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for “franchise compliance”
FDD Item 6: Other Fees
In Item 6 of the FDD, franchisors must disclose all other fees including ongoing royalties, brand development funds, marketing, technology, training, and more.
Menu Labeling Requirements for Growing Restaurant Franchises
If you are the franchisor of an emerging and growing restaurant franchise and you haven’t already complied with the Food and Drug Administration’s (“FDA”) menu labeling requirements, then it’s time to start evaluating your obligations and options before more franchisees commit to menu boards and build-outs that may not be in compliance. Restaurant Franchises with 20 or More Units – The rule applies to restaurants and “similar food establishments” that are part of a chain with 20 or more locations doing business under the same name. So, if you are a restaurant franchisor, application of this rule to your system is not a question of “if” it applies but rather a question of “when.” Well before 20 units, planning will need to be put into implementation and menu boards for existing franchisees may have to be retrofitted with compliant menu disclosures. Standard Menu Items – The menu labeling requirements apply to “standard menu items.” Standard menu items are menu items that are “routinely included on a menu or menu board or routinely offered as a self-service food or food on display. Variable Menu Items – The menu labeling requirements apply to “variable menu items.” Variable menu items are menu items that qualify as “standard menu items” but that come in different flavors, varieties, or combinations and are listed as single menu items. Temporary Menu Items – The menu labeling requirements do NOT apply to temporary menu items, which are menu items that “appear on a menu or menu board for less than a total of 60 days per calendar year.” The 60 days includes each day on the menu board and need not be consecutive days. Summary of FDA’s Menu Labeling Requirements: Generally: Calorie Disclosure Obligations – The number of calories contained in each standard menu item must be displayed on the menu and menu board. As to variable menu items, calories must also be disclosed, but the method of disclosure varies depending on how the variable menu items are listed on the menus and menu boards. Standard Menu Items: Calorie Disclosure – For standard menu items, the number of calories must be listed adjacent to the name or the price of the associated menu item in a type size no smaller than that of the menu item or price or the associated menu item (whichever is smaller). Also, calorie information must be in the same color and as conspicuous as all other menu information. Reference to calories may be by using the word “calories” or the abbreviation “cal” and may be used as the heading above a column of calorie declarations. Variable Menu Items: Calorie Disclosure – In addition to the requirements imposed for standard menu items, there are additional requirements for variable menu items: When the menu or menu board lists flavors or varieties for an entire individual variable menu item, the calories must be declared separately for each listed flavor or variety; and When the menu or menu board does not list flavors or varieties for an entire individual variable menu item, and only includes a general description of the variable menu item, the calories must be declared for each option with a slash between the two calorie declarations where only two options are available or as a range when more than two options are available. There are other variations as to variable menu items. Serving Sizes – When dealing with combination menus and menu items that represent multiple serving sizes, additional disclosure requirements exist as to serving sizes. Next Steps for Achieving Compliance: As a growing restaurant franchise, you must start implementing a plan for ensuring that your menu boards and menus comply with the FDA requirements. The FDA guidelines are extensive. While this article summarizes some of them, there are many more and many variations. Plan to review your existing menu configuration and menu items with your legal or franchise counsel. Review the FDA Menu Labeling Regulations in detail. In addition to federal law, many states and local municipalities have implemented additional labeling requirements. So be sure to evaluate the local jurisdictions in which your franchisees are located. Read More Articles
FDD Item 8: Restrictions on Sources of Products and Services
Item 8 of the FDD discloses what products and supplies franchisees must purchase or lease from the franchisor or the franchisor’s designated suppliers.
FDD Item 11: Franchisor's Assistance, Advertising, Computer Systems and Training
Item 11 of the FDD discloses assistance and training that the franchisor will provide, and advertising, computer and software systems that is required.
FDD Item 23: Receipts
Within Item 23, the receipt page must be signed to confirm and prove the proper disclosure and delivery of the FDD.
