Franchise Registration States: Registration, Filing and Business Opportunity States (2026)

California's $1,865 fee is more than double New York's $750, the next highest. Most registration states sit at $500 or below, so the fee is rarely the real cost; the legal work to prepare and amend each state filing is.

Renewals are where costs add up over time. California's $1,245 renewal alone is more than any other state charges for an initial filing.

If a buyer pays the franchisor less than $735, the deal falls outside the federal Rule. Since the FTC adjusts this every four years, check the date on any guide that quotes an older figure.

A buyer investing at least $1,469,600 can lose federal disclosure protection. Unimproved land and franchisor financing don't count toward the total.

Large franchisees worth at least $7,348,000 and in business for five years can be sold to without an FDD. Most first-time owners are nowhere near this line.

Business opportunity states that require a franchisor exemption filing (2026)

Source: Connecticut Department of Banking, Fall 2025 Securities Bulletin; The Florida Legislature, Florida Statutes § 559.802, Franchise exemption; Florida Department of Agriculture and Consumer Services, Sellers of Business Franchises; Kentucky Legislative Research Commission, KRS 367.807 Exemptions from registration; Nebraska Department of Banking and Finance, Seller-Assisted Marketing Plan Act, Neb. Rev. Stat. §§ 59-1701 to 59-1762 (§ 59-1722); Nebraska Department of Banking and Finance, Business Opportunities & Franchises; Texas Secretary of State, Frequently Asked Questions for Form Series 2700 - Business Opportunities; Utah Department of Commerce, Division of Consumer Protection, Business Opportunities - Frequently Asked Questions. Download as image

FTC Franchise Rule exemption thresholds by adjustment

Source: U.S. Federal Trade Commission, FTC Amends Franchise Rule to Revise Monetary Thresholds for Three Exemptions; U.S. Federal Trade Commission, FTC Adjusts Monetary Thresholds for Three Exemptions in Franchise Rule; U.S. Federal Trade Commission, FTC Adjusts Monetary Thresholds for Three Exemptions in Franchise Rule; U.S. Federal Trade Commission, FTC Publishes Inflation-Adjusted Monetary Thresholds for Three Exemptions in Franchise Rule. Download as image

State franchise sales law (2026) by state

• 11Franchise registration state
• 3Franchise notice-filing state
• 6Business opportunity state requiring a franchise exemption filing
• 31No state franchise filing

Which states require franchise registration?

The state table on this page lists 11 registration states: California, Hawaii, Illinois, Indiana, Maryland, Minnesota, New York, North Dakota, Rhode Island, Virginia and Washington. In these states the franchisor files its FDD with a regulator, pays a fee and, in most cases, waits for the state to clear it before selling.

Three more states, Michigan, South Dakota and Wisconsin, take a notice filing instead. The franchisor still files, but the state does not review the document the way a registration state does. Michigan, for example, takes a Notice of Intent each year and the Attorney General does not review the FDD.

You may see other counts. North Dakota's regulator says it is one of 15 states that require an FDD to be registered. The difference comes down to how each source classes the filing-only states, so don't be thrown if a lawyer or a franchisor quotes a slightly different number.

For you, the label matters less than the practical question: did a state office look at this FDD before it reached you? In a full registration state, the answer is usually yes.

What does it cost to register a franchise in each state?

California is the outlier. Since June 30, 2025, its initial fee is $1,865 and its annual renewal is $1,245. New York comes next at $750 to file, but only $150 to renew. Rhode Island and Washington charge $600 each to file, and Illinois, Indiana, Maryland and Virginia charge $500.

For a franchisor selling across all 14 registration and notice states, the filing fees themselves are a manageable line item. The bigger expense is the attorney time to prepare state addenda, answer examiner comments and file amendments whenever something material changes in the FDD.

As a buyer, you will rarely pay these fees directly. But they show up indirectly in the initial franchise fee and in how slowly a new system expands into registration states.

