Is the Creative World School franchise granted for a specific location?
Creative_World_School Franchise · 2025 FDDAnswer from 2025 FDD Document
The franchise is granted for a specific location that first must be approved by us (the "Site"). The Site will be located in an exclusive Market Area identified on Exhibit "B" to the Franchise Agreement. You must obtain our written consent before relocating your School. We will only approve a Site for relocation that is within your Market Area. Generally, the Market Area consists of the location of the School and the geographic area within a 5-mile radius around the location. We do not grant you any rights of first refusal, or similar rights, to acquire additional franchises.
We grant you an exclusive Market Area. Continuation or modification of your exclusive Market Area does not depend on achieving certain sales volume, market penetration, or other contingency. As long as you are in compliance with the Franchise Agreement, we will not grant a franchise to anyone else to operate, or ourselves operate, a School within your Market Area. However, we may establish other Schools (franchised or owned by us) anywhere outside of the Market Area, that may or may not compete with your location. We may establish other franchises or Company-Owned units or other channels of distribution that provide similar products or services under different trademarks.
Source: Item 12 — TERRITORY (FDD pages 47–48)
What This Means (2025 FDD)
According to the 2025 Creative World School FDD, the franchise is granted for a specific location that must be approved by the franchisor. This location, referred to as the "Site," will be situated within an exclusive Market Area, which is detailed in Exhibit "B" of the Franchise Agreement.
The FDD specifies that franchisees need to obtain written consent from Creative World School before relocating their school. Approvals for relocation are only granted if the new site is within the franchisee's designated Market Area. Typically, the Market Area encompasses the location of the school and extends to a geographic area within a 5-mile radius.
Creative World School provides franchisees with an exclusive Market Area, and its continuation isn't dependent on factors like sales volume or market penetration. As long as the franchisee adheres to the Franchise Agreement, Creative World School commits not to grant another franchise or operate a company-owned school within the franchisee's Market Area. However, Creative World School retains the right to establish other franchised or company-owned units outside the Market Area, potentially offering similar services under different trademarks.