Will a Bumper Man franchisee receive an exclusive territory?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
You will not receive an exclusive territory. You may face competition from other businesses, from outlets that we own or from other channels of distribution or competitive brands that we control. As of the issuance date of this disclosure document, we do not own any outlets or control any other channels of distribution or competitive brands. In addition, you will receive a Designated Area in which we will not operate or grant others the right to operate a Bumper Man business, subject to the conditions set forth in this Item 12.
We may, at our option, solicit orders for bumper repair services in any area, including without limitation your Designated Area, provided that if such solicitations are accepted by customers in your Designated Area, then we will refer the customer to you to provide such bumper repair services. We are not required to compensate you for soliciting such services in your Designated Area. The restrictions on our right to operate in your Designated Area do not apply to any Bumper Business existing on the date the Franchise Agreement is signed.
Because the Bumper Man business is based on an owner-operator model where the operator does not have personnel, a Bumper Man franchisee may not operate a Bumper Man business in more than one Designated Area, except as authorized by us in limited circumstances. In addition, you will not receive a right of first refusal or guaranteed right to acquire additional Designated Areas.
Source: Item 12 — TERRITORY (FDD pages 27–29)
What This Means (2025 FDD)
According to Bumper Man's 2025 Franchise Disclosure Document, franchisees will not receive an exclusive territory. However, franchisees are granted a designated geographic area in which Bumper Man will not operate or authorize others to operate a Bumper Man business, subject to certain conditions. This designated area is determined by factors such as the number of major dealerships, local dealerships, and the demographics of the local population. Franchisees are not allowed to use alternative channels of distribution unless approved by Bumper Man.
Bumper Man retains specific rights, including the ability to advertise and promote the Bumper Man system both within and outside the designated area. They can also operate or license others to operate a Bumper Man business outside the designated area, even in adjacent locations. Additionally, Bumper Man can establish and operate other businesses, including automotive repair businesses, under different marks or as a result of acquisitions or mergers.
Bumper Man may solicit orders for bumper repair services in any area, including a franchisee's designated area, and is only obligated to refer the customer to the franchisee if the solicitation is accepted. The restrictions on Bumper Man's right to operate in a franchisee's designated area do not apply to any Bumper Business existing when the Franchise Agreement is signed. Franchisees are generally limited to operating in one designated area, reflecting the owner-operator model of the business, and do not have a right of first refusal for additional territories. Bumper Man may offer franchisees opportunities to service national accounts outside their designated area on an as-needed basis and franchisees may request consent to solicit customers outside their designated area, subject to certain limitations.