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Which of the Following Should Make a Potential Franchisee Suspicious

Question 45

Multiple Choice

Which of the following should make a potential franchisee suspicious about a franchisor's honesty?


A) Claims that the franchise contract is a standard agreement and that there is no need to read it or have an attorney look it over.
B) An offer of direct financing of a specific element of the franchise package.
C) Not providing detailed operational information until 10 days before signing the contract.
D) Requiring franchisees to spend a certain percentage of profits on advertising.

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