What happens after Buff City Soap accepts the proposed location within the Designated Area?
Buff_City_Soap Franchise · 2025 FDDAnswer from 2025 FDD Document
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TERRITORY
You will not receive an exclusive territory. You may face competition from other franchisees, from Makeries that we own, or from other channels of distribution or competitive brands that we control.
Franchise Agreement
The franchise you are granted will be for one specified location approved by us. When you sign the Franchise Agreement, unless you have selected and we have accepted the precise location of the Franchised Business, we will designate an area defined by zip codes, a map, shopping areas, or other means (the "Designated Area"). You must find a location acceptable to us within the Designated Area during the 60-day period after you sign the Franchise Agreement. During this period, we will not grant a BCS Makery franchise to any other party and our Affiliates will not open or develop another BCS Makery within the Designated Area. You must find a location acceptable to us within the Designated Area. When we accept the location within the Designated Area you propose, we will fix the boundaries of a "Protected Area" for the Franchised Business.
There will be no minimum geographic size to your Designated Area or Protected Area. The Protected Area will be determined by the demographics and population size specific to your location. The minimum population size of the target demographic group within your Protected Area is determined on a case-by-case basis depending on the results of demographic research. Protected Areas will range in size from a site-specific location, i.e., a street address, to a block, a zip code, or a defined measurable area, depending on where your Makery is located. Typically, Makeries located in metropolitan areas will receive a smaller Protected Area than Makeries located in suburban/rural areas. Your Protected Area will be described in Exhibit G to your Franchise Agreement.
Source: Item 12 — TERRITORY (FDD pages 43–45)
What This Means (2025 FDD)
According to Buff City Soap's 2025 Franchise Disclosure Document, once Buff City Soap accepts the proposed location within the Designated Area, the boundaries of a "Protected Area" for the franchised business will be established. This Protected Area's size isn't fixed geographically but is determined by demographics and population size specific to the location.
The document specifies that the minimum population size of the target demographic group within the Protected Area is determined on a case-by-case basis, depending on demographic research results. The Protected Areas can vary in size, ranging from a specific street address to a block, zip code, or a defined measurable area, depending on where the Buff City Soap Makery is located. Typically, a Makery in a metropolitan area will receive a smaller Protected Area compared to those in suburban or rural areas. The specifics of the Protected Area will be detailed in Exhibit G of the Franchise Agreement.
During the term of the Franchise Agreement, provided the franchisee is not in default, Buff City Soap will not establish or license another person to establish another Makery within the franchisee's Protected Area. However, it's important to note that the franchisee does not have a right of first refusal to establish additional locations within their Protected Area, nor do they have similar rights to obtain additional franchises.