EPISODE · Mar 4, 2026 · 8 MIN
Never Sign a Franchise Agreement Without Reviewing the FDD Item 19 Could Save You Thousands
from The Business Ownership Show · host Beau Eckstein
Thinking about buying a franchise? Never sign a franchise agreement without this step. Before you invest, you must review the Franchise Disclosure Document (FDD) — a 23-item legal document required by the FTC that reveals everything from litigation history to total investment costs. In this episode, we break down: ✔ What the FDD is and why the 14-day rule matters ✔ The most important sections buyers overlook ✔ Why Item 19 (Financial Performance) is critical ✔ Red flags hidden in litigation, fees, and territory ✔ Why a franchise attorney review is non-negotiable Franchise ownership can be powerful — but only if you do proper due diligence. Your future business deserves more than excitement. It deserves protection.
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Never Sign a Franchise Agreement Without Reviewing the FDD Item 19 Could Save You Thousands
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