What information about the Stretch Zone Franchisee does the FTC Franchise Rule require Stretch Zone to disclose?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee and Guarantor understand that the FTC Franchise Rule requires us to disclose Franchisee's name, home address and telephone number in our Franchise Disclosure Document for a specified period of time.
Source: Item 3 — Franchisee/Debtor's Warranties. (FDD pages 263–364)
What This Means (2025 FDD)
According to Stretch Zone's 2025 Franchise Disclosure Document, the FTC Franchise Rule mandates that Stretch Zone disclose specific information about its franchisees. This disclosure is required even after a franchisee has left the Stretch Zone system.
Specifically, the rule necessitates the disclosure of the franchisee's name, home address, and telephone number within the Franchise Disclosure Document (FDD) for a defined period. This information is made available to potential franchisees, allowing them to contact former franchisees and gather insights about the franchise opportunity.
This requirement ensures transparency and provides prospective franchisees with access to valuable perspectives. Franchisees and guarantors are restricted from discussing the specifics of their agreements, they are only allowed to state that the franchisee has left the Stretch Zone System. However, the disclosure of contact information allows for direct communication, potentially offering a more comprehensive understanding of the franchisee's experience with Stretch Zone.