Does Bombs Away Franchising license the customer data back to the franchisee?
Bombs_Away Franchise · 2024 FDDAnswer from 2024 FDD Document
- 11.5 Business Data. All customer data and other non-public data generated by the Business is Confidential Information and is exclusively owned by Bombs Away Franchising. Bombs Away Franchising hereby licenses such data back to Franchisee without charge solely for Franchisee's use in connection with the Business for the term of this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 35–36)
What This Means (2024 FDD)
According to Bombs Away's 2024 Franchise Disclosure Document, all customer data and other non-public data generated by the franchisee's business is considered confidential information and is exclusively owned by Bombs Away Franchising. However, Bombs Away licenses this data back to the franchisee.
This license allows the franchisee to use the customer data solely in connection with their Bombs Away business during the term of the Franchise Agreement. The franchisee does not have to pay a fee for this data usage.
This arrangement means that while franchisees can leverage customer data to operate and market their business, they do not own the data outright. Upon termination of the franchise agreement, the franchisee's right to use this data also ends. This is a fairly standard practice in franchising, as it allows Bombs Away to maintain control over its brand and customer relationships.
Prospective franchisees should understand that building a customer base essentially benefits Bombs Away Franchising directly, as the data remains their property. Franchisees should inquire about the specific types of customer data collected, how it can be used during the franchise term, and what restrictions apply after the agreement ends.