What is the definition of 'Closed Market' in the Deer Solution Franchise Agreement?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
- "Captive Market" refers to and means any and all facilities, venues, and/or institutions with captive audiences or consumers, workers, members and/or participants.
Without limitation to the foregoing, the term Captive Market shall further refer to and include, among other things: airports, transportation stations, factories, government facilities, military bases, hospitals, amusement parks, recreational parks and facilities, schools, colleges, malls, and limited access venues.
- "Closed Market" refers to and means any and all Captive Market and Corporate Account customers that presently, or in the future, are located within Franchisee's Operating Territory.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to the 2025 Deer Solution Franchise Disclosure Document, a 'Closed Market' is defined as any Captive Market and Corporate Account customers that are currently or will be located within a franchisee's Operating Territory.
The FDD also defines 'Captive Market' as facilities, venues, or institutions with captive audiences, consumers, workers, members, or participants. Examples of Captive Markets include airports, transportation stations, factories, government facilities, military bases, hospitals, amusement parks, recreational parks and facilities, schools, colleges, malls, and limited access venues.
This definition is important for prospective Deer Solution franchisees because it clarifies the scope of their operating territory and the types of customers they are entitled to serve. Understanding the distinction between 'Closed Markets' and other potential customers within the territory is crucial for developing an effective marketing and sales strategy. Franchisees should discuss with Deer Solution how the existence of Closed Markets might affect their revenue projections and business operations.