Form of business
A legal entity with authority to act and have liability apart from its owners.
What is Corporation?
Two or more people legally agree to become co-owners of a business.
What is a partnership?
A business owned and usually managed by 1 person.
What is a sole proprietorship?
An arrangement whereby someone with a good idea for a business (franchisor) sells the rights to use the business name and sell a product or service (franchise) to others (franchisees) in a given territory.
What is a franchise agreement?
It is one of the greatest soft drink companies in world.
What is Coca-Cola?
Sole proprietorship, Partnership, and Corporation.
What are the three major forms of business ownership?
Share in ownership of business with unlimited liability.
Partner with one or more general partners and enjoys limited liability based on amount of money invested into the business.
What is general partnership and limited partnership?
An extra benefit supporting an employee's salary, for example, a company car, subsidized meals, health insurance, dental care, vacation pay etc.
What are fringe benefits?
Some deliver little to nothing of what they promise; not all franchises are like McDonald's or Subway.
What are fraudulent franchisors?
This company is one of the biggest ice cream business in U.S.A.
What is Baskin Robbins?
How to form a business.
What is the name of this chapter?
Do you share the same goals?
Do you share the same vision for the company?
What can he/she bring to the business?
Do you trust one another?
How does he/she handles problems. etc.
What are questions to find your best business partner?
The continued possession, use, or control of something.
What is retention?
What if other franchises like yours fail and how may they impact your franchise?
What is a coattail effect?
His company also features Excel, one of the most used computer software in business.
Who is Bill Gates?
Initial cost, Extensive paperwork, Double taxation, Two tax returns, Size, Difficulty of termination, Possible conflict with stockholders and board of directors
What are the disadvantages of corporation?
Unlimited liability, division of profits, disagreements, difficult to terminate.
What are the disadvantages of partnerships?
Unlimited liability - debts or damages incurred by the business are your debts even if it means selling your home, car or anything else, limited financial resources, management difficulties, overwhelming time commitment, few fringe benefits, limited growth, limited span
What are the major disadvantages of sole proprietorship?
Large start up costs, shared profit, management regulation, Coattail effects, restrictions on selling, fraudulent franchisors.
What are the disadvantages of franchising?
International Business Machines Corporation is also know as...
What is IBM?
Limited liability, ability to raise more money for investment, size, perpetual life, ease of ownership change, ease of attracting talented employees, separation of ownership from management.
What are the advantages of corporation?
More financial resources, shared management and pooled skills/knowledge, longer survival, no special taxes.
What are the advantages of partnerships?
Ease of starting and ending the business, being your own boss, pride of ownership, leaving a legacy, retention of company profits, no special taxes.
What are the major advantages of sole proprietorship?
Management and marketing assistance, personal ownership, nationally recognized name, financial advice and assistance, lower failure rate.
What are the advantages of franchising?
In 1946 this franchise started a new schedule hours from 7:00 am to 11:00 pm seven days a week.
What is 7 ELEVEn?