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The Ultimate Guide to Franchise Disclosure Documents

What is a Franchise Disclosure Document? What is its purpose? What does it contain? All those questions and more are answered below.


Also, be sure to check out our FDD Research Hub (link at the bottom), where you can browse advanced investment information for 100s of franchises, many of which have FDDs available for download.
After getting in touch with a few franchisors you want to move forward with in the buying process, you will receive their Franchise Disclosure Document -- a very important step in becoming a franchisee. Here is some background on what the FDD is.
A very important step in the purchasing of a franchise business is the review of the Franchise Disclosure Document (FDD). This is part one of our FDD explanation broken down by popular questions.
A very important step in the purchasing of a franchise business is the review of the Franchise Disclosure Document (FDD). This is part two of our FDD explanation broken down by popular questions.
One of -- if not -- the best place to start researching if a franchise will be profitable for you is Item 19 of an FDD. Learn more about financial performance representations (FPRs) in this article.
Some states go beyond the Federal Franchise Rule in vetting franchises that operate within their borders. Here's background on the states that require an extra step or two before franchises can court franchisees.

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