factual

What is the minimum population within the protected area for a Buona franchise located in a non-urban area?

Buona Franchise · 2025 FDD

Answer from 2025 FDD Document

The Protected Area will be a geographic area around the Approved Location with a minimum people population of Sixty Thousand (60,000) if the Approved Location is in a non-urban location and a one-half (1/2) mile radius around the Approved Location if it is located in an urban area.

Source: Item 23 — RECEIPTS (FDD pages 78–356)

What This Means (2025 FDD)

According to Buona's 2025 Franchise Disclosure Document, if a franchisee's approved location is in a non-urban area, the protected area around that location will have a minimum population of 60,000 people. This protected area ensures that Buona will not establish another restaurant or grant another franchise the right to establish a Buona restaurant within that area during the term of the agreement, without the franchisee's prior written consent.

However, this protection is subject to the terms and conditions of the franchise agreement, and it applies only if the franchisee is not in default of the agreement or any other agreement with Buona or its affiliates. The specific geographic boundaries of the protected area will be detailed in Exhibit A of the franchise agreement, which is completed upon the determination of the approved location.

It's important to note that Buona retains the right to franchise or operate Buona businesses in certain 'Captive Locations' within the protected area, such as transportation facilities, educational facilities, institutional feeding facilities, and government institutions. This means that even within the protected area, the franchisee may face competition from other Buona outlets in these specific types of locations. Franchisees should carefully review Exhibit A and understand the limitations to their protected area before signing the franchise agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.