ENTREPRENEURIAL OPPORTUNITIES
IDENTIFYING AND EVALUATING BUSINESS OPPORTUNITIES
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Starting a new business is more costly than buying an existing one.
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True
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False
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Either A or B
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None of the above
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Explanation:
Detailed explanation-1: -Advantages of buying an existing business A market for the product or service will have already been demonstrated. There may be established customers, a reliable income, a reputation to capitalise and build on and a useful network of contacts. A business plan and marketing method should already be in place.
Detailed explanation-2: -An existing business already has customers and continued cash flow. By comparison, a start-up can take a long time to attract new customers and become cash positive. Buying an existing business can offer greater security over working capital and help you cash flow sooner.
There is 1 question to complete.