What Does It Mean to Be a Franchise Registration State?
There're 13 states that have decided that it's in the interest of their citizens that the franchisees get a little bit more protection than what may be afforded by the FTC, which as discussed in other places isn't much, because the federal government does not review FDDs. These states do review the FDDs to a certain extent. How much scrutiny they get varies by the individual states. But basically, it's just a registration where the salespeople that represent the franchise or register and the documents have been at least nominally reviewed.