Properly Register Your Franchise Without the Hassle
Franchising is regulated by the Federal Trade Commission (FTC) and a variety of individual states. If you are interested in expanding your franchise nationwide, it is imperative to make sure you have registered your franchise properly in the states that require it.
FDD Registration States & The Registration Process
The registration process for franchisors can be an arduous and intimidating one for a franchisor regardless of how many years they have been in existence. Many states have a regulatory oversight agency that reviews every franchise disclosure document (FDD) of any business trying to offer a franchise for sale within its state. Several of these registration states have different requirements to register the franchise properly with a variety of required disclosures. Moreover, many of these states require an annual registration to ensure the franchise is still in compliance with their requirements.
Each one of these oversight agencies carefully reviews a FDD to make sure it is amenable with state regulations. It is typical for the state to comment on an FDD and require a franchisor to clarify certain provisions of their FDD. Furthermore, the franchisor is then asked to resubmit their documentation with their comments integrated. The entire process can be a grueling one and, if it is not handled correctly, can take months to finally gain approval.
Let Spadea Lignana help you manage your state registrations through our custom designed cloud-based software. The system streamlines the franchise sales and state registration compliance for franchisors that are looking to grow nationally. Franchisors can send a link through email that takes candidates to a custom map with a simple red/green interface allowing the candidates to download the correct FDD approved in specific states. This map also gives franchisors a quick up-to-date view of where they are registered and where they can not sell franchises. Learn more about this compliance system for franchisors.
Listen to our Franchising Clients
We are big fans of Spadea Lignana. Our reasons are real simple and can be said in a handful of words. Responsive, respectful, and fair. As a franchisor our needs are simple but there is a lot riding on the writing, knowledge and accountability in every word that goes into our franchise documents, we believe Spadea Lignana brings all of the components we are looking for in a franchise attorney.
Work with National Franchise Lawyers
Spadea Lignana’s CORE program for franchisors is a cost-effective and practical solution for the ongoing legal needs of franchisors, including but not limited to, FDD updates, state registrations and franchise agreement executions. Through a proprietary cloud-based system we can effectively and efficiently manage FDD Disclosures and Franchise Agreement executions for fair flat fees billed monthly. We believe that hourly billing, although necessary in certain circumstances like complex M&A deals and litigation, can weigh on the relationship between client and attorney. By coming up with a fair flat monthly fee, the uncomfortable negotiating of whether or not a 6-minute increment in your bill for replying to an email was legitimate goes away.