Are the goods and services sold at *On the Run*® businesses similar to those offered at a Circle K franchise?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
The On the Run® businesses sell goods and services similar to the franchise offered under this Disclosure Document. Specifically, the On the Run® business offers convenience store franchises under the On the Run® mark. Currently, the outlets operated under the On the Run® mark will be franchised, but we reserve the right to own or operate outlets under the On the Run® mark. Franchisees using the On the Run® mark have the right to solicit customers in your trade area. The On the Run® franchise business is operated from the same offices as the Circle K franchise business, at 1130 West Warner Road, Tempe, Arizona 85284. We currently provide training for On the Run® franchisees in the same facility as Circle K franchisees.
We may grant franchises for On the Run® stores or operate On the Run® stores at any location as determined by us, regardless of proximity to your Store.
Source: Item 12 — TERRITORY (FDD pages 72–75)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, the goods and services sold at On the Run® businesses are similar to those offered at Circle K franchises. The FDD states that On the Run® offers convenience store franchises under its own mark. Circle K also reserves the right to operate On the Run® stores themselves. Training for On the Run® franchisees is conducted in the same facility as Circle K franchisee training. The On the Run® franchise business operates from the same offices as the Circle K franchise business, located at 1130 West Warner Road, Tempe, Arizona 85284.
This means that a Circle K franchisee could face direct competition from an On the Run® franchise, even within their own trade area. Circle K retains the right to grant franchises for On the Run® stores at any location, regardless of proximity to an existing Circle K store. This lack of territorial protection is a common practice in the convenience store franchise industry, where brand recognition and customer loyalty are key factors.
Prospective franchisees should be aware that Circle K also operates other franchise brands, such as Kangaroo Express® and Holiday Stationstores®, which similarly sell goods and services comparable to those offered at Circle K. These brands, like On the Run®, can also be established in proximity to a Circle K franchise, increasing the potential for competition. The FDD clearly states that Circle K is not required to compensate franchisees if they exercise their right to operate these competing outlets. Therefore, a Circle K franchisee's success depends heavily on their ability to effectively manage their store and build a strong customer base in a competitive environment.