Will a Devon Creek franchisee receive compensation for Franchisor's sales through Alternate Distribution Channels within their territory?

According to the 2024 Devon Creek Franchise Disclosure Document, a franchisee will not receive compensation for the franchisor's sales through Alternate Distribution Channels within their territory. Devon Creek reserves the right to offer services and products through other channels of distribution, including co-branding, retail stores, the Internet, or direct marketing. These are considered "Alternate Channels of Distribution."

Devon Creek also reserves the right to solicit, sell to, negotiate rates with, and service National Accounts, which are customers with multiple locations or properties, such as real estate firms and property management companies. The franchisor may offer the franchisee the right to service National Accounts within their territory under negotiated terms. However, if the franchisee declines, Devon Creek can service these accounts directly or allow another franchisee to do so.

This policy means that a Devon Creek franchisee's revenue may be limited to sales generated through their own efforts within their territory. The franchisee will not benefit financially from sales made by Devon Creek through alternate channels or from National Accounts that the franchisee does not service. This is a significant consideration for prospective franchisees, as it impacts their potential earnings and market reach within their designated territory.