Speaking at its first AGM as an ASX-listed company, Spring FG managing director Keith Cullen said the company will at first look to open regional outlets as well as franchise offices in capital city fringe markets.
“From mid-2016 we will embark on our most ambitious expansion program to date, as we commence a rollout of franchised outlets that will see the Spring brand expand across Australia”, said Mr Cullen.
“Our goal is for up to 10 outlets by the end of FY2017, with a vision for 80 to 100 outlets across Australia within a 5- to 8-year period.”
Mr Cullen said the company’s modelling was based on minimum annual revenues of $1 million per outlet, with an expected pre-tax contribution of circa $350,000 per outlet.
“Over time we will expand our footprint across our capital cities to improve the ease of our customers accessing our services by taking our brand into suburban commercial hubs,” Mr Cullen told the meeting.
Franchisees will receive extensive education and training through Spring FG’s graduate academy program prior to opening their outlets, with Mr Cullen noting that the company’s operational model was suited to franchising.
“From establishment, Spring FG has adopted a process-driven approach to its operations designed to support significant expansion and consistency in service delivery and quality of outcomes for clients,” he said.
“Rather than branding existing accounting, tax or mortgage outlets of independent third parties, Spring’s franchise model is based on greenfield opportunities, ensuring each franchisee has complete alignment with the company’s fresh approach.”
Mr Cullen told the meeting the company would also roll out a range of digital services to the emerging self-directed investor market, including those in Spring FG’s existing online community of more than 140,000 subscribers.
