What is the minimum radius of the Designated Territory for a Hyper Kidz franchise?
Hyper_Kidz Franchise · 2024 FDDAnswer from 2024 FDD Document
Your Franchise Agreement will also specify a Designated Territory, which will be a minimum of 65,000 kids ages 13 & under within a 15-mile radius (Driving Distance), whichever comes first around the Approved Location. Your Designated Territory may be described in terms of street, municipal or other boundaries, and may be depicted on a map that is attached to your Franchise Agreement.
Source: Item 12 — TERRITORY (FDD pages 33–36)
What This Means (2024 FDD)
According to Hyper Kidz's 2024 Franchise Disclosure Document, the Designated Territory for a franchise is determined by either a minimum of 65,000 kids ages 13 and under or a 15-mile radius (driving distance) around the Approved Location, whichever comes first. This means that the territory size is not fixed but depends on the population density of children in the area.
For a prospective Hyper Kidz franchisee, this means the actual size of the protected territory can vary significantly. In a densely populated area, the territory might be smaller than a 15-mile radius if the 65,000 children threshold is met within a shorter distance. Conversely, in a more rural area, the territory would extend to the full 15-mile radius if the child population within that area is less than 65,000.
It is important to note that the territory is not exclusive, and Hyper Kidz retains the right to operate or franchise other businesses under different trademarks, even if they compete with the franchisee's location. The franchisee's protection is limited to the Hyper Kidz brand within the Designated Territory, and this protection is contingent upon compliance with the Franchise Agreement.