Are City Wide franchisees required to obtain approval before offering a new commercial service?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
Designated Territory will continue in full force and effect so long as this Agreement is in effect. Notwithstanding the above, CITY WIDE will provide Franchisee with a period not to exceed one (1) year to cure the breach in 7.15(a).
Franchisee acknowledges and agrees there exists a direct correlation between sales staffing and the financial success of a Franchised Business. Accordingly, Franchisee is required to meet the minimum staffing levels as set forth in the Operating Manual.
- 7.16 Promotions. Franchisee will use only business stationery, business cards, marketing materials, advertising materials, printed materials, and forms which have been supplied by a supplier designated or approved by CITY WIDE pursuant to Section 7.9 of this Agreement and which meet all standards of quality and other specifications of CITY WIDE. Franchisee will not employ any person to act as a representative of Franchisee in connection with the local promotion of the Franchised Business in any public media without the prior written approval of CITY WIDE. Franchisee will submit to CITY WIDE in a timely manner, all promotional and advertising materials to be used by Franchisee, which must be approved by CITY WIDE before their use. Such submission will give CITY WIDE a minimum of seven (7) business days to review and approve such material. If CITY WIDE does not respond to Franchisee's request within that time, Franchisee's proposed materials will be deemed disapproved.
- 7.17 Independent Ownership. In all advertising displays and materials used in the Franchised Business and in Franchisee's Designated Territory, Franchisee will, in such form and manner as may be
specified by CITY WIDE in the Operating Manual, notify the public that Franchisee is independently owned and is operating the business licensed under this Agreement as a franchisee of CITY WIDE and will identify Franchisee's Location in the manner specified by CITY WIDE in the Operating Manual.
- 7.18 Marketing Efforts. Franchisee will at all times actively promote the sale of System products and services at the Location and will use Franchisee's primary and best efforts to cultivate, develop, and expand the market for such products and services. Franchisee must participate in and cooperate in any marketing or promotional campaigns conducted by CITY WIDE unless Franchisee obtains prior written approval from CITY WIDE to opt out of any such campaign.
- 7.19 Total Revenue Retention Requirement.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD page 44)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, franchisees must adhere to specific guidelines regarding the products, services, and suppliers they use. While the document does not explicitly state that franchisees need approval to offer a new commercial service, it does state that franchisees must maintain the highest standards of quality and cleanliness.
City Wide franchisees are required to use business stationery, business cards, marketing materials, advertising materials, printed materials, and forms which have been supplied by a supplier designated or approved by City Wide. Franchisees must get City Wide's approval before using any promotional or advertising materials. This submission must be provided to City Wide a minimum of seven business days to review and approve such material. If City Wide does not respond to Franchisee's request within that time, Franchisee's proposed materials will be deemed disapproved.
Furthermore, if a franchisee wants to use equipment or a brand of product not already approved by City Wide, they must first notify City Wide and submit samples and information for examination and testing. City Wide will then notify the franchisee whether the proposed supply or supplier is approved or disapproved. This suggests that while franchisees might have some autonomy in choosing services, City Wide maintains control over quality and brand consistency through supplier and product approvals.
Prospective franchisees should clarify with City Wide the exact process for introducing new services, including whether formal approval is needed and what criteria are used to evaluate new service offerings. Understanding these requirements is crucial for maintaining compliance and ensuring the success of the franchise.