What is a franchise disclosure document?

Answer by  Atomicrayon (2504)

A franchise disclosure document seals all discussion and liabilities associated with a particular topic, in this case it would pertain to either a patent or a business transaction that is not open to general public.

Answer by  JamesPorter (63)

This is a disclosure document provided to the Federal Trade Commission that lists all franchises and those that have recently left, so a prospector may contact and study the franchisers prior performance before becoming a franchisee. It provides a fair example of what the prospector can expect before investing in a company

Answer by  Chaneygirl (1755)

It is required the franchisor provide to franchisees at least 10 days prior to signing. Contains legal info/past about franchise. Document not required to be reviewed by a lawyer.

Answer by  patti (29325)

Parties interested in purchasing a franchise must receive these documents no fewer than ten days before any agreement is struck or any money is paid. The documents, as the label suggests, disclose information on a variety of topics to the potential franchisee.

Answer by  patti (29325)

A FDD is a legal document used in the franchising process in the US. The would-be franchisee must receive it at least 10 days prior to any agreement/contract/payment.

Answer by  TheAnswerFairy (2345)

The Franchise Disclosure Document, which prior to 2007 was known as the Uniform Franchise Offering Circular, is a legal document that must be given to the person seeking franchise rights by the franchisor before the franchise sale is completed. There are very specific guidelines about what must be included.