Georgia
Franchise Registration
Georgia
Georgia does not have franchise laws. However, a franchisor must still comply with the federal regulations established under the Federal Trade Commission (“FTC”) Franchise Rule when offering and selling franchises in the state of Georgia.
In addition, Georgia has business opportunity laws with registration requirements.
Georgia Franchise Law
Georgia is not a franchise registration state and does not require any type of franchise filing or registration for a franchisor to offer or sell franchises in Georgia. However, many franchises qualify as Business Opportunities and, therefore, must comply with Georgia’s Business Opportunity filing requirements.
In addition, a franchisor must have a current FTC compliant FDD to offer or sell franchises in Georgia and comply with the Franchise Rule disclosure timing provisions.
Georgia Franchise Relationship and Termination Law
There are no franchise laws that specifically govern the franchise relationship or termination of a franchisee in Georgia.
Georgia Business Opportunity Laws
Georgia’s Business Opportunity Laws define a “Business opportunity” as the sale or lease of or offer to sell or lease, any products, equipment, supplies, or services for the purpose of enabling the purchaser to start a business and in which the seller or company represents:
(A) the seller or company will provide locations or assist the purchaser in finding locations for the use or operation of vending machines, racks, display cases or other similar devices, or currency operated amusement machines or devices. For purposes of this subparagraph, “assist the purchaser in finding locations” includes but is not limited to supplying the purchaser with names of locator companies, contracting with the purchaser to provide assistance or supply names, or collecting a fee on behalf of or for a locator company;
(B) the seller or company will purchase any or all products made, produced, fabricated, grown, bred, or modified by the purchaser using, in whole or in part, the supplies, services, or chattels sold to the purchaser; or
(C) the company, in conjunction with any agreement which requires a total initial payment of an amount exceeding $500.00, will provide a sales program or marketing program; provided, however, that this subparagraph shall not apply to the sale of a sales program or a marketing program made in conjunction with the licensing of a registered trademark or service mark. O.C.G.A. § 10-1-410.
Georgia Business Opportunity Requirements
The offer or sale of a business opportunity in Georgia requires filing a Consent to Service with the state. Further, an appropriate business opportunity disclosure statement and a bond may be required. O.C.G.A. § 10-1-412.
Georgia Franchise Exemption from Business Opportunity Laws
Franchises are excluded from the Business Opportunity Laws if they have a state or federally registered trademark or service mark. O.C.G.A. § 10-1-410.
More Information about Georgia's Business Opportunity Laws
Business Opportunity – Consent to Service
If you offer a business opportunity in Georgia, we can help you determine if, and how, your company must comply with Georgia’s Business Opportunity Laws.
Want to learn more about our franchise services and franchising in Georgia? Contact Us or call (757)-263-4596 to schedule a consultation. You can also visit our interactive map to learn more about other state franchise laws.
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