Louisiana is not a franchise registration state but is a filing state if you do not have a federally registered trademark.
Louisiana is not a franchise registration state but has enacted business opportunity laws that apply to franchisors that do not have a federally registered trademark. In Louisiana, if you have a federally registered trademark and you have issued your FDD in compliance with the federal franchise laws you are not are not required to register or file your FDD with a Louisiana state agency or regulator. If you are a franchisor and your primary trademark is not registered with the USPTO you will be required to comply with Louisiana’s Business Opportunity Laws, including the requirement that you consent to jurisdiction in the State of Louisiana.
Louisiana’s Business Opportunity Law broadly defines a “business opportunity” as “…the sale or lease for an initial required consideration exceeding three hundred dollars of any goods or services which are transferred to a purchaser for the purpose of enabling the purchaser to start a business…” Exempt from the Louisiana Business Opportunity provisions are transactions involving “…the sale or lease of a sales plan or marketing program made in conjunction with the licensing of a registered trademark or service mark…” In practice this means that if you are a franchisor with federally registered trademarks then you are exempt from Louisiana’s Business Opportunity Laws as long as you comply with the federal franchise rule. If you do not have a federally registered trademark then you must comply with Louisiana’s Business Opportunity laws. Compliance depends on the nature of your franchise system and, at the most basic level, will require the filing or a Business Opportunity Consent to Service of Process with the Louisiana Secretary of State.
If you franchise involves (a) “assist[ing] the purchaser in finding business locations on premises neither owned nor leased by the purchaser or seller for the use or operation of vending machines, racks, display cases, currency-operated amusement machines, or other similar devices”; (b) involves a representation by your franchise company or an affiliate that you “…will purchase any or all products to be sold, made, produced, fabricated, assembled, grown, bred, or modified by the [franchisee]…; or (c) guarantees that the franchisee will derive a certain level of income, then you will also be required to post a surety bond. The Consumer Protection Section of Louisiana’s Department of Justice is charged with enforcing Louisiana’s business opportunity laws.
Visit our interactive franchise registration map and learn more about state franchise laws, FDD registration states, and required franchise filings.
To learn more about how we can help you with franchising in Louisiana and registering your FDD throughout the United States, contact us at (800) 976-4904 or contact us online.
Are you a franchisor or a part of a franchise sales team? Do you want to learn more about franchise sale compliance and ensure that your sales practices comply with franchise laws and are consistent with best practices? Then this guide is for you. In this guide you’ll learn the... read more
In this guide you’ll learn the basics of franchising, how to franchise your business, and how to win at franchising. We’ll also take a deeper dive into legal requirements for franchising and why they matter, steps to take before and after you launch your franchise, and even some tips on... read more
When considering expanding a business both franchising and licensing are possible options. In this guide, you'll learn the differences of franchising and licensing and understand how each will affect you. read more
Are you considering franchising your business? If so, its important to understand the advantages and disadvantages of franchising your business. Franchising is a legal and business model designed to achieve multi-unit expansion. Compared to organic expansion where you invest in and open multiple locations yourself, franchising allows you to recruit... read more
The documents to franchise your business include the franchise disclosure document (FDD), franchise agreement, operations manual, financial statements, and state specific registration applications. Below we discuss each franchise document in detail. 1. Franchise Disclosure Document Before you can offer or sell a franchise you are required to issue and disclose... read more
Franchising may be the next big step for your business and represents an opportunity to grow your brand. So, how do you know if franchising is right for you? How do you know if your business is franchisable and, if it is, whether or not you should franchise your business?... read more
In this webinar, Charles Internicola and Laura Meyer, founder of Joybrand Creative, talk about how to position your brand to win at franchise sales. Some topics include: How franchisors can develop their brand strategy How to differentiate your brand strategy between your targeted end-user customers and prospective franchisees for franchise... read more
In this webinar, Charles N. Internicola, Esq. and Lisa Welko, CFE of Integrity Franchise Group discuss what it takes to make your brand attractive to franchise brokers and sell to qualified franchisees. Selling franchises and building a durable franchise system - all comes down to being a "good franchisor," making... read more
Key strategies to accelerate franchise growth for startup and emerging franchisors In this webinar, franchise attorney Charles Internicola and Nick Powills, founder of No Limit Agency and 1851 Franchise, discuss key strategies to accelerate franchise growth through PR and digital media. Some topics include: Steps franchisors should take when it... read more
With services to make your growth strategy simple, cost effective, and with a team excited to help you, let’s talk about how we can help grow your business.
Fill out the following form and we’ll contact you as soon as possible. To reach our team directly, give us a call at (800) 976-4904.
An attorney client relationship is not established by submitting this initial contact information.