Annual Franchisor Certification

The Annual Franchisor Certification (SBA Form 2464) is to be used only if the Franchisor is listed on the SBA Franchise Directory as using no addendum (when not required) or using an SBA Negotiated Addendum. To continue using no addendum or its SBA Negotiated Addendum, the Franchisor must submit the Certification each year, as soon as it updates its franchise agreement2 (referred to as the “current agreement”), but in no event later than April 30. If the Certification is not received by SBA by April 30, SBA will change the franchise listing on the SBA Franchise Directory and the Franchisor must use the SBA Addendum to Franchise Agreement (SBA Form 2462) for all SBA-guaranteed loans.

The Certification requires a duly authorized representative of the Franchisor with the authority to sign the Certification to represent that (1) the terms of the Franchisor’s current agreement that relate to control by the Franchisor of its franchisees (resulting in a determination by SBA of affiliation between the Franchisor and its franchisees, as defined in 13 CFR part 121 and SBA’s Standard Operating Procedure 50 10) have not substantively changed from those appearing in the most recent franchise agreement reviewed by SBA for placement on the SBA Franchise Directory; and (2) if the Franchisor is using an SBA Negotiated Addendum, no changes have been made to its SBA Negotiated Addendum.