Legis Daily

To establish minimum standards of disclosure by franchises whose franchisees use loans guaranteed by the Small Business Administration.

USA115th CongressHR-471| House 
| Updated: 1/25/2017
Keith Ellison

Keith Ellison

Democratic Representative

Minnesota

Cosponsors (4)
Jared Huffman (Democratic)John B. Larson (Democratic)John Conyers (Democratic)Betty McCollum (Democratic)

Commerce, Manufacturing, and Trade Subcommittee, Energy and Commerce Committee

  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted
Small Business Administration Franchise Loan Transparency Act of 2017 This bill requires a franchisor, except one with a franchise in the lodging industry, to disclose in the required Federal Trade Commission disclosure document: the average first-year revenue for all franchise locations for each of the preceding five years of operation; the number of franchise locations that went out of business or were sold by the franchisee during the first year of operation for each such period; and the average revenues for all locations of the franchise for each such period, aggregated to show the top 25%, middle 50%, and the bottom 25% of revenue. Any financial information relating to the performance of any franchise's location provided by the franchisor, or its representatives, to the lender for the purpose of qualifying the loan, must be disclosed to the prospective franchisee borrower.
View Full Text

Suggested Questions

Get AI-generated questions to help you understand this bill better

Timeline
Jan 12, 2017
Introduced in House
Jan 12, 2017
Referred to the House Committee on Energy and Commerce.
Jan 25, 2017
Referred to the Subcommittee on Digital Commerce and Consumer Protection.
  • January 12, 2017
    Introduced in House


  • January 12, 2017
    Referred to the House Committee on Energy and Commerce.


  • January 25, 2017
    Referred to the Subcommittee on Digital Commerce and Consumer Protection.

Commerce

Business recordsContracts and agencyCredit and credit marketsGovernment information and archivesGovernment lending and loan guaranteesRetail and wholesale tradesService industriesSmall business

To establish minimum standards of disclosure by franchises whose franchisees use loans guaranteed by the Small Business Administration.

USA115th CongressHR-471| House 
| Updated: 1/25/2017
Small Business Administration Franchise Loan Transparency Act of 2017 This bill requires a franchisor, except one with a franchise in the lodging industry, to disclose in the required Federal Trade Commission disclosure document: the average first-year revenue for all franchise locations for each of the preceding five years of operation; the number of franchise locations that went out of business or were sold by the franchisee during the first year of operation for each such period; and the average revenues for all locations of the franchise for each such period, aggregated to show the top 25%, middle 50%, and the bottom 25% of revenue. Any financial information relating to the performance of any franchise's location provided by the franchisor, or its representatives, to the lender for the purpose of qualifying the loan, must be disclosed to the prospective franchisee borrower.
View Full Text

Suggested Questions

Get AI-generated questions to help you understand this bill better

Timeline
Jan 12, 2017
Introduced in House
Jan 12, 2017
Referred to the House Committee on Energy and Commerce.
Jan 25, 2017
Referred to the Subcommittee on Digital Commerce and Consumer Protection.
  • January 12, 2017
    Introduced in House


  • January 12, 2017
    Referred to the House Committee on Energy and Commerce.


  • January 25, 2017
    Referred to the Subcommittee on Digital Commerce and Consumer Protection.
Keith Ellison

Keith Ellison

Democratic Representative

Minnesota

Cosponsors (4)
Jared Huffman (Democratic)John B. Larson (Democratic)John Conyers (Democratic)Betty McCollum (Democratic)

Commerce, Manufacturing, and Trade Subcommittee, Energy and Commerce Committee

Commerce

  • Introduced
  • In Committee
  • On Floor
  • Passed Chamber
  • Enacted
Business recordsContracts and agencyCredit and credit marketsGovernment information and archivesGovernment lending and loan guaranteesRetail and wholesale tradesService industriesSmall business