factual

Is the territory granted to a Body Brain Center franchisee exclusive?

Body_Brain_Center Franchise · 2025 FDD

Answer from 2025 FDD Document

Once you have identified a site that we have approved, you will receive a protected territory that will be identified in Attachment "B". The size of your protected territory will depend on demographics and other characteristics including population density (from a report generated utilizing the NASA-SEDAC Population Estimation Service, available at https://www.randymajors.org/customgmap), average income, and other characteristics of the surrounding area, natural boundaries, the extent of competition and the amount and size of urban, suburban and rural areas. Your protected territory will include a minimum population of 70,000. Your protected territory will be marked on a map and defined by streets. By protected, we mean that we will not operate or authorize a third party to operate a Body & Brain Center using our Marks or a Dahn Yoga Center that is physically located within your territory during the term of your Franchise Agreement (subject to the limitations described below under "Limitations on your Territorial Rights"). Although you do receive these protections, your territory is not exclusive.

You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control.

Other Body & Brain franchisees may advertise within your territory, although their advertising must be primarily directed towards customers within their territory. Likewise, you may advertise within the territories of other Body & Brain Center franchisees, although your advertising must be primarily directed towards customers within your territory.

Source: Item 12 — TERRITORY (FDD pages 29–32)

What This Means (2025 FDD)

According to Body Brain Center's 2025 Franchise Disclosure Document, the territory granted to franchisees is not exclusive. While franchisees receive a protected territory, Body Brain Center retains the right to operate or authorize others to operate Body & Brain Centers or Dahn Yoga Centers within the franchisee's territory. This protected territory is defined in Attachment B of the Franchise Agreement and typically includes a minimum population of 70,000, marked on a map by streets. The size of the protected territory depends on demographics, population density, average income, natural boundaries, competition, and the extent of urban, suburban, and rural areas.

This lack of exclusivity means that a Body Brain Center franchisee may face competition from other franchisees, company-owned outlets, alternative channels of distribution, or competitive brands controlled by Body Brain Center. Other Body & Brain franchisees can advertise within a franchisee's territory, provided their advertising is primarily directed towards customers within their own territory. Similarly, franchisees can advertise in other franchisees' territories, focusing on their own customer base.

Body Brain Center also reserves the right to sell or license others to sell competitive or identical goods or services through alternative channels of distribution, such as online sales, sales through health stores, or on-site sales to groups at businesses or customers' homes. Additionally, Body Brain Center can operate or license Body & Brain Centers in Captive Venues like hotels, college campuses, airports, and train stations within a franchisee's territory. Franchisees are not entitled to compensation for sales through these alternative channels or Captive Venues. These factors highlight the importance of carefully evaluating the competitive landscape and market potential within the assigned territory before investing in a Body Brain Center franchise.

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.