Business Structure and Franchising Quiz

What is the most common form of business ownership in South Africa?

• Sole proprietorships

• Limited liability partnerships

• Franchises

• Joint ventures

Which act governs companies in South Africa?

• Companies Act 71 of 2008

• Business Act 1991

• Franchise Act 2020

• Consumer Protection Act 2008

What is a key advantage of a partnership?

• No personal liability for debts

• Greater potential for raising capital

• Limited liability

• Full control by one owner

What is a disadvantage of a sole proprietorship?

• Limited regulatory compliance

• Full control over business decisions

• Ability to raise capital easily

• Personal liability for debts

What type of franchising offers a complete package including branding and training?

• Service Franchising

• Business-format Franchising

• Product/Trade-name Franchising

• Retail Franchising

Which of the following is NOT a funding option for businesses in South Africa?

• Government Grant Funding

• Crowdfunding

• Venture Capital Funding

• Personal Loans from Banks

What is essential for protecting intellectual property?

• Annual financial statements

• Trade licenses

• Copyrights, patents, and trademarks

• Health and safety certifications

What is a key component of a business profile?

• Financial projections

• Mission statement

• Employee benefits

• Market analysis

Which color is commonly associated with luxury and exclusivity?

• Blue

• Black and Gold

• Pink

• Green

What is the purpose of a business guarantee?

• To reduce service offerings

• To increase operational costs

• To enhance customer confidence

• To limit customer feedback