Winning Strategies for Selling Your Franchise System
Strategies and steps for selling your franchise system to future private equity investors Tak eaways Start with the end in mind: keep documents in order, build strong franchisee relationships and develop a five-year plan. Choose an exit strategy that aligns with your goals. Follow industry best practices to increase your brand’s value over time. Work with an experienced franchise lawyer to minimize legal exposure. Whether you’re just starting out as a franchisor or you’re closing your 100th deal, having an exit strategy in place is critical for maximizing the value of your franchise system before selling it in the future. From private equity to generational inheritance and conglomerate sales, making sure your brand is positioned for future sale and investment opportunities is important. By following best practices, adopting smart strategies and knowing the right steps to take early on, you can increase the value of your franchise system while ensuring you’re well-prepared when it’s finally time to exit your business. In this guide, we’ll explore the winning strategies every franchisor should know before selling a franchise – and what you can do today to maximize your brand’s value in the future. 1. Begin with the end in mind When you’re getting started in the franchising world, it’s important to begin with the end in mind . When drafting your initial Franchise Disclosure Document (FDD) and franchise agreement with your attorney, it’s a good idea to have an exit strategy in place – even before you’ve sold your first franchise. By making sure your future exit is built into your franchise system’s legal foundation early on, you’ll add value to your brand from the start. “What are the things that you're going to be looking at now, as you're going through a deal, or something that someone five years from now – as they sit down in an equity transaction – is going to be evaluating that they would have wished [you] had done better or thought about more if [you] could have gone back in time?” says Charles N. Internicola , a franchise attorney with over 25 years of franchise experience and the founder of The Internicola Law Firm . Develop a five-year plan For startup or emerging franchisors, it’s also a smart idea to develop a three- to five-year franchise success plan before selling your first franchise. This process can help you gain clarity about your vision while empowering you to set milestones for growing your brand over time. “For new franchisors, as we're developing the FDD – and really the development strategy embedded in it – it's always, what does that three- to five-year vision look like? What does a potential equity investment in year four and five look like? And how do all of your documents and your compliance practices hold up?” Internicola says. When developing your five-year plan, take time to think about how your exit strategy fits into your vision for the future – and make sure to leave room for a potential private equity investment in years four or five. Compliance practices and legal documents For more mature franchisors that have possibly already taken on some private equity, building an exit strategy around your franchise’s compliance systems can be a good approach. “We have brands that are in acceleration mode – some have already taken on some private equity and they're at the second stage of their growth. And there are other more mature systems. But I think the answer along the way is, you have to build in your compliance systems or your exit strategies when developing your franchise program and how you maintain compliance,” Internicola says. By maintaining ongoing compliance with franchise laws, keeping your documents and filings up to date, and having a plan for managing franchisee relationships and compliance, you can add value to your already-established franchise brand as a seasoned franchisor. 2. Choose an exit strategy that’s right for you Every franchisor has a unique set of personal and professional goals. Because of that, it’s important to understand the exit options that are available to you and to choose the exit that best aligns with your goals. Private equity exit In recent years, private equity exits – or selling a franchise to private investors – have become a popular exit strategy for franchisors. “Private equity is not the only way to exit a franchise system. But when I'm thinking about [exits] as I'm preparing the FDD and franchise agreement, I'm thinking about private equity, because private equity is the one that's going to be scrutinized the most,” says Brian A. Lincer , a franchise and trademark attorney at The Internicola Law Firm. Because private investors acquire franchise brands with the goal of making excellent purchases, private equity exits typically require franchisors to undergo deeper levels of financial and legal scrutiny than other exits. Because of that, it can be a good idea to plan your exit strategy around private equity regardless of whether you ultimately choose a different exit in the future. “If we're prepared for a private equity exit, we will be prepared for all the other exits – you know, the other exits will be easier. So I think of it as if we're going to sell to private equity five years from now, and then that's the way I think about pretty much everything – not only the FDD but the way we deal with the franchisee on behalf of the franchise, or vendors. Every component of a franchise system has something to do with the private equity exit,” Lincer says. Generational inheritance exit Although private equity exits are common among franchisors selling their franchise systems, generational inheritance exits are also popular for franchisors with children or other family members that are interested in taking over the family franchise. If generational inheritance is your preferred exit strategy, it’s a good idea to work with an experienced attorney to draw up the appropriate legal documentation. Conglomerate sale exit Another popular exit strategy for franchisors is to sell the franchise system to a conglomerate, which will then add the franchise to its portfolio of brands. Like other exit strategies, it’s best to work with an experienced franchise attorney to make sure your conglomerate exit strategy is developed properly. 