Where can I find the description of the Protected Territory for my Crawlspace Medic franchise?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
your travel costs and our trainer's travel costs.
ITEM 12: TERRITORY
Under the Franchise Agreement, you have the right to establish and operate one (1) Crawlspace Medic outlet within a territory, or Area of Primary Responsibility (the "Territory"). You are required to establish a warehouse/office space located within your territory. The Protected Territory will be based on a particular area surrounding your Crawlspace Medic office and will include a minimum population of fifty thousand (50,000) dwellings with crawlspaces or partial basements. The Territory will be delineated by streets, highways, Zip Codes or other readily ascertainable geographic boundaries. The Protected Territory will be described in Attachment 2 to the Franchise Agreement prior to the purchase of a franchise, or in some cases, prior to the execution of a lease agreement. Population figures will be based upon the most recent available U.S. Census data at the time the Protected Territory is designated.
If you have an adjacent open territory, you may service customers from that territory, however that revenue does not count toward your Minimum Performance Requirement.
You are required to maintain the following Minimum Performance Requirements for Total Revenue during the term of your franchise agreement.
Year 1 Year 2 Year 3 Year 4 Year 5 Minimum Performance Requirements Revenue Per Year of Agreement $225,000 $350,000 $600,000 $750,000 $900,000
Total Revenue
The revenue that makes up your Minimum Performance Requirement must come from within your protected territory. If you fail to maintain these Minimum Performance Requirements, it is considered a default of your franchise agreement and we have the right to either reduce the size of your territory or terminate the franchise relationship.
During the term of your Franchise Agreement, and provided that you are not in default of your Franchise Agreement, we will not open another Crawlspace Medic outlet or grant the right to anyone else to open a Crawlspace Medic outlet within the Territory.
Source: Item 12 — TERRITORY (FDD pages 29–30)
What This Means (2024 FDD)
According to the 2024 Crawlspace Medic FDD, the specifics of your protected territory are detailed in Attachment 2 of the Franchise Agreement. This attachment will be provided to you before you purchase the franchise, or potentially even before you sign a lease agreement.
The protected territory, referred to as the Area of Primary Responsibility, will be centered around your Crawlspace Medic office location. It will encompass a minimum of 50,000 dwellings that have crawlspaces or partial basements. The boundaries of this territory will be clearly defined using streets, highways, zip codes, or other easily identifiable geographic markers. The population data used to determine the territory size will be based on the most recent U.S. Census data available when the territory is established.
While you can service customers in adjacent open territories, the revenue generated from those areas will not count towards your Minimum Performance Requirements. To maintain your territory, you must meet specific revenue targets, which increase annually. Failing to meet these targets could result in Crawlspace Medic reducing the size of your territory or terminating the franchise agreement. Crawlspace Medic also retains the right to sell their services through alternative channels, such as the internet, within your territory.