You have spent the last six years developing a process to repair cracked foundations in large warehouses and other large buildings. The equipment needed for the process is costs about $500,000. You have established business in three other locations and each location is profitable (about $200K in profits at each location) and requires a total investment of $750,000 including the equipment. The timing appears right for expansion. The options that are being considered are opening new locations or franchising the operations.
A. What would be the pros and cons of each method?
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