Definition:
The Federal Trade Commission (FTC) is a government agency that protects people from unfair or dishonest business practices. It makes sure companies tell the truth in ads, treat customers fairly, and follow the law when selling products or services, including franchises.
Use It in a Sentence:
Before buying a franchise, Jenna checked the Federal Trade Commission rules to understand her rights and protections.
Why Is the Federal Trade Commission Important?
The Federal Trade Commission plays a big role in franchising. It makes sure franchise brands give full honest information to buyers. That means, if you’re thinking about owning a franchise, you’ll get a clear picture before signing anything.
One key rule from the FTC: a brand must share a document called the Franchise Disclosure Document (FDD). It lists everything a buyer should know, including fees, rules, past lawsuits, and more. This helps you avoid surprises and make smart choices.
The FTC also stops false claims. If a brand says you’ll make a ton of money quickly, but it’s not true, the FTC can step in.
For CoolVu, following FTC rules builds trust. It shows the company is honest and values long-term relationships with its franchisees. That’s good for everyone, new owners, long-timers, and customers.
Related Dictionary Terms:
- Standard Operating Procedures – Follow proven step-by-step systems CoolVu uses to deliver reliable service and results every time.
- Franchise Agreement – The contract between you and CoolVu that outlines your rights, responsibilities, and terms of ownership.
- Validation: A step where candidates talk to current franchisees to learn about their experiences.
- Initial Training – Learn the skills to run your CoolVu business confidently with hands-on guidance from day one.
