What is the exception to the residency requirement for a C12 Group Franchisee?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee must reside within the Territory unless Franchisor approves otherwise in writing.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, a franchisee must reside within their designated territory. However, there is an exception to this rule. The franchisor may approve otherwise in writing, allowing a franchisee to live outside of their territory under certain circumstances.
This residency requirement and its exception have practical implications for prospective franchisees. Typically, franchisors require franchisees to live within their territory to ensure they are actively involved in the local business community and can effectively manage and promote their franchise. The written approval exception provides some flexibility, but it is essential for potential franchisees to understand the conditions under which C12 Group might grant such an exception.
It is important for prospective franchisees to discuss this residency requirement with C12 Group during their due diligence. They should inquire about the specific criteria or circumstances under which the franchisor would consider waiving the residency requirement. Understanding these factors can help franchisees plan their business and personal arrangements accordingly. For example, a franchisee may want to live closer to family or in a more desirable location, and knowing the possibility of an exception can influence their decision-making process.
Overall, while C12 Group generally requires franchisees to reside within their territory, the possibility of obtaining written approval to live elsewhere offers some flexibility. However, franchisees should thoroughly investigate the conditions and requirements for obtaining such an exception before making any final decisions.