FDD & Legal

FDD Item 11 (Franchisor Assistance, Training, Computer Systems)

Also known as:Item 11Training Disclosure
Definition

The FDD section disclosing what the franchisor provides — pre-opening (site selection help, lease review, training) and ongoing (field consulting, marketing, technology, supervision) — plus the training program subjects, hours, and instructor qualifications.

What it means in practice

Item 11 is the operations-side counterpart to Items 5-7's financial disclosures. It tells the candidate exactly what the franchisor delivers in exchange for the fees disclosed earlier in the document.

Pre-opening obligations covered in Item 11 include site selection assistance, lease review, equipment specifications, opening inventory guidance, and the initial training program. Ongoing obligations include field consulting visits, technology platforms, marketing fund management, and continuing supervision.

The training program subsection is rigorous: the rule requires disclosure of every subject taught, the hours of instruction in each, the instructor's qualifications, and where training takes place.

The most common Item 11 mistake is over-promising. "Comprehensive ongoing support" is a phrase that sounds reassuring and is legally unenforceable until you define it — at which point you've signed up to deliver whatever a future franchisee can argue is "comprehensive." Specificity protects both sides. A documented Operations Manual is what makes Item 11 honest and enforceable.

Regulatory citation16 CFR 436.5(k)
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