Buying A Franchise vs Starting A New Business

Buying A Franchise vs Starting A New Business

Looking to start a business?

Are you someone who wants to start your own building business but are not sure what the better option is; a building franchise or a start-up?

Being in the building franchising business for many years we have seen it all and we know how hard it can be to start out on your own. In this blog post, we look at the benefits of buying into an already recognised brand like Stroud Homes, versus starting up on your own.

Brand Recognition

Stroud Homes Franchising:

Because Stroud Homes has become a well-known brand that people have come to love in New Zealand and Australia, you will get a considerable head-start compared to sole business owners by leveraging the brand name. In the consumer’s mind, a franchise service equals the overall company brand and reputation, and clients are therefore more likely to use their products or services than an unknown actor’s. The reputation built on high-quality homes and the popularity of our brand provides franchisees equal footing with existing businesses in the Australian market.


The trickiest phase in running a new business is at the very beginning and fighting obscurity is one of the hardest hurdles to get over. With no affiliations, you will have to spend big money on clever marketing, and making a name for yourself in a competitive market can still be difficult. Failure to get brand recognition is a common reason to why many new businesses fold in the first 1-5 years.

The software

Stroud Homes Franchising:

Stroud Homes uses the latest software available on the market to manage Estimating, Quoting, Time management and Customer management. With our first-rate, fully integrated software and construction management systems you’ll work smarter and get ahead faster in your sales, estimating, quick and accurate quoting plus workflow and schedule – saving you time and stress every working day. Coming on board as a franchise owner, you will get the proper training to be able to utilise that software in the most efficient way for your business growth.

With Stroud, you will be certain that the money you spend, will be money WELL spent, and that a team of experts is involved to make the most out of your money.


If you’re starting your own business, you can buy the same software Stroud Homes uses, but you would have to populate it yourself. How do you know you’ll populate it most efficiently so that it’ll be productive? It’s not uncommon for software companies nowadays to sell their product along with a training package, which means a heavier price tag when purchasing without Stroud Homes’ long-standing relationships with these software companies. Starting your own business, you will spend a similar amount of money initially but without having the same resources to monitor how well you spend it or if you spend it in the right place and in the right way.

Mark Harris with Stroud Homes Pokeno builder Mike Wilson, and Auckland North builder Craig Shorrock.

The franchise support


The Stroud Homes organisation model offers the franchisee the ability to grow under a common brand and benefits from a larger group of business owners. This means you instantly become part of a team where builders and head office supports each other and are in contact with one another. You will have access to the professionalism and support of a high-achieving team with a proven system and solid track record in their specific area, may it be marketing, sales or supervising.


Going out on your means you will have to find, hire and train all those people or become a jack of all trades and do it all yourself. When you start your own business, you are on your own. There are many questions unknown with a new business: will the product sell? Will customers like it? Will you make enough money to survive? With no one to ask for help or advice, it can be hard to find the right answer to these questions.

The training


Stroud Homes’ training begins during the recruitment phase. During your training, we will support you in the launch of your business and will assist you with getting your franchise up and running. Stroud Homes offers ongoing training and support to help all franchisees in both the day-to-day operation and long-term development of their business. Our training will consist of a mix of in-office, virtual and up to 20 days of onsite training.

The Start-up:

Starting your own business is never an easy feat, and very few entrepreneurs possess the natural ability and expertise to be proficient in all aspects of running a successful building company. If your business is going to survive, you alone will have to make that happen. You can expect to work long, hard hours with no support or expert training. If this sounds like too big a burden, than the franchise route may be a better choice for you – when you buy a franchise, you buy a system – a complete method of doing business.

Want to know more?

When you decide to start a business on your own, there are a lot of unknowns. By joining a team like Stroud Homes, you’ve got the benefit of all the other experienced builders in the group. There’s a lot of great support by being able to pick up the phone and talk to a neighbouring franchisee.

Many eager entrepreneurs are considering the opportunity to own their own business, but are afraid of facing the challenges that come with it, alone. With Stroud Homes you will have like-minded business owners dealing with the same constraints that you face every day that you speak with, meet with, and bounce ideas off daily.

Take a look around the information on our website and gain some insights into what it is like to be a franchisee, what we are looking for in a successful franchise owner and our selection process.

For more detailed information please enquire today to receive the full Franchisee Information Pack.

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