Every franchise must have a franchise agreement that thoroughly describes the offering made to the franchisee. In addition, the Federal Trade Commission requires that franchisors present to prospective franchisees an Disclosure Document, which contains detailed information about the franchise company and its principal executives. If the franchisor is incorporated in a state that requires that franchises be registered (twenty-three states do) or if franchises are to be sold in a registration state, state filings must be prepared and sent to those states. (Different states have different filing requirements.)
Individual Franchise Agreement
Francorp will draft and submit to the Client’s attorney for review and approval, a Franchise Agreement defining the contractual relationship between the franchisor and the franchisee. This Agreement will be developed in conjunction with input received from Francorp’s program analysis and recommendations. This document will be based on current industry practice and recent developments in franchise law.
Francorp will draft and submit to the Client’s attorney, for review and approval, the disclosure document required by the Federal Trade Commission and state regulatory agencies. This document will contain required information, arranged in the format stipulated by U.F.D.D. guidelines.
Franchise Registrations and Filings
After the Client’s attorney has approved the final drafts of the Franchise Agreement and Disclosure Document, Francorp will prepare the franchise registration applications required by various state regulatory agencies. Applications will be based on information provided to Francorp by the Client and will be submitted to the Client’s attorney for review and approval. Included in these applications are materials such as the Uniform Franchise Registration Application, Supplemental Information Form, Salesman Disclosure Form, Uniform Consent to Service of Process, and Corporate Acknowledgment and Certification Page, as well as copies of advertising materials and the Disclosure Document. Applications will be prepared and processed for registration and/or filing in the following states: Franchise Registration and Business Opportunity States Map