How does Ledgers define the geographic region of a territory?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
The Territory will be for a specific geographic region that we define by zip codes, natural, or political boundaries as set forth in Schedule 1 to the Franchise Agreement. A territory will normally include a minimum population of approximately 65,000 residents as determined by the U.S. Census Bureau or mapping software that we feel is reliable.
We may approve relocation of the Franchised Business if we feel that conditions have changed such that a relocation represents a sound business decision.
We may grant to you approval to open additional outlet within your Territory if circumstances so permit, such as within other businesses with whom we have formed a relation, or if there is a population increase. We may grant you additional franchise territories if we feel you have the time, energy, capital, and management structure to be able to successfully open and operate another territory.
We do not grant you options, rights of first refusal, or similar rights to acquire additional franchises.
You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. However, you will receive a protected territory, meaning a geographical area within which we promise not to establish a company owned or franchised Ledgers location.
You and other franchisees may not solicit (but may accept) orders from consumers outside of your Territory, including through the use of other channels of distribution, such as the Internet, catalog sales, telemarketing, or other direct marketing, but you may engage in internet and social media marketing pursuant to our guidelines which such marketing may extend outside your Territory.
Continuation of your territorial rights depends on achieving a certain sales growth. You cannot have declining revenue during two consecutive years ("Minimum Requirements"). A year will include each fiscal year (including any partial year) ending on December 31. If you fail to meet the Minimum Requirements, then we reserve the right to establish a company-owned outlet selling the same or similar goods or services under the same or similar trademarks or service Marks.
We, our parent, and our affiliates reserve all rights not expressly granted in the Franchise Agreement. For example, we, our parent, and our affiliates have the right to:
Source: Item 12 — TERRITORY (FDD pages 32–34)
What This Means (2025 FDD)
According to Ledgers' 2025 Franchise Disclosure Document, a territory is defined as a specific geographic region using zip codes, natural boundaries, or political boundaries, as detailed in Schedule 1 of the Franchise Agreement. Ledgers aims for each territory to include a minimum population of approximately 65,000 residents, based on data from the U.S. Census Bureau or reliable mapping software.
While Ledgers does not grant exclusive territories, franchisees receive a protected territory, meaning Ledgers promises not to establish another company-owned or franchised Ledgers location within that geographical area. However, franchisees may still face competition from other franchisees, company-owned outlets, or other distribution channels and competitive brands controlled by Ledgers. Franchisees are allowed to accept orders from consumers outside their territory but are restricted from actively soliciting them, except through internet and social media marketing, which may extend beyond their territory, subject to Ledgers' guidelines.
It's important to note that the continuation of territorial rights depends on meeting certain sales growth targets. Specifically, a franchisee cannot have declining revenue for two consecutive years