Experienced Attorney in Franchise Agreements, Transactions and Negotiations
If you are thinking of buying a franchised business, you will be presented with a disclosure document that should conform to the requirements of the Federal Trade Commission (FTC). The franchisor must provide you with a packet of disclosure materials. This collection of materials is now referred to as the Franchise Disclosure Documents (FDD). (Such franchise disclosure was formerly known as the Uniform Franchise Offering Circular or UFOC.)
The Franchise Disclosure Document will give you information about the history of the people involved in the franchise, what the franchisor says they will do for you, how much it will cost to get started, how much you will pay in royalties and other fees to be part of the franchise system, and a copy of the actual franchise agreement to be signed.
In addition to what the FTC requires, a number of the states have their own version of franchise laws, Virginia and Maryland being two such states.. Therefore, the FDDs must comply with those state laws as well if the franchisor is selling franchises in those states.
Whether you are considering buying into a new franchise operation or an existing franchised business, you must take the time to conduct your independent due diligence of the franchisor's offer. As part of your due diligence, it is important to have someone familiar with the various franchise requirements to conduct an intensive review of the FDD. When Ms. Berschler reviews an FDD for her clients, she points out issues they should be aware of and answers their questions about some of the complicated requirements. This is the kind of information you want before sign such a multi-year agreement.
In addition, attorney Berschler can provide you assistance in forming the entity which will operate the franchise, and help you negotiate the commercial lease, should that be necessary. As part of her overall representation, if you are either buying or selling an existing franchised business, Barbara Berschler can represent you in the drafting of the buy/sell agreement and work with you throughout the transaction.
