Going Into Business in West Virginia - West Virginia Department of ...

Finding a Business
• What are the actual conditions of the working environment Are there any hazardous
situations or is this a well-kept workplace
• What are the actual conditions of existing fixed assets like office equipment, machinery,
vehicles and the like Do employees, managers and supervisors demonstrate good
maintenance and cleanliness of company property
There is so much more to ask, but this is a brief list designed to give you a starting point from which to
begin the investigation of the venture in which you are about to invest.
You will want to examine these responses. It is a detailed matter requiring a significant explanation. Get
help assessing them from your SBDC coach.
Buying a Franchise
Many small business owners have minimized their risks by investing in a franchise. Franchising is a plan
of distribution under which an individually-owned business is operated as a part of a large chain. The
products and services offered are standardized and the company (franchiser) gives the individual dealer
(franchisee) the right to market the franchiser’s products or services and to use the franchiser’s trade
name, trademarks, reputation and way of doing business.
You may wish to explore some of the advantages of franchise ownership:
1. Starting your own business under a name and trademark already accepted by the public.
2. Possibly receiving training and management assistance from the people who are
experienced in your type of business.
3. Possibly receiving financial assistance from the franchiser.
4. Possibly purchasing equipment, products and supplies as well as advertising materials.
You should also look at some of the disadvantages:
1. You cannot make all of the rules; you lose the freedom to be your own boss and to make
most of the decisions.
2. The franchiser usually charges a royalty on a percentage of your gross sales.
3. The franchiser does not share your losses.
4. You may be restricted in setting pricing, introducing new items and dropping unprofitable
ones.
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Going into Business in West Virginia