Does City Wide have an obligation to establish and maintain the National Business Development Program?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
CITY WIDE has established a program focused on attracting and servicing clients that have a regional or national presence ("National Business Development Program"). While CITY WIDE has the right to establish and maintain such a program, it has no obligation to do so; CITY WIDE reserves the right to modify or discontinue the National Business Development Business Program at any time upon written notice to you. (See Section 3.6 of the Franchise Agreement). The details of the National Business Development Program are included in the Operating Manual and other written communications from CITY WIDE.
Notably, there are two aspects of the National Business Development Program. CITY WIDE may establish various national accounts ("National Accounts") to be serviced by multiple franchisees in different Designated Territories, but not necessarily in all Designated Territories. CITY WIDE has established national accounts with national companies with locations all over the United States with whom CITY WIDE typically negotiates one contract for each personal account ("National Account Contract") for the provision of facility maintenance services for all of the national account's locations ("Top Down Account"). CITY WIDE also might be designated a preferred vendor by a regional or national account ("Preferred Vendor Account").
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 24–28)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, City Wide is not obligated to establish and maintain the National Business Development Program. While City Wide has the right to establish and maintain the program, it is not required to do so. City Wide also reserves the right to modify or discontinue the National Business Development Program at any time, provided they give written notice to franchisees. Details of the program are included in the Operating Manual and other written communications from City Wide.
The National Business Development Program focuses on attracting and servicing clients with a regional or national presence. This program may include establishing national accounts to be serviced by multiple franchisees across different territories. These national accounts may involve City Wide negotiating contracts with national companies for facility maintenance services at all of their locations, referred to as "Top Down Accounts." City Wide might also be designated as a preferred vendor by regional or national accounts, known as "Preferred Vendor Accounts."
For a prospective franchisee, this means that while City Wide may offer opportunities through the National Business Development Program, they are not guaranteed. City Wide can change or end the program, which could impact a franchisee's ability to secure national accounts. Therefore, it is important for potential franchisees to understand the current status and potential future of the National Business Development Program and to factor this uncertainty into their business planning.