Donut Bar Franchise Disclosure Document (FDD)
This Donut Bar Franchise Disclosure Document (FDD), published in 2017, contains 23 items of information disclosed following the completion of the franchisor's fiscal year.
Key elements of the FDD report (which was previously known as the UFOC) include the full franchise agreement as well as extensive discussion of franchise fees, capital requirements, ongoing royalty and marketing expenses, financing options, litigation, site selection requirements, site build-out costs, training programs and costs, current and projected franchisor and franchisee-owned units, franchisee listings and contact information, franchisor historical financial performance, earnings performance (for franchisors supplying Item 19s), outstanding lawsuits, franchisor bankruptcy filings, and key executive biographies.
The FDDs for a chosen franchise and its competitiors are a must-buy for anyone considering investing in a franchise business.
- Item 1. The Franchisor and Any Parents, Predecessors, and Affiliates
- Item 2. Business Experience
- Item 3. Litigation
- Item 4. Bankruptcy
- Item 5. Initial Fees
- Item 6. Other Fees
- Item 7. Estimated Initial Investment
- Item 8. Restrictions on Sources of Products and Services
- Item 9. Franchisee's Obligations
- Item 10. Financing
- Item 11. Franchisor's Assistance, Advertising, Computer Systems, and Training
- Item 12. Territory
- Item 13. Trademarks
- Item 14. Patents, Copyrights, and Proprietary Information
- Item 15. Obligation to Participate in the Actual Operation of the Franchise Business
- Item 16. Restrictions on What the Franchisee May Sell
- Item 17. Renewal, Termination, Transfer, and Dispute Resolution
- Item 18. Public Figures
- Item 19. Financial Performance Representations (if disclosed)
- Item 20. Outlets and Franchisee Information
- Item 21. Financial Statements
- Item 22. Contracts
- Item 23. Receipts
- Various Addenda to Disclosure Document (e.g., List of Franchisees, Financial Statements, Franchise Agreement, etc.)
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