Does Focalpoint Coaching grant exclusive territories to its franchisees?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
You will operate the Franchised Business within a specific Territory that we first must approve. You will not receive an exclusive territory. You may face competition from other FocalPoint Franchised Business franchise owners, from outlets that we own, or from other channels of distribution or competitive brands that we control. You may operate the Franchised Business only within the approved Territory and may not relocate the Office without our approval. We will describe the Territory in the Franchise Agreement before you sign it. We will determine the size and boundaries of the Territory in our discretion, based upon factors including population density, character of neighborhood, location and number of competing businesses and other factors. While there is no minimum territory size, we typically will define a territory to include approximately 100,000 people (residents and/or workers). You have no options, rights of first refusal, or similar rights to acquire additional franchises within the Territory or in contiguous territories.
We and our affiliates may operate or grant a franchise for the operation of another FocalPoint Franchised Business from an Office located within the Territory during the term of the Franchise Agreement. We and our affiliates retain all rights with respect to FocalPoint Franchised Businesses, the Marks, the sale of identical, similar or dissimilar products and services, and any other activities we deem appropriate whenever and wherever we desire, including, but not limited to:
- (1) the right to operate, and to grant others the right to operate FocalPoint Franchised Businesses located anywhere inside or outside the Territory under any terms and conditions we deem appropriate and regardless of proximity to the Office and the Franchised Business's Territory;
- (2) the right to establish and operate, and to grant to others the right to establish and operate businesses offering similar or dissimilar products and services
Source: Item 12 — Territory (FDD pages 36–38)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, franchisees do not receive an exclusive territory. The FDD specifies that a franchisee may face competition from other Focalpoint Coaching franchise owners, outlets that Focalpoint Coaching owns, or other channels of distribution or competitive brands that Focalpoint Coaching controls. The franchisee may only operate within their approved territory and needs approval to relocate their office. Focalpoint Coaching determines the territory size based on factors like population density and the number of competing businesses, typically aiming for approximately 100,000 people. Franchisees do not have rights to acquire additional franchises within or contiguous to their territory.
Focalpoint Coaching retains several rights, including the right to operate or franchise other Focalpoint Coaching businesses within the franchisee's territory. They also have the right to establish businesses offering similar or dissimilar products and services through various channels, both inside and outside the territory. These rights can be exercised without compensating the franchisee.
While franchisees must generally advertise and solicit clients within their territory, they can provide services to clients outside the territory if the client is a personal acquaintance, was referred to them, or resulted from their indirect marketing efforts through digital media. Although Focalpoint Coaching has the right to operate businesses under different trademarks that sell similar goods or services, they do not currently have plans to do so. This lack of territorial exclusivity is a significant factor for prospective franchisees to consider, as it directly impacts the potential for competition and market saturation within their designated area.