What is the 'Regional Territory' referring to in the context of Healthsource Chiropractic Regional Developer franchises?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
Regional Developer Franchises. We previously offered franchises for regional marketing opportunities granting the right, in a specific geographic area (the "Regional Territory"), to (i) solicit, recruit, screen, and interview prospective HealthSource Chiropractic Clinic franchisees for us and (ii) to provide training and support services to Clinic franchisees in a specified Regional Territory. Although we currently do not offer new Regional Developer franchises for sale, certain Regional Developer franchises continue to operate and we reserve the right to re-commence the offer and sale of Regional Developer franchises in the future.
As of December 31, 2024, we have four (4) Regional Developer franchises with territories operating in sixteen (16) states. We offered Regional Developer franchises from February 2006 until 2016.
Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD pages 10–13)
What This Means (2025 FDD)
According to Healthsource Chiropractic's 2025 Franchise Disclosure Document, the 'Regional Territory' for Regional Developer franchises refers to a specific geographic area where the Regional Developer has the right to solicit, recruit, screen, and interview prospective HealthSource Chiropractic Clinic franchisees on behalf of Healthsource Chiropractic. Additionally, the Regional Developer provides training and support services to these Clinic franchisees within that specified region.
While Healthsource Chiropractic is not currently offering new Regional Developer franchises, some existing franchises continue to operate. As of December 31, 2024, there were four Regional Developer franchises operating in sixteen states. Healthsource Chiropractic offered these franchises from February 2006 until 2016 and retains the right to offer them again in the future.
For a prospective franchisee, understanding the role and responsibilities of a Regional Developer is important, even though new franchises are not currently being offered. If Healthsource Chiropractic resumes offering Regional Developer franchises, the 'Regional Territory' will define the scope of the developer's activities in recruiting and supporting new clinic locations. This geographic exclusivity could be a valuable asset for a Regional Developer, as it would limit competition from other developers within the same area.