Queensland Homes Master Franchise Pty Limited · AUD, GST-exclusive · FY27 = Jul 2026 – Jun 2027
Prepared by Sam Lu · 19/06/2026 · draft v6 · volumes per Mandy/Gregg sales & slab forecast
Total Income
A$1.64m
7 franchises, 66 slabs
Gross Profit
A$888k
54.2% margin
Net Profit
A$142k
8.7% margin
Build Value
A$30.9m
ex-GST, fee base
Total to NZ
A$335k
mgmt fee + royalty
The headline
FY27 budget for the Queensland master franchise: A$1.64m income, A$142k net profit on the linked sales & slab forecast.
Growth year — four new franchises (Gold Coast North, Ipswich, two more) on Year-1 fixed fees, so early months run thin while volume builds.
Recommended NZ charges restructure the old flat 1% fee into a cost-based management fee (A$180k) plus a reduced 0.5% brand royalty — broadly similar total, but defensible and tax-efficient.
Still to confirm
key NZ back-office actual cost — to true up the A$180k management fee.
Tabs above break out the monthly trend, P&L, NZ-charge rationale and a full monthly budget appendix.
Monthly income & net profit
Early-year months run thin or negative: new franchises sit on Year-1 fixed fees while marketing, systems and B2B spend scale with build volume — the deliberate cost of buying growth. February spikes on assumed establishment fees.
FY27 budget — annual P&L
Account
FY27 (A$)
Note
Income
Franchise fees (3.5% / intro fixed)
884,881
Marketing fees (1.1% / intro fixed)
322,677
Royalty
35,423
nil in intro
Establishment fees
320,000
4 × A$80k
Supplier sales rebates (0.25%)
77,313
Total Income
1,640,294
Cost of sales
Marketing & advertising (pass-through)
322,677
= marketing fees
B2B marketing (company funded)
120,000
separate
Systems (1.0% of revenue)
309,252
Gross Profit
888,366
54.2%
Overheads
NZ management fee (back office)
180,000
cost + 10%
Salaries — 1 FTE +20% (+ super)
161,280
Recruitment / commission
60,000
4 signings
Design range expansion
50,000
Other overheads
140,460
FY26 run-rates
Net Profit before fee to NZ
296,626
Franchise fee to NZ (0.5%)
154,626
Net Profit
142,000
8.7%
Recommended NZ charges
The two charges to NZ recommended
NZ management fee (back office)A$180,000
Franchise royalty — 0.5% of build valueA$154,626
Total payable to NZA$334,626
AU net profit retainedA$142,000
Restructures the previous flat 1% franchise fee (A$309k) into a cost-based services fee plus a reduced brand royalty — broadly similar total, but defensible and tax-efficient.
Rationale
Management fee — cost-plus. NZ provides most back office (finance, marketing, IT, HR, exec oversight). Estimated cost ~A$163.6k + 10% margin = A$180k. true up to NZ actual cost
Royalty cut 1.0% → 0.5%. Back office now charged separately, so the royalty covers brand/IP/system only — avoids double-charging.
Tax efficiency. A genuine services fee is not a royalty, so it avoids the 5% Australian royalty withholding tax that applies to the franchise fee under the NZ–AU DTA.
Affordability. AU still nets ~A$142k (8.7%); royalty is the lever if more headroom is needed.
Confirm with the group tax adviser; support with an intercompany agreement and transfer-pricing benchmarking. Not tax advice.
Key assumptions & open items
Assumptions
Volumes flow live from the Sales & Slab Down forecast tabs; fees priced per franchise.
Fees on build value (slab-down), ex-GST (forecast ÷ 1.1).
New franchises (Gold Coast North, Ipswich, two new) on Year-1 fixed fees; establishment A$80k each.
Marketing fund is pass-through (collected = spent); B2B is additional company spend.
Salaries: one local FTE + 20% flexibility; SG 12%.
To confirm
key NZ back-office actual cost — to true up the A$180k management fee.
Reconciled to the budget: contracts are driven directly off the Sales forecast (78 sales, including both new "ANO" franchises). A 3-month sales-cycle lag means July-26 contracts need leads generated before FY27 begins — start that pipeline now.
By franchise
Franchise
Contracts
Deals
Leads
Toowoomba
24
69
531
Sunshine Coast
20
58
447
Townsville
11
32
247
Gold Coast North
7
20
154
Ipswich
6
18
139
ANO 1
5
15
116
ANO 2
5
15
116
Total
78
227
1,750
Monthly phasing (3-month lag)
Contract month
Contracts
Leads
Lead-gen month
Jul 2026
5
116
Pre FY27 ⚠
Aug 2026
5
116
May 2026
Sep 2026
4
93
Jun 2026
Oct 2026
5
116
Jul 2026
Nov 2026
6
139
Aug 2026
Dec 2026
1
24
Sep 2026
Jan 2027
5
116
Oct 2026
Feb 2027
8
177
Nov 2026
Mar 2027
9
200
Dec 2026
Apr 2027
10
224
Jan 2027
May 2027
10
224
Feb 2027
Jun 2027
10
224
Mar 2027
Total
78
1,769
Assumptions: 13% lead→deal, 35% deal→contract (Pipedrive history), A$550k avg contract, 3-month cycle lag. Monthly leads total differs slightly from the by-franchise total due to month-level rounding. Source: SWH_AU_FY27_Budget_Template_v7_19Jun2026.xlsx (Lead Requirements tab).
Appendix — detailed monthly budget (A$)
Full monthly P&L, July 2026 – June 2027. Source: SWH_AU_FY27_Budget_Template_v6_19Jun2026.xlsx.
Source: SWH_AU_FY27_Budget_Template_v7_19Jun2026.xlsx · Stonewood Homes / Stonewood Group · Confidential — internal use only. Draft, subject to confirmation of the open items. Not tax advice.