Timing matters too. Indiana's initial registration, for instance, runs for one year from the date the application is received, and most registration states expect a renewal every year. If a franchisor misses a renewal, it generally cannot sell in that state until the filing is current again. Say you are in Minnesota and the salesperson wants a signed agreement this week. Ask when the Minnesota registration was last renewed or updated and check it against the date on the FDD cover page. A mismatch is worth a phone call to the state regulator before any money moves.

Amendments add another layer. Most registration states charge a separate fee, often $100, whenever the franchisor changes something material, such as raising its fees or adding a new lawsuit to the litigation section. Frequent amendments are not a red flag on their own, but they tell you the document has been moving. Make sure the version you receive is the latest one filed.

What are business opportunity states, and why do franchisors file there?

Some states have business opportunity laws written to catch vending machine schemes and work-from-home offers. A franchise can fall inside those laws too, so franchisors file a short exemption or notice to stay out of them.

Texas is the cheapest example: a one-time $25 notice that, according to the Secretary of State, has no expiration date. Nebraska takes a one-time $100 notice. Florida and Utah want a filing every year, and Kentucky asks for written notice that the franchisor follows the FTC Rule. Connecticut lets franchisors with a federally registered trademark claim an exclusion on its own form.

These filings don't involve a review of the FDD the way registration does. They are paperwork, but missing one can expose the franchisor to the state's business opportunity rules, which can be much stricter.

What if your state has no franchise filing at all?

Most states sit in this group, including Georgia, Ohio, Pennsylvania, Massachusetts and New Jersey. That does not mean there are no rules. The FTC Franchise Rule still requires an FDD, and some of these states have franchise relationship laws that limit how a franchisor can terminate or refuse to renew.

What you lose is a second set of eyes. In a registration state, an examiner may have pushed the franchisor to fix a misleading claim or post a bond. Elsewhere, the FDD reaches you as the franchisor wrote it. Read it more carefully, not less.

A simple habit helps. Look up the same brand's FDD as filed in a registration state such as California, Minnesota or Wisconsin, where filed documents are often available to the public. If the version you were handed differs in fees, litigation history or earnings claims, ask why before you sign anything.

When can a franchise sale skip federal disclosure?

The FTC Rule has exemptions, and the latest inflation adjustment to its thresholds took effect on July 12, 2024. A sale where you pay less than $735 is outside the Rule. So is a sale where you invest at least $1,469,600, not counting unimproved land or franchisor financing, or where you are an established business worth at least $7,348,000.

If a franchisor tells you no FDD is needed, ask which exemption it is relying on and get that in writing. State law may still apply even when the federal exemption does.

What should you do before you sign?

• Find your state in the table above. If it is a registration state, ask the franchisor for proof the offering is registered and current.
• Look for the state addendum at the back of the FDD. In registration states it often changes terms in the franchise agreement in your favor.
• Confirm the renewal date. An expired registration can mean the franchisor was not allowed to sell to you.
• If you live in a business opportunity state, ask whether the franchisor made the exemption filing.
• Compare the FDD's governing law and venue clauses with your state's rules. A state addendum may override them.
• Have the franchise agreement itself reviewed, since registration checks disclosure, not whether the deal is fair to you.

Sources and method

Every number on this page comes from the sources below, each opened and read on or before October 18, 2026. A second, independent review checked every figure against its source and corrected anything that did not match. 51 of 51 state entries were confirmed; any that could not be are marked "Not yet confirmed" and left out of every count and chart.

