State Franchise Laws



At the state level there are various franchise registration, filing, and disclosure requirements for franchisors. A franchisor’s franchise registration, filing and/or disclosure requirements vary state-by-state with the most tedious requirements typically associated with the registration states. We have included a breakdown below categorized by the type of filing and state, and included important links related to the state specific franchise laws.

Non-Registration States


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Alabama

 

Alabama is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Alabama.  However, a franchisor must have a current FDD in order to offer or sell franchises in Alabama.

 

Alaska

 

Alaska is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Alaska.  However, a franchisor must have a current FDD in order to offer or sell franchises in Alaska.

 

Arizona

 

Arizona is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Arizona.  However, a franchisor must have a current FDD in order to offer or sell franchises in Arizona.

 

Arkansas

 

Arkansas is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Arkansas.  However, a franchisor must have a current FDD in order to offer or sell franchises in Arkansas.

 

California

 

California is a franchise registration state which requires the filing of the FDD with the state of California for Franchise Regulator review and, commonly, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD. The initial filing fee is $675 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Notarized Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Consent of Accountant
  • Notice of Exemption for Internet Advertisements
  • Customer Authorization of Disclosure of Financial Records
  • Franchise Advertising
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $450. More information on California franchise laws can be found here: https://docqnet.dbo.ca.gov/

 

Colorado

 

Colorado is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Colorado.  However, a franchisor must have a current FDD in order to offer or sell franchises in Colorado.

 

Connecticut

 

Connecticut is a one-time exemption filing state, whereby a franchisor with a federal trademark registration can make a one-time filing, with no filing fee, and then on a current FDD, forevermore offer and sell franchises in Connecticut. Or, if a franchisor does not have a federal trademark registration, then a franchisor must obtain approval on a business opportunity filing in order to offer and sell franchises in Connecticut.  The filing fee for a Connecticut business opportunity filing is $400.  More information on Connecticut business opportunity filings and laws can be found at Connecticut Gen. Statutes 36b-60 et seq. and here: https://portal.ct.gov/DOB/Business-Opportunities/Bus-Opps/Business-Opportunity-Regulation-in-Connecticut

 

Delaware

 

Delaware is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Delaware.  However, a franchisor must have a current FDD in order to offer or sell franchises in Delaware.

 

District of Columbia

 

The District of Columbia is treated like a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Washington, D.C.  However, a franchisor must have a current FDD in order to offer or sell franchises in Washington, D.C.

 

Florida           

 

Florida is an annual franchise filing state, whereby a franchisor must make an annual franchise exemption filing each year, with a $100 filing fee, and then on a current FDD, can offer and sell franchises in Florida.  More information on the Florida business opportunity exemption filing can be found at Florida Statute 559.801 et seq. and here:  https://www.fdacs.gov/Business-Services/Sellers-of-Business-Franchises

 

Georgia

 

Georgia is a business opportunity state, however, either a federal or a state trademark registration will allow a franchisor to avoid making a filing under the Georgia business opportunity laws and complying with the requirements of those laws. More information on the Georgia business opportunity laws, and the Consent to Service of Process that a franchisor must file under those laws, can be found at Georgia Code Annotated 10-1-410 et seq. and here: https://consumer.georgia.gov/business-compliance/business-forms

 

Hawaii                       

 

Hawaii is a franchise registration state which requires the filing of the FDD with the state of California for Franchise Regulator review and, sometimes, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD. The initial filing fee is $250 and must be accompanied by the following documents: *Uniform Franchise Registration Application with Certification *Uniform Franchise Consent to Service of Process

 

  • Corporate or Limited Liability Company Acknowledgment
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Consent of Accountant
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $250.

 

More information on Hawaii franchise laws can be found here: http://cca.hawaii.gov/sec/

 

Idaho

 

Idaho is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Idaho.  However, a franchisor must have a current FDD in order to offer or sell franchises in Idaho.

 

Illinois            

 

Illinois is a franchise registration state which requires the filing of the FDD with the state of Illinois for Franchise Regulator review and, commonly, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD. The initial filing fee is $500 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Consent of Accountant
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $100.

 

More information on Illinois franchise laws can be found here: https://illinoisattorneygeneral.gov/consumers/franchise.html

 

Indiana          

 

Indiana is a franchise registration state which requires the filing of the FDD with the state of Indiana.  However, Indiana functions more like an annual filing state in that Indiana does not normally review the FDD or issue comment letters containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $500 (plus a convenience fee for use of a credit card with online filing) and must be accompanied by the following documents:

 

  • Uniform Franchise Consent to Service of Process
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $250 (plus a convenience fee for use of a credit card with online filing).

 

Indiana has an “isolated sales exemption” to their franchise registration laws found at Ind. Code 23-2-2.5-3 which allows a franchisor to sell one franchise every 24 months without registering with the state of Indiana.

 

More information on Indiana franchise laws can be found here: https://securities.sos.in.gov/

 

Iowa

 

Iowa is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Iowa.  However, a franchisor must have a current FDD in order to offer or sell franchises in Iowa.

