Washington — Franchisor Bond
Prepare Washington franchisor security when the DFI analyst accepts a bond instead of impounding initial franchise fees. The currently selected State form states $100,000 in aggregate, not $100,000 for each buyer. Match the actual registration conditions before finalizing.
Continue to our secure checkout partner, Propeller (opens in a new tab).
- Recorded state
- Washington
- Bond type
- Business Opportunity / Franchise Bond
- Category
- Business operations & taxes
What this bond does
Secure the franchisor's compliance with Washington's Franchise Investment Protection Act and its applicable orders and rules. The form ties payment liability to the Administrator's approval of the franchise application and the principal's covered noncompliance.
- Who needs it
- The legal franchisor applying to offer or sell franchises in Washington. Its registration, seller disclosures and any separately required third-party broker registration are distinct filings.
- Who it protects
- The State is named for the use and benefit of people with claims under the undertaking. The form permits covered claimants to sue the principal or surety in a competent court, but caps aggregate liability at $100,000 regardless of claimant count. It is not an individual $100,000 investment guarantee.
Your bond option
This is the option on record for this bond.
- Bond optionPurchase Now (opens in a new tab)Continue to our secure checkout partner, Propeller (opens in a new tab).
The bond amount describes the limit of the bond obligation, not the price. A listed amount does not establish what the requesting party requires. The premium is what you pay and must be confirmed for the actual option. An E&O limit, where listed, is separate errors and omissions insurance.
Sources
- Washington DFI: current franchise forms selection (opens in a new tab)Checked October 26, 2026
- Washington DFI: complete three-page franchisor surety bond, revision April 22, 2010 (opens in a new tab)Checked October 26, 2026
- Washington DFI: franchise registration and financial-condition FAQs (opens in a new tab)Checked October 26, 2026
- Washington DFI: franchise filing systems and current forms (opens in a new tab)Checked October 26, 2026
Have these ready
- Collect the DFI analyst's actual financial-condition and registration directions.
- Match the legal franchisor, application and accepted aggregate security.
- Coordinate the executed bond with the franchise filing, not just the provider application.
- Prepare the principal acknowledgment and appropriate surety acknowledgment or attorney-in-fact authority.
- Confirm the accepted registration dates and status-based continuation/cancellation terms.
Questions about this bond
Must every franchisor post this bond?
DFI considers the franchisor's financial condition. Its analyst may require impoundment and may accept a bond, parent performance guarantee or fee deferral instead. Use the actual filing conditions; a bond is not a universal substitute for registration.
Is the $100,000 available separately to every claimant?
The selected form expressly limits aggregate liability to $100,000 regardless of the number of claimants. Do not describe it as $100,000 of individual protection for each buyer.
What follows Purchase Now?
Propeller's Washington franchisor application opens in a new tab. Match the legal franchisor, DFI registration conditions, State/covered-claimant protection, aggregate sum and applicable dates before finalizing. Execute and submit the accepted bond through the actual franchise filing; the provider application is not DFI's registration, renewal or amendment portal.