Owning a franchise

Seminar paper from the year 2010 in the subject Business economics - General, grade: A, University of Canterbury, language: English, abstract: A lot of people wish to start a business, but they do not know whether to do it alone or get into a franchise. Both options have their advantages and disadvantages, while franchising reduces business risks, allows you have use a brand name already known and training, it as also has it limitations. One of them includes losing certain degree of control over the business and paying some fee or sharing profits made with the franchisor. This paper therefore examines the benefits and drawbacks of owning a franchise; the paper will focus on the general business and not a particular kind of business. Before starting, the franchising will be explained for theoretical understanding.