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 is replicable.
B) have a technical writer create an operations manual.
C) partner with a lender to offer franchisee financing.
D) hire a master licensee to locate prospective franchisees.

Question

Quizplus · Accepted Answer

Before becoming a franchisor, Cameron should make sure his business is replicable. This means that the processes, systems, and products of his business can be easily duplicated and implemented by other franchisees in different locations. Without a replicable business model, it will be difficult to maintain consistency and profitability across different franchises. Having an operations manual, offering financing, and hiring a master licensee are all important steps in the franchising process, but they should come after the business has been proven replicable.

Cameron Has Established a Successful Business and Would Like to Expand