 

Kansas

 

Kansas is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Kansas.  However, a franchisor must have a current FDD in order to offer or sell franchises in Kansas.

 

Kentucky      

 

Kentucky is a one-time exemption filing state, whereby a franchisor can make a one-time filing of its FDD, with no filing fee, and then on a current FDD, forevermore offer and sell franchises in Kentucky.  More information on the Kentucky business opportunity exemption filing can be found at Kentucky Revised Statutes 367.801 et seq. and here:  https://ag.ky.gov/AG%20Business%20Forms/BO_affidavit_of_exemption.pdf

 

Louisiana

 

Louisiana is a business opportunity state, however, either a federal or a state trademark registration will allow a franchisor to avoid making a filing under the Louisiana business opportunity laws and complying with the requirements of those laws. More information on the Louisiana business opportunity laws can be found at Louisiana Revised Statutes 51:1821 et seq. and here:

 

https://www.sos.la.gov/BusinessServices/PublishedDocuments/BusinessOpportunity.pdf

 

Maine

 

Maine is a business opportunity state, however, a federal trademark registration will allow a franchisor to avoid making a filing under the Maine business opportunity laws and complying with the requirements of those laws. More information on the Maine business opportunity laws can be found at 32 Maine Revised Statutes 4691 et seq. and here:  https://www.maine.gov/pfr/securities/business_opp.htm

 

Maryland      

 

Maryland is a franchise registration state which requires the filing of the FDD with the state of Maryland for Franchise Regulator review and, commonly, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $500 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Consent of Accountant
  • Franchise Advertising Material
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $250.

 

More information on Maryland franchise laws can be found here: https://www.marylandattorneygeneral.gov/Pages/Securities/default.aspx

 

Massachusetts

 

Massachusetts is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Massachusetts  However, a franchisor must have a current FDD in order to offer or sell franchises in Massachusetts.

 

Michigan       

 

Michigan is an annual franchise filing state, whereby a franchisor must make an annual franchise exemption filing each year, with a $250 filing fee, and then on a current FDD, can offer and sell franchises in Michigan.  More information on the Michigan franchise laws can be found at Michigan Code 445.1501 et seq. and here:  https://www.michigan.gov/ag/0,4534,7-359-81903_83221-198444–,00.html

 

Minnesota    

 

Minnesota is a franchise registration state which requires the filing of the FDD with the state of Minnesota for Franchise Regulator review and, commonly, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $400 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Notarized Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Consent of Accountant
  • Franchise Advertising Material
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $300.

 

More information on Minnesota franchise laws can be found here: https://mn.gov/commerce/industries/securities/franchises/

 

Mississippi

 

Mississippi is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Mississippi.  However, a franchisor must have a current FDD in order to offer or sell franchises in Mississippi.

 

Missouri

 

Missouri is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Missouri.  However, a franchisor must have a current FDD in order to offer or sell franchises in Missouri.

 

Montana

 

Montana is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Montana.  However, a franchisor must have a current FDD in order to offer or sell franchises in Montana.

 

Nebraska      

 

Nebraska is a one-time exemption filing state, whereby a franchisor can make a one-time filing, with a $100 filing fee, and then on a current FDD, forevermore offer and sell franchises in Nebraska.  More information on the Nebraska business opportunity exemption filing can be found at Nebraska Revised Statutes 59-1701 et seq. and here:  https://ndbf.nebraska.gov/industries/securities/business-opportunities-franchises

 

Nevada

 

Nevada is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Nevada.  However, a franchisor must have a current FDD in order to offer or sell franchises in Nevada.

 

New Hampshire

 

New Hampshire is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in New Hampshire.  However, a franchisor must have a current FDD in order to offer or sell franchises in New Hampshire.

 

New Jersey

 

New Jersey is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in New Jersey.  However, a franchisor must have a current FDD in order to offer or sell franchises in New Jersey.

 

New Mexico

 

New Mexico is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in New Mexico.  However, a franchisor must have a current FDD in order to offer or sell franchises in New Mexico.

 

New York      

 

New York is a franchise registration state which requires the filing of the FDD with the state of New York for Franchise Regulator review and, commonly, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $750 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Notarized Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Consent of Accountant
  • Advertising Verification Form
  • Franchise Advertising Material (2 copies)
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $150.

 

More information on New York franchise laws can be found here: https://ag.ny.gov/investor-protection/franchisors-franchisees

 

North Carolina

 

North Carolina is a business opportunity state, however, a federal trademark registration will allow a franchisor to avoid making a filing under the North Carolina business opportunity laws and complying with the requirements of those laws. More information on the North Carolina business opportunity laws can be found at N.C. Gen. Stat. 66-94 et seq. and here:  https://www.sosnc.gov/divisions/business_opportunity_sales

 

North Dakota

 

North Dakota is a franchise registration state which requires the filing of the FDD with the state of North Dakota for Franchise Regulator review and, sometimes, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $250 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Consent of Accountant
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $100.

