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What are Maryland's FDD Registration and Renewal Fees? The initial FDD registration fee is $500 and the annual FDD renewal fee is $250.
Maryland is one of about 15 states in the United States that requires ?registration? of franchise offerings. Before you offer or sell any franchise in Maryland or to any Maryland residents, you must first register your franchise offering with the Securities Division, Office of the Attorney General.
Maryland has a relationship act known as the Maryland Fair Distributorship Act (?MFDA?), Sec. 11-1302, et seq., but it applies to only to commercial goods, not to franchisors regulated under the Maryland Franchise Disclosure Act.
Under Maryland franchise law, Code Section 14-201, a franchise is broadly defined to include any verbal or written agreement that involves: (a) a marketing plan or system for the marketing, sale, or distribution of products or services; (b) the licensing of a trademark or trademarks used to identify the underlying ...
Here's how to a franchise in 8 steps: Research Franchises. You can find franchise opportunities on websites like Franchise Direct. ... Evaluate Opportunities. ... Evaluate Costs. ... Draft a Business Plan. ... Get the Franchise License Agreement. ... Form a Business Entity. ... Choose Your First Business Space. ... Hire Employees.
Franchise registration states include California, Maryland, Michigan, Minnesota, New York, and North Dakota. Franchise filing states include Connecticut, Florida, Kentucky, South Carolina, and South Dakota.
So, you must register your FDD with the Securities Division of the Maryland Attorney General's Office prior to offering or selling franchises in Maryland. Maryland charges a $500 fee for the initial registration application and a $250 fee for renewal applications, which must be done annually.