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Different choices for his start-up plan

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Gavin Winner wishes to start a small business at a street corner and plan to expand the business in chain stores in 5 years. He can either purchase an existing business or join a franchise. He is also considering whether he should work on his own capital. There are different choices for his start-up plan.

a. After a thorough discussion with Michael Jackson, Gavin decides to start the business with the capital contributed by both of them. Explain the advantages and disadvantage of this decision?

Reference no: EM132737681

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