1. When does a contract have to be in writing in order to be enforceable? How would a party prove that an oral contract had been entered into by the parties without the presence of a written document proving the agreement?
2. Identify five questions that influence the negotiation process between a business buyer and a seller?
3. What is a franchise and how does it work?
4. What is the difference between a product and trademark franchise vs. a business format franchise? Which type of franchise is most common for entrepreneurial firms?
5. Kimberly Jones is the founder of a company in the medical equipment industry. Kimberly's firm is still in the feasibility analysis stage and doesn't have a product that is ready to sell. The company is spending about $25,000 per month and expects to maintain that level of spending until it reaches profitability. The $25,000 a month is Kimberly's:
a. consumption rate
b. utilization rate
c. burn rate
d. usage rate
e. liquidity rate
6. What is a saving clause? Why would an entrepreneur want to include a saving clause in a contract?
7. What is assent in a contract and what invalidates it?