For a Floyds 99 franchise, is the Designated Area exclusive?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
Your franchise is for the specific site that we approve. You must locate an acceptable site within the non-exclusive Designated Area that we specify. The site will be added to the Franchise Agreement once we accept it and you secure it. Your Designated Area is not exclusive and is only intended to give you a general indication of the area within which you may locate the site for the Franchised Location.
When you have secured the site for your Franchised Location you will be granted a protected territory which will consist of a geographic area around your Franchised Location, within which we will not establish and operate, or franchise anyone else to establish and operate, other FLOYD'S 99 Shops, as long as you are in compliance with the Franchise Agreement and subject to our reservation of rights, described below. You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we or our affiliates own, or from other channels of distribution or competitive brands that we control. This geographic area ("Protected Territory") around your Barbershop will typically be defined either as a one-mile radius around your Franchised Location, or more or less of a radius depending on the demographics in your area, or by county lines, zip code boundaries, street boundaries, natural landmarks, or similar designations. The placement of a FLOYD'S 99 Shop and the designation of a Protected Territory by us depend on various market conditions around a proposed Franchised Location, including density of population, character of the neighborhood, pedestrian counts, number of competitors in the market, site availability, parking and ingress and egress and growth potential. The determination of your Protected Territory for your Barbershop and any future Barbershop developed under a Development Agreement will be made using our then-current standards and criteria for determining Protected Territories. You may advertise your FLOYD'S 99 Shop in any geographic area, and you may serve all clients seeking your Barbershop services, but you may not solicit or accept "wholesale orders" for hair care products, sell products or services off-premises, by mail order or through catalogs or the Internet, or transship or reship products.
Source: Item 12 — TERRITORY (FDD pages 38–41)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, the Designated Area is not exclusive. The Designated Area serves only as a general indication of where a franchisee may locate their site.
Once a site is secured and approved, Floyds 99 grants a Protected Territory, which is a defined geographic area around the franchised location. Within this Protected Territory, Floyds 99 will not establish or franchise another party to establish another Floyds 99 shop, so long as the franchisee remains in compliance with the Franchise Agreement. The Protected Territory is typically defined as a one-mile radius around the franchised location, but this can vary based on demographics, county lines, zip code boundaries, or other factors.
Even with a Protected Territory, franchisees may still face competition from other franchisees, outlets owned by Floyds 99 or its affiliates, other distribution channels, or competitive brands controlled by Floyds 99. Floyds 99 also retains the right to use and license its marks and methods outside the Protected Territory and in Captive Audience Facilities such as airports, hospitals, and college campuses. Floyds 99 also retains the right to use different proprietary marks or methods in connection with the sale of products and services similar to those which franchisees sell, whether in alternative channels of distribution, including but not limited to, the Internet, or through stores which are similar to, or different from Floyds 99 Shops, at any location, and on any terms and conditions as it determines.