factual

Does the text mention any specific performance standards related to C12 Group contracts?

C12_Group Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee must achieve a minimum level of target market penetration to maintain exclusivity within Territory.

Franchisor defines Franchisee's "Baseline Target" using publicly available data, including, without limitation, the relevant Intelligent Direct, Inc (IDI) dba GbBIS business census in the Territory and research data provided by The Barna Group on the percentage of 'practicing Christians' or 'evangelical Christians' by region to establish the market potential in regard to the number of prospective member companies within the Territory.

Franchisee must achieve the minimum performance levels set forth in Section IV.8.a. to maintain exclusivity within the Territory.

If Franchisee fails to achieve such minimum performance levels, Franchisor may reduce the size of Franchisee's Territory, authorize another franchisee to operate a C12 Group franchise within Franchisee's Territory, or operate a C12 Group business within Franchisee's Territory.

Source: Item 22 — CONTRACTS (FDD page 46)

What This Means (2025 FDD)

According to C12 Group's 2025 Franchise Disclosure Document, franchisees must meet minimum performance standards to maintain exclusivity within their territory. C12 Group defines a "Baseline Target" using data such as the GbBIS business census and research data from The Barna Group on the percentage of Christians in the region. This data helps establish the market potential regarding the number of prospective member companies within the territory.

To maintain territorial exclusivity, a C12 Group franchisee must achieve the minimum performance levels detailed in Section IV.8.a of the FDD. If a franchisee fails to meet these minimum performance levels, C12 Group has the right to reduce the size of the franchisee's territory, authorize another franchisee to operate within the original franchisee's territory, or operate a C12 Group business directly within that territory.

These performance standards are important for prospective franchisees to consider, as failure to meet them can result in a loss of territorial exclusivity and increased competition. It is crucial for potential franchisees to understand how the "Baseline Target" is calculated and what specific performance levels are required to avoid these consequences. Understanding these metrics is vital for assessing the feasibility and potential profitability of a C12 Group franchise in a given territory.

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.