3. Follow best practices to maximize your brand’s value When it comes to maximizing your brand’s value, there are strategies and steps you can take to make sure your franchise system will be attractive to potential investors further down the road. Maintain compliance At the foundational level, making sure your franchise system stays compliant with federal and state franchise laws and regulations is critical for maximizing its value potential. This includes avoiding regulatory violations, steering clear of lawsuits and making sure all filings and licenses are current. “When you're selling, you're going to make representations and warranties that your franchise company is in good standing, that [you’re] in compliance with franchise laws or [you] don't know of any violations – that [you] haven't made illegal financial performance representations,” Internicola says. Protect your intellectual property When it comes to franchising, intellectual property can make or break your franchise brand. Because of that, it’s critical to register your trademarks with the U.S. Patent and Trademark Office as early as possible – and continue policing those trademarks until you exit the business. “IP is really important – making sure your trademarks are registered, making sure that all of your renewals are filed correctly, making sure your whole IP portfolio is protected, whether that be trademarks, copyright on occasion,” Lincer says. Establish strong Item 19 representations Another strategy for maximizing the value of your franchise system is to build up strong financial performance representations – that is, any written or oral statement or communication made by a franchisor to a franchisee or the public about the actual or potential financial performance of a franchised business – and to disclose those numbers in Item 19 of your FDD. “The better your Item 19 is, the more protection you'll have. Not only will it help with franchise sales, but [it will also] get rid of the ambiguity of bad Item 19’s and make sure you're drilling down with your team members on good sales practices,” Internicola says. Make honest representations and warranties During the exit process, making honest representations and warranties to private equity investors or buyers is critical – not only for maintaining good professional relationships but also for limiting potential legal and financial liabilities. “First of all, you need to make those representations for a deal to happen. And second, even after you close a deal, if they're false, there could be an ability for a buyer to come back and either clawback compensation or you could have liability,” Internicola says. Despite those risks, making honest representations and warranties is within your control as a franchisor – and it should be a priority from day one. “If we think we're selling to private equity in five years, and we know we're going to have to make those promises, those representations, we want to make sure our compliance program addresses those issues and we can confidently, without having any possibility of repercussions, say those things affirmatively,” Lincer says. Even in cases where a franchisor might have been involved in litigation at some point, it’s important to be upfront about those situations with potential investors to avoid paying a higher price later. “It's not unusual where sometimes we have a litigated matter that's out of our control. Maybe we had a rogue franchisee that tried to open up a competing business, and we could say we didn't have any litigation except for this one instance, and here's the information about that – which generally won't be seen as a negative. We're trying to figure out ways where we can make those representations without having the private equity company come back after us and potentially … pull back some money,” Lincer says. Limit your legal exposure Because private equity firms typically focus on liability issues during the franchise acquisition process, it’s important to make sure possible legal liabilities are minimized throughout your franchising journey. Although it isn’t always possible to avoid litigation as a franchisor, you can add value to your franchise system by working with an experienced franchise attorney to build a rock-solid legal foundation for your franchise – particularly when it comes to developing a private equity exit strategy. “Part of the sales document and the agreement between the private equity firm and the franchise system that is selling is something called representations. Basically, they're the promises of the seller. If these promises aren't accurate, there are some repercussions, typically. So I'm thinking about this on day one – because a lot of those representations will trail back five years from now,” Lincer says. A key strategy for limiting exposure involves making sure legal protections are built into your franchise system’s legal foundation from the start, including the FDD and making sure your franchise agreements are assignable. “You need to have provisions that allow acquisition – allow you to be acquired without requiring franchisee consent. … You need a very robust [franchise] development in terms of anyone who acquires your brand is going to be looking for expansion