Which of the following is an establishment option?

• A. New business
• B. Existing business
• C. Franchise
• D. All of the above

Answer: (D)

Establishment options are the different paths a person can take to start a business. Starting a new business means building the venture from the ground up, giving full control and flexibility but with higher risk and uncertainty. Buying an existing business offers an immediate cash flow, established systems, and a customer base, though it may come with inherited problems or legacy costs. Franchising provides a quicker start with an established brand, training, and ongoing support, but it comes with rules to follow and ongoing fees. Because each of these paths represents a legitimate way to establish a business, the best choice is that all of the above are establishment options.