After the Crave Franchise Agreement expires, what is the geographic limit within which I cannot own a Competitive Business to Crave?

According to Crave's 2025 Franchise Disclosure Document, following the termination of the Franchise Agreement, a franchisee is restricted from engaging in a Competitive Business within a specific geographic area. For a period of two years after the agreement ends, the franchisee cannot participate as an owner, partner, director, officer, employee, or consultant in any restaurant or food service business that features menu items substantially similar to those offered in the Crave system. This restriction applies within ten miles of the Designated Territory or any Crave outlet location.

This non-compete clause is designed to protect Crave's goodwill and unique qualities of its system by preventing former franchisees from using confidential information gained during their franchise term to compete unfairly. The agreement explicitly states that these limitations are considered reasonable in terms of time, geographical area, and scope of activity, ensuring they do not impose a greater restraint than necessary to protect Crave's business interests.

Prospective franchisees should be aware of this restriction as it could impact their future business ventures after leaving the Crave system. It is important to carefully consider the implications of this clause, especially if they plan to remain in the food service industry within the same local area. Understanding the specific boundaries of the Designated Territory and the locations of other Crave outlets will be crucial in assessing the potential impact of this non-compete agreement.