question archive A franchisee cannot be a corporation
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A franchisee cannot be a corporation.
True or False
False
Step-by-step explanation
Opening a franchise means that the other well known established companies gives you permission to use their established names, logos, products they offer to their customers, and many more. And in return to that, the franchisees pay fees to the original companies for the right to capitalize on the established company or business. And if you already have a franchise, you can now form a new company that will use any type of business structure you would like to have, which includes a corporation, partnership, or limited liability companies. That is why a franchise can be a corporation.