Franchise Disclosure Document (FDD) Explained: What to Look For

Franchise Disclosure Document (FDD) Explained: What to Look For. The FDD has 23 sections, but only 8 actually determine whether a franchise is safe and viable — Item 1 franchisor background, Item 3 litigation, Items 5 through 7 fees, Item 12 territory rights, Item 19 financial performance, Item 20 franchisee turnover, and Item 21 franchisor financials. Explore proven strategies, expert tips, and step-by-step guidance on the Franchise Disclosure Document and what to look for to help prospective franchise buyers and small business investors evaluate any FDD with confidence and protect their investment without paying $5,000 to an attorney to do it for them.