Inclusive Franchise Disclosure Document (FDD)

Franchisors must disclose a properly issued and current Franchise Disclosure Document (FDD) 14 days before offering or selling a franchise. FDD must be registered in the franchise registration states, filed in the franchise filing states, and disclosed in every state to a prospective franchisee. 

Franchise Registration States impose the most stringent franchise laws and regulations and require annual FDD registration. CA, HI, IL, IN, ND, NY, MI, MN, VA, WA, WI.

Franchise Filing States require either one-time or annual franchise filings. CT, FL, KY, ME, NC, NE, SC, SD, TX, UT

Non-Registration States do not require any FDD registration or filings. AK, AZ, NM ,OK, AR, LA, MS, AL, GA, TN, AR, MO, IA, KS, CO, NV, OR, ID, WY, OH, WV, PA, DE, NJ,  MA, NH, VT

Franchise map is interactive and links to state specific pages that outline the franchise requirements for each state.

Inclusive Inc FDD

Issuance Date: 

What Information Must Be Disclosed in an FDD?

Item 1: The Franchisor and any Parents, Predecessors, and Affiliates

Within Item 1 the franchisor must disclose its corporate information, including information about affiliated and parent companies of the franchisor. Learn more about FDD Item 1

Item 1 also includes disclosures about the market in which the franchised business operates, whether or not the business is seasonal and any laws, rules, or regulations that are specific to the development or operation of the franchised business. Item 1 is where prospective franchisees learn about a franchisor's corporate structure and corporate history.

Agent for Service of Process or Registered Agent

include the agent’s name and principal business address.

Parent and Affiliations

Inclusive Technologies LLC is a wholly owned subsidiary of Inclusive Adventures Inc dba Inclusive Inc with principal business address of 4023 Kennett Pike Unit 50235 Wilmington, DE 19807 US

Unlike parents, disclosures related to affiliates in Item 1 require more detailed information. In addition to disclosing the identity and principal business address of affiliates, franchisors are required to disclose their affiliates’ business backgrounds, involvement in other types of businesses and the length of time they’ve sold franchise opportunities.

Predecessor Organizations

Inclusive offers many products designed and manufactured by Broadened Horizons Inc which sold many of those same products direct prior to 2020. Broadened Horizons now focuses on design, development, manufacturing, and distribution. Inclusive Inc through its Technologies division distributes Broadened Horizons products.

Principal Business Address or physical address of our home office in the United States is 120 Laishley Ct Unit T1 Punta Gorda, FL 33950 US.

Flat mail should be directed to: Inclusive Adventures Inc 4023 Kennett Pike Unit 50235 Wilmington, DE 19807 US

Applicable Government Regulations

While the amended Franchise Rule doesn’t require franchisors to disclose laws that apply generally to all businesses, such as labor laws or business licensing laws, franchisors are required to disclose any laws that specifically apply to the franchised business being offered.

These Item 1 disclosures include laws that apply specifically to the franchised business’ industry and operations, such as industry-specific licensing requirements, environmental regulations, or any other industry-specific regulations.

Under the Franchise Rule, FDD disclosures must be provided in plain language. Because of that, it isn’t necessary to include specific statutory citations in Item 1. Instead, you should plainly disclose the fact that specific regulations exist that will apply to the franchised business and advise prospective franchisees to conduct further research.

 

Item 2: Business Experience 

Within Item 2 the franchisor must disclose information about the franchisor's management team. Learn more about FDD Item 2.

 

