What is the purpose of the Floyds 99 Closing Acknowledgement?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
I received a Disclosure Document with an issue date of June 10, 2025 that included the following Exhibits: A List of State Agencies/Agents for Service of Process B Development Agreement C Franchise Agreement D Amendment to Franchise Agreement (Renewal) E FLOYD'S 99 Franchised Barbershop Locations F Franchisees Who Have Left the System G Financial Statements H Operations Manual Table of Contents I Nondisclosure and Noncompetition Agreement J State Addenda and Riders to Disclosure Document, Franchise Agreement, Development Agreement and Other Exhibits K General Release L Lease Addendum and Collateral Assignment of Lease M Notice of Restrictive Covenants N Closing Acknowledgement O Receipts Date: (Do not leave blank) Signature of Prospective Franchisee Print Name
You may return the signed receipt either by signing, dating and mailing it to 7900 E. Berry Place, Greenwood Village, CO 80111, or by faxing a copy of the signed and dated receipt to Floyd's 99 Franchising, LLC at (303) 779-8403.
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, Exhibit N is the Closing Acknowledgement. The document states that a prospective franchisee must sign and date the receipt included with the FDD. This signed receipt can be returned to Floyds 99 Franchising either by mail or fax.
The primary purpose of the Closing Acknowledgement is to confirm that the prospective franchisee received the FDD. This acknowledgement is crucial for Floyds 99 to demonstrate compliance with franchise disclosure laws. These laws, enforced by the Federal Trade Commission and state agencies, mandate that franchisors provide potential franchisees with a detailed disclosure document within a specific timeframe before any binding agreements are signed or payments are made.
Specifically, the FDD receipt confirms that Floyds 99 provided the Disclosure Document to the prospective franchisee 14 calendar days before signing a binding agreement or making a payment. New York and Michigan have slightly different requirements, mandating the document be provided at the earlier of the first personal meeting or 10 business days before signing any agreement or payment of any consideration. By obtaining a signed Closing Acknowledgement, Floyds 99 can verify they met these legal obligations, reducing the risk of potential disputes or legal issues related to disclosure requirements.
In summary, the Closing Acknowledgement serves as a formal record that the prospective franchisee received the FDD, understands its purpose, and is aware of the timelines required by federal and state laws. This receipt is a critical component of Floyds 99's franchise sales process, ensuring transparency and adherence to legal requirements.