Can a Brain Balance franchisee enter into any branch office arrangement without the company's consent?
Brain_Balance Franchise · 2025 FDDAnswer from 2025 FDD Document
e prior written consent of COMPANY.
- 2.02. FRANCHISEE agrees to obtain COMPANY's prior written approval for all content used by FRANCHISEE on FRANCHISEE's link to COMPANY's Web site.
3. TERRITORY
- 3.01. FRANCHISEE is granted an exclusive right to establish a single location for the Franchised Business in the city, town, or village identified on Schedule I that is located within the Territory. FRANCHISEE may not without COMPANY's prior written consent relocate its Center or open additional centers for the Franchised Business within the Territory.
- 3.02. COMPANY agrees that throughout the term of this Agreement and provided that FRANCHISEE is not in default hereunder, COMPANY will neither operate nor franchise others to operate a Brain Balance® Center within the Territory, or within a designated radius of FRANCHISEE'S Brain Balance® Center.
Source: Item 22 — CONTRACTS (FDD pages 70–72)
What This Means (2025 FDD)
According to the 2025 Brain Balance Franchise Disclosure Document, a franchisee is granted an exclusive right to establish a single Brain Balance location within their designated territory, which is identified on Schedule I. The franchisee is explicitly prohibited from relocating their center or opening additional centers for the Franchised Business within the Territory without obtaining Brain Balance's prior written consent.
Brain Balance emphasizes that the franchise is limited to a single location within the territory. To operate the Franchised Business from an additional location or outside of the Territory, a franchisee must sign a separate franchise agreement, and pay an additional Initial Franchise Fee to Brain Balance.
This policy ensures that Brain Balance maintains control over its brand's expansion and market presence. It prevents franchisees from overextending themselves or potentially cannibalizing their own market by opening multiple locations without proper oversight and investment. For a prospective franchisee, this means they must carefully consider their initial territory and business plan, as expanding beyond the single location requires further approval and financial commitment.