Anthony converts his operation of seven night clubs into a franchise business to free up time for more personal interests.What would one drawback be for Anthony in this new arrangement?

Question

Quizplus · Accepted Answer

Franchising involves sharing profits generated by the franchisee's business with the franchisor, which in this case would be Anthony. This is a common drawback for franchisors, as they receive a portion of the profits rather than the full amount they might earn if they operated the business directly.

Anthony Converts His Operation of Seven Night Clubs into a Franchise