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AI GlossaryFranchising

Franchising · Franchise AI term

FDD (Franchise Disclosure Document)

The legally required disclosure

What is FDD (Franchise Disclosure Document)?

A U.S. document with 23 mandated items a franchisor must give prospects before sale. AI can help draft narrative sections under attorney supervision — it cannot produce a compliant FDD on its own.

Related terms — Franchising

Master franchise

Country/territory rights (độc quyền quốc gia)

AUV (Average Unit Volume)

Typical per-unit revenue

Royalty collection rate

% of owed royalties actually collected

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