Under what condition will a Bb.Q Chicken franchisee NOT receive a Designated Territory?
Bb_Q_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon the execution of this Agreement or the determination of an Accepted Location, whichever occurs later, you will be assigned a designated geographical area (the "Designated Territory") that will be described in Attachment 1 hereto. You understand and acknowledge that if your Accepted Location is a Non-Traditional Site (as described in Section 1.5 below), you will not receive a Designated Territory.
Source: Item 23 — RECEIPTS (FDD pages 62–283)
What This Means (2025 FDD)
According to the 2025 Bb.Q Chicken Franchise Disclosure Document, a franchisee will not receive a Designated Territory if their Accepted Location is a Non-Traditional Site. The franchise agreement specifies that upon execution of the agreement or determination of an Accepted Location, a designated geographical area will be assigned, as described in Attachment 1. However, this assignment does not apply to Non-Traditional Sites.
This condition has significant implications for prospective franchisees. Without a Designated Territory, a Bb.Q Chicken franchisee may face direct competition from other Bb.Q Chicken locations, including those operated by the franchisor or other franchisees, without any geographical protection. This lack of exclusivity could impact the franchisee's potential revenue and market share.
It is important for potential Bb.Q Chicken franchisees to understand what constitutes a "Non-Traditional Site" according to the franchise agreement and to carefully consider the competitive landscape before investing in such a location. Further clarification should be sought from the franchisor regarding the definition and implications of operating a Bb.Q Chicken franchise at a Non-Traditional Site.