Can a Burros Fries franchisee operate their business from a location other than the one specified in the Franchise Agreement?
Burros_Fries Franchise · 2024 FDDAnswer from 2024 FDD Document
You must operate your Business within the specific location identified in your Franchise Agreement. You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. Subject to the prohibitions set forth in this Item 12, you may face competition from other franchisees and company-owned businesses we operate or from other channels of distribution or competitive brands that we control. You are awarded a protected territory ("Territory") that will include up to three (3) miles driven in any direction from the Franchise Business as defined by MapQuest or a similar mapping program, provided we reserve the right to grant a territory that is larger or smaller than this area described above, in order to account for more densely or sparsely populated areas and other factors. We will determine population based on the most recently published data from the U.S. Census Bureau (or such other source we may indicate to you). You may not conduct business out of any other location other than the accepted location that has been entered in your Franchise Agreement or made part of by an addendum attached to your Franchise Agreement. You may service guests and sell approved retail items to anyone who comes from anywhere so long as your sales do not result from any Target Marketing (as defined below) activities by you. However, you can perform off-site events (such as community events, consumer shows, festivals, expos, etc.) and catering services within your Territory. You may also be able to perform off-site events and/or catering services in geographic areas outside your Territory under certain circumstances (as described below). You may not relocate your Business without our written consent, which we will not unreasonably withhold or delay.
Source: Item 12 — TERRITORY (FDD pages 38–40)
What This Means (2024 FDD)
According to Burros Fries's 2024 Franchise Disclosure Document, franchisees must operate their business from the specific location outlined in the Franchise Agreement. A franchisee cannot conduct business from any location other than the one accepted and documented in the Franchise Agreement or any addendum to it.
However, Burros Fries franchisees can perform off-site events and catering services within their territory. They may also be able to perform these services outside their territory under certain circumstances. If a franchisee is asked to conduct off-site events or catering in another franchisee's territory, they must refer the request to that franchisee or directly to Burros Fries. If there is no existing Burros Fries business in that area, the franchisee can proceed with the event or catering, but must be prepared to refer the business to a new franchisee if the area is assigned in the future.
Relocating the Burros Fries business requires written consent from the franchisor, which Burros Fries states it will not unreasonably withhold or delay. This policy ensures that each Burros Fries location operates within a defined and approved area, while also allowing for some flexibility in providing catering and off-site services, subject to certain conditions and approvals.