Classification: Business Opportunity State

Registration Fee: n/a

Renewal Fee: n/a

Registration expiration: n/a

Because Alaska is not a franchise registration state, franchisors do not need to separately register their Franchise Disclosure Document (FDD) with the state of Alaska before offering or selling a franchise in the state. Alaska is, however, a business opportunity state. Thus, one cannot sell or offer to sell what Alaska statutorily defines as a “business opportunity” unless he or she has registered as a seller with the state and has paid the required fee.

But like with most other state business opportunity laws, Alaska’s “Sale of Business Opportunities” law, which is codified at Alaska Stat. §§ 45.66.010­–.900, does not impact how franchisors in Alaska operate. This is so, because Alaska Stat. § 45.66.220(2) specifically excludes franchises from the law’s requirements. Thus, a franchisor is excluded from Alaska’s Sale of Business Opportunities law if operating a “franchise,” as defined under 16 C.F.R. § 436.1(h)) of the Federal Trade Commission Amended Franchise Rule (the “FTC Rule”), and compliant with the FTC Rule’s other requirements scattered throughout 16 C.F.R. §§ 436.1–.11.

Therefore, a franchisor who is compliant with the FTC Rule is not required to make any additional filings before providing an FDD to a prospective franchisee within Alaska.

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