When starting a franchise in New York‚ you will be required by the Federal Trade Commission (FTC) to disclose specific information. This information must be included in the Franchise Disclosure Document (FDD)‚ which you will be required to provide to potential franchisees. In Item 5 of the FDD‚ you must disclose the initial fees required to start a new franchise.
If you have questions regarding your franchise disclosures‚ you can get the professional advice of a New York franchise attorney.
Your Item 5 disclosure will include information about all payments and commitments required to pay for goods and/or services‚ as well as the standard initial franchise fee.
Item 5 of your FDD will also include information about the necessary payments for:
- business inventory;
- any software licensing fees;
- rent for your site;
- any employee and management training that will be provided; and
- advertising costs.
Within the FDD‚ you must also disclose the conditions under which payments or fees may be refunded. If you don't provide this information‚ you may be found in violation of the FTC's franchise rules. To ensure that you provide the required information‚ and do so in the required time frame‚ you can get the help of an experienced New York franchise attorney.
If you plan on starting a franchise in New York‚ you will need to follow the FTC's franchise rules and guidelines. Learn more about this important aspect of franchising by visiting our article library.
Contacting a New York Franchise Attorney
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 New York franchise attorney 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.