Courtesy of Washington Department of Financial Institution
What do I need to file?
Franchise Registration Application (.pdf format) (including Uniform Consent to Service of Process, Corporate Acknowledgment or Individual or Partnership Acknowledgment, and information required by the Supplemental Information Page).
Registration Fee: Check for $600 payable to the Washington State Treasurer.
Uniform Franchise Offering Circular (2 copies), including the Washington Addendum if the UFOC is not being amended to conform to Washington law (see Sample Washington Franchise Agreement Addendum), and including all agreements to be proposed to franchisees. In Item No. 21, the UFOC also requires audited financial statements.
Salesman Disclosure Form (.pdf format) (for each officer, director, or employee who will be selling the offering – if you are using third parties to sell your franchise they will have to register as Franchise Brokers).
Consent of Accountants to the use of their audited financial statements of your company in connection with the offering (photocopy is OK).
Advertising (all advertising must be filed with the Division at least seven days prior to use).
When do I need to file?
RCW 19.100.060 provides for a minimum filing period of at least 15 business days before the offering is effective in Washington. However, particularly in the case of an initial registration, you will want to file sooner than that in order to provide sufficient time to resolve any comments the Division analyst may have.
Are there any other requirements?
Depending on the financial condition of the franchisor, the analyst may require the franchisor to file a Franchise Impound Agreement. (.pdf format) The analyst will contact you if such a requirement is deemed necessary. In lieu of an impound, the analyst may accept a Guarantee of Performance from a parent company, a surety bond, or deferral of receipt of initial franchise fees.
Franchise registrations are effective for a one year period. A permit will be sent to you which states the effective dates and any conditions that are imposed.
My company does not have audited financial statements. Can we still register?
Yes. For your initial registration year, financial statements prepared in accordance with generally accepted accounting principles (GAAP) will be accepted. However, an impound of the franchise fee (or one of the other alternatives discussed in the prior answer) is almost always required. Also, audited financial statements will be required if you decide to renew your registration.