opportunities, so you need to be really precise on how your agreement grants franchise territories. Do you have carve-outs for certain captive market accounts? And is your IP and your entire infrastructure protected?” Internicola says. Because private equity firms want to make sure they aren’t investing in a brand that’s going to explode on them in the future, expect the acquisition process to involve scrutiny of your franchise system’s past litigation, defaults and other compliance issues. “Other areas would include taxes – making sure all the taxes are paid, making sure all of your vendor agreements are in order. If you have particular vendor agreements, make sure those are assignable,” Lincer explains. Confidentiality clauses are also critical to include in your franchise’s legal documents. And in situations where a franchise system relies on a few key employees, it can also be a good idea to make sure those valuable employees are locked into a contract. By retaining top talent, you can add unique value to your franchise system and make it more attractive to potential investors. Indemnification can add a layer of protection Although franchisors can limit much of their legal exposure by working with a lawyer to establish a strong legal foundation for their business, the potential for unanticipated risks is always present when it comes to exiting a franchise. It’s important to work with an experienced franchise attorney to make sure the proper legal safeguards are in place when selling a franchise, including indemnification. Although some insurance companies offer coverage for representations and warranty claims, due to policy limitations franchisors should be proactive in their exit strategies by including indemnification provisions in future deals with private equity investors. “Generally, a seller of a franchise system is going to want to have some sort of cap on [liabilities]. And it could be a monetary cap; it could be a time lapse – after a year, the indemnification obligations are going to subside,” Lincer says, adding that indemnification could be negotiated by a qualified attorney as a material part of the transaction. 4. Franchise the right way In addition to limiting your liability as both a franchisor and the seller of a franchise system, franchising the right way – with the help of a seasoned franchise attorney – can offer other important benefits. From stronger legal protections and improved contract provisions to better negotiations and enhanced due diligence, working with a law firm that specializes in franchising can ensure that your journey as a franchisor is a success, from FDD to exit. Listen to the full interview: To learn more about how we can help you maximize your brand’s value and develop an exit strategy that works for you, contact us using the button below or call (800) 976-4904. Read more
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2024 Renewal Guide: Avoiding Dark Periods and Saving Deals
Renewing Your 2024 FDD Learn strategies for navigating the annual FDD renewal process while avoiding missed opportunities and maintaining deals with franchisees. As Q4 2023 approaches, many franchisors are starting to prepare for renewing their Franchise Disclosure Document (FDD) . Under federal franchise laws, a franchisor’s FDD automatically expires within 120 days of the franchisor’s fiscal year-end. The FDD must be renewed before the end of that period to legally sell franchises in the U.S. For franchisors whose fiscal years align with the calendar year, that means the FDD must be renewed by April 30 each year. For franchisors that do business in certain states, FDD renewal requirements can vary. A missed renewal deadline in any of those states, or even at the federal level, could mean an expired FDD – and a long “dark period” with no franchise sales. In this guide, we’ll explore strategies for navigating the 2024 FDD renewal process, including ways franchisors can avoid common mistakes and prevent dark periods while maintaining deals with existing franchisees. Goals for preparing your 2024 FDD Renewal include: Prepare now for a great 2024 FDD Enhance Your Competitive Positioning Avoid Dark Periods and Registration Delays Energize your It em 19 Avoid the Last Minute Frenzy where Opportunities May be Missed Prepare Early for a Smooth FDD Renewal As with any legal or business-related task, preparing early for the FDD renewal process can save you time, energy and hassle as a franchisor. For franchisors renewing their FDD in 2024, the best time to start is right now. By giving your team enough time to navigate around potential obstacles – rather than waiting until the last minute to collect important documents from franchisees and registering your paperwork at the eleventh hour – you can maintain the flow of your franchise business while avoiding stressful “dark periods” in franchise sales created by missed deadlines and expired FDDs. FDD Expiration Date The date your FDD expires can vary depending on several factors, including the end of your fiscal year and the states in which your franchise system operates. As a franchisor, knowing when your FDD expires and requires renewal is critical for continuing to operate your franchise business uninterrupted. Under the federal Franchise Rule , which applies to franchises operating in every state in the U.S., a franchisor’s FDD expires 120 days after the end of their franchise entity’s fiscal year . This means that if your franchise company’s fiscal year ends on December 31, the federal deadline for renewing your FDD in 2024 would be no later than April 30. It’s important to note, however, that your FDD expiration date could vary based on various factors including location and fiscal year-end. For example, if your franchise company’s fiscal