New York Franchise Registration Questionnaire

State:
Multi-State
Control #:
US-1-01-STP
Format:
Word; 
Rich Text
Instant download

Description

This form is a franchise registration questionnare. The form requests information concerning the name and address of the franchisor, affiliates, and competition. Federal law and the law of franchise registration require that an Offering Circular be provided to prospective franchisees no later than the first meeting with them to discuss the franchise and at least 10 business days before either entering into a franchise agreement.
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  • Preview Franchise Registration Questionnaire
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  • Preview Franchise Registration Questionnaire
  • Preview Franchise Registration Questionnaire
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FAQ

The federal Franchise Rule does not require that a franchisor register or file its FDD with any specific federal agency, including the FTC.

The New York Franchise Sales Act defines a franchise as an agreement in which a franchisee is granted the right to offer, sell or distribute goods or services under a marketing plan or system prescribed by a franchisor, and the franchisee is required to pay a franchise fee.

THE MINIMUM PAYMENT EXEMPTION. The minimum payment exemption is available in limited instances when a franchisor can demonstrate that the aggregate of payments and commitments to pay made by a franchisee to the franchisor (or its affiliates) prior to and during the first six months of operation is less than $500.

New York is a franchise registration state. Before you offer or sell a franchise in New York you must first file and register your FDD with the Investor Protection Bureau of the New York Attorney General. The initial New York FDD filing fee is $750 and the annual renewal fee is $150.

There are two types of exemptions in New York. The net worth standard for the discretionary exemption is $5 million or $1 million if the parent company has a net worth of $5 million.

Renewal Registration for New York Franchisors To renew a franchise registration, the franchisor will pay a fee of $150. If this renewal process is not completed ing to the state's guidelines and within 120 days after the end of the fiscal year and initial registration, there may be penalties.

GBL section 684.3(c) (Isolated Sale Exemption Cases) An isolated sales transaction is "the sale of a single franchise accomplished pursuant to an offer directed by the franchisor to not more than two persons."

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New York Franchise Registration Questionnaire