The Franchising Code of Conduct 2025, explained
The Franchising Code is the law that protects franchise buyers. Here is what it actually requires — and how each rule works in your favour.
What is the Franchising Code of Conduct 2025?
The 14-day disclosure rule
A franchisor cannot ask you to sign a franchise agreement, or make a non-refundable payment, until at least 14 days after it has given you three things: the disclosure document, the franchise agreement in the form in which it will be signed, and a copy of the Code. This is a hard timeline, not a guideline.
The 14-day cooling-off period
After you sign, you have 14 days to change your mind. If you exercise cooling-off, the franchisor must repay all payments you made, less the franchisor's reasonable expenses (which must be set out in the agreement). Cooling-off applies to new agreements and, in defined circumstances, to transfers.
The dual-document regime
Agreements entered before April 2025 sit under the previous Code; new agreements sit under the 2025 Code. Franchisors must handle both regimes correctly, and issue the version that applies to your agreement. A compliant recruitment process tracks which regime applies to each candidate and flags any mismatch.
The Disclosure Register
The ACCC maintains a public Franchise Disclosure Register. Franchisors must lodge and keep their information current — the disclosure document is due for annual update by 31 October, and the Register entry by 14 November. A franchisor missing from the Register, or with a stale entry, is a signal worth taking seriously.
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Frequently asked questions
Does the Franchising Code apply to every franchise?
The Code applies to franchise agreements as defined in the Competition and Consumer Act. Most business-format franchises in Australia are covered, including the disclosure, 14-day and cooling-off obligations.
What is the 14-day rule in franchising?
A franchisor must give you the disclosure document, the final-form agreement and a copy of the Code at least 14 days before you sign or make a non-refundable payment. The purpose is to give you time to seek advice.
How long is the franchise cooling-off period in Australia?
14 days after signing under the Franchising Code 2025. If you exercise it, the franchisor must refund what you paid, less its reasonable expenses set out in the agreement.