This form requests certain information with regard to each corporate officer, director, partner, or other principal of the franchise sales agent. The form also contains a supplemental franchise sales agent statement which is to be used when reporting a change of corporate officers, directors, or other principals of the franchise sales agent.
West Virginia New York Franchise Sales Agent Statement
Category:
State:
Multi-State
Control #:
US-4-16-2-STP
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Word;
Rich Text
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How to fill out New York Franchise Sales Agent Statement?
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FAQ
The New York Franchise Sales Act defines a franchise as an agreement in which a franchisee is granted the right to offer, sell or distribute goods or services under a marketing plan or system prescribed by a franchisor, and the franchisee is required to pay a franchise fee.
The key elements of a franchise agreement generally include: Territory rights. ... Minimum performance standards. ... Franchisors services requirements. ... Franchisee payments. ... Trademark use. ... Advertising standards. ... Exclusivity clause. ... Insurance requirements.
The franchisor owns the trademark(s) and the operating system for the franchise. The franchisee is licensed to use both the trademark and the operating system ing to the terms and conditions set forth in the franchise agreement. Both the franchisor and franchisee must fulfill their obligations under the contract.
The Franchise Rule gives prospective purchasers of franchises the material information they need in order to weigh the risks and benefits of such an investment.
Although the FTC Act addresses the sale of franchises, there is no generally applicable federal law regulating the ongoing relationship between a franchisor and a franchisee after the required disclosures have been made and the franchise agreements signed and fees paid.
The New York Franchise Sales Act makes franchisors liable to franchisees if they sell their business property in violation of the requirements, so getting everything legally correct from the beginning could smooth the process and maximize your potential profits.