What is an 'Outside Program' in the context of an Engineering For Kids franchise?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
erate inside your Territory if you did not directly solicit such participants. If you receive an inquiry to conduct a Program to be located in an
Assigned Area, you must refer that Program to the Engineering For Kids Business operating in that Assigned Area.
- 1.2.3. You may directly solicit participants from, and conduct Programs in, areas located outside the Territory if those participants and/or Programs are not located in an Assigned Area (an "Open Area") and the following requirements are met. You may only solicit participants from, and conduct Programs in, Open Areas located within twenty-five (25) miles of your Territory. If you are conducting a Program in an Open Area (an "Outside Program") and that area later becomes an Assigned Area, then you must immediately give control of the Outside Program to the Engineering For Kids Business franchisee for that Assigned Area.
Source: Item 23 — RECEIPTS (FDD pages 53–138)
What This Means (2025 FDD)
According to Engineering For Kids' 2025 Franchise Disclosure Document, an 'Outside Program' refers to a program that a franchisee conducts in an 'Open Area'. An 'Open Area' is defined as an area located outside of the franchisee's territory that is not already assigned to another Engineering For Kids franchisee.
In practical terms, this means a franchisee can solicit participants and conduct programs in areas not already claimed by another franchisee, provided they meet certain requirements. The FDD specifies that these 'Open Areas' must be located within twenty-five (25) miles of the franchisee's territory.
However, if an area where a franchisee is conducting an 'Outside Program' subsequently becomes assigned to a new franchisee, the original franchisee must immediately transfer control of the 'Outside Program' to the new franchisee for that assigned area. Once an 'Open Area' becomes an 'Assigned Area', the original franchisee can no longer solicit participants or conduct programs there, except to the extent necessary to fulfill any existing commitments.