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What Potential Business Owners Need to Know About Franchise Registration States CategoryStatesFranchise Registration StatesCalifornia, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, Hawaii, Illinois, Indiana, Virginia, Washington, Wisconsin4 more rows
Illinois is a franchise registration state. Before offering or selling a franchise in Illinois, you must first file your franchise disclosure document (FDD) with the Illinois Attorney General's Franchise Bureau.
Illinois is a franchise registration state and has enacted franchise laws. Under Illinois franchise law, before offering or selling a franchise in the state you must first register your FDD with the Franchise Bureau of the Illinois Attorney General.
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.
Illinois Franchise Relationship Laws Franchisors are not allowed to discriminate between franchisees in Illinois in the charges for franchise fees, royalties, goods, services, equipment, and other provisions if such discrimination would cause competitive harm.
The single sale franchise exemption is available to franchisors who wish to avoid registration requirements by limiting the number of franchises offered for sale. In Illinois, the number of franchise sales is limited to 2 sales in any 12-month period.
The franchise disclosure document (FDD) disclosure and waiting period is 14 days from the date the the FDD is delivered to a prospective franchisee and the FDD receipt page is signed.
To create a FDD, you need to collect and organize a lot of data about your franchise system, your financial statements, your operations manual, your marketing materials, and your legal documents. You may need to conduct market research, consult with experts, and update your records to ensure accuracy and completeness.