year-end differs from the normal calendar year’s end, the deadline to renew your FDD could fall on a different date. Understanding State Specific Regulations Because the franchising industry is regulated at the federal and state levels in the U.S., FDD expiration dates and renewal deadlines can vary by state. As a franchisor, it’s important to know whether the franchise laws in the states where you do business will impact your FDD’s expiration and renewal deadline. When it comes to complying with state franchise laws, franchisors should pay attention not only to the franchise laws of the states in which their brand does business but also to the states in which their franchisees live. For example, a franchisor selling a New York-based franchise business to a New Jersey resident means both parties must comply with both states’ franchise laws – not just the state in which the business operates. Learn more about state specific franchise laws by visiting our interactive map. Registration States Certain states, called Franchise Registration States , impose supplemental franchise regulations that franchisors in those states are required to adhere to, in addition to the federal franchise regulations issued by the Federal Trade Commission . Currently, there are 13 Franchise Registration States in the U.S. including California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, Virginia, Washington and Wisconsin. Franchisors whose principal trademarks are not registered with the U.S. Patent and Trademark Office must also register their FDD in Connecticut, North Carolina, South Carolina and Maine. Other states, called Filing States, require state-specific annual franchise filings. Because of potential conflicts between state and federal franchise laws and deadlines, particularly in the Franchise Registration States, it’s important to remember that your FDD expiration and renewal deadline could differ from the federal FDD renewal deadline, depending on where your franchise operates. For example, in California, which is a Franchise Registration State, a franchisor’s FDD automatically expires 110 days after their franchise entity’s fiscal year-end. Because of that, franchisors in California must renew their FDD at least 10 days earlier in that state than at the federal level each year to prevent their FDD from expiring there. Non-Registration States The majority of U.S. states are non-registration states where franchisors are required to have an FDD and a federally registered trademark but are not required to file or register their FDD with a state regulator before offering or selling franchise opportunities there. It’s important to remember that franchisors in non-registration states are still required to comply with federal franchise laws. Even in non-registration states, allowing your FDD to expire at the federal level can result in being legally prohibited from offering or selling franchises until your updated FDD is approved. To ensure that you fully understand the state and federal franchise laws that apply to your franchise system, consult an experienced franchise attorney before renewing your FDD. What is a Dark Period? The phrase dark period refers to a period during which a franchisor is legally restricted from offering or selling franchises. Extended dark periods can result from allowing your FDD to expire by not renewing it before the federal and/or state deadline. It is called a dark period because a franchisor’s franchise sales “go dark” during this period. Global Dark Periods A global dark period refers to a period when a franchisor is legally restricted from offering or selling franchises anywhere in the U.S. at the federal level. Global dark periods often result from two common issues: Failure to renew the FDD before its federal expiration date Under federal laws, franchisors are required to have an up-to-date and legally issued FDD to offer or sell franchises in the U.S. An expired FDD can trigger a global dark period during which your franchise sales will come to a standstill while waiting for your updated FDD to be approved. Material changes to disclosures Under federal franchise laws, franchisors are required to update their FDD whenever there is a material change to the information disclosed in it. Changes to your Item 19 Financial Performance Representations must be updated immediately. These changes must also be reflected at the state level through a state-specific amendment process. A global dark period can be triggered during the time between your FDD being updated and when it’s approved. Because it can sometimes take months to get your FDD approved after its expiration, it’s important to pay attention to federal FDD renewal deadlines and start the renewal process as early as possible each year. State Specific Dark Periods Unlike global dark periods, state-specific dark periods occur when a franchisor is legally restricted from offering or selling franchises within a specific state. State-specific dark periods apply only to franchise sales in states where the franchisor’s FDD has expired, or another compliance issue has legally restricted them from offering or selling franchises in that state. For example, if your franchise system has locations in California and New York and your FDD was renewed on time at the federal level and in New York, but not in California, a state-specific dark period would be triggered in California. However, you would still be able to legally offer and sell franchises in New York. Why It Matters Time kills deals – and having an FDD reapproved after its expiration can be a slow process. Because of that, the delays caused by dark periods can have serious consequences for your franchise system’s growth and financial health. As a franchisor, it’s critical to begin the