Does 360 Painting designate a Protected Territory for franchisees?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
Before you open your Business, we will:
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- designate your Protected Territory, as further described in Item 12. (FA Section 2.1 and Exhibit C-1);
Site Selection
You may operate your Business from your home, provided that it is equipped with a high-speed Internet connection that is "always on" (such as DSL or cable modem), and that you make adequate provisions for storage of equipment and supplies. If you prefer, you may locate your Business elsewhere provided that the proposed alternate location meets our specifications and is expressly approved by us in writing. The criteria that we use in deciding whether to approve a location outside of your home are whether (a) it is located within the Protected Territory (which will be designated in reference to your home address), and (b) it is suitable for use of the equipment required in the Business and for storage of equipment and supplies. In all cases, you must operate your franchise only in the Protected Territory and only from your home office (or other approved office space) and your Vehicles, and your home office (or other approved office space) and all Vehicles must be located in the Protected Territory at all times.
We will respond to your request for approval within 30 days after you provide us with the information necessary for us to determine that it will otherwise satisfy our criteria. There is no time limit for the Franchisor to approve or disapprove a site. We will not unreasonably withhold our approval of your proposed location outside of your home; however, you must operate the Business from your home until we approve an alternative location in writing. In addition, you must operate from your home if we do not approve or agree upon an alternative location in writing. We do not have to agree with you on a site if you operate from your home. However, if we and you cannot agree on a site outside your home, but you proceed to operate at an unapproved site outside your home, then we may issue you a default under your Franchise Agreement, which if not timely cured may result in your Franchise Agreement being terminated, you have having to cease operating the Business and you forfeiting your initial franchise fee to us.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 27–38)
What This Means (2025 FDD)
According to the 2025 360 Painting Franchise Disclosure Document, 360 Painting does designate a protected territory for its franchisees. Before a franchisee opens their business, 360 Painting will designate a Protected Territory, as further described in Item 12 of the FDD. The protected territory will be designated in reference to the franchisee's home address.
The franchisee must operate their 360 Painting franchise only in the Protected Territory and only from their home office (or other approved office space) and their vehicles. The franchisee's home office (or other approved office space) and all vehicles must be located in the Protected Territory at all times.
If a franchisee prefers to locate their business elsewhere other than their home, the alternate location must meet 360 Painting's specifications and be expressly approved by them in writing. The criteria that 360 Painting uses in deciding whether to approve a location outside of the franchisee's home are whether (a) it is located within the Protected Territory, and (b) it is suitable for use of the equipment required in the Business and for storage of equipment and supplies. If the franchisee and 360 Painting cannot agree on a site outside the franchisee's home, but the franchisee proceeds to operate at an unapproved site outside their home, then 360 Painting may issue a default under the Franchise Agreement, which if not timely cured may result in the Franchise Agreement being terminated, the franchisee having to cease operating the Business and the franchisee forfeiting their initial franchise fee to 360 Painting.