How to create a Franchise Disclosure Document

Описание: Trisha Conner gives us a sneak peak into the creation of the Franchise Disclosure Document, or FDD, a vital document that must be completed before any type of sales can be completed. Trisha Conner works with Franchise Marketing Systems clients to build, define and develop the FDD and Franchise Agreement. Once the documentation has been prepped and built, the documents are passed to a franchise lawyer to finalize and register the franchise offering with the appropriate states.

The FDD incorporates all of the details related to the franchise system:
Item 1: The Franchisor, and any Parents, Predecessors, and Affiliates
Item 2: Business Experience of the Principals
Item 3: Litigation related to the Franchise Company or Leadership Team
Item 4: Bankruptcy
Item 5: Initial Fees
Item 6: Other Fees
Item 7: Estimated Initial Investment
Item 8: Restrictions on Sources of Products and Services
Item 9: Franchisee’s Obligations
Item 10: Financing
Item 11: Franchisor’s Assistance, Advertising, Computer Systems, and Training
Item 12: Territory
Item 13: Trademarks
Item 14: Patents, Copyrights, and Proprietary Information
Item 15: Obligation to Participate in the Actual Operation of the Franchise Business
Item 16: Restrictions on What the Franchisee May Sell
Item 17: Renewal, Termination, Transfer, and Dispute Resolution
Item 18: Public Figures
Item 19: Financial Performance Representations
Item 20: Outlets and Franchisee Information
Item 21: Financial Statements
Item 22: Contracts
Item 23: Receipts

For more information on the FDD, Franchise Agreement or Franchise State Registrations, contact Franchise Marketing Systems: www.FMSFranchise.com