  • Item 3: Litigation - Within Item 3 the franchisor must disclose certain types of litigation that currently involves or previously involved the franchisor, the franchisor's affiliates, predecessors, and/or individual management team members identified in Item 2. Learn more about FDD Item 3.
  • Item 4: Bankruptcy - Within Item 4 the franchisor must disclose whether or not the franchisor, the franchisor's affiliates, predecessors, and/or individual management team members identified in Item 2 previously filed for bankruptcy. Learn more about FDD Item 4.
  • Item 5: Initial Fees - Within Item 5 the franchisor must disclose all upfront fees that a franchisee must pay to the franchisor before the franchisee opens the franchised business. The most common initial fees disclosed in Item 5 include the initial franchise fee and other upfront pre-opening fees that may be paid to the franchisor such as fees for opening-inventory and equipment that must be purchased from the franchisor. Learn more about FDD Item 5.
  • Item 6: Other Fees - Within Item 6 the franchisor must disclose all other fees that a franchisee must pay to the franchisor throughout the terms of the franchise agreement. These fees typically include on-going royalties, brand development fund, marketing, technology, training, and other fees specific to the franchisor. Learn more about FDD Item 6.
  • Item 7: Estimated Initial Investment - Within Item 7 the franchisor must include a low to high estimate of the estimated cost for a franchisee to establish and open the franchised business. This estimate must include everything from build-out costs to reserve capital for the first three months of operation. The biggest expenses in Item 7 relate to expenses related to building-out and equipping the franchised business. Learn more about FDD Item 7.
  • Item 8: Restrictions on Sources of Products and Services - Within Item 8 the franchisor must disclose what products and supplies the franchisee must purchase from the franchisor or the franchisor's designated suppliers. Within Item 8 the franchisor must also disclose revenue and rebates that the franchisor earned from selling source-restricted supplies and products to franchisees. Learn more about FDD Item 8.
  • Item 9: Franchisee's Obligations - Within Item 9 the franchisor must disclose, in table format, the franchisee's obligations under the franchise agreement. This table includes a summary of all legal obligations ranging from site selection and opening to default provisions and the franchisee's obligations upon termination of the franchise agreement. Learn more about FDD Item 9.
  • Item 10: Financing - Within Item 10 the franchisor must disclose whether or not the franchisor offers franchisees financing as to initial fees to be paid by the franchisor or in connection with the franchised business. Learn more about FDD Item 10.
  • Item 11: Assistance, Advertising, Computer Systems, and Training - Within Item 11 the franchisor must disclose the type of assistance and training that the franchisor will provide to the franchisee, advertising requirements imposed on the franchisee, and the required computer and software systems that the franchisee will be required to purchase and utilize. Learn more about FDD Item 11.
  • Item 12: Territory - Within Item 12 the franchisor must disclose if the franchisee will be awarded a protected territory, whether or not the territory is protected, how the territory will be determined, and instances where the franchisor reserves the right to operate within the franchisees territory. Learn more about FDD Item 12.
  • Item 13: Trademarks - Within Item 13 the franchisor must disclose information about the trademarks of the franchise system, including, whether or not they are registered with the United States Patent and Trademark Office, their registration status, and whether or not the franchisor has notice of a trademark conflict or dispute. Learn more about FDD Item 13.
  • Item 14: Patents, Copyrights, and Proprietary Information - Within Item 14 the franchisor must disclose information about any patents, copyrights and other proprietary information that is related to the franchise system.
  • Item 15: Obligation to Participate in the Actual Operation of the Franchise Business - Within Item 15 the franchisor must disclose what obligations, if any, the the individual franchisees / franchisee owners must have in the day-to-day operations of the franchised business including whether or not they must work in the franchised business on a full time basis.
  • Item 16: Restrictions on What the Franchisee May Sell - Within Item 16 the franchisor must disclose its control over what a franchisee may or may not sell as a part of the franchised business.
  • Item 17: Renewal, Termination, Transfer, and Dispute Resolution - Within Item 17 the franchisor must disclose and summarize the legal rights and obligations related to the renewal, termination, and transfer of the franchised business. This item must also include a summary as to how legal disputes must be resolved between the franchisor and franchisee.
  • Item 18: Public Figures - Within Item 18 the franchisor must disclose if there are any celebrities or other public figures that have been hired to promote the franchise system.
  • Item 19: Financial Performance Representations - Within Item 19 the franchisor must disclose whether or not it is making any Financial Performance Representations and if it does, the franchisor must provide specific detail within Item 19.
  • Item 20: Outlets and Franchisee Information - Within Item 20 the franchisor must disclose, in five separate tables, a summary of the franchised and corporate outlets over the prior three years and a projection as to future opening in the next year.
  • Item 21: Financial Statements - Within Item 21 the franchisor must disclose and include copies of the Franchisor's Financial Statements.
  • Item 22: Contracts - Within Item 22 the franchisor must list and attach as an exhibit all contracts that a franchisee must sign with the franchisor. These contracts include a sample of the franchisor's standard franchise agreement and related agreements such as a development agreement, site selection agreement, release agreement, and others.
  • Item 23: Receipts - Within Item 23 the Franchisor must include two copies of the receipt page. The receipt page is the page that a franchisee must sign to confirm and prove the proper disclosure and delivery of the FDD.

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