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FRANCHISING
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ibra cadabra
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Franchising advantages and disadvantages
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FRANCHISING
by
ibra cadabra
1. Advantages
1.1. the risk of business failure is reduced
1.2. easier to raise finance from banks
1.3. products and services will have already established a market share
1.4. lower risk method of starting a business
2. Disadvantages
2.1. the franchisor might go out of business
2.2. franchises can be expensive
2.3. all profits are usually shared with the franchisor.
2.4. the franchisee is not involved in decision-making
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