What promotional activities are Buns On Fire franchisees prohibited from engaging in?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
You may not engage in any promotional activities or sell our proprietary products or similar products or services, whether directly or indirectly, through or on the Internet, the World Wide Web, or any other similar proprietary or common carrier electronic delivery system (collectively, the "Electronic Media"); through catalogs or other mail order devices sent or directed to customers or prospective customers located anywhere; or by telecopy or other telephonic or electronic communications, including toll-free numbers, directed to or received from customers or prospective customers located anywhere. You may not place advertisements in printed media and on television and radio that are targeted to customers and prospective customers located outside of your Protected Territory. You may not sell our proprietary products to any business or other customer for resale.
We and our affiliates may, and currently do, sell products under the Proprietary Marks within and outside your Protected Territory through various methods of distribution other than a dedicated Buns on Fire franchise, including sales through channels of distribution such as the Internet, catalog sales, telemarketing, retail stores that sell food products and grocery stores, or other direct marketing sales (together, "Alternative Distribution Channels"). You may not use Alternative Distribution Channels to make sales outside or inside your Protected Territory. However, you may face competition from these Alternative Distribution Channels within your Protected Territory.
Source: Item 12 — TERRITORY (FDD pages 33–35)
What This Means (2025 FDD)
According to the 2025 Buns On Fire Franchise Disclosure Document, franchisees face specific restrictions on promotional activities. Buns On Fire franchisees are prohibited from engaging in promotional activities or selling products through the Internet, the World Wide Web, or any similar electronic delivery system. This restriction extends to catalogs or other mail order devices, as well as telecopy or other telephonic or electronic communications, including toll-free numbers, directed to customers or prospective customers located anywhere.
Additionally, Buns On Fire franchisees cannot place advertisements in printed media and on television and radio that are targeted to customers and prospective customers located outside of their Protected Territory. This means that while franchisees can advertise, their reach must be limited to their designated area. They are also barred from selling proprietary products to any business or other customer for resale, which restricts their ability to engage in wholesale activities.
These limitations are important for potential franchisees to consider, as they directly impact how they can market and sell Buns On Fire products. The restrictions on electronic media and mail order devices, in particular, could limit a franchisee's ability to reach a broader customer base. The inability to sell for resale further restricts potential revenue streams. Franchisees should carefully evaluate these restrictions and consider how they align with their business plans and marketing strategies.
Furthermore, Buns On Fire retains the right to sell products under the Proprietary Marks within and outside a franchisee's Protected Territory through various methods of distribution other than a dedicated Buns on Fire franchise, including sales through channels of distribution such as the Internet, catalog sales, telemarketing, retail stores that sell food products and grocery stores, or other direct marketing sales. Franchisees may not use these alternative distribution channels to make sales outside or inside their protected territory, but may face competition from these alternative distribution channels within their protected territory.