NOTE: This is a conceptual overview of the required content for the FDD. The full FDD is a complex, legally mandated document governed by the U.S. Federal Trade Commission (FTC) and state laws. It must be prepared and filed by a qualified franchise attorney.

The FDD is comprised of 23 mandatory Items, and your attorney will use the following business data to address key sections:

• Item 1 & 2 (The Franchisor & Its Business Experience): Details regarding the company’s legal status and the professional background of founder Nerio Morales (immigrant, pastor, builder), tracing the business’s origin from a home garage 7+ years ago.

• Item 5 (Initial Fees):

  • Franchise Fee: $50,000

• Item 6 (Other Fees):

  • Royalties: 6% on gross revenue.

  • Marketing Fund: 2% on gross revenue.

• Item 7 (Estimated Initial Investment): Requires detailed breakdown (real estate, equipment, initial inventory, etc.) based on your models:

  • Compact Model: Starting from $110,000

  • Complete Model: Starting from $190,000

• Item 11 (Franchisor’s Assistance, Training, and Support): Details on the 360° support offered (site selection, full training, marketing, and management), including quality assurance via centralized product manufacturing.

• Item 19 (Financial Performance Representations – Earnings Claim):

  • Average Annual Revenue: $1.1M

  • Attractive profit margins (starting from 18%) and typical ROI timeline (18 to 24 months, with break-even in ~9 months).

• Item 20 (Outlets and Franchisee Information): Listing and operational status of the 10 currently operating units in the Atlanta, Georgia area.

• Item 21 (Financial Statements): Requires the disclosure of the franchisor’s audited financial statements.