Where are 360 Painting franchisees required to operate their franchise?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
| Section H | |
ITEM 12: TERRITORY
When you sign the Franchise Agreement, we will grant you a Protected Territory, which we define as the residential geographic area in which you will have the right to use the Marks and the System to operate your 360 Painting Business and which will be set forth in your Franchise Agreement. 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. Your Protected Territory will be delineated by zip codes and will consist of a geographic area containing not less than 50,000 to 80,000 single family dwellings.
You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. However, if you are in compliance with the Franchise Agreement, we will not establish or operate, or license others to establish or operate, 360 Painting Businesses within the Protected Territory. We do not offer any options, rights of first refusal or similar rights to acquire additional franchises. We retain the right to: (a) own and operate, and license to others the right to own and operate 360 Painting Businesses or Businesses outside of your Protected Territory using the Marks or any other marks; (b) own and operate and license to others the right to own and operate similar businesses inside or outside of the Protected Territory under different marks; (c) use the Marks and System in connection with conducting marketing and promotional activities within it outside the Protected Territory, including marketing and promotional activities related to the solicitation of National Accounts (defined below); (d) use the Marks and System to offer services and products, or related items, or in alternative channels of distribution, including the sale of goods or services through wholesale and retail stores, via the Internet, through mail order catalog, and via direct marketing through telephone, television, or radio within or outside of your Protected Territory;
Source: Item 12 — TERRITORY (FDD pages 38–39)
What This Means (2025 FDD)
According to 360 Painting's 2025 Franchise Disclosure Document, franchisees are required to operate their franchise within a designated Protected Territory. This territory is defined as the residential geographic area where the franchisee has the right to use 360 Painting's Marks and System. The franchisee must operate the 360 Painting business only within this Protected Territory.
The 360 Painting franchisee's base of operations must be a home office (or other approved office space) and vehicles, all of which must be located within the Protected Territory at all times. The Protected Territory will be delineated by zip codes and contain between 50,000 and 80,000 single-family dwellings. This means that franchisees are restricted from actively soliciting customers or advertising outside their assigned territory without prior written consent from 360 Painting. They also cannot use channels like the internet or telemarketing to make sales outside of their territory.
Franchisees must obtain written consent from 360 Painting before opening any office location other than their home office. Approval for a new office location depends on whether it is within the Protected Territory and suitable for the business's equipment and storage needs. While franchisees do not receive an exclusive territory and may face competition from other franchisees or outlets owned by 360 Painting, they are generally protected from the franchisor establishing or operating competing 360 Painting businesses within their Protected Territory, provided they comply with the Franchise Agreement.
It is important to note that 360 Painting may modify the Protected Territory if the US Postal Service changes the zip codes encompassed by the territory. This modification could result in a smaller geographic area or fewer people included in the Protected Territory. However, 360 Painting cannot change the Protected Territory without the franchisee's consent, and franchisees are not required to meet sales or market penetration quotas, except as described in the FDD.