Disclosure Document
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ABC Company
Address
Address 1
Address 2
Address 3
Phone
Fax
WWW
DISCLOSURE DOCUMENT FOR FRANCHISEE
OR PROSPECTIVE FRANCHISEE
Strictly Confidential
This presentation contains valuable information including intellectual know how knowledge and property which is confidential and is provided to the recipient on the strict condition that it remains confidential. The information, data and ideas contained in this presentation remain the property of ABC unless assigned, in writing, to the recipient. No other use or disclosure of the whole or any part of this presentation or information may be made by the recipient without the express and written consent of ABC.
This disclosure document contains some of the information you need in order to make an informed decision about whether to enter into a franchise agreement. Entering into a franchise agreement is a serious undertaking. A franchise agreement is legally binding on you if you sign it. You are entitled to a waiting period of 14 days before you enter into this agreement. If this is a new franchise agreement (not a renewal, extension or transfer) of an agreement, you will be entitled to a 7 day ‘cooling off’ period after signing the agreement, during which you may terminate the agreement. Take your time, read all the documents carefully, talk to other franchisees and assess your own financial resources and capabilities to deal with the requirements of the franchised business..
You should make your own enquiries about the franchise and about the business of the franchise.
You should get independent legal, accounting and business advice before signing the franchise agreement. It is often prudent to prepare a business plan and projections for profit and cash flow.
You should also consider educational courses, particularly if you have not operated a business before.
1 DISCLOSURE DOCUMENT FOR FRANCHISEE OR PROSPECTIVE FRANCHISEE.
2 FRANCHISOR DETAILS
2.1 The franchisor company is ABC a company incorporated in the State of COUNTRY with its registered office c/- xxxxxxxxxxxxxxxx and the principal place of business at xxxxxxxxxxxxxxxxx.
2.2 The franchisor carries on business in Your Country under the name ABC. The franchisor company has acquired rights to franchise the ABC International business and business system including rights to the ABC International trademark from the Company Director.
2.3 ABC International is a TYPE OF BUSINESS, specializing in, TYPE OF PRODUCE AND OR SERVICES.
ABC International was formed in XXXXXXXXXXXXX, which has been operating since XXXX.
A person who is motivated and is prepared to follow proven principles and guidelines can purchase a ABC franchise.
An ABC Business will suit almost any person capable of following proven procedures.
No formal qualifications are necessary to own an ABC Business, however, it is essential that all business operators have significant experience in XXXXXXXXX industry, as well as being bright, friendly and customer service oriented.
Business owners will receive full training in personal leadership skills, business management, customer contact skills, process improvement principles, business sales and marketing and basic bookkeeping procedures.
Corporate uniform will be supplied for all people engaging in the business activity.
2.5 The associates of the franchisor are:
Owners Details
XXXXXXXXX
XXXXXXXXX
2.6 Management:
Director
Operations Manager
National Administration Manager
Contracts Manager
Advertising Manager
Accountant
Business Development Manager
International Manager
3 BUSINESS EXPERIENCE
3.1 Business background
NAME POSITION:
NAME POSITION:
NAME POSITION:
3.2 Business experience of the franchisor
Place Business Experience here.
4 LITIGATION
4.1
(a) Current proceedings by a public agency, criminal or civil proceedings or arbitration
(i) breach of a franchise agreement;
(ii) contravention of trade practices law;
(iii) contravention of the Corporations Law;
(iv) unconscionable conduct;
(v) misconduct;
(vi) an offence of dishonesty;
5 PAYMENTS TO AGENTS
5.1 The franchisor does / does not currently pay any amounts to agents.
6 EXISTING FRANCHISES
6.1 State, region or metropolitan area in which the franchise is to be operated.
6.2 (a) nil franchises were transferred.
(b) nil franchise businesses ceased to operate
(c) nil franchise agreements were rescinded or terminated by the franchisor.
(d) nil franchise agreement was terminated by a franchisee
(e) nil franchise agreement was not renewed when it expired. ( none expired )
(f) nil franchise businesses were bought back by the franchisor
(g) nil franchise agreement was mutually discontinued
7 INTELLECTUAL PROPERTY
7.1 The following clauses of the attached franchise agreement deal with the franchisee’s obligations:
8 FRANCHISE TERRITORY OR SITE
8.1 The following clauses of the attached franchise agreement deal with the franchisee’s obligations:
9 SUPPLY OF GOODS OR SERVICES TO A FRANCHISEE.
9.1 The following clauses of the attached franchise agreement deal with the franchisee’s obligations:
10 SUPPLY OF GOODS OR SERVICES BY A FRANCHISEE
10.1 The following clauses of the attached franchise agreement deal with the franchisee’s obligations:
11 SITES
12 BRAND RECOGNITION, MARKETING OR OTHER COOPERATIVE FUNDS
12.1 The following clauses of the attached franchise agreement deal with the franchisee’s obligations:
13 PAYMENTS
Prepayments
Establishment costs
The following costs are applicable to start up the franchised business:
14 FINANCING
15 FRANCHISOR OBLIGATIONS
15.1 The following clauses of the attached franchise agreement deal with the franchisers obligations before the franchised business starts and during operation of the franchised business
16 FRANCHISEE’S OBLIGATIONS
16.1 The following clauses of the attached franchise agreement deal with the franchisee’s obligations:
17 SUMMARY OF OTHER CONDITIONS OF AGREEMENT
17.1 The following is a summary of the conditions of the of the franchise agreement, that deal with the following matters (a) to (s).
18 OBLIGATION TO SIGN RELATED AGREEMENTS
19 EARNINGS INFORMATION
20 FINANCIAL DETAILS
STATEMENT
I/We certify that in my/our opinion there are reasonable grounds to believe that the franchisor will be able to pay its debts as and when they fall due.
___________________________ ...........................................................
Print name of Director Signature
21 UPDATES
22 OTHER RELEVANT DISCLOSURE INFORMATION
23 RECEIPTS