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Corporate confidentiality
A brief on the underlying wisdom of corporate confidentiality.

Other disclosure of information Related Articles

Investigating Franchise Offerings
Before investing in any franchise system, be sure to get a copy of the franchiser's disclosure document. Sometimes this document is called a Franchise Offering Circular. Under the FTC's Franchise Rule, you must receive the document at least 10 business days before you are asked to sign any contract or pay any money to the franchiser. You should read the entire disclosure document; make sure you understand all of the provisions. The following outline will help you to understand key provisions of typical disclosure document as well as ask questions about the disclosures. Get a clarification or answer to your concerns before you invest.

FRANCHISE EARNINGS CLAIMS AN INTRODUCTION PART I
This article examines the topic of earnings claims contained within franchise disclose documents (offering circulars). It focuses on the particular problems of disclosing earnings information under Ontario law, but the content is of general application to most disclosure jurisdictions.

FRANCHISE EARNINGS CLAIMS – PART II
Franchise Earnings Information (Part 2) Part 1 of this article discussed how current Ontario and Alberta law makes it difficult to provide franchise prospects with information about how much they can expect to make in any given franchise. In Part 2 of this article, Peter Macrae Dillon discusses the advantages and disadvantages of including earnings information in a franchise disclosure document and how to prepare earnings information for inclusion in a disclosure document. Should we provide earnings information in our disclosure document?

Government Regulation of Franchises
In the United States, all franchisors must abide by the Federal Trade Commission's (FTC) Franchise Rule, which requires franchisors to prepare a disclosure document called the Uniform Franchise Offering Circular (UFOC ) / Franchise Disclosure Document (FDD) and give a copy of that document to prospective franchisees prior to their purchase of a franchise.

NDAs Reduce Business Development Risk
Business Development is an equally exciting and risky endeavor. Protect your organization by executing a Non-Disclosure Agreement (NDA) prior to establishing relationships with unfamiliar vendors, potential partners, prospects, or investors. Use Demand Metric’s downloadable Non-Disclosure Agreement template as a starting point when drafting your various NDA documents.

State Franchise Disclosure and Registration Laws
The articles explains state franchise registration and disclosure laws and provides a 50-state anaylsis of each state as to whether the state has franchise disclosure and registration law and/or business opportunity law and a franchisor's obligation to register under such laws, the documents required to be filed, filing fees, review period and other filing information.

E-Mailing the Franchise Disclosure Document to Prospective Franchisees
Under the FTC Franchise Rule,a franchisor can deliver the Franchise Disclosure Document (“FDD”) electronically by e-mailing the FDD in a pdf form or mailing a FDD copied on to a CD-ROM to a prospective franchisee. The first personal meeting requirement has been eliminated. The prospective franchisee must have the FDD and Exhibits at least 14 calendar days before the franchisee signs any agreement with the franchisor or gives the franchisor any money. Electronic delivery of the FDD disclosure will save the franchisor substantial time and money as the cost of copying and mailing a Franchise Disclosure Document and Exhibits, let alone personnel cost, really adds up. The FTC estimates that the cost to copy and mail a disclosure document is about $35.00 each. The states having franchise registr

How To Investigate Franchise Offerings
Before investing in any franchise system, be sure to get a copy of the franchiser's disclosure document. Sometimes this document is called a Franchise Offering Circular. Under the FTC's Franchise Rule, you must receive the document at least 10 business days before you are asked to sign any contract or pay any money to the franchiser. You should read the entire disclosure document; make sure you understand all of the provisions. The following outline will help you to understand key provisions of typical disclosure document as well as ask questions about the disclosures. Get a clarification or answer to your concerns before you invest.

Confidentiality Agreements... Ticking Time Bombs?
How many times have you signed a new contract which included "confidentiality" or "non-disclosure" provisions and simply assumed that it was not a big deal? After all, you're a business owner with honor and integrity; you have no intention of disclosing your client's confidential and proprietary information, right? So, why worry about it? Simply sign the thing and move on to the work. Well, not so fast. Let's delve into the small print a bit and see what you just agreed to...

FTC New Business Opportunity Rule - Reduced Disclosure But Increased Coverage
Effective March 1, 2012, the FTC’s new Business Opportunity Rule1 becomes effective (the “New Biz Op Rule”). The New Biz Op Rule significantly reduces a business opportunity seller’s disclosure obligation to a prospective purchaser, as the previous format (the FTC Disclosure Statement containing 20 items of required information) has been changed and reduced to a 1-page form requiring 5 items of information that the seller is required to disclose. However, the New Biz Op Rule applies to more companies as, not only business opportunity sellers currently covered by the Interim Biz Op Rule will be subject to the New Biz Op Rule, but also work-at-home programs such a jewelry assembly and envelope stuffing, will meet the expanded definition of a business opportunity.

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