Question

Cameron has established a successful business and would like to expand. He is considering becoming a franchisor. Before taking that step, Cameron should:

a. make sure his business model is reproducible.
b. have a technical writer create an owner’s manual.
c. partner with a lender to offer franchisee financing.
d. hire a master licensee to locate prospective franchisees.

Answer 1

Letter a is correct. Make sure his business model is reproducible.

Step-by-step explanation:

This alternative is correct because a franchise is a business model where the franchisor provides brand know-how in addition to its patent, structure and distribution of equal products. To become a franchisor an analysis must be done to identify if your company supports this reproduction for other units. The fundamental requirements for making your business a franchise should be to check legal possibilities, structure organizational processes and analyze the demand for your product or service. This makes it possible to verify the possibility of becoming a successful franchisor.