This document may be used to register an offer and sale of franchises or to register a renewal statement or annual report. The document also contains a certification statement.
Arizona Indiana Franchise Registration Application
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Multi-State
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US-4-04-STP
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FAQ
The State of Arizona is not a franchise registration state. This means that prior to offering or selling a franchise in Arizona you do not need to register your Franchise Disclosure Document (?FDD?).
The franchise disclosure document (FDD) is a legal disclosure document that must be given to individuals interested in buying a U.S. franchise as part of the pre-sale due diligence process. The document contains information essential to potential franchisees about to make a significant investment.
Indiana is a franchise registration state. Under Indiana's Franchise Act, before you offer or sell a franchise in Indiana, you must file and register your FDD with the Securities Division of the Indiana Secretary of State. The initial FDD registration fee is $500 and the annual renewal fee is $250.
Federal Franchise Registration Requirements The federal Franchise Rule does not require that a franchisor register or file its FDD with any specific federal agency, including the FTC.
Arizona is not a franchise registration state nor a franchise filing state, so you may offer or sell your franchise without registering or filing your Franchise Disclosure Document (?FDD?) with the state, provided that you are compliant with the Federal Franchise Rule.
The franchise legislation imposes on all parties to a franchise agreement a duty of fair dealing in the performance and enforcement of the agreement. This includes the duty to act in good faith and in ance with reasonable commercial standards.
Capital Investment: Establishing a franchise requires a large investment of both time and money. At a minimum, a franchisor should plan to spend on business development, a flagship store, legal document preparation, marketing, and packaging plans, and recruiting and training franchisees.
The franchise rule requires franchisors to make material disclosures in five categories: the nature of the franchisor and the franchise system. the franchisor's financial viability. the costs involved in purchasing and operating a franchised outlet. the terms and conditions that govern the franchise relationship.
