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Forms of Business, image, image - Coggle Diagram

- - - - Franchises get support from the franchisor.
      - The set-up costs of a franchise is predictable.
      - Franchises are lower risk, as they use an idea that has been tried & tested.
      - Franchisees can benefit from national marketing campaigns organised by the franchisor.
    - - Franchising is a cheaper method of growth, as growth is mainly funded by the franchisee
      - Franchisees take some of the risk on behalf of the franchisor
      - Franchising is a fast method of growth
      - Franchisees are more motivated than employees
  - - - Have to sign contracts with franchisors, which can reduce independence
      - Setting up a franchise can be an expensive way to start a business
      - Profit is shared with the franchisor
      - Franchisees lack independence & must follow strict operating rules
    - - Poor franchisees may damage the brand's reputation
      - Franchisees may get their supplies from elsewhere
      - Potential profit is shared with franchisees
      - The cost of supporting franchisees may be high