Franchise Glossary
FDD Item 19
What is FDD Item 19 in franchising?
The optional section where franchisors may disclose financial performance data, including revenue, expenses, and sometimes earnings, for existing units. Item 19 disclosure is not required, but its absence is itself informative. When data exists, it requires careful reading: averages across large systems can mask wide variation between top and bottom performers. The most valuable Item 19s show unit-level cost structures, not just top-line revenue.