> > Why would a bank be more favourable granting a loan to a franchisee rather than a new sole trader?

Why would a bank be more favourable granting a loan to a franchisee rather than a new sole trader?

Why would a bank be more favourable granting a loan to a franchisee...

61 Views

Why would a bank be more favourable granting a loan to a franchisee rather than a new sole trader?

Why would a bank be more favourable granting a loan to a franchisee rather than a new sole trader?

Answer

Because if the bank granted a loan to a franchise they will know that the loan will be used and make profit for the franchise.
Whereas if the bank grant a loan to a new sole trader then they are not sure that the sole trader will use the money in a helpful way and may lose profit.

Virtual Teaching Assistant: Colleen R.
Question Level: Basic
Karma: Free
Upload Date: 5/31/2017

This 38 words question was answered by Colleen R. on StudySoup on 5/31/2017. The question contains content related to Business Since its upload, it has received 61 views.

Recommended Questions