{"id":22552,"date":"2020-04-08T11:25:29","date_gmt":"2020-04-08T11:25:29","guid":{"rendered":"https:\/\/www.xotels.com\/uncategorized\/franchise-disclosure-documents\/"},"modified":"2024-12-23T09:22:02","modified_gmt":"2024-12-23T09:22:02","slug":"franchise-disclosure-documents","status":"publish","type":"post","link":"https:\/\/www.xotels.com\/en\/glossary\/franchise-disclosure-documents","title":{"rendered":"Franchise Disclosure Documents"},"content":{"rendered":"<p>What is the meaning \/ definition of Franchise Disclosure Documents?<\/p>\n<p>The term Franchise Disclosure Document, also known under the acronym FDD, refers to a legal document implemented in 2008, in the US. It is used to fully inform potential franchisees about the investment. This document contains major information and has to be given to the <a class=\"glossary-only-link\" href=\"https:\/\/www.xotels.com\/en\/glossary\/franchisee\">franchisee<\/a> at least 14 days prior to the contract signature. The FDD is part of the due diligence process each potential franchisee must undertake \u2013 thoroughly \u2013 before signing a <a class=\"glossary-only-link\" href=\"https:\/\/www.xotels.com\/en\/glossary\/franchise-agreement\">franchise agreement<\/a>.<\/p>\n<p>The different points included in this contract are:<\/p>\n<p>1. The <a class=\"glossary-only-link\" href=\"https:\/\/www.xotels.com\/en\/glossary\/franchisor\">Franchisor<\/a> and any Parents, Predecessors, and Affiliates<\/p>\n<p>2. Business Experience<\/p>\n<p>3. Litigation<\/p>\n<p>4. Bankruptcy<\/p>\n<p>5. Initial Fees<\/p>\n<p>6. Other Fees<\/p>\n<p>7. Estimated Initial Investment<\/p>\n<p>8. Restrictions on Sources of Products and Services<\/p>\n<p>9. Franchisee\u2019s Obligations<\/p>\n<p>10. Financing<\/p>\n<p>11. Franchisor\u2019s Assistance, Advertising, Computer Systems, and Training<\/p>\n<p>12. Territory<\/p>\n<p>13. Trademarks<\/p>\n<p>14. Patents, Copyrights, and Proprietary Information<\/p>\n<p>15. Obligation to Participate in the Actual Operation of the Franchise Business<\/p>\n<p>16. Restrictions on What the Franchisee May Sell<\/p>\n<p>17. Renewal, Termination, Transfer, and Dispute Resolution<\/p>\n<p>18. Public Figures<\/p>\n<p>19. Financial Performance Representations<\/p>\n<p>20. Outlets and Franchisee Information<\/p>\n<p>21. Financial Statements<\/p>\n<p>22. Contracts<\/p>\n<p>23. Receipts<\/p>\n<p><strong>See also:<\/strong><\/p>\n<ul>\n<li><a href=\"\/en\/glossary\/franchise-agreement\/\">Franchise Agreement<\/a><\/li>\n<li><a href=\"\/en\/glossary\/franchise-fee\/\">Franchise Fee<\/a><\/li>\n<li><a href=\"\/en\/glossary\/franchisee\/\">Franchisee<\/a><\/li>\n<li><a href=\"\/en\/glossary\/franchisor\/\">Franchisor<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>What is the meaning \/ definition of Franchise Disclosure Documents?  [&#8230;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[37,9],"tags":[],"class_list":["post-22552","post","type-post","status-publish","format-standard","hentry","category-f","category-glossary"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Franchise Disclosure Documents Definition \/ Meaning<\/title>\n<meta name=\"description\" content=\"Definition: Franchise Disclosure Documents: The term Franchise Disclosure Document, also known under the acronym FDD, refers to a legal document implemented in 2008, in the US. It is used to fully inform potential franchisees about the investment.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.xotels.com\/en\/glossary\/franchise-disclosure-documents\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Franchise Disclosure Documents Definition \/ Meaning\" \/>\n<meta property=\"og:description\" content=\"Definition: Franchise Disclosure Documents: The term Franchise Disclosure Document, also known under the acronym FDD, refers to a legal document implemented in 2008, in the US. 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