Group of answer choices:
A) loss of control
B) continuing royalty fees
C) hard work
D) a fee for advertising
E) starting a business with limited capital
Answer:
The correct answer is letter "E": starting a business with limited capital.
Explanation:
A franchise is a business in which one party - the franchisee - acquires access to the proprietary knowledge, processes, and trademarks of an established business - the franchisor. A franchise offers the chance to own a business while avoiding many of the initial challenges like major investments. The franchisee buys the right to sell a product or service under an established brand name in exchange for a fee.
