How will the territory for a Crave Cookies franchise be specified in the franchise agreement?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
ct to our approval.
Grant of Territory
Your franchise agreement will specify a territory, which will be determined by us. Your territory will typically have a radius of five (5) miles or a population of approximately 75,000-100,000 people, whichever is reached first. Your territory will usually be specified as a radius around your location; however, we may use other boundaries (such as county lines or other political boundaries, streets, geographical features, or trade area).
Relocation; Establishment of Additional Outlets
You do not have the right to independently relocate your business, and we have no obligation to approve any request for relocation. Our policy is to approve relocation of a franchisee's business on a case-by-case basis, considering factors such as changes in demographics, profitability of your current business, or a loss of your premises due to circumstances beyond your control.
You do not have the right to establish additional franchised outlets unless you sign a Multi-Unit Development Agreement ("MUDA") in the form attached as Exhibit C to this disclosure document. If you and we sign a MUDA, then you will have the exclusive right (unless stated otherwise) to establish a mutually-agreed number of additional outlets on a mutually-agreed schedule in a mutually-agreed territory. Under the MUDA, your right to develop additional outlets is subject to (1) you must comply with the mutually-agreed development schedule, (2) you must have sufficient financial and organizational capacity to develop, open, operate, and manage each additional Crave Cookies business, (3) you must be in compliance with all brand requirements at your open Crave Cookies business(es), and (4) you must not be in default under any other agreement with us. We will approve the location of future sites and territories for those sites, and our then-current standards for sites and territories will apply. You are not obligated to develop additional outlets under the MUDA, and you may terminate it any time without penalty. If you do not meet your development schedule in the MUDA, we have the right to terminate your right to develop additional outlets.
Options to Acquire Additional Franchises
You do not receive any options, rights of first refusal, or similar rights to acquire additional franchises.
Territory Protection
You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control.
In your franchise agreement, we grant you a protected territory. In your territory, we will not establish either a company-owned or franchised outlet selling the same or similar goods or services under the same or similar trademarks or service marks as a Crave Cookies outlet, except for restaurants located in limited access venues or non-traditional outlet. A limited access venues are venues that serve primarily the customers located within a facility, such as enclosed shopping centers, universities, churches and other religious institutions, sports stadiums, amusement parks, airports, transportation centers, hospitals, military complexes and restricted business complexes.
Source: Item 12 — TERRITORY (FDD pages 29–31)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, the franchise agreement will specify a territory determined by Crave Cookies. Typically, this territory will have a radius of five miles or a population of approximately 75,000 to 100,000 people, whichever comes first. The territory is usually defined as a radius around the franchisee's location, but Crave Cookies may use other boundaries such as county lines, political boundaries, streets, geographical features, or trade areas.
Crave Cookies does grant a protected territory in the franchise agreement. Within this territory, Crave Cookies will not establish another company-owned or franchised outlet selling the same or similar goods or services under the same trademarks. However, this protection does not extend to restaurants located in limited access venues or non-traditional outlets, such as enclosed shopping centers, universities, churches, sports stadiums, airports, hospitals, or military complexes. If the franchise is located in a limited access venue, the territory will consist of that venue only.
It is important to note that Crave Cookies retains the right to solicit or accept orders from consumers within a franchisee's territory through other channels of distribution like the internet or direct marketing, without providing any compensation to the franchisee. Franchisees are allowed to accept unsolicited orders from outside their territory, but they cannot actively solicit orders from territories owned by other franchisees without approval. Crave Cookies also reserves the exclusive right to sell products through non-traditional franchises at its discretion, both within and outside a franchisee's territory, without compensation to the franchisee.