Who determines the territory for a Crown Gold Exchange franchise?

According to Crown Gold Exchange's 2024 Franchise Disclosure Document, the franchisor, Crown Gold Franchising, determines the territory granted to a franchisee. The franchise agreement will specify a territory, which will be determined by Crown Gold Franchising. This territory typically includes a defined area, generally documented as a 50,000-population center or a 5-mile radius from the location, whichever is less. Territories are mapped based on individual market circumstances, utilizing market research and the most recent available census data to determine territory modeling conclusions.

If the specific location is not known when the franchise agreement is signed, the location is subject to Crown Gold Franchising's approval. After the franchisee finds a potential location within the Development Area and submits it to Crown Gold Franchising, the franchisor will either accept or reject the proposed location. Upon acceptance of the location, Crown Gold Franchising issues a Location Acceptance Letter, which states the location and territory.

Crown Gold Franchising determines the territory in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document. If Crown Gold Franchising fails to state the territory in writing within 60 days after the franchisee opens the business to the public, the territory will default to the zip code including the franchised business location and the immediately surrounding zip codes, comprising a total of 50,000 population. This highlights the importance of Crown Gold Exchange franchisees understanding how their territory is defined, as it impacts their exclusive rights and ability to operate without direct competition from another Crown Gold Exchange outlet.