What is the Uniform Franchise Offering Circular – (UFOC) Disclosure Document?
A statement of information revised to the current fiscal year that reveals to the potential franchisee information pertinent to the franchise and the franchisor. In some states in the USA and a few other countries, all franchisor companies are required by law to provide this document to prospective franchisees at the first personal meeting to discuss the sale of the franchise and at least ten business days prior to the prospective franchisee signing a franchise agreement or paying the franchisor money to buy the franchise. The disclosure document includes over twenty different items of information about the franchise, including history of the company, required fees and investment costs, and any litigation in which the company is or has been involved in. When you are given the disclosure document, you must sign and date a statement acknowledging that you received it.
