Can a Belocal franchisee market or sell any services outside their territory?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchise Agreement provides you with the right to sell print advertising for print publications. You will also have the right to sell digital advertising services and to organize local events. Currently the only digital advertising services you are authorized to sell are the Extended Reach services. You will not have the right to distribute the Publication to any person, community, or industry group outside of your Territory. You may not market or sell any services outside your Territory, except print advertisements for inclusion in the Publication or the publications managed by others and digital advertising services, subject to our cross-selling policies and digital advertising policies, without our prior written consent. You have no right to sell goods and services through any other channel of distribution – whether inside or outside of your Territory. You may not organize events held more than 25 miles from your Territory without obtaining our prior written consent. We have the right to restrict you from offering or selling advertisements of any kind to any client or prospective client at any time. We also have the right to allow other franchisees or affiliates to offer and sell advertising in any form to clients located in your Territory.
If you choose to, you may solicit leads for Hyport Digital as part of your Franchised Business and receive a commission on referrals. You will also have the opportunity to facilitate the client relationships between such leads and Hyport Digital and receive a commission associated with such relationship management services. There are no restrictions on where you may solicit leads for Hyport Digital or restrictions on the location of the clients for which you facilitate the relationship. Your opportunity to solicit leads for and facilitate client relationships with Hyport Digital is conditioned on the continuance of the sales program. We may modify and discontinue this program in our sole discretion. We may require you to complete certain training and certifications in order to qualify to facilitate a client's relationship with Hyport Digital,.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 48–49)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, franchisees are generally restricted from marketing or selling services outside of their designated territory. However, there are exceptions. Belocal franchisees can sell print advertisements for inclusion in the Publication or publications managed by others, as well as digital advertising services, provided they adhere to Belocal's cross-selling and digital advertising policies. These activities require Belocal's prior written consent.
Belocal franchisees are also able to solicit leads for Hyport Digital and receive commissions on referrals, and facilitate client relationships between such leads and Hyport Digital and receive a commission associated with such relationship management services. There are no restrictions on where a franchisee may solicit leads for Hyport Digital or restrictions on the location of the clients for which they facilitate the relationship. This opportunity is conditional on the continuation of the sales program, which Belocal may modify or discontinue at its discretion. Belocal may also require franchisees to complete specific training and certifications to qualify for facilitating client relationships with Hyport Digital.
Without prior written consent from Belocal, franchisees cannot organize events held more than 25 miles from their territory. Belocal retains the right to restrict franchisees from offering or selling advertisements to any client or prospective client at any time and can allow other franchisees or affiliates to offer and sell advertising in any form to clients located within a franchisee's territory. These stipulations highlight the importance of understanding the specific terms and conditions outlined in the Franchise Agreement and maintaining open communication with Belocal regarding sales and marketing activities, especially those extending beyond the franchisee's primary territory.