North Dakota Franchise Law
North Dakota is a franchise registration state. Before you offer or sell a franchise in North Dakota, you must register your Franchise Disclosure Document (FDD) with the North Dakota Securities Department. North Dakota’s franchise law is known as the Franchise Investment Law and the Securities Department is charged with its enforcement and registration requirements. Your FDD registration must be renewed annually. The initial filing fee is $350 and the annual renewal fee is $200.
North Dakota Franchise and FDD Registration FAQs
Who Regulates Franchises in North Dakota?
The Securities Department regulates and oversees enforcement of North Dakota’s Franchise Investment Law, including the State’s FDD registration requirements.
What Should I Include with My North Dakota Franchise Registration Application?
Your franchise registration application should include:
Filing fee of $350 for initial FDD registration and $200 for annual renewal registration. The check should be made payable to the “North Dakota Securities Department”;
Uniform Franchise Registration Application with Certification form;
Franchisor’s Costs and Source of Funds Form;
Seller’s Disclosure Form;
Auditor’s Consent Form;
One complete copy of the FDD (unbound) and on CD-ROM. If a renewal, you must also include a marked copy of the FDD showing modifications; and
Samples of advertising materials intended for use in North Dakota.
Where Do I File My Registration Application?
Your FDD registration application must be filed with the Securities Department at the following address:
North Dakota Securities Department
600 East Boulevard, 5th Floor
Bismark, ND 58505
Their telephone number is (701) 328-2910.
How Long Will It Take for My Registration Application to Be Approved?
Once you submit your registration application, a Franchise Examiner will be assigned to review your FDD and franchise filing. The Franchise Examiner will send a comment letter requesting modifications to your FDD related to North Dakota’s franchise law. For franchisors with limited capital, it is common for the Franchise Examiner to condition your registration approval based on your agreement to defer receipt of initial franchise fees or the posting of a bond. The North Dakota FDD registration process typically takes 4 to 6 weeks. Once approved, you will receive a letter from the Franchise Examiner advising of the approval of your FDD registration, the effective date of your registration, and the annual expiration date.
Helpful Links Concerning North Dakota Franchise Law
You may find these links helpful regarding North Dakota franchise laws.
We also recommend visiting our interactive franchise registration map to learn more about state franchise laws, FDD registration states, and required franchise filings.