Your friend Bainbridge called to tell you he attended a pitch for a new franchise in website development. Bainbridge says, "We can get in for a few thousand dollars." He wants to know if you are ready to invest too. Although both of you lack expertise in graphic design or html programming, this should be a safe investment since it is already advertised as a franchise system. It's probably too good to pass up.

Question

Quizplus · Accepted Answer

Fraudulent franchises exist. These are small, obscure companies that most prospective franchisees know little about. Before buying, it is important to check out the facts, examine the franchisor's offering circular, and even consult with the Federal Trade Commission.

Your Friend Bainbridge Called to Tell You He Attended a Pitch