What the Franchising Code does – and doesn’t – protect
The Franchising Code of Conduct (remade from 1 April 2025) gives you a disclosure document and a 14-day disclosure period before signing, a 14-day cooling-off period after entering the agreement, access to the Franchise Disclosure Register, annual marketing-fund statements, good-faith obligations on both sides and a dispute-resolution pathway through the Australian Small Business and Family Enterprise Ombudsman. It does not guarantee territory performance, protect you from a franchisor selling the network, or return your fee if the model doesn’t work in your area. Read the earnings information – if any – for what it omits.
Which road is yours
A quick fit test
Be honest about the left column; it is not a criticism.
A franchise or acquisition suits you if…
- You need revenue in week one and can absorb goodwill risk
- National brand recognition matters in your category (fast food, real estate)
- You want a head office to call and are happy to pay for it forever
- You don’t want to make brand, pricing or supplier decisions
A setup suits you if…
- You’d rather pay once than pay forever
- You want to own the brand, documents and systems outright
- You’ll follow a launch plan and do your own local marketing
- You may sell, expand or pivot without asking permission
- Competition and Consumer (Industry Codes—Franchising) Regulations 2024; ACCC franchising guidance
- Australian Small Business and Family Enterprise Ombudsman – franchising dispute resolution
- Franchise Council of Australia / IBISWorld – indicative fee and royalty ranges by sector
General information only, not legal, financial or tax advice. Rules change; confirm current requirements with the regulator or a qualified professional.
Why Nemco
Built properly, priced once, owned by you – and who signs off every build.
Since 2013
Consulting, marketing and applications since 2013. A setup is that experience, packaged.
Fixed price
One number, three milestones. No hourly rates, no surprise invoices.
You own 100%
Entity, brand, site, documents, systems – yours outright. No royalties, ever.
Honest by design
No income claims. No guaranteed approvals. If it isn’t a fit, we say so on the call.
Christian Nehme · Founder & Principal Adviser
Lead Auditor
ISO 9001:2015 – trained to run the audits, not just pass them.
NDIS Internal Auditor
NDIS Internal Auditor Course – the Practice Standards from the assessor’s side.
Audit & risk in government
3+ years in audit and risk management roles in government.
Bachelor of Medical Science
A clinical-science grounding for health, disability and aged-care work.