UFOC Research Checklist
It is important to thoroughly understand all legal documents prior to signing them. This is a list of questions commonly asked by franchisees during the selection process. It is only a sampling, and is by no means complete, and should not substitute for competent legal counsel. Each opportunity is unique and not all of the items may be applicable. Likewise, there will be other items and issues that you will want to address for your specific circumstances.

Top 10 Questions:
  • Request the Uniform Franchise Offering Circular (UFOC) or other legal documents
  • Hired franchise attorney to review legal documents and accountant to review financial statements
  • Request ALL litigation be disclosed, not just those deemed relevant in item 3
  • Request ALL franchisees who have left the system since the UFOC was created, item 20
  • Review item 9, franchisee's obligations, to fully understand what will be expected of you
  • Compare promised services from salesperson or management to REQUIRED services, item 11
  • Review item 17 (renewal, transfers, termination) and develop an exit strategy. Try to amend any items that are not consistent with that strategy (non-compete, for example)
  • Make sure all items contained in item 22, contracts, are attached to the UFOC
  • What major points of UFOC have been changed in the last 2 years? Why?
  • What areas of the UFOC have been negotiated by other franchisees?
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