Where is the approved Floors To Go showroom location specified?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
As part of the FTG System, FTG will grant territorial rights to you which are officially identified in Schedule "A" of the Membership Agreement. FTG will not open any companyowned Floors To Go Showrooms or permit other franchised Floors To Go Showrooms to be located within your territory. Your territory will be determined based on the factors that we deem relevant, which might include population, traffic flow, presence of businesses, location of competitors (including other showrooms), demographics, and other market conditions. You agree to conduct your business at the location designated in Schedule "A" of the Membership Agreement and in no other location. Schedule "A" to the Membership Agreement will include the location of your principal place of business (the approved Showroom location) and a description of your territory. If your territory is defined as a radius, it will be measured from your approved Showroom. Otherwise, the boundaries of a territory are typically designated by streets or by the political boundaries of cities as they exist on the date the Membership Agreement is signed.
FTG, under Section 1.2 of the Membership Agreement, specifically agrees that it will not open or license any other person or entity to open a Showroom using FTG's trade name or service marks within your territory designated in Schedule "A" to the Membership Agreement.
Source: Item 12 — TERRITORY (FDD pages 27–30)
What This Means (2025 FDD)
According to the 2025 Floors To Go Franchise Disclosure Document, the approved showroom location is specified in Schedule "A" of the Membership Agreement. This schedule includes the location of the franchisee's principal place of business, which serves as the approved showroom location, and a description of the territory granted to the franchisee. The territory's boundaries are typically designated by streets or the political boundaries of cities as they exist when the Membership Agreement is signed, or measured by radius from the approved showroom location. Floors To Go agrees not to open or license any other showroom using its trade name within the territory designated in Schedule "A".
This means that a prospective Floors To Go franchisee needs to carefully review Schedule A of the Membership Agreement to understand the exact location of their approved showroom and the boundaries of their territory. This is crucial for assessing the market potential and competitive landscape. The franchisee is required to conduct business only at the location specified in Schedule A and no other location, so it is important to ensure the location is suitable for their business needs.
On renewal or relocation of a franchise, the territory may be modified. If the territory is larger than Floors To Go's then-current standard territory, the franchisee may be required to accept a smaller renewal or transfer territory. While franchisees can solicit orders from outside their territory, they cannot use other channels of distribution to make sales outside their territory. This could limit a franchisee's ability to expand their customer base beyond their designated area.