What are some of the pivots you may need to make after you launch a new business?

• Your product may need further development
• You may need to adjust your packaging and pricing
• You may need to reconsider channels of distribution
• All of the above could occur after you launch a new business

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What is one of the ways successful entrepreneurs pivot to additional revenue streams?

• They find new products for their growing customer base
• The find new market niches for their growing product line
• They use their growing resources to develop related business opportunities
• All of the above answers are correct

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Why did Jacque Butler start her second company, the nanny agency?

• Her father thought it was an excellent opportunity and encouraged her to do it
• She was a single mother of six and couldnt find an acceptable agency to help her find a nanny for her children while she was in school
• She sold her first real estate company and had capital to start a new business
• She was a nanny as a teenager and always wanted to start her own agency

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What need prompted Jacque Butler to start her compounding pharmacy?

• She had money from selling her nanny agency and really liked the supplement industry
• She went to school and became a pharmacist and needed a job to support her family
• Her father was diagnosed with Parkinsons disease and she couldnt find any solutions that would help with his illness
• None of the above are correct

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What is an important question to ask when you are trying to add new products for your base market?

• What is the least expensive product I can add to my product line?
• What is the broader problem people are trying to solve when they purchase my product?
• What new products is our team capable of creating?
• What is the most expensive product I can add to my product line?

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What unique business model did Jon and Jason Araghi create to get coffee to military troops in remote and dangerous locations?

• They raised money and donated it to the military so troops could buy coffee in the cities where they were stationed
• They built brick and mortar coffee shops within 30 miles of each military base
• They built complete coffee shops in sea containers that could easily be transported
• They air dropped coffee mixes from military planes

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When your business is stable and you have a variety of valuable resources, what is another move you can make to generate additional revenue?

• You can use your growing resources to develop new and related business opportunities
• You can sell your business while it has the greatest value
• You can start selling off the resources you dont need to generate additional cash
• You can use your resources to keep what you have stable

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What are some of the new business opportunities Joe Brandl created after building his tannery business?

• He started making clothing and props for mountain man rendezvous, sportsmens shows, and movies
• He started making lodge-pole beds, tables, chairs, and rawhide lamp shades
• He opened a show room to display and sell all of his western products
• Joe pivoted to all the above opportunities

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What valuable pivot did Dave Burbidge make after he built a very successful garbage company?

• He started buying, refurbishing, and selling used garbage trucks
• He started and built a new construction company
• He started a commercial painting company
• None of the above answers are correct

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What new business did the founders of DownEast Outfitters pivot to after they built their successful off-price clothing company?

• They opened a chain of dollar stores to sell their left over products
• They sold their company and started developing real estate
• They switch to low-price high volume specialty food stores
• They used their same business model to create an off- price furniture company

How do you find businesses that are for sale?

• Talk with attorneys, accountants, and consultants to see if any of their clients are ready to sell their business
• Review ads in newspapers, magazines, trade publications, and websites.
• Contact business brokers to see what companies they have listed
• All of the above are good ways to find businesses for sale

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What are the three methods for determining the value of businesses that are for sale?

• Business history, industry growth, asset appraisal
• Income potential, return on investment, asset value
• Market share, market value, industry stability
• Asset appraisal, market value, and income potential

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What is the Asset Appraisal method for evaluating a business for sale?

• You compare three or more similar businesses that have recently sold in your market to the one you are evaluating
• You find someone who needs to sell quickly and offer half the value of the current assets
• You determine the value of the companys assets and then compare that value with the cost of acquiring similar assets and starting your own business
• You evaluate the companys ability to pay all of its costs, provide a salary for the buyer, and produce an attractive return on the financial investment made

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What is the Income Potential method for evaluating a business for sale?

• You estimate what salary you need to make and then determine if the business can provide it consistently
• You compare three or more similar businesses that have recently sold in your market to the one you are evaluating
• You evaluate the companys ability to pay all of its costs, provide a salary for the buyer, and produce an attractive return on the financial investment made
• You determine the value of the companys assets and then compare that value with the cost of acquiring similar assets and starting your own business

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Which of the following is a key consideration when researching a franchise you may want to buy?

• The business system
• Market presence
• Fees and royalties
• All of the above are important to consider

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What is the typical multiple of net income that small businesses sell for?

• 5 to 7 times net income
• 1 to 3 times net income
• 2 to 5 times net income
• 5 to 10 times net income

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What is the single most important thing to study carefully when you are considering buying a business?

• The number of customers that have quit supporting the business
• At least three years of financial statements and tax returns
• The online customer reviews
• The office costs, furniture, and other physical assets

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Which method for valuing businesses for sale is the most commonly used?

• Income Potential
• Asset Appraisal
• Industry Comparison
• Market Value

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What are the typical ranges of fees charged in the franchise business model?

• A 5 to 10 percent royalty on sales and a monthly marketing fee of 8 to 10 percent of sales
• A 1 to 3 percent royalty on sales and a monthly marketing fee of 1 to 3 percent of sales
• A 2 to 5 percent royalty on sales and a monthly marketing fee of 3 to 5 percent of sales
• A 2 to 8 percent royalty on sales and a monthly marketing fee of 1 to 3 percent of sales

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What is a good way to find out if a franchise you are considering will be a satisfying and successful experience for you?

• If 9 out of 10 current franchisees tell you they love the company and have had a great experience with their business
• If your friends and family members encourage you to go ahead with the opportunity
• If college professors you admire tell you it is a good idea
• If the company selling the franchise tells you it will be satisfying and successful