For the B Bops non-compete, what constitutes 'entering into' a similar business?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
For purposes of this Section 12, a business shall be deemed the "same as or substantially similar to a B-Bop's Restaurant" if the business is engaged in preparing and serving to the public any food items included from time to time as a standard menu item for a B-Bop's Restaurant.
Source: Item 23 — RECEIPTS (FDD pages 53–145)
What This Means (2025 FDD)
According to B Bops's 2025 Franchise Disclosure Document, a business is considered "the same as or substantially similar to a B-Bop's Restaurant" if it is involved in preparing and serving food items to the public that are included as standard menu items at a B Bops restaurant.
This definition is important for prospective franchisees because it clarifies the scope of the non-compete agreement. During the term of the Development Agreement, the developer and its related parties are prohibited from directly or indirectly engaging in any business that is the same as or substantially similar to a B Bops Restaurant, except for units they own and operate under a Unit Franchise Agreement with B Bops.
After the agreement terminates or expires, this restriction continues for two years within the Trade Area or a 20-mile radius of any operating or under-construction B Bops Restaurant. This means a former franchisee could not open a restaurant that serves similar food items as B Bops within the specified area and time frame. This restriction does not prevent the franchisee from continuing to operate any existing B Bops units they own under a Unit Franchise Agreement.