Does the Kitchen Solvers franchise agreement prohibit involvement in any construction or remodeling business during the franchise term?
Kitchen_Solvers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement (FA) | Summary | |
|---|---|---|---|
| q. | Non-competition covenants during the term of the franchise | FA: Paragraph 10D | No direct or indirect involvement by you or your personal guarantors in the operation of any construction or remodeling business or any other business selling products and services similar to those sold by your Business. |
| r. | Non-competition covenants after the franchise is terminated or expires | FA: Paragraph 10D | No competing business for 2 years within the Territory, or within 25 miles of the outer boundary of your Territory or 25 miles of the outer boundary of another franchisee’s territory. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 36–40)
What This Means (2025 FDD)
According to Kitchen Solvers's 2025 Franchise Disclosure Document, the franchise agreement includes non-competition covenants that restrict a franchisee's involvement in similar businesses during the franchise term. Specifically, franchisees and their personal guarantors are prohibited from direct or indirect involvement in the operation of any construction or remodeling business, or any business selling similar products and services to Kitchen Solvers. This restriction is detailed in Paragraph 10D of the Franchise Agreement.
This non-competition covenant means that during the term of the Kitchen Solvers franchise, a franchisee cannot own, operate, or be involved in any competing business. This includes construction, remodeling, or businesses that sell similar products or services. The restriction applies not only to the franchisee but also to their personal guarantors, ensuring a broad scope of enforcement. This is a fairly standard practice in franchising to protect the brand and the franchise system from internal competition.
After the franchise agreement terminates or expires, the non-competition covenant continues for a period of two years. During this time, the franchisee is restricted from engaging in a competing business within the territory, or within 25 miles of the outer boundary of their territory, or within 25 miles of another franchisee’s territory. This post-term restriction is also found in Paragraph 10D of the Franchise Agreement. These measures are in place to prevent a former franchisee from using the knowledge and experience gained during their time with Kitchen Solvers to directly compete against the franchise system shortly after leaving.
For a prospective Kitchen Solvers franchisee, it is crucial to understand the full scope and implications of these non-competition covenants. They should carefully review Paragraph 10D of the Franchise Agreement to fully understand the restrictions during and after the franchise term. It is also advisable to seek legal counsel to assess how these covenants may impact their future business opportunities.