Uniform Franchising Offerings Circular (UFOC)

A Uniform Franchising Offering Circular (UFOC) is a detailed legal document that franchisors must provide to prospective franchisees before signing a franchise agreement. It discloses important information about the franchise, such as the company's financial health, legal history, fees, initial investment costs, and the rights and obligations of both parties. The UFOC ensures transparency, helping potential franchisees make informed decisions and comply with federal and state laws regulating franchise sales. It standardizes the information provided across different franchisors, promoting fairness and clarity in the franchise marketplace.