What representations does the franchisee make when entering into the Beverly Anns Cookie loan?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
New Franchisee hereby represents that it received Franchisor's Franchise Disclosure Document and did not sign the New Franchise Agreement or pay any money to Franchisor or its affiliate for a period of at least 14 calendar days after receipt of the Franchise Disclosure Document.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the franchisee makes certain representations when signing the New Franchise Agreement during a transfer. Specifically, the new franchisee represents that they received Beverly Ann's Cookies Franchise Disclosure Document (FDD) and confirms that they did not sign the New Franchise Agreement or pay any money to the franchisor or its affiliate until at least 14 calendar days after receiving the FDD.
This representation is crucial for compliance with franchise laws, which mandate a disclosure period to allow prospective franchisees adequate time to review the FDD before making any financial commitment or signing agreements. The 14-day period allows the franchisee to carefully consider the risks and benefits of investing in a Beverly Ann's Cookies franchise.
This representation protects both the franchisee and the franchisor. It ensures the franchisee has had sufficient time to make an informed decision, potentially reducing the risk of future disputes. For Beverly Ann's Cookies, it demonstrates adherence to regulatory requirements and ethical franchising practices.