Avenues of Acquiring a Business

Language: English
Subject: Other > Other
Age: 16 - 17

Acquiring a franchise can be an expensive initial layout and the costs can be much higher than expected.

Fixed cost and overhead costs are lower for the business.

Money is paid out but the lessee will never own the asset.

It is easier to lease assets than to borrow money to pay for them.

There is an increased risk of losing sensitive data and the loss of confidentiality.

Franchisees may feel limited as to how much they can grow or expand their ideas.

If the outsourcing terms and conditions are not clearly defined, hidden costs and legal problems may arise.

The asset can be returned to the lessor when it is no longer needed.

Outsourcing allows the business to focus on its strengths.