Washington State Franchise Filing and FDD Registration | Internicola Law Firm

Washington State Registration

Washington State is a Franchise Registration State. The initial FDD filing fee is $600 and the annual renewal fee is $100.

Washington State Franchise Law

Washington State is a franchise registration state. Before offering or selling a franchise in Washington, you must register your FDD with the Securities Division of the Washington State Department of Financial Institutions. The initial filing fee is $600 and the renewal fee is $100. FDD registration lasts for one year and requires annual renewal.

To learn more about registering your FDD in Washington and how we can help get you registered, give us a call at (800) 976-4904 or contact us.

Washington State Franchise FAQs

Who Regulates Franchises in Washington?

The Securities Division of the Washington State Department of Financial Institutions regulates and oversees the enforcement of Washington’s Franchise Investment Protection Act and the registration of FDDs. Washington’s franchise laws are comprised of the Washington Franchise Investment Protection Act.

What Should I Include with My Washington Franchise Application?

When filing your Washington registration application, you must include the following:

Where Do I File My Washington FDD Registration Application?

Applications for initial FDD registration, annual renewals, and amendments are filed at:

Washington State Department of Financial Institutions
Securities Division
P.O. Box 9033
Olympia, WA 98507

Their telephone number is (360) 902-8760.

What Are the Fees for Franchise Applications in Washington?

The filing fee for initial FDD registration in Washington is $600, and the fee for annual FDD renewals and updated filings is $100.

Does Washington State Impose Escrow or Impound Conditions?

The Department of Financial Institutions will evaluate a franchisor’s balance sheet and if, according to the Department, the franchisor possesses insufficient shareholder equity, the Department may impose an impound condition where a franchisor’s registration is contingent upon the franchisor agreeing to escrow its receipt of upfront franchise fees until the franchisee is ready to open the franchised business. The following link is to Washington State’s sample impound agreement. Alternatively, a franchisor may agree to defer receipt of its initial franchise fee.

When Do I Have to Renew My Washington FDD Registration?

You must renew your FDD registration no later than 15 business days prior to the expiration of your then-current registration. The franchise registration renewal fee is currently $100.

When Do I Have to Amend My Washington FDD Registration?

In Washington State and every other franchise registration state, you must amend and update your FDD registration whenever a “material change” in the disclosures of your FDD occurs. Under Washington’s Franchise Investment Protection Act (RCW 19.100.070), franchisors must file a franchise registration amendment whenever the franchisor experiences:

An amendment for a material change must be filed as soon as reasonably possible and before any additional franchise sales. The franchise registration amendment application must be filed along with a fee in the amount of $100.

What Qualifies as a Franchise in Washington State?

Under the Washington Franchise Investment Act, a franchise agreement is defined as an express, implied, oral, or written agreement, by which:

Franchise Relationship Laws in Washington State

Washington’s Franchise Investment Protection Act (FIPA) imposes obligations on franchisors that govern the franchisor-franchisee relationship in Washington State. The following actions are prohibited under Washington’s franchise relationship laws:

Broker Registration in Washington State

Brokers are required to register with the Washington State Department of Financial Institutions prior to offering or selling a franchise in Washington State. For a franchise broker to register in the State of Washington, the following steps must be satisfied:

Useful Links Concerning Washington’s Franchise 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 your franchise registrations and growing your franchise in Washington State and across the United States, contact us at (800) 976-4904 or contact us online.

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