Can a Buona franchisee operate any other business from the Franchised Business premises?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall use its best efforts to develop and promote the Franchised Business.
All Buona products must be sold by Franchisee only from the Approved Location.
Franchisee may not use other channels of distribution such as the internet, catalog sales, telemarketing or other direct marketing to make sales outside of and apart from the operation of the Franchised Business at the Approved Location without Franchisor's prior written consent, which may be withheld by Franchisor in its sole discretion.
Source: Item 23 — RECEIPTS (FDD pages 78–356)
What This Means (2025 FDD)
Based on the 2025 Buona Franchise Disclosure Document, a franchisee is generally expected to focus on developing and promoting the Franchised Business. The franchisee must sell all Buona products only from the Approved Location. Without prior written consent from Buona, a franchisee cannot use other distribution channels like the internet, catalog sales, telemarketing, or other direct marketing methods to make sales outside the operation of the Franchised Business at the Approved Location.
This restriction ensures that the franchisee's efforts are concentrated on the Buona business and that the brand maintains control over its distribution channels. It prevents franchisees from diluting the brand by selling through unauthorized means or locations.
The FDD states that the license granted to use the Marks applies only to use in connection with the operation of the Franchised Business at the Approved Location. The franchisee acknowledges that it has not acquired any right, title, or interest in the Marks except for the right to use the Marks in the operation of the Franchised Business in compliance with the Franchise Agreement.
Therefore, a Buona franchisee is expected to operate solely the Buona business from the approved location, and any deviation from this requires prior written consent from Buona. This is a fairly standard restriction in franchising, designed to protect brand consistency and prevent channel conflict.