Ensuring Receipt of Your Franchise Disclosure Documents

When you deliver a Franchise Disclosure Document (FDD) to a prospective franchisee, you'll want to ensure that the document was received. This is true whether you deliver the FDD as a  hard copy, or if you deliver it in electronic form. To ensure receipt, you will need to get a signature of receipt from the prospective franchisee.

It is also important that you deliver the FDD to the right people such as:  

• Each individual franchisee
• A principal officer of a corporate franchisee
• The managing general partner of a partnership
• The manager of a limited liability company 

Upon delivery of the FDD, you should document the following information: 

• The date the FDD was received;
• The date any addendum to the FDD was received;
• The date that completed copies of all agreements to be executed were received by the prospect;
• The date that the first agreement was received by the prospect and
• The earliest date a check, cash, or other consideration was delivered by the prospect to a representative of the franchisor, and the name of that individual. 

With proper documentation, you can protect yourself in disclosure disputes with prospective franchisees.

If you are selling franchises in New York, then it is important that you document the disclosure process. To learn more about the franchise disclosure process, please visit our article library.  

How a New York Franchise Attorney Can Help

A New York franchise attorney can help you throughout the disclosure process. By hiring an experienced attorney, you can avoid the potential missteps of delivering your Franchise Disclosure Document.

If you are an entrepreneur who is interested in franchising your business there is a lot you need to know, including the significance of evaluating your trademark and how to approach the preparation of your FDD.

For a limited time, get Charles N. Internicola, Esq's franchise law report to determine whether or not your business is right for franchising. Contact us today at 1-800-976-4904 for more information about Mr. Internicola's franchise law services in New York and how he assists entrepreneurs franchise their business nationwide.