Franchise Disclosure Documents (FDD)

One of the most difficult things to impress upon start-up franchisors is the amount of time, resources, and manpower it takes to establish a uniform system and, equally important, to monitor compliance with that system.

To protect the integrity of a brand concept and the goodwill it wishes to establish, the franchisor must devote the manpower necessary to investigate and monitor compliance with all aspects and provisions set forth in the franchise agreement. Established franchisors understand the cost and realize they must protect their brand's goodwill from franchisees who cut corners, run poor operations, and endanger the integrity and uniformity franchisors seek to establish.

Some franchisee activities are easier to monitor than others...