FDD Renewal

The annual process where a franchisor updates and republishes its Franchise Disclosure Document to remain compliant with federal and state franchise laws.

What is FDD Renewal

FDD renewal is the mandatory annual update of the Franchise Disclosure Document. Franchisors must revise their FDD each year to reflect new financial statements, updated system information, changes in fees, litigation updates, territory structures, and any other material revisions required under the FTC Franchise Rule.

Once updated, the renewed FDD must be issued to all prospective franchisees and, where required, filed or registered with franchise registration states. A new issuance date is provided to the new document.


Why FDD Renewal Matters

Every FDD expires each year, no later than 120 days after the franchisor’s fiscal year end. For most franchisors with a December 31 fiscal year end, this means the FDD must be renewed by April 30 each year to remain valid.

Annual FDD renewal ensures:

  • continued compliance with federal franchise law

  • updated and accurate disclosures for prospective franchisees

  • timely submission of new audited financial statements

  • proper reporting of systemwide openings, closures and transfers

  • alignment with franchise registration state deadlines

  • clear documentation of any material changes

Failure to timely renew the FDD can halt franchise sales and can expose a franchisor to regulatory penalties and legal risks. Franchises cannot be sold in any state with an expired FDD.


How FDD Renewal Works

The renewal process typically includes:

  • communication with legal counsel

  • revising Items 1 through 23 as required

  • updating Item 20 outlet tables

  • reviewing marketing materials for compliance

  • updating franchise agreements and addenda

  • updating financial statements with new audited financials

  • preparing application materials

  • submitting filings to registration states before deadlines

Most franchisors renew their FDD each year within 90 to 120 days after the fiscal year end to minimize blackout periods, though state-specific rules can place additional time constraints.


FDD Renewal in Registration States

Registration states require:

  • filing the renewed FDD

  • payment of state renewal fees

  • state review and comment letters

  • issuance of a new “effective” date before sales can resume

Offers and sales cannot occur during any lapse in registration or "black-out" period.


How Zors Helps Track FDD Renewal and Registration Compliance

Managing renewal and state registration deadlines can be complicated, especially for growing franchise systems. Zors includes built in compliance tracking tools created specifically for franchise operations. The map interface uses clear color coded status indicators to show where a franchisor is currently registered, where filings are pending, and where registration has not yet been completed. This gives franchise development teams and legal counsel immediate visibility into which states are open for sales.

Zors was designed by a franchise attorney, Derek Colvin (Waldrop & Colvin), from the ground up to support compliance and efficiency throughout the franchise sales process. The integrated CRM stores all your key information in one place, reducing administrative effort and helping prevent compliance gaps that could delay franchise sales.


Related Terms

Franchise Registration State
Material Change
Franchise Examiner
Franchise Exemption
Notice Filing State
Non Registration State
Stop Order


Related Features

Franchise Registration Management 
Franchise Territory Mapping
Integrated Document Signing
CRM Tools


Related Blogs

Franchise Disclosure Requirements: What Every Franchisor Needs to Know
2025 Guide to Franchise Registration States in the U.S.
State Franchise Registration: What Franchisors Need to Know Before Expanding
Zors Improves Franchise Registration Tracking With Color-Coded Map Status
Why a Federally Registered Trademark Matters When Offering Franchise Opportunities
E-Signature Integration with a Territory-Centric CRM Is a Game-Changer


Last updated: December 10, 2025