factual

Where will the territory for a Cilantro Taco Grill franchise be identified?

Cilantro_Taco_Grill Franchise · 2024 FDD

Answer from 2024 FDD Document

[Item 12: TERRITORY]

Your Territory will be identified in your Franchise Agreement.

Under the Franchise Agreement, you have the right to establish and operate one Cilantro Taco Grill outlet within a territory that will be defined after the location of your Cilantro Taco Grill outlet is identified and approved by us (the "Territory"). You are required to find and obtain possession of a specific location for your Franchised Business that meets our site selection criteria and our approval. The boundaries of your Territory may be described in terms of zip codes, streets, landmarks (both natural and man-made) or county lines, or otherwise delineated on a map attached to the Data Sheet.

Unit franchisees and multi-unit operators 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.

The Territory is determined on an individual basis taking into account geographic area, population density, character of neighborhood, location and number of competing business in the surrounding area, and other factors. There is no minimum territory size for a given Territory, and the exact size of each Territory we award varies based on the factors we have identified; however, a typical Territory might cover a geographical area that consists of: (a) up to a 2-mile radius surrounding your location if your location is in a suburban market area; (b) up to a 1/4-mile radius surrounding your location if your location is in a metropolitan area, downtown area, urban market area, central business district or other area with similar population density; or (c) the Non-Traditional Site. If the Franchised Business is located in a gas station or convenience store; transportation facility, including airport, train station, subway or rail or bus station; military base or government office; sports facility, including stadium or arena; amusement park, zoo or convention center; car or truck rest stop or travel center; educational facility; recreational theme park; hospital; business or industrial foodservice venue; venue in which foodservice is or may be provided by a master concessionaire or contract foodservice provider; Indian reservation; casino; or any similar captive market location ("Non-Traditional Site"), you will not receive a Territory. Furthermore, you understand and acknowledge that if any Non-Traditional Site (as described above) is located within the physical boundaries of your Territory, then the premises of this Non-Traditional Site will not be included in the Territory and you will have no rights to this Non-Traditional Site.

Source: Item 12 — TERRITORY (FDD pages 33–35)

What This Means (2024 FDD)

According to Cilantro Taco Grill's 2024 Franchise Disclosure Document, the specific territory granted to a franchisee will be defined in the Franchise Agreement. The territory is determined after Cilantro Taco Grill approves the location of the outlet.

The boundaries of the territory may be described using zip codes, streets, landmarks, county lines, or delineated on a map attached to the Data Sheet. It is important to note that Cilantro Taco Grill franchisees, whether single-unit or multi-unit operators, will not receive an exclusive territory. This means franchisees may face competition from other franchisees, outlets owned by Cilantro Taco Grill, or other distribution channels and competitive brands controlled by the company.

The size of a Cilantro Taco Grill territory varies based on factors such as geographic area, population density, neighborhood characteristics, and the number of competing businesses. A typical territory might cover up to a 2-mile radius in a suburban market, or up to a 1/4-mile radius in a metropolitan, downtown, or urban area. However, if the franchise is located in a non-traditional site such as a gas station, airport, or stadium, the franchisee will not receive a territory. Furthermore, if a non-traditional site is located within the franchisee's territory, that specific site will not be included in the territory.

Disclaimer: This information is extracted from the 2024 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.