The Nuts and Bolts of Franchise Disclosure Documents

franchise-disclosure-document-fdd

As a potential franchisee, you’ll have the opportunity to study the finer details of a vomFASS franchise investment thoroughly before joining the vomFASS family. The Federal Trade Commission (FTC) requires franchisors of all kinds to provide a Franchise Disclosure Document (FDD) to candidates who qualify to move forward with a franchise of their own.

Broadly speaking, the FDD contains various details about the franchise, including startup costs and a summary of important terms contained in the franchise agreement. We understand that owning your own franchise can often be a very large investment for new franchisees. This document is intended to be a resource for prospective franchise partners to thoroughly study and research the opportunity before making the decision to invest. For a more in-depth look at what is included in this document specifically, here is a rundown of what you can expect to find inside.

The background of the vomFASS franchise

This section of the document will detail vomFASS’s history as a franchisor including an explanation of the business activities vomFASS has embarked on over the years. You’ll learn how long franchising opportunities have been offered to those looking to start and grow their own stores. This section is intended to give prospective partners an idea of how long we’ve been engaged in providing opportunity to franchisees as well as a better understanding of the growth potentials of the business.

Franchise fees, startup Costs, and royalties to expect

The FDD also provides a detailed rundown of each cost and fee associated with your particular franchise. Broken into specific categories detailing what allotment of resources will go to personal marketing, royalties, and other aspects of the franchise, this information will help you better understand how the vomFASS franchise opportunity compares to other franchisers according to prices and compensation levels.

Detailed information regarding vomFASS’s exclusive products and service

vomFASS’s unique service is rooted in the wide variety of excusive products we proudly present in our stores. While other franchisers purchase and distribute their products through a network of suppliers, vomFASS goes one step further: we make the products ourselves. We pride ourselves on offering our franchise partners a unique opportunity you likely won’t find elsewhere.

The information provided in the FDD will provide you with a clearer picture of how and why we choose to stock our stores with the best quality products you won’t find anywhere else.

An explanation of our thorough training process

We understand how a comprehensive training program can be a vital tool in the successful operation of a franchise. That is why we provide potential partners with a detailed explanation of what to expect to learn from vomFASS professionals you can take with you into a store of your very own. We provide each of our new franchise partners with a ten-day training program prior to the opening of your store as well as an additional five to seven days of training once the store is open. Our extensive preparation process is one you likely will not find with any other franchisor.

Perhaps most significantly, you’ll be able to see the backgrounds of our instructors in order to understand what kinds of practical experience in franchising they’ll be able to pass on to you. On top of this, the document will also present details regarding the scope and duration of the training process and what you will be responsible for while learning the ins and outs of the vomFASS brand.

Information regarding existing and former franchisees

vomFASS strives to foster partnerships both between franchisees and our corporate team, as well as among franchise partners themselves. You’ll find name and contact information of current and former franchisees for those wishing to reach out for further advice and firsthand knowledge.

This may also be useful to confirm the information provided during training is consistent with what established franchise partners encounter when managing their own stores. This is our way of proving to prospective partners that our corporate team always has the best interests of its franchisees in mind when preparing them with the tools they need to succeed for themselves.

Insight into our territory policy

In section 12 of the FDD, you’ll find a detailed explanation of our territory policy. As part of the vomFASS brand, we will craft an agreement guaranteeing your claim over an appropriate portion of the local market. While many franchise companies do not provide this benefit to their franchisees, we work to carefully examine your store’s surroundings to ensure you can establish yourself without having your opportunities impinged on.

Transparent earnings information

Roughly only half of today’s franchisors provide financial representation information inside the FDD. While capturing data from franchise partners can be a challenging task, we strive to present our future franchisees with accurate and realistic figures in order to demonstrate our company’s commitment to quality and accountability. Only the most successful franchise companies provide this kind of information, and vomFASS is pleased to pass what we know onto our partners.

If you’re interested in joining the vomFASS team as a franchise owner, we’d like to hear from you. Speak with us about identifying the right city for a new franchise opportunity today.

Photo Credit: Joe Buckingham

Disclaimer: This information is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for information purposes only. Currently, the following states in the United States regulate the offer and sale of franchises: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin. If you are a resident of one of these states, we will not offer you a franchise unless and until we have complied with applicable pre-sale registration and disclosure requirements in your jurisdiction.