Answers
Owned and operated by one person, having full control over business decisions
Bears unlimited liability which could risk personal assets in case of business debts
Initial and ongoing costs to franchisors can impact profitability
Operates as a separate legal entity, which can raise capital through share issuance
Raising finance can be easier than a sole trader due to combined resources
All profits belong to the sole owner, but so do all responsibilities and losses
Subject to more regulations and public disclosure than sole traders or partnerships
Partners share unlimited liability, jointly responsible for debts and obligations
Less creative control for the franchisee compared to starting an independent business
Franchisees get an established brand and support but must follow franchisor guidelines
Decision-making and expertise are shared, but conflicts can arise between partners
Management can be distinct from ownership, providing professional administration
Business owned by two or more people who share profits and responsibilities
Easier to set up with fewer formalities but may face challenges in raising capital
Allows buying the rights to use an existing business model and brand
Owned by shareholders with limited liability, protecting personal assets
