What is the range of active restaurants that Coffee News considers optimal for a territory?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
Prior to purchasing any territories and to signing an agreement with us and to paying the Initial franchise fees, you and we will agree on the boundaries of your exclusive distribution territory that will optimally have a population of 25,000 to 50,000 total and 25 to 40 active restaurants (Franchise Agreement Section 1.1). Since no territory may overlap another, we will research the territory that you wish to service to determine if all or part of it is currently serviced by us or any of our franchises. We usually approve an area where you wish to publish if it does not overlap another where an existing publisher operates. We will also research population and commerce figures to determine the number of people and the number of restaurants that are contained within the proposed territory. This population/restaurant guideline is based on discussions with existing franchises in the U.S. and Canada and considers information from our 5 company-owned franchises. Upon signing the franchise agreement, you will have exclusive rights to distribute your editions of Coffee News within the agreed territory. It is important to note that you may solicit and accept advertisements from any source inside or outside your territory since the agreement limits only your distribution rights.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 17–21)
What This Means (2025 FDD)
According to the 2025 Coffee News Franchise Disclosure Document, the franchisor aims for a territory to have between 25 and 40 active restaurants. This guideline is established before signing the franchise agreement, as Coffee News and the franchisee must agree on the boundaries of the exclusive distribution territory. The franchisor also considers a population range of 25,000 to 50,000 within the territory.
Before a franchisee purchases any territories, signs an agreement, or pays initial franchise fees, Coffee News will research the territory to ensure it does not overlap with existing franchises. This includes examining population and commerce figures to determine the number of people and restaurants in the proposed territory. This population and restaurant 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.
It is important to note that while Coffee News grants exclusive distribution rights within the agreed territory, franchisees are not restricted from soliciting and accepting advertisements from sources both inside and outside their territory. The agreement only limits distribution rights, providing franchisees with flexibility in securing advertising revenue.