1851

The Franchise Disclosure Document (FDD) is a critical part of the franchise process. It allows potential franchisees to perform due diligence on a brand prior to investing in a franchise system.&nbsp;Formerly called the Uniform Franchise Disclosure Document, the FDD is required by the Federal Trade Commission (FTC), and consists of 23 sections that outline the roles and responsibilities of both the franchisor and the franchisee. The FTC requires that a franchisor provide this document to the potential franchisee at least 14 days prior to the signing deadline.&nbsp;But sometimes, individual states require you to register your FDD, and those that don’t may still require additional paperwork. If you plan to sell franchises, you should make sure that you know the rules in these individual states.&nbsp;<h4>What Are Franchise Registration States?</h4>Franchise Registration States are those states which require that franchisors register that franchise disclosure document with them before the franchisor can offer or sell franchises in the state.“States regulate many investment activities, similar to the regulation of stock sales,” said <a href="https://www.linkedin.com/in/charles-internicola-42506910/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-are-franchise-registration-states-2716362" target="_blank" rel="nofollow">Charles Internicola</a>, a New Jersey-based franchise attorney. “Some states view protection of franchise buyers as a priority.”According to Internicola, in addition to FDD registration requirements, some states have additional requirements for new franchisors: There are state-specific franchise laws and franchisee relationship laws, which are all in addition to the Federal Franchise Rules.Generally, state registration takes anywhere from&nbsp;45 days to 90 days, but Internicola says that certain states, depending on volume and time of year, take longer to review and process registrations than others.<h4>Which States Are Franchise Registration States?</h4>There are currently 13 franchise registration states. These include:<ul><li>California</li><li>Hawaii</li><li>Illinois</li><li>Indiana</li><li>Maryland</li><li>Michigan</li><li>Minnesota</li><li>New York</li><li>North Dakota</li><li>Rhode Island</li><li>Virginia</li><li>Washington</li><li>Wisconsin</li></ul><h4>What Documents Does Each State Require?</h4>Even in states that don’t require registration, there are many other rules and regulations that franchisors must follow.&nbsp;Failure to register your FDD with the state, as well as any other documents that are required, can have serious consequences for the franchisor, including civil fines, contractual damages and even criminal liability, said Internicola.Internicola’s law firm provides <a href="https://www.franchiselawsolutions.com/franchising/state-specific-laws/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=what-are-franchise-registration-states-2716362" target="_blank" rel="nofollow">an interactive map detailing state-specific franchise laws</a>, allowing you to review the requirements from each state.

Understanding Franchise Registration States | 1851 Franchise

1851 Franchise

Where a franchisor does business can affect the types of paperwork that it needs to file. Here’s what you need to know. 

What Are Franchise Registration States?

what-are-franchise-registration-states

HomeTeam Inspection Service

Photo of HomeTeam inspector in red polo and khaki pants, walking by branded vehicle

Real Estate Today: Behind the Drywall: The Truth About Home Inspections

purpose-of-home-inspection

Dog Training Elite

Dog Training Elite Franchise - DTE - National Service Dog Month - 1851 Franchise

Celebrating Service Dogs: Why Proper Training Changes Lives — And How Dog Training Elite Is Leading the Way

dog-training-elite-national-service-dog-month

Senior Care Authority

How This Senior Care Authority Franchisee Turned Love for His Grandparents Into a Lifelong Calling

how-this-senior-care-authority-franchisee-turned-love-for-his-grandparents-into-a-lifelong-calling

Hometown News: Like Father, Like Son — Family-Run Inspection Business Blends Generations of Expertise and a Keen Eye for Detail

father-son-home-inspection-franchise-florida

KLA Schools

KLA Schools of Beachwalk Hosts Admissions Kick-Off Celebration

kla-schools-of-beachwalk-hosts-admissions-kick-off-celebration

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Design with American and Federal Reserve flags against light blue background

Federal Reserve Expected To Cut Rates by Quarter Point, a Move That Could Boost Franchise Growth

fed-rate-cut-boosts-franchise-growth

Potbelly to be Acquired by RaceTrac in $566 Million Deal 

racetrac-acquires-potbelly-in-566-million-deal

Health Care Hiring Slowdown Highlights In-Home Care Franchise Opportunities - 1851 Franchise Agg

Health Care Hiring Slowdown Highlights In-Home Care Franchise Opportunities 

health-care-hiring-slowdown-in-home-care-franchise-opportunities

Caribou Coffee Names Scott Kennedy CEO, Eyes Continued Growth

caribou-coffee-names-scott-kennedy-ceo-eyes-continued-growth

McDonald’s Launches New Extra Value Meals as Consumer Demand for Value Continues to Climb

mcdonalds-launches-extra-value-meals

Technomic Releases Annual Ranking of the Top 15 Fast-Food Chains in the U.S.

technomic-releases-annual-ranking-of-the-top-15-fast-food-chains-in-the-us

AI Is Reshaping Franchising: $100 Billion Valuations and Hyper-Localized Advertising

ai-is-reshaping-franchising-100-billion-valuations-and-hyper-localized-advertising

Hely and Hiral Patel Bring Their Longtime Dream to Life With The Brass Tap

brass-tap-franchise-pasadena-maryland-hely-hiral-patel

1851 Keyword - The Secret To Succeeding With a Part-Time Franchise Is Picking the Right Model

The Secret To Succeeding With a Part-Time Franchise Is Picking the Right Model

part-time-franchises-picking-the-right-model

DevHub - Meet the Supplier - 1851 Franchise

DevHub: Scalable Digital Marketing for Franchises and Multi-Location Brands

devhub-meet-the-supplier

Franchisee spotlight graphic with photo of Ricki Oberoi and Layne's Chicken Fingers logo

Multi-Unit Wendy’s Operator Signs 12-Unit Deal With Layne’s Chicken Fingers

ricki-oberoi-laynes-chicken-fingers-growth

Design with school-aged child standing on pencil with text "Education Franchises" and "<$500K"

Top Education Franchises Under $500K To Explore in 2025

top-education-franchises-under-500k

1851 Franchise Deep Dive graphic with Sparkle Squad logo

Sparkle Squad Franchise Costs, Fees, Profit and Data for 2025

franchise-deep-dive-sparkle-squad-franchise-costs-fees-profit-and-data

What Are Franchise Registration States?

MORE STORIES LIKE THIS