Sole trader, Partnership, A private/ limited company, Franchise
1 of 6
Name the advantages of a sole trader?
1) have full control over the business. 2) retain all the profits from the company. 3) information about a sole trader is kept private unlike other ownerships. 4) Easy to set up.
2 of 6
Name the disadvantages of a sole trader?
1) Long hours 2) developing the business is limited because there is only a certain amount of capital. 3) Complete responsibility over the business (failure) 4) Risk of unlimited liability - seizing assets.
3 of 6
Name the advantages of a franchise?
1) It's an established business so reduced risk of failure. 2) It's a know brand therefore they will have definite customers 3) Simpler to start up 4) Receiving finance is easier because it's established.
4 of 6
Name the disadvantages of a franchise?
1) Restrictions on control over the franchise 2) Lots of costs such as royalties 3) Franchisor may run out of business 4) Bad reputation from other franchisees means this franchise will loose customers and profits.
5 of 6
Name the advantages of a partnership
1) Easy to change your legal structure
6 of 6
Other cards in this set
Card 2
Front
Name the advantages of a sole trader?
Back
1) have full control over the business. 2) retain all the profits from the company. 3) information about a sole trader is kept private unlike other ownerships. 4) Easy to set up.
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