What are some examples of 'Non-Traditional Sites' where Crisp & Green may operate within a franchisee's Designated Area?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
Certain sites, locations, or venues have characteristics that make them distinct from locations that could generally be developed into Restaurants, such as sites that independently generate customer traffic flow separate from the general customer traffic flow of the surrounding area, or that by their nature are not tied to a particular physical location ("Non-Traditional Sites"). Non-Traditional Sites include: military bases; shopping malls (whether open-air or enclosed); large big-box retail outlets; transportation-related venues (e.g., airports, train or bus stations, marinas, travel plazas or toll roads); sports or entertainment venues (e.g., stadiums, arenas, concert halls); major industrial or office complexes, hotels, educational facilities (e.g., school, college, and university campuses); casinos; fitness centers, hospitals and related rehabilitation or healthcare facilities; governmental institutions; amusement or recreational facilities (e.g., theme parks, outdoor municipal parks, zoos, or museums); grocery stores or departments stores; mobilebased channels of distribution (e.g., food trucks); and any co-branding locations or business endeavors where a Restaurant's operations are inextricably associated with, or such operations are contained within or sharing the same physical building or operational premises as, another business (such as, for example and without limitation, a gas/convenience store or another restaurant concept). Non-Traditional Sites are specifically excluded from your Designated Area and Development Area, meaning that we have the right to develop Restaurants or license to others the right to develop Restaurants at Non-Traditional Sites located within the borders of your Designated Area or Development Area.
Source: Item 12 — TERRITORY (FDD pages 44–47)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, non-traditional sites are locations that generate customer traffic independently from the surrounding area or are not tied to a specific physical location. These sites are excluded from a franchisee's designated area, allowing Crisp & Green to operate or license others to operate within these locations, even if they fall within a franchisee's designated territory. This means a franchisee will not have exclusive rights over these specific locations.
Examples of non-traditional sites where Crisp & Green may establish restaurants include military bases, shopping malls (both open-air and enclosed), large big-box retail outlets, and transportation venues like airports, train stations, bus stations, marinas, travel plazas, and toll roads. Other examples are sports and entertainment venues such as stadiums, arenas, and concert halls, as well as major industrial or office complexes, hotels, educational facilities (schools, colleges, and universities), casinos, fitness centers, hospitals, rehabilitation or healthcare facilities, and governmental institutions.
Further examples of non-traditional sites include amusement or recreational facilities like theme parks, outdoor municipal parks, zoos, and museums, as well as grocery stores or department stores. Mobile-based channels of distribution, such as food trucks, also qualify as non-traditional sites. Additionally, any co-branding locations or business endeavors where a Crisp & Green restaurant's operations are closely associated with another business, such as a gas/convenience store or another restaurant concept, are considered non-traditional sites. This broad definition of non-traditional sites means that Crisp & Green retains significant flexibility in establishing locations within or near a franchisee's territory, which could impact the franchisee's potential customer base and revenue.
Because Crisp & Green retains the right to develop restaurants at non-traditional sites within a franchisee's designated area, the franchisee does not receive an exclusive territory. This could lead to competition from other franchisees, company-owned outlets, or other distribution channels controlled by Crisp & Green. Prospective franchisees should carefully consider the implications of this non-exclusivity and the potential for competition from non-traditional sites when evaluating the franchise opportunity.