INTRODUCTION: Changing business ownership can be very challenging. There are factors and aspects that need to be looked at to make sure you are in a place to do so without spending all your resources. Especially changing from a sole trader [a type of business entity which is owned and run by one individual and where there is no legal distinction between the owner and the business as stated by E-conomic, Sole Trader- What is a Sole Trader?] to a franchise [a right granted to an individual or group to market a company’s goods or services within a certain territory or location as stated by About Money- What is a Franchise]. The purpose of this report is to analyze the Subway franchise, its advantages, disadvantages and advice Johnny on whether he should remain a sole trader or own a Subway franchise.
ANALYSIS:
Advantages of being a Sole Trader:
Being a sole trader has many advantages. Most importantly, it is cost effective, simple and easy to setup and maintain. A sole trader completely controls the direction andshow more content
As stated before, it is simple and easy to set up. It will help you to expand and earn more profits. The location of your current business is located in a very strategic area, so I recommend that you open your subway outlet in the same shop. There is a constant footfall of not only local people but foreign visitors and tourists who would be familiar with the Subway brand name, thus giving a push to the sales. However, before you do so, make sure you research the number of Subway outlets in that area to lower the competition. Subway is one of the most famous brands in the world, so getting customers and workers will not be a problem. There will be a few limitations, but the advantages outweigh them. Subway also has a clear way to communicate and contact them; and they give complete training to anyone interested in owning a
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