Besides the franchisee, who else does Bft reserve rights for?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.4 Rights Reserved to Franchisor. For the avoidance of doubt, Franchisor reserves for itself and its affiliates all rights not expressly granted to Franchisee in this Agreement and the right to do all things that Franchisor does not expressly agree in this Agreement not to do, in each case, without regard to proximity to the Studio and without any compensation to Franchisee, and on such terms and conditions as Franchisor deems appropriate. Without limitation, Franchisor and its affiliates may, themselves or through authorized third-parties (and Franchisee is not granted the right to): (a) open and operate, and license third-parties the right to open or operate, other BFT Studios utilizing the Marks and System outside the Designated Territory;
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, Bft reserves specific rights for itself and its affiliates. Bft retains all rights not explicitly granted to the franchisee within the franchise agreement. This allows Bft and its affiliates to operate and license others to operate Bft studios outside the franchisee's designated territory. These activities can occur without regard to proximity to the franchisee's studio and without any obligation to compensate the franchisee.
This reservation of rights allows Bft to expand its brand presence through various channels and locations, potentially including online platforms, retail partnerships, or non-traditional venues. It also enables Bft to adapt its business model and explore new revenue streams without being restricted by the specific terms granted to individual franchisees.
For a prospective franchisee, this means that while they are granted a designated territory, Bft retains considerable freedom to operate and expand its brand through other avenues. This could potentially lead to competition from Bft's own ventures or those of its affiliates, although outside of the franchisee's designated territory. It is important for potential franchisees to understand the scope of these reserved rights and how they might impact their business before investing in a Bft franchise.