What research does Coffee News conduct to determine territory suitability?
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, prior to signing an agreement and paying initial franchise fees, Coffee News will research the territory a prospective franchisee wishes to service to ensure it does not overlap with existing franchisees. The franchisor typically approves an area if it does not overlap with another operating publisher.
Coffee News also researches population and commerce figures to determine the number of people and restaurants within the proposed territory. The franchisor uses a guideline of 25,000 to 50,000 in total population and 25 to 40 active restaurants within a territory. This guideline is informed by discussions with existing franchisees in the U.S. and Canada, as well as information from Coffee News's five company-owned franchises.
This research is conducted to determine if the territory meets the optimal population and restaurant guidelines. By researching these factors, Coffee News aims to ensure that new franchisees have a reasonable opportunity for success within their exclusive territory. The franchisee has the right to solicit and accept advertisements from any source inside or outside their territory, but their distribution rights are limited to the agreed-upon territory.