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Franchise Rule Guide.pdf

bus70-franchise-rule-compliance-guide.pdf
Preview of Franchise Rule Guide
🔗 Source: ftc.gov
📊 Size: 986 KB
👤 Author: Federal Trade Commission
⬇️ Downloads: 111

Summary

The Federal Trade Commission's amended Franchise Rule requires franchisors to provide prospective franchisees with material information, including background information, costs, legal obligations, statistics, and audited financial information, and to make certain disclosures if financial performance representations are made. The rule updates the Uniform Franchise Offering Circular Guidelines to address new technologies and requires more disclosure about franchisor-franchisee relationships. Certain entities are exempt, such as those with low minimum payments, fractional franchises, and large franchise investments. The rule also prohibits certain practices and provides exclusions for employer-employee relationships, general partner relationships, and cooperative associations. Franchisors must prepare and furnish disclosure documents, and existing franchisees have responsibilities when selling or purchasing outlets.

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Description

The Federal Trade Commission's amended Franchise Rule requires franchisors to provide prospective franchisees with material information, including background...

Technical Information

  • File Format: PDF
  • File Size: 986 KB
  • Pages: 154
  • Language: EN
  • Author: Federal Trade Commission
  • Total Downloads: 111
  • Last Updated: 1 week ago

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