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ANOTHER CONSULTANT under scrutiny
by Simon Lord, last updated on 16th January 2012
The Franchise Association has taken the unusual step of appealing for information about someone offering consultancy services
A circular to Association members asks anyone aware of consultancy being offered by a David Colin Hughey, ZNNTEK Ltd or a company using EVP in its title to ‘check back’ with the Association. No further information is given. A David Colin Hughey is listed on the Companies Office website as a disqualified director and was sentenced in March of this year to 350 hours community service, having been convicted on five charges of managing or taking part in the management of a business whilst being an undischarged bankrupt. (Note: there’s a guide to using the Companies Office website to find out about people and their businesses in the Summer 2011/2012 issue of Franchise New Zealand magazine).
This is the second consultant to have come under scrutiny recently, with Campbell Shorland Spencer also attracting attention after allegedly breaching a ban on acting as a company director and manager. There is no formal qualification required to set up as a franchise consultant (or most other forms of consultant) in New Zealand. In July 2011, the Franchise Association announced plans to introduce a limited accreditation process for affiliate members including consultants, with a Qualified Franchise Professional scheme possible at a later date, but no further information has been forthcoming. Accreditation schemes are already in place in other countries, including a rigorous one developed by the British Franchise Association.
However, as the Association is a voluntary body, there is no compulsion upon consultants (or franchisors) to be members and subject to its Code of Practice. As we wrote in April 2008 when franchise regulation was a hot topic, ‘The introduction of compulsory qualifications for franchise consultants would be a big step forward both for businesses seeking to franchise and the individuals who buy franchises from them.’
Comments on this article are now closed. Should you have any information for the Franchise Association, please email Graham Billings or phone him on 0-9-274 2901.
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