If I sell my Cool Binz franchise, what is the duration of the non-compete agreement I must agree to?

According to the 2025 Cool Binz Franchise Disclosure Document, if you sell your Cool Binz franchise, you must agree not to compete for 18 months after the sale. This non-compete applies to the leasing of portable storage containers within a 50-mile radius extending from the boundaries of the Cool Binz territory you sold. This agreement is a condition for Cool Binz's approval of your purchaser as a new franchisee.

This non-compete agreement ensures that the value of the Cool Binz franchise remains protected for the buyer. It prevents the seller from immediately starting a competing business and taking away existing customers or undermining the new franchisee's efforts to establish themselves in the territory. The 50-mile radius provides a defined geographic boundary for the restriction.

However, the FDD specifies that these non-competition provisions do not create or imply any additional restrictions upon your ownership of other Cool Binz franchise businesses in and around this geographic area. This means that if you own other Cool Binz franchises, the sale of one franchise and the associated non-compete agreement will not prevent you from continuing to operate your other Cool Binz businesses.

It is important to note that this non-compete agreement is between you, your purchaser, and Cool Binz. It is a legally binding agreement that you must adhere to if you wish to sell your franchise and have the purchaser approved by Cool Binz. Prospective franchisees should carefully consider the implications of this non-compete agreement before purchasing a Cool Binz franchise, especially if they anticipate selling the franchise in the future.