factual

For Beehive Homes, what is the minimum population requirement for the Franchisee's Territory?

Beehive_Homes Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisor covenants that no franchise for an additional Home, whether franchised or owned by Franchisor, will be sold within the Franchisee's Territory during the Term of this Agreement without the prior written consent of Franchisee. The Territory shall be determined, and may be modified from time to time, by Franchisor and shall consist of a perimeter encompassing the Location and a population of at least 30,000 persons. Franchisee acknowledges and agrees that each territory in which there is a Home may be different from each other territory in terms of size, population, shape and other factors, it being further agreed that the determination of the size, population, shape and other factors regarding the territory shall be established by Franchisor. Franchisee hereby waives any and all claims against Franchisor and all other current and future franchisees regarding the size, population, or other factors differentiating the area encompassing Franchisee's Location from that of other franchisees.

Source: Item 23 — RECEIPTS (FDD pages 34–123)

What This Means (2025 FDD)

According to Beehive Homes' 2025 Franchise Disclosure Document, the franchisee's territory must encompass a minimum population of 30,000 people. The FDD specifies that Beehive Homes determines the territory's size, population, and shape, which may vary from one location to another. This means that while the minimum population is set at 30,000, the actual territory could be larger or have a different shape depending on Beehive Homes' assessment.

This determination is made by Beehive Homes and can be modified over time. The franchisee acknowledges and agrees that territories may differ in size, population, shape, and other factors, and waives any claims against Beehive Homes or other franchisees regarding these differences. This indicates that a franchisee has limited control over the specifics of their territory and must accept Beehive Homes' decision.

For a prospective Beehive Homes franchisee, this means the territory size and demographics are subject to Beehive Homes' discretion. While a minimum population of 30,000 is guaranteed, the franchisee should understand that the territory's characteristics can vary and may change during the agreement term. It would be prudent for a potential franchisee to discuss territory specifics and potential modifications with Beehive Homes during the due diligence process to fully understand the market conditions and potential customer base.

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.