Unit of competency Outline
Date retreived
22/07/2026 8:40 AM AWST
22/07/2026 8:40 AM AWST
Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.
Manage a franchise operation
Manage a franchise operation
Unit of competency
National Code
BSBFRA502B
BSBFRA502B
State Code
D0724
D0724
TGA Status
Replaced
Replaced
DTWD Status
Replaced
Replaced
State Implementation and Classification
Approved Date
28/06/2010
Field of Education
080301 - Business Management
Original Release Date
28/06/2010
Nominal Hours
40
Description
This unit describes the performance outcomes, skills and knowledge required to manage a franchise operation.No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
Notes
Elements and Performance Criteria
1. Establish procedures for managing a franchise operation
- 1.1. Determine obligations of both parties under franchising agreement
- 1.2. Develop procedures for ensuring compliance with franchising obligations and legislative requirements
- 1.3. Develop and communicate to franchises reporting requirements for franchisees
2. Implement procedures for managing a franchise operation
- 2.1. Implement procedures for franchises to ensure compliance with franchising obligations and legislative requirements
- 2.2. Identify instances of non-compliance and act upon them in conjunction with franchises
- 2.3. Monitor reports from franchises for completeness, accuracy and timeliness of submission
- 2.4. Identify potential disputes with franchises and take action to resolve potential disputes before they eventuate
- 2.5. Resolve disputes that eventuate and reach an agreed settlement within established procedures as documented in the Franchising Code of Conduct
3. Review a franchise operation
- 3.1. Use monitoring of franchises to inform review process for franchise operation
- 3.2. Identify improvements in franchise operation and management of franchises from monitoring franchises' business operations
- 3.3. Make recommendations to improve the effectiveness of the franchise operation and individual franchises
RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Franchising obligations may include:
fees and pricing structures
franchise corporate image requirements and branding
merchandising requirements
quality assurance requirements
reporting of income, sales and turnover
stock control and inventory requirements, and reporting of this information
Legislative requirements may include:
Australian Taxation Office requirements, including requirements to register as a business and obtain an Australian Business Number (ABN)
Dangerous Goods Act requirements
fire regulations
food safety requirements
Liquor Licensing Act requirements
local government planning and land use zoning regulations
OHS requirements
other legislative requirements specific to the nature and type of franchise
relevant permits, licences and completion of training programs such as in safe food handling
requirements under employment legislation
Reporting requirements may include:
accident and incident reporting and recording
customer numbers and turnover
income, expenditure and other financial reports
stock levels and inventory control
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Franchising obligations may include:
fees and pricing structures
franchise corporate image requirements and branding
merchandising requirements
quality assurance requirements
reporting of income, sales and turnover
stock control and inventory requirements, and reporting of this information
Legislative requirements may include:
Australian Taxation Office requirements, including requirements to register as a business and obtain an Australian Business Number (ABN)
Dangerous Goods Act requirements
fire regulations
food safety requirements
Liquor Licensing Act requirements
local government planning and land use zoning regulations
OHS requirements
other legislative requirements specific to the nature and type of franchise
relevant permits, licences and completion of training programs such as in safe food handling
requirements under employment legislation
Reporting requirements may include:
accident and incident reporting and recording
customer numbers and turnover
income, expenditure and other financial reports
stock levels and inventory control
EVIDENCE GUIDE
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the following is essential:
documenting franchising agreement, including franchisee obligations
taking action to ensure franchisee compliance with obligations and addressing non-compliance
improving franchise operations based on feedback and monitoring activities
knowledge of relevant legislation, codes of practice and national standards.
Context of and specific resources for assessment
Assessment must ensure:
access to business documentation
access to feedback from franchisees
access to an actual workplace or simulated environment
access to office equipment and resources.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate
review of procedures implemented for franchises to ensure compliance with franchising obligations and legislative requirements
analysis of responses to case studies and scenarios
demonstration of techniques
observation of presentations
oral or written questioning to assess knowledge of franchising arrangements.
Guidance information for assessment
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
BSBFRA501B Establish a franchise operation.
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the following is essential:
documenting franchising agreement, including franchisee obligations
taking action to ensure franchisee compliance with obligations and addressing non-compliance
improving franchise operations based on feedback and monitoring activities
knowledge of relevant legislation, codes of practice and national standards.
Context of and specific resources for assessment
Assessment must ensure:
access to business documentation
access to feedback from franchisees
access to an actual workplace or simulated environment
access to office equipment and resources.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate
review of procedures implemented for franchises to ensure compliance with franchising obligations and legislative requirements
analysis of responses to case studies and scenarios
demonstration of techniques
observation of presentations
oral or written questioning to assess knowledge of franchising arrangements.
Guidance information for assessment
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
BSBFRA501B Establish a franchise operation.
Replaces
| State Code | National Code | Title | Type |
|---|---|---|---|
| C7024 | BSBFRA502A | Manage a franchise operation | Unit of competency |
Replaced By
| State Code | National Code | Title | Type |
|---|---|---|---|
| AUL23 | BSBFRA502 | Manage a franchise operation | Unit of competency |
| State Code | National Code | Title | Type |
|---|---|---|---|
| D167 | BSB50507 | Diploma of Franchising | Qualification |
| AB754 | BSBSS00006 | Franchising Skill Set | Skill set |
| J453 | SIT50412 | Diploma of Holiday Parks and Resorts | Qualification |
| J628 | SIT60313 | Advanced Diploma of Hospitality | Qualification |
| J627 | SIT50313 | Diploma of Hospitality | Qualification |
| D173 | BSB51107 | Diploma of Management | Qualification |
| J151 | SIR50112 | Diploma of Retail Management | Qualification |
| J450 | SIT50112 | Diploma of Travel and Tourism | Qualification |
| J452 | SIT60112 | Advanced Diploma of Travel and Tourism | Qualification |