What is the geographic limit within which B Bops will not open or franchise another B-Bop's Restaurant?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
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- EXCLUSIVITY. Company shall not during the Term of this Agreement open or franchise another B-Bop's Restaurant or any other restaurant business serving similar items within a two (2) mile radius of the Franchise Premises. Company reserves the right to grant and sell franchises to others to operate, and to own and operate for its own account or with others, a B-Bop's Restaurant at any location other than as restricted in this Section 3.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to B Bops' 2025 Franchise Disclosure Document, B Bops agrees not to open or franchise another B-Bop's Restaurant, or any other restaurant business serving similar items, within a two-mile radius of the franchisee's premises during the term of the agreement. This agreement lasts for 15 years from the effective date. However, B Bops retains the right to grant and sell franchises to others to operate a B-Bop's Restaurant at any location outside this restricted two-mile radius.
This exclusivity clause provides a limited degree of territorial protection for the franchisee. It ensures that B Bops will not directly compete with the franchisee by opening another location nearby. However, the two-mile radius may be smaller than what some other franchises offer, so prospective franchisees should consider the population density and market conditions within that area.
It is important to note that this protection applies only to B Bops itself. The franchisee may still face competition from other restaurant businesses, including those serving similar items, within or outside the two-mile radius. The franchisee is also restricted from operating any other business besides a B-Bop's Restaurant at the franchise premises without prior written consent from B Bops. Therefore, a prospective franchisee should carefully evaluate the competitive landscape and the potential for other businesses in the area before investing in a B Bops franchise.