Category Archives: Franchise compliance

How to Disclose Multi-Unit Franchise Offerings

Multi-unit franchising is a good way to grow a franchise system quickly.  We now have guidance on how franchisors should present multi-unit franchise offerings. The North American Securities Administrators Association, Inc. (NASAA) adopted a Multi-Unit Commentary September 16, 2014.  Its message was this:  Starting in early 2015, registration states will not accept a combined franchise disclosure document (FDD) that includes both the single unit offering and the area representative offering.  The area representative offering must be disclosed in a separate document from the unit offering, and the two must be registered separately.  States that require franchise registration will no longer accept …


How to Get Free Franchise Disclosure Documents

Of all the states that require franchise registration, only three make franchise registrations available online today:  Wisconsin, Minnesota, and California.  Having three states to choose from is a pleasure.  For many years, California was the only state that made franchise disclosure documents (FDDs) available to the public.  The only alternative was to pay an independent FDD service provider. I have tried all three websites.  Here is what I found: I like to start any search on the Wisconsin website.  The Franchise Search screen asks simply for the name of the franchise.  It can be the legal name of the franchisor …