What is Eos Worldwide's expectation regarding clearing potentially conflicting ventures?
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
But those that do or might, we expect that you will clear those with us as part of this process.
When considering your next steps, please consider these simple rules:
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- Don't damage the EOS brand, use EOS Intellectual Property, or compete with either EOS Worldwide or the EOS Implementer Community
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- Don't use the EOS brand or any EOS brand assets without our express written permission, and
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- Ask us for input before investing any time or money.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 53–54)
What This Means (2025 FDD)
According to Eos Worldwide's 2025 Franchise Disclosure Document, franchisees are expected to clear any ventures that could potentially create a conflict of interest with the Eos Worldwide brand or their business. This process is referred to as an "Item 16" review. While Eos Worldwide does not require franchisees to operate their EOS business full-time, franchisees may not engage in activities that are competitive or create a conflict of interest.
Not every income-producing venture requires this review. For example, a purely passive investment unrelated to business operating systems typically would not need an "Item 16" review. However, if a franchisee is creating, pursuing, or even in the planning stages of a separate venture alongside their Eos Implementer Franchised Business, they may be required to clear it with Eos Worldwide through the "Item 16" review process.
Eos Worldwide has established guidelines in the Operations Manual to define acceptable and unacceptable outside opportunities. As part of the evaluation process for new franchisees, Eos Worldwide may ask a series of questions to determine if a franchisee is engaged in any outside opportunities that could create a conflict of interest. Franchisees are expected to seek input from Eos Worldwide before investing time or money in potentially conflicting ventures and adhere to the rules of not damaging the Eos brand, using Eos Intellectual Property, or competing with Eos Worldwide or the Eos Implementer Community.