factual

How is the exclusive territory for a Coffee News franchise determined?

Coffee_News Franchise · 2025 FDD

Answer from 2025 FDD Document

The exclusive territory of each franchise is based on the 2010 census data (wwww.census.gov) for resident population within the selected area. Generally, each franchise territory should have a population of 25,000 - 50,000 and we are flexible on how many franchise territories may be available in any geographic area. You do not have the right of first refusal or similar rights to acquire additional outlets. The operations manual provides a chart for your use in determining the number of franchises that may be available within any geographic area under consideration by you. We will review and approve your proposed territory in a timely manner.

At the signing of the franchise agreement, we will grant you exclusive rights to distribute your publication of Coffee News within the agreed boundaries. Your exclusive territory is a specific geographic area where you may distribute the Periodical. Although you are allowed to distribute Coffee News only within this territory, you may solicit and accept advertisements from sources both inside and outside your territory. You may solicit advertising clients both from within your territory and outside your territory by any means that you deem appropriate. We place no restriction on outside territory solicitation. We do suggest, however, as a matter of courtesy and

to maintain harmonious relations with mutual clients and fellow publishers, that you communicate with your neighboring publisher before you enter such a publishers' territory to solicit and/or sell advertising. You may acquire additional franchise territories by proposing territories to us and we will research and tailor the boundaries of the proposed territory.

Coffee News Online may be accessed by readers outside the Territory. However, the Franchisee's publication of Coffee News Online shall be restricted to his/her/its licensed Territory and no publication shall be made to serve communities beyond the Territory. Franchisor shall provide a drop down of the area served by Franchisee's online version through Franchisor's website.

Source: Item 12 — Territory (FDD pages 21–22)

What This Means (2025 FDD)

According to Coffee News's 2025 Franchise Disclosure Document, the exclusive territory for each franchise is determined using 2010 census data, aiming for a resident population between 25,000 and 50,000 within the selected area. Coffee News is flexible regarding the number of franchise territories available in any geographic area. Before a franchise agreement is signed and initial fees are paid, the franchisee and Coffee News will agree on the boundaries of the exclusive distribution territory, ideally containing a population of 25,000 to 50,000 and 25 to 40 active restaurants.

Coffee News researches the proposed territory to ensure it doesn't overlap with existing franchises. Approval is typically granted if the area doesn't overlap with another operating publisher. Population and commerce figures are also researched to determine the number of people and restaurants within the proposed territory. This guideline is informed by discussions with current franchisees in the U.S. and Canada, as well as data from Coffee News's five company-owned franchises.

Upon signing the franchise agreement, the franchisee gains exclusive rights to distribute Coffee News within the agreed territory. While distribution is limited to this territory, franchisees can solicit and accept advertisements from sources both inside and outside their territory. Coffee News places no restrictions on soliciting advertisements outside the territory but suggests communicating with neighboring publishers as a courtesy.

Franchisees can propose additional territories, which Coffee News will research and tailor the boundaries accordingly. Although Coffee News Online can be accessed outside the franchisee's territory, the franchisee's online publication is restricted to their licensed territory. The franchisor provides a drop-down menu on its website to indicate the areas served by each franchisee's online version.

Disclaimer: This information is extracted from the 2025 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.