Question

Which of the following is one way a corporation can raise money

Answer 1

One of the key differences between franchising and chain stores is the amount of risk involved. When a company chooses to expand with chain stores, it assumes all of the risk on its own. It funds the entire expansion project. By comparison, when a company franchises, it passes some of the risk onto other investors. Franchising represents less risk for the parent company, but it shifts the risk to the franchisee.