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.
Wyoming Illinois Franchise Registration Application
Category:
State:
Multi-State
Control #:
US-4-03-STP
Format:
Word;
Rich Text
Instant download
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How to fill out Illinois Franchise Registration Application?
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FAQ
The single sale franchise exemption is available to franchisors who wish to avoid registration requirements by limiting the number of franchises offered for sale. In Illinois, the number of franchise sales is limited to 2 sales in any 12-month period.
Illinois is a franchise registration state and has enacted franchise laws. Under Illinois franchise law, before offering or selling a franchise in the state you must first register your FDD with the Franchise Bureau of the Illinois Attorney General.
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.
When registration is required, franchisors must pay a $500 fee and submit the FDD with a franchise registration application form, sales agent disclosure forms, an auditor's consent, a service of process form, and certain other required documents to the Illinois Franchise Bureau (500 S.
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.
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.
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.
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.