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Do I Have To Alter My FDD To Franchise In Another State?

If you are considering franchising in other states, you need to consider what needs to be done with your franchise disclosure document (FDD). Some states' unique franchise laws may require changes to your FDD, while others make it easy for franchising in other states by having no unique requirements.

The FTC Franchise Rule establishes the standard protocol for developing an FDD. When franchising in other states, some require registration and filing of your FDD, while others only require filing of the FDD, and some require neither. It's important to research the states where you want to franchise beforehand to familiarize yourself with their individual state laws. This can be a somewhat involved process, but it is necessary to ensure you abide by all trade laws.

Charles Internicola

by Charles Internicola
National Business and Franchise Lawyer

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