factual

Does Bor Restoration guarantee an Exclusive Territory to franchisees?

Bor_Restoration Franchise · 2024 FDD

Answer from 2024 FDD Document

a. You and we will agree upon your Exclusive Territory before you sign the Franchise Agreement. For so long as you are in Compliance, we will not award a franchise within your Exclusive Territory and will not place a company-owned or Affiliate-owned Business there.

THE LOCATION OF YOUR BUSINESS AND THE FACT THAT YOU HAVE AN EXCLUSIVE TERRITORY DOES NOT IN ANY WAY GUARANTEE YOUR SUCCESS OR PROFITABILITY.

  • b. You may only service Clients located in your Exclusive Territory. If, however, there is an area that is contiguous to your Exclusive Territory in which there is no franchisee, company-owned, or Affiliate-owned Business, you may temporarily advertise there and may service Clients until a franchisee, company-owned, or Affiliate-owned Business is assigned to that territory. Once that occurs, you must cease servicing such an area and deliver the names and contact information of such Clients to the new franchisee, the Affiliate, or us. If you receive a call from a Client in another franchisee's territory, you must refer that business to that franchisee.
  • c. It is expected that you will operate your Business from your home (Franchised Location). You may operate the Business, however, from any location within your Permitted Territory. We have no criteria for your Franchised Location, and we do not review or approve any lease.

2.3 Relocation

You may relocate your Franchised Location anywhere within the Exclusive Territory without our permission, except that you must provide us with the address and other contact information for the new Franchised Location.

Source: Item 23 — Receipts (FDD pages 40–202)

What This Means (2024 FDD)

According to Bor Restoration's 2024 Franchise Disclosure Document, franchisees are assigned an Exclusive Territory. Bor Restoration agrees not to award another franchise or operate a company-owned or affiliate-owned business within the franchisee's Exclusive Territory, so long as the franchisee remains in compliance with the Franchise Agreement. The specific territory is determined and agreed upon before the Franchise Agreement is signed.

Bor Restoration franchisees are generally restricted to servicing clients within their Exclusive Territory. However, if an area contiguous to the franchisee's territory lacks a Bor Restoration presence (no franchisee, company-owned, or affiliate-owned business), the franchisee may temporarily advertise and serve clients in that area. This permission ends once a new franchisee, company-owned, or affiliate-owned business is assigned to that territory. At that time, the original franchisee must stop serving clients in the area and provide their contact information to the new Bor Restoration entity.

Bor Restoration franchisees are expected to operate their business from their home, but they can operate from any location within their Exclusive Territory. Franchisees can relocate their Franchised Location anywhere within their Exclusive Territory without needing permission from Bor Restoration, but they must provide the new address and contact information.

Disclaimer: This information is extracted from the 2024 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.