Does the Beehive Homes Franchise Agreement grant me an exclusive territory?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
YOU will be granted a location by the Franchise Agreement. This location will be the address of your Home. YOU will construct and operate a single Home at the location. The location of YOUR Home is subject to OUR approval. WE will not grant another franchise using the Bee Hive Homes mark or any other mark or operate a company owned Home using the Bee Hive Homes mark or any other mark within a contiguous geographical area the perimeter of which contains YOUR location and which is of sufficient size to include a population of at least 30,000 persons, without YOUR prior written consent. This area need not be circular in shape with a fixed radius, but rather will be created consistent with the geographic and demographic characteristics surrounding YOUR location.
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.
There are no restrictions limiting YOU from soliciting residents for YOUR Home from outside the area encompassing YOUR location, using any channels of distribution, such as the Internet, telemarketing or other direct marketing. Provided, however, that any advertising content is first approved by the Franchisor. WE do not own or operate any Homes and thus we do not solicit within or without the area encompassing YOUR Home. Neither WE nor our affiliates operates, franchises, or has plans to operate or franchise a business under a different trademark and that business sells or will sell goods or services similar to those that YOU will offer.
YOUR Franchise Agreement does not give YOU the right to acquire or establish any additional franchises. The relocation of YOUR franchise is subject to the same terms and conditions as was the selection of YOUR initial location. There are no conditions, other than compliance with the terms and conditions of the Franchise Agreement, to maintaining YOUR location.
Source: Item 12 — TERRITORY (FDD page 22)
What This Means (2025 FDD)
According to the 2025 Beehive Homes Franchise Disclosure Document, the Franchise Agreement does not grant an exclusive territory. While Beehive Homes will not grant another franchise or operate a company-owned home within a contiguous area containing your location that includes a population of at least 30,000 without your consent, this area is not necessarily circular and is determined by geographic and demographic characteristics.
As a Beehive Homes franchisee, you have the right to construct and operate a Home at the approved location. However, you may face competition from other franchisees. Residents of your Home can come from anywhere, and people from the area encompassing your Home may become residents of other franchisees' Homes.
Beehive Homes does not restrict you from soliciting residents outside your designated area using methods like the Internet or telemarketing, provided that all advertising content is approved by the franchisor. Beehive Homes also does not operate any Homes themselves, so they do not solicit within or outside your Home's area. It is important to note that the Franchise Agreement does not grant you the right to acquire or establish additional franchises, and relocation is subject to the same conditions as the initial location selection.