What must a prospective Itan franchise owner provide on the receipt?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
(This Receipt should be executed in duplicate. One Receipt must be signed and remains in the Franchise Disclosure Document as the prospective franchise owner's copy. The other Receipt must be signed and returned to iTAN Franchising, Inc.)
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the receipt must be executed in duplicate. The prospective franchise owner must sign both copies. One signed copy remains with the prospective franchise owner as their copy of the Franchise Disclosure Document. The other signed copy must be returned to iTAN Franchising, Inc.
This requirement ensures that the prospective franchisee acknowledges receipt of the FDD, which is a critical step in the franchise sales process. Franchisors are legally obligated to provide the FDD to potential franchisees within a specific timeframe before any binding agreements are signed or payments are made. This allows the prospective franchisee adequate time to review the document and make an informed decision.
By signing and returning the receipt, the prospective Itan franchisee confirms they received the FDD, helping Itan comply with federal and state franchise laws. This receipt serves as evidence that Itan provided the necessary disclosures, which can be important in preventing future disputes or legal issues related to disclosure requirements.