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MSA Worldwide’s response to the FTC’s Request for Information on franchise agreements & franchise business practices

MSA Worldwide

Khan Chair Federal Trade Commission 600 Pennsylvania Avenue, NW Washington, DC 20580 Dear Commissioner Khan: On 10 March 2023 the Federal Trade Commission issued a Request for Information on franchise agreements and franchise business practices. The following is my response to your Request for Information.

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Expert Franchise Guidance For Strategic Growth

FMS Franchise

These professionals become instrumental in developing the cornerstones of your franchise offering, beginning with the Franchise Disclosure Document (FDD). Well-structured legal documents create clarity for all parties, reducing the potential for misunderstandings and disputes that can derail expansion efforts.

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How Long Does it Take to Franchise Your Business?

MSA Worldwide

Assuming you have intelligently (and legally) primed the pump while you were developing your franchise system, and have a queue of people who are ready, willing and able to become franchisees, you will first need to provide them with the necessary franchise disclosure documents.

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Top Ten Reasons to Invest in a Franchise

MSA Worldwide

One of the benefits of franchising and pre-sale disclosure is that you can determine in advance what you are getting before you make the investment. Mature, well-managed franchise systems that communicate with their franchisees and review franchisee performance will have that type of information in spades.

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Default and Termination in a Franchise System

MSA Worldwide

This does not lessen in any way the requirement that they meet their obligations under the franchise agreement. Let’s start with the basic notion that there would not be a noncompliant franchisee if the franchisor had not allowed that person to join the system in the first place. What were the initial expectations?