What is the definition of 'Qualified Sales' for Belocal franchisees, as defined in the Franchise Brand Standards Manual?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
" For the Publication, we require you to (1) maintain a minimum, monthly Commission for the term of your Franchise Agreement, which is currently at least $3,000 per month for each of the BELOCAL ® publications you manage; (2) include a minimum of 28 pages that meet our standards in each issue of the Publication; (3) include the number of articles each month on the topics required in the Franchise Brand Standards Manual; and (4) complete a minimum number of Qualified Sales (as defined in the Franchise Brand Standards Manual) each Quarter. We may change our minimum Commission, page number, article, Qualified Sales, and Quarter requirements in our discretion during the Term of the Franchise Agreement. Although subject to change, currently the Qualified Sale requirement is that you make three Qualified New Sales (or the sale of a new advertising contract that has a term of at least 12 months and generates Cash Received of at least $150 per month) per Quarter. If you fail to satisfy any of the requirements listed in clauses (1) through (4) above, we may provide you with a business improvement plan ("Business Improvement Plan") with strategies and metrics for returning to compliance. Additionally, you will have various deadlines for the content, review, publishing, approval, etc. of the Publication and you must meet each deadline. Failure to satisfy any of these requirements is a default under the Franchise Agreement and is grounds for termination of the Franchise Agreement.
We also require you to make a minimum number of Qualified Sales in the first sixteen weeks of your operation of the Franchised Business ("Pre-Print Sales Requirement"). Although subject to change, currently the Pre-Print Sales Requirement is that you make at least ten Qualified Sales in the first sixteen weeks of your operation of the Franchised Business. If you fail to satisfy the Pre-Print Sales Requirement, we may provide you with a Business Improvement Plan with metrics and strategies for you to improve your sale of advertising contracts. Failure to successfully complete any Business Improvement Plan is a default under the Franchise Agreement and is grounds for termination of the Franchise Agreemen
Source: Item 12 — TERRITORY (FDD pages 42–44)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, a 'Qualified Sale' is defined within the Franchise Brand Standards Manual. Specifically, Belocal requires franchisees to complete a minimum number of these sales each quarter. Currently, this requirement is set at three Qualified New Sales per quarter.
For a sale to be considered 'Qualified', it must involve a new advertising contract with a term of at least 12 months. Additionally, this contract must generate Cash Received of at least $150 per month. This definition is subject to change at Belocal's discretion during the term of the Franchise Agreement.
Belocal also imposes a 'Pre-Print Sales Requirement' for new franchisees. This requires making at least ten Qualified Sales within the first sixteen weeks of operation. Failure to meet either the quarterly or the initial pre-print sales requirements may lead to a Business Improvement Plan being implemented by Belocal. Failure to successfully complete the Business Improvement Plan can result in termination of the Franchise Agreement.