FDD renewal process as early as possible to allow enough time to gather required information and documents, and avoid common mistakes that can lead to extended dark periods, missed opportunities and interruptions in franchise sales that can benefit your competitors. FDD Renewal Best Practices for Avoiding Missed Opportunities The FDD renewal process can be stressful. It’s often difficult to obtain necessary documentation and data from accountants and franchisees who are busy with clients and daily operations. State examiners can also take time to return calls or approve filings. Instead of getting upset with others over delays that are outside of your control, though, a more effective strategy is to identify which tasks are within your control and tackle them as soon as possible. Preserve Franchisee Deals As a franchisor, preserving deals with franchisees is certainly within your control. Consider using the annual FDD renewal process as a strategy for saving deals with any existing franchisees whose franchise agreements are slated to expire before your 2024 FDD renewal date. Below are some strategies to keep in mind when attempting to preserve deals with franchisees and prospective candidates: Avoid issuing your new FDD until you’ve closed every deal you can close Use the changing FDD as an incentive for franchisee candidates to sign Start pushing to close deals early in the year Because your 2023 FDD will be outdated, and therefore illegal to issue, once your 2024 FDD is issued, it’s important to focus on closing as many deals as possible before your FDD is renewed. If you’ve started negotiating a deal that hasn’t been closed before your FDD is renewed in 2024, you will be legally obligated as a franchisor to redisclose your new FDD to those candidates, even if you’ve already disclosed your 2023 FDD to them. This will restart the 14-day FDD disclosure period . Redisclosure of your 2024 FDD should be done as soon as possible after it is approved by federal and/or state regulators. Be Proactive As a franchisor, being proactive is critical for success in franchising – especially when it comes to your FDD. Consider the following strategies when renewing your FDD for 2024: Know your renewal deadline(s). Most brands have an annual renewal deadline of April 30, in compliance with federal regulations. If your brand operates in the Franchise Registration States or Filing States, remember to take state-specific renewal dates into account also. Set a filing deadline. Consider a deadline of February 14. Submit documentation early. Most franchisors submit their renewal documentation in March or April. By being proactive about annual renewals, you can avoid delays and shorten dark periods – and get back to selling franchises faster. Getting Your Renewals in Early While it might seem ambitious to set a filing deadline on February 14, it’s doable for franchisors who are willing to take the initiative. Some strategies for hitting your February 14 target include: Tackle Item 7 and Item 19 early. Notify your franchisees and aggressively collect data as early as possible in the new year. Bring accounting on board. Encourage your accountants to be aggressively engaged in the FDD renewal process. Strategize. Know which states you want to operate in and make a plan to comply with their franchise regulations. Financial assurance. Confirm that you will be able to satisfy any financial assurance requirements in the states where you operate as a franchisor. Understand what needs to be updated. Make sure you know the specific FDD items that need to be updated and what information you’ll need to complete that task. Have a franchise attorney. The FDD is an important legal document that is required to sell franchises. To make sure the document complies with all state and federal franchise laws, it’s critical to work with an experienced franchise attorney. By following best practices, you can avoid pitfalls and meet this deadline with ease. Competitively Position Your FDD Although the FDD is a federally mandated legal disclosure document that is required to offer and sell franchises in the U.S., it’s also an important sales tool that you can use to distinguish your franchise offering from other brands. When updating your FDD, consider the following strategies to competitively position your FDD : Energize your Item 19 disclosures. Go beyond the boilerplate and make a financial performance representation plan . Use your brand’s financial data to tell future candidates a success story. Evaluate your offering. How do your franchise fees, territory structure, and Item 19 disclosures stack up against your competitors? Do any changes need to be made? Scrutinize your data collection practices. Are you collecting data efficiently for a better Item 19 in 2024? If not, how can you improve? Set milestones. Make sure your 2024 FDD is structurally sound by December 31, 2023. Start today. Start communicating with accountants now and gather any information needed to have your franchise system’s 2024 audit ready by February. Whether you’re a startup founder or a seasoned franchisor, making a solid plan – and sticking to it – is the key to franchising success. By taking a clear-minded and proactive approach to your 2024 FDD renewal process, you can avoid extended dark periods and start your new year off on the right track. Are you renewing your FDD in 2024? Contact us to learn how we can help your brand stand out from the competition. Learn about Registering your FDD and our Franchise Counsel Program by calling (800) 976-4904 or click the button below. Learn more
Franchisor Playbook for Managing Joint Employer Liability
Luke Fryer of Harri talks about the risks of joint employer liability for franchisors, and find out how to limit your brand’s exposure.
