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the fdd and the franchise agreement are two of the most important documents in the franchise world so what's the difference between them [Music] whether you're buying a franchise franchising your business selling franchises you know that two of the most important documents you're going to be dealing with is the fdd and the franchise agreement the difference the fdd is a pre-sales disclosure document it's designed to inform prospective franchise buyers about the franchise opportunity they may be investing in while the franchise agreement that's the legal agreement that creates the relationship between franchisor and franchisee so the fdd the franchise disclosure document it's required by federal law franchisors need to disclose their franchise disclosure document to prospective franchise buyers before they sign a franchise agreement or before they pay any fees within the franchise disclosure document should be a copy of the franchise agreement and within the franchise disclosure docume...
