Share
Explore BrainMass

Final Recommendation on Subway Franchise Opportunity

Develop a final recommendation on Subway franchise opportunity. The recommendation should include the following:

- An executive summary
- A decision objective regarding selection of franchise opportunity
- Forecasts of franchise profits and cash flows(Included in attached document)
- An estimated internal rate of return on investment
- An investment decision recommendation

The attached Subway Franchise Opportunity document has information needed to make recommendation.

Attachments

Solution Preview

Dear Student,

Please find help and some guidelines for Subway franchise opportunity below. The content below has been written to get you started on this assignment. This has been written to help you with this particular problem and its use is limited as such. The content of the solution must not therefore be passed on as your own work for grading or commercial purposes. You can also use the listed resources to explore your topic further.

Sincerely,

Reena (106553)

-

Executive Summary

An opportunity to invest in Subway is offered by this company in form of franchise and for accepting or rejecting it, an investor should consider investment objectives. It is quite suitable for risk taker and risk adverse investors as it is risky in short run and profitable in long run. In addition, profit and cash flow projection of Subway franchise also seems to be positive in next five years from investment. IRR of this investment option also indicates potential growth. An investor should consider other aspects that beside profitability.

Objectives to Investment in Subway Franchise

The main objective behind to make investment in Subway franchise is to achieve long-term profit and to create value accordingly. The long run perspective will be considered to determine feasibility of this business opportunity. In this way, selection of Subway franchise as an investment option will be based over the profit, it is expected to generate on the basis of its current profit statement. In order to analyze this investment option in terms of ...

$2.19