1. California Legislative Information, California Corporations Code § 31500 (Franchise Investment Law fees) (Amended by Stats. 2025, Ch. 20 (AB 137), effective June 30, 2025)
2. Office of the New York State Attorney General, Investor protection filing fee guide (Accessed October 2026 (page copyright 2026))
3. North Dakota Insurance Department, Securities, Franchise Registration and Renewal (Accessed October 2026)
4. Washington State Department of Financial Institutions, Securities Division, Franchises FAQs (Accessed October 2026)
5. Minnesota Office of the Revisor of Statutes, Minnesota Statutes chapter 80C (Franchises), §§ 80C.04, 80C.07, 80C.08 (Current edition, Accessed October 2026)
6. Virginia General Assembly, Legislative Information System, Code of Virginia § 13.1-561. Procedure for registration; bond; renewal; fee (Current Code of Virginia, Accessed October 2026)
7. Maryland General Assembly, Maryland Code, Business Regulation §§ 14-214, 14-215, 14-219, 14-220 (Current statute text, Accessed October 2026)
8. Indiana Secretary of State, Securities Division (IN.gov FAQ), What are the initial franchise registration requirements? (Accessed October 2026)
9. Indiana Secretary of State, Securities Division (IN.gov FAQ), What are the renewal franchise registration requirements? (Accessed October 2026)
10. Illinois General Assembly, 815 ILCS 705/40 (Illinois Franchise Disclosure Act of 1987, fees) (Source: P.A. 96-648, eff. 10-1-09)
11. Office of the Illinois Attorney General, Franchise Bureau, Annual Renewal Filing Info. (Accessed October 2026)
12. Hawaii State Legislature, Hawaii Revised Statutes chapter 482E, Franchise Investment Law (§ 482E-11 Fees) (2017 HRS compilation; § 482E-11 last amended L 1996, c 181)
13. State of Rhode Island General Assembly, R.I. Gen. Laws § 19-28.1-29 (Franchise Investment Act fees) (Current statute text, Accessed October 2026)
14. Rhode Island Department of Business Regulation, Securities Division, Franchise Application (Rev 2018) (Rev 2018 form, posted March 2025)
15. Michigan Department of Attorney General, Corporate Oversight Division, Franchises (Accessed October 2026)
16. South Dakota Department of Labor and Regulation, Division of Insurance, Securities Regulation - Franchise Registration (Accessed October 2026)
17. Wisconsin Department of Financial Institutions, Division of Securities, DFI Franchise Frequently Asked Questions (Accessed October 2026)
18. Wisconsin State Legislature, Wisconsin Statutes chapter 553, Franchise Investment Law (§ 553.72 fees) (Updated 2023-24 Wis. Stats.)
19. The Florida Legislature, Florida Statutes § 559.802, Franchise exemption (2026 Florida Statutes)
20. Florida Department of Agriculture and Consumer Services, Sellers of Business Franchises (Accessed October 2026)
21. Texas Secretary of State, Frequently Asked Questions for Form Series 2700 - Business Opportunities (Accessed October 2026)
22. Utah Department of Commerce, Division of Consumer Protection, Business Opportunities - Frequently Asked Questions (Accessed October 2026)
23. Kentucky Legislative Research Commission, KRS 367.807 Exemptions from registration (Effective April 5, 2024)
24. Nebraska Department of Banking and Finance, Seller-Assisted Marketing Plan Act, Neb. Rev. Stat. §§ 59-1701 to 59-1762 (§ 59-1722) (Revised 3/2025 (LB251, 2025))
25. Nebraska Department of Banking and Finance, Business Opportunities & Franchises (Accessed October 2026)
26. Connecticut Department of Banking, Fall 2025 Securities Bulletin (Fall 2025)
27. U.S. Federal Trade Commission, FTC Amends Franchise Rule to Revise Monetary Thresholds for Three Exemptions (June 13, 2012)
28. U.S. Federal Trade Commission, FTC Adjusts Monetary Thresholds for Three Exemptions in Franchise Rule (May 16, 2016)
29. U.S. Federal Trade Commission, FTC Adjusts Monetary Thresholds for Three Exemptions in Franchise Rule (June 3, 2020)
30. U.S. Federal Trade Commission, FTC Publishes Inflation-Adjusted Monetary Thresholds for Three Exemptions in Franchise Rule (July 2024 (effective July 12, 2024))
31. U.S. Federal Trade Commission, Franchise Rule (16 CFR Parts 436 and 437) (Accessed October 2026)