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Legal Requirements to Franchise Your Business
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Top Five Development Mistakes When You Franchise Your Business
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How Scoop Soldiers is Clearing the Way for Entrepreneurs
Scoop Soldiers Franchise The Scoop Soldiers franchise brand is committed to creating a cleaner path to success for franchisees and veterans – one scoop at a time. Founded in 2010, Scoop Soldiers has been on a mission to improve lives and communities for nearly a decade and a half. With an emphasis on providing excellent customer service and satisfaction while making its clients’ lives easier (and cleaner), the pet waste removal company first left its mark on the industry in 2014, when it expanded throughout the Dallas Fort Worth region. Since then, under the leadership of CEO EJ McCoy , the franchise system has scaled into more than 100 territories across Texas and states as far-ranging as Washington, Colorado, Florida, Virginia and more. Today, the franchise brand operates in 16 states from coast to coast, with multiple territories in many of those locations. With 59 new territories awarded in 2023 – all slated to be operational by April 2024 – and more still available across the nation, Scoop Soldiers’ growth and success are a testament to the brand’s values, ambition and know-how in the competitive world of franchising. Leaving things better than they found them To set themselves apart from the competition, Scoop Soldiers offers residential and commercial pet waste removal services to clients including private homeowners, pet-friendly businesses, apartment complexes, hotels and more. Boasting a contract-free business model with competitive rates and packages designed to meet every customer’s needs, ranging from a one-time pet waste removal service to multi-day visits to properties throughout the week, the brand strives to guarantee client satisfaction in everything it does – and its growth shows that model is working. Beyond improving the lives of its customers, Scoop Soldiers is also committed to improving the communities it serves. As part of that mission, the brand partners with Valor Service Dogs , a Florida-based nonprofit organization that trains and provides mobility assistance and PTSD service dogs to post-9/11 wounded first responders and veterans. Clearing a path to success At Scoop Soldiers, clearing the way for franchisees – and veterans – to succeed is a value that’s ingrained in the company’s business model. From training and support that enables new franchisees to open their businesses within 60 days to digital marketing resources; state-of-the-art software for scheduling, client management and performance monitoring; call center access; and billing handled by the company’s corporate office, Scoop Soldiers’ franchisees get the support they need to succeed from their first day in business … and enough flexibility to enjoy it. The franchise brand also offers additional discounts for military veterans looking to buy a franchise – a perk that can help them transition back into civilian life with a sense of stability as small business owners. Maintaining legal compliance in a regulated industry Despite Scoop Soldiers’ growth and success, operating a franchise system requires careful legal work behind the scenes to avoid running afoul of regulators. To keep the brand’s franchising efforts in line with federal and state franchise laws and regulations, Scoop Soldiers works with The Internicola Law Firm on franchise compliance and franchise agreement transactions – something that ensures the brand can keep growing and thriving as it continues to mature. “Working with this team is an absolute breeze. We had a huge project they helped us on (in) the last four weeks: 45-plus deals in just a few weeks; over 1,000 pages of documents. And they knocked it out like pros. I highly recommend Charles (Internicola) and his team,” McCoy says. To learn more about franchising opportunities with Scoop Soldiers, visit https://scoopsoldiersfranchise.com . Learn more about our clients The Brothers that just do Gutters How The Brothers that just do Gutters are Reinventing Contracting Preservan Ty McBride Talks Life, Franchising, and Entrepreneurship Toastique Toastique is Serving Up Fresh, Healthy Brunch Fare from Coast to Coast