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Documents & legalStandard operating procedures (SOP)
The documented set of procedures describing exactly how each part of the operation runs — the foundation for a consistent experience at every outlet.
Definition
The documented set of procedures describing exactly how each part of the operation runs — the foundation for a consistent experience at every outlet.
Where this sits
The document set is where every promise becomes binding. Reading it carefully before signing is an investor's single most important protection.
Related terms in this topic
Franchise Disclosure Document (FDD)A mandatory disclosure document in many markets, giving investors information on the system, costs, obligations, litigation and financials before signing.
Franchise agreementThe binding contract between the parties, setting out territory, term, fees, operating standards, renewal rights and termination conditions.