If a site selection area is identified in my Cream Franchise Agreement, what is its purpose?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
If we identify a site selection area in your Franchise Agreement, that area is strictly to limit your site selection activities. You will receive no territorial protection of any kind in the site selection area, or any other geographic area, other than your Protected Territory.
Source: Item 12 — TERRITORY (FDD pages 35–39)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, if a site selection area is identified in the Franchise Agreement, its sole purpose is to limit where the franchisee can look for potential locations. Cream franchisees should understand that this designated area does not offer any territorial protection.
Cream emphasizes that franchisees will not receive any territorial protection within the site selection area or any other geographic area, except for the Protected Territory, if one is eventually designated. This means that even within the site selection area, Cream retains the right to establish other Cream locations or allow other franchisees to operate, which could directly compete with a new franchisee's location.
This lack of territorial protection is a critical point for prospective franchisees. While a site selection area might guide the initial search for a location, it does not guarantee exclusivity or protection from competition within that area. Franchisees need to be aware that Cream and its affiliates can conduct business activities of any kind in any location, including the site selection area, without restriction.