1. Hire Purchase: This is a contract of hire when the buyer pays an initial deposit and the rest is paid instalmentaly.This means that goods are merely on hire and not owned by the buyer until the final instalment is paid.

TERMS OF HIRE PURCHASE

• The cash and hire purchase price must be stated
• The agreement must be sign by the two parties
• The aim of each instalment must be stated
• The hire can terminate the contract within three days if the contract was signed in his home
• When 1/3 of the hire purchase price has been paid, the seller or firm may only recover the good through a court action.
• If the buyer pays 2/3 the seller can’t take back the good except through a court order.

ADVANTAGES OF HIRE PURCHASE

1. The firm or seller

• Hire purchase helps a seller to increase his turn over through greater sales
• It helps the seller to dispose of expensive and durable goods
• The seller make higher profit hire purchase
• The seller can recover the good he sold
• Seller retains the ownership of good until the payment is paid.

2. To the buyer or consumer

• Buyer enjoyes the good even when he had bot fully paid for them
• Hire purchase gives buyer opportunity to acquire expensive or variable goods
• Hire purchase helps to improve the general living standard of buyers
• It helps consumers to buy goods whose price are more than their present income
• The consumer gains during inflection.

DISADVANTAGES OF HIRE PURCHASE

• The consumer right begin is restricted
• The consumer con not make his choice
• The consumer loses during deflation
• The consumer pays higher for the good bought

3) FRANCHISE

      It is an agreement between a franchisor and a franchisee where by the franchisee is granted to use the franchise or trade mark. The franchisee on it’s part make regular payment called royalties on the properties and supply of a franchisor all their goods are decorated in the same style.