 

More information on North Dakota franchise laws can be found here: https://www.nd.gov/securities/franchise-registration

 

Ohio

 

Ohio is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Ohio.  However, a franchisor must have a current FDD in order to offer or sell franchises in Ohio.

 

Oklahoma

 

Oklahoma is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Oklahoma.  However, a franchisor must have a current FDD in order to offer or sell franchises in Oklahoma.

 

Oregon

 

Oregon is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Oregon.  However, a franchisor must have a current FDD in order to offer or sell franchises in Oregon.

 

Pennsylvania

 

Pennsylvania is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Pennsylvania.  However, a franchisor must have a current FDD in order to offer or sell franchises in Pennsylvania.

 

Rhode Island

 

Rhode Island is a franchise registration state which requires the filing of the FDD with the state of Rhode Island for Franchise Regulator review and, sometimes, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $600 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Taxpayer Status Affidavit
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $300.

 

More information on Rhode Island franchise laws can be found here: https://www.nd.gov/securities/franchise-registration

 

South Carolina

 

South Carolina is a business opportunity state, however, either a federal or a state trademark registration will allow a franchisor to avoid making a filing under the South Carolina business opportunity laws and complying with the requirements of those laws. More information on the South Carolina business opportunity laws can be found at S.C. Code 39-57-10 et seq. and here:  https://sos.sc.gov/services-and-filings/business-opportunities

 

South Dakota

 

South Dakota is a franchise registration state which requires the filing of the FDD with the state of South Dakota.  However, South Dakota functions more like an annual filing state in that South Dakota does not normally review the FDD or issue comment letters containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $250 and must be accompanied by the following documents:

 

  • South Dakota Notice Filing Application
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgment
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $150.

 

More information on South Dakota franchise laws can be found here: https://dlr.sd.gov/securities/franchise_registration.aspx

 

Tennessee

 

Tennessee is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Tennessee.  However, a franchisor must have a current FDD in order to offer or sell franchises in Tennessee.

 

Texas             

 

Texas is a one-time exemption filing state, whereby a franchisor can make a one-time filing, with a $25 filing fee, and then on a current FDD, forevermore offer and sell franchises in Texas.  More information on the Texas business opportunity exemption filing can be found at Texas Bus. & Com. Code 51.001 et seq. and here:  https://www.sos.state.tx.us/statdoc/faqs2700.shtml

 

Utah               

 

Utah is an annual franchise filing state, whereby a franchisor must make an annual franchise exemption filing each year, with a $100 filing fee, and then on a current FDD, can offer and sell franchises in Utah.  More information on the Utah business opportunity exemption filing can be found at Utah Code Ann. 13-15-1 et seq., the Utah Admin. Code R152-15-2, and here:  https://consumerprotection.utah.gov/registrations/businessopps.html

 

Vermont

 

Vermont is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Vermont.  However, a franchisor must have a current FDD in order to offer or sell franchises in Vermont.

 

Virginia

 

Virginia is a franchise registration state which requires the filing of the FDD with the state of Virginia for Franchise Regulator review and, commonly, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $500 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Consent of Accountant
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $250.

 

More information on Virginia franchise laws can be found here: https://scc.virginia.gov/pages/Franchise-Registration

 

Washington State

 

Washington State is a franchise registration state which requires the filing of the FDD with the state of Washington for Franchise Regulator review and, commonly, the issuance of a comment letter containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $600 and must be accompanied by the following documents:

 

  • Uniform Franchise Registration Application with Notarized Certification
  • Uniform Franchise Consent to Service of Process
  • Corporate Acknowledgement
  • Franchisor’s Costs and Sources of Funds
  • Franchise Seller Disclosure Form
  • Consent of Accountant
  • Franchise Advertising Material
  • Washington Appointment of a Franchise Broker
  • A Clean Copy of the Franchise Disclosure Document

 

The renewal filing fee is $100.

 

More information on Washington State franchise laws can be found here: https://dfi.wa.gov/franchises

 

West Virginia

 

West Virginia is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in West Virginia.  However, a franchisor must have a current FDD in order to offer or sell franchises in West Virginia.

 

Wisconsin     

 

Wisconsin is a franchise registration state which requires the filing of the FDD with the state of Wisconsin.  However, Wisconsin functions more like an annual filing state in that Wisconsin does not normally review the FDD or issue comment letters containing edits that the Franchise Regulator would like to the FDD.

 

The initial filing fee is $400 and must be filed online with a clean copy of the Franchise Disclosure Document

 

The renewal filing fee is $400.

 

More information on Wisconsin franchise laws can be found here: http://wdfi.org/fi/securities/franchise/default.htm

 

Wyoming

 

Wyoming is a non-registration state which does not require any type of franchise filing or registration in order for a franchisor to offer or sell franchises in Wyoming.  However, a franchisor must have a current FDD in order to offer or sell franchises in Wyoming.