When Signing a Franchise Contract, Do I Sign My Company’s Name or My Own Name?

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“My daughter and I are buying a franchise and have formed a Limited Liability Corporation (LLC). Should we sign the franchise license agreement as our LLC name or just sign it as individuals?”

[NOTE: Articles and answers on DearEsq., while written and published by lawyers, do not constitute legal advice, and no attorney-client relationship is formed by your reading of this information. You should always consult with an attorney for any legal situations.]

That will depend largely on the business laws in your state, however most contracts have a blank for the business (your LLC) name, with a signature line underneath saying “By: ______”, on which you sign your own name, and then another line underneath that saying “Title: ________” on which you write the title you carry for your LLC. If the contract with the franchise is not in that form, you can ask them to redo it, if that is appropriate for your state, and the business.

However, you should check with a business lawyer in your state. Most lawyers offer free consultations, so it should not cost you anything to get this simple question answered.

Recommended reading (click on the picture for details):
The Art of the Start : The Time-Tested, Battle-Hardened Guide for Anyone Starting Anything

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Author: Anne P. Mitchell, Esq.

Anne P. Mitchell, Esq. is a noted family law expert, Internet law expert, and Professor of Law at Lincoln Law School of San Jose. She is the author of "Surviving Divorce: the Single Father's Guide" and "The Email Deliverability Handbook"

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