Does the Buildingstars franchise agreement restrict relocation of the business?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
BUILDINGSTARS intends to restrict the activities of the FRANCHISEE under Sections IX and X of this Agreement only to the extent necessary for the protection of BUILDINGSTARS' legitimate business interests.
For the sake of clarity, nothing herein is to restrict FRANCHISEE from providing janitorial/cleaning services to any entity or person that is not a Customer; provided however, that the foregoing shall not alter FRANCHISEE's obligations, including but not limited to Section IX above, under this Agreement.
Source: Item 12 — TERRITORY (FDD pages 26–27)
What This Means (2025 FDD)
Based on the 2025 Buildingstars Franchise Disclosure Document excerpts, there is no explicit mention of restrictions on relocating the franchise business. The document focuses on aspects such as the franchisee's obligations to customers, transferability of interest, and Buildingstars' rights to operate and franchise within or outside the franchisee's area.
The agreement does outline conditions under which Buildingstars can restrict franchisee activities to protect its business interests, particularly concerning customer relationships. However, these restrictions are related to preventing interference with Buildingstars' customers rather than limiting the franchisee's ability to relocate their business.
Prospective franchisees should inquire with Buildingstars directly about any implicit or explicit policies regarding relocation. Understanding these policies is crucial for franchisees who may consider moving their business operations in the future, as it could impact their ability to continue operating under the Buildingstars franchise agreement.