When franchise companies are moving fast in the market place they must pay attention to the details.
If a franchisor fails to give the required items as outlined in the franchise agreement to the franchisees on the prescribed timeline they risk legal issues and regulatory issues.
In addition even if they do provide the items on time, there is a chance later that a franchisee may claim that something was not provided and they will use this to break the franchise agreement, sue or file a complaint with regulatory bodies at the state level or even the FTC, Federal Trade Commission.
But if you keep proper records and have checklists and monitor dates and deliveries you can win a law suit or force a regulatory agency to backtrack.
Take a look at The Car Wash Guys’ checklist.
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