What are the factors that City Wide considers when determining the designated territory for
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
During the term of the Franchise Agreement, as long as you are not in material breach of the Franchise Agreement, CITY WIDE will grant you the right to operate one Franchised Business in a designated territory ("Designated Territory") (See Section 1.1 and Attachment B to the Franchise Agreement). There is no prescribed minimum area granted to you, as each Designated Territory is based upon various factors including population, density of population, whether the territory is categorized as residential or business, and other factors, including the number and density of office buildings in the proposed Designated Territory.
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the company considers several factors when determining the designated territory for a new franchise. These factors include population, density of population, whether the territory is categorized as residential or business, and the number and density of office buildings in the proposed Designated Territory. The FDD specifies that there is no prescribed minimum area granted, as each territory is determined based on these various factors.
For a prospective franchisee, this means the size and potential of their territory will be assessed based on a combination of demographic and commercial characteristics. City Wide aims to create territories that offer sufficient business opportunities. The initial territory fee that a franchisee pays is also tied to the size of the territory, with fees ranging from $15,000 for territories with less than 1,000,000 population to $50,000 for territories with a population of 2,000,001 and above.
It is important to note that City Wide retains the sole and absolute right to determine the size of the designated territory and the corresponding initial territory fee. Franchisees should carefully consider the demographic and commercial makeup of their proposed territory and how it aligns with their business goals. Understanding these factors can help a franchisee better assess the potential of their City Wide franchise and negotiate appropriate terms.