As a Bojangles franchisee, in what states must my business be qualified to do business?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
from customers by Franchisee for transmittal to the appropriate taxing authority.
V. FRANCHISEE ORGANIZATION AND CAPITAL STRUCTURE
- A. Franchisee shall be a corporation or a limited liability company composed solely of no more than six (6) shareholders/members who are individuals and not corporations, limited liability companies or any other legal entities, and shall comply with the following requirements:
- (1) Franchisee shall be organized and validly existing in good standing
Source: Item 22 — CONTRACTS (FDD page 82)
What This Means (2025 FDD)
According to the 2025 Bojangles Franchise Disclosure Document, as a franchisee, your business must be qualified to do business in all states where your business activities or the nature of your properties require such qualification. This means that if your Bojangles franchise operates or owns property in a state other than the one where it is incorporated or organized, you must register or qualify to do business in that state. This ensures that the franchise complies with the legal and regulatory requirements of each state in which it operates.
This requirement is fairly standard in franchising, as franchisors want to ensure that their franchisees are operating legally and in compliance with all applicable laws. Failing to qualify to do business in a required state can result in penalties, legal issues, and the inability to enforce contracts in that state. Therefore, it is crucial for a Bojangles franchisee to assess their business activities and property ownership to determine which states require qualification.
For a prospective Bojangles franchisee, this means carefully planning your business operations and expansion. If you intend to open multiple locations across different states, you will need to factor in the costs and administrative burden of qualifying to do business in each of those states. Consult with legal and financial advisors to ensure full compliance and avoid potential legal complications.