A disadvantage of buying an existing business is that operating processes and policies have already been established.This means that it is a riskier purchase than the purchase of a franchise.

Question

Quizplus · Accepted Answer

The statement is incorrect. Buying an existing business can actually be less risky than buying a franchise because the business has a track record of performance and established customer base. However, the disadvantage of buying an existing business is that the new owner may have to change certain processes and policies if they are not effective or in line with their vision for the business.

A Disadvantage of Buying an Existing Business Is That Operating