factual

May I face competition from other Beehive Homes franchisees?

Beehive_Homes Franchise · 2025 FDD

Answer from 2025 FDD Document

The Franchise Agreement gives YOU the right to construct and operate a Home at the location. You will not receive an exclusive territory. You may face competition from other franchisees. Residents of YOUR Home may come from within or without the area encompassing YOUR Home and persons from the area encompassing YOUR Home may become residents of Homes of other franchisees.

Source: Item 12 — TERRITORY (FDD page 22)

What This Means (2025 FDD)

According to Beehive Homes' 2025 Franchise Disclosure Document, franchisees may face competition from other franchisees. While Beehive Homes grants a location for the franchisee's Home, it does not provide an exclusive territory. This means that residents of a franchisee's Home may come from outside the area encompassing their Home, and people from the area encompassing their Home may become residents of Homes of other franchisees.

Beehive Homes does provide a limited protection in that they will not grant another franchise or operate a company-owned Home within a contiguous geographical area that includes a population of at least 30,000 persons around your location without your prior written consent. This area's shape will align with the geographic and demographic characteristics surrounding your location.

Despite the possibility of competition from other Beehive Homes locations, franchisees are not restricted from soliciting residents outside their immediate area using various channels like the Internet or telemarketing, provided that all advertising content is approved by Beehive Homes. This allows franchisees to expand their reach and attract residents from a broader market, potentially mitigating the impact of local competition.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.