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These legal documents, along with the operating manuals, staffing, training programs, and marketing initiatives, are your main investments in the franchise system. The two primary documents you'll create are the Franchise Agreement and the Franchise Disclosure Document (FDD).
Oregon is classified as a non-registration state because it has no laws requiring franchisors to register with the state as a franchise or business opportunity before offering or selling their franchise.
Essentially, franchise agreements work by one party (the franchisor) granting another party (the franchisee) the right to operate a business under certain conditions and typically using the franchisor's branding and intellectual property.
Washington State is a franchise registration state. Before offering or selling a franchise in Washington, you must register your FDD with the Securities Division of the Washington State Department of Financial Institutions. The initial filing fee is $600 and the renewal fee is $100.
A franchise agreement is a contract under which the franchisor grants the franchisee the right to operate a business, or offer, sell, or distribute goods or services identified or associated with the franchisor's trademark.
A franchise is a business whereby the owner licenses its operations?along with its products, branding, and knowledge?in exchange for a franchise fee.
Franchise Application Form is an elaborate document seeking details about the prospective franchisee, their background, financial resources as well as everything else. Furthermore, the franchisor would be able to take a decision to award a franchise.
Some of the most successful franchise businesses in the United States include Subway, McDonald's, Pizza Hut, Burger King, and Dunkin' Donuts; but restaurants are not the only kind of franchise businesses available. Some business types are more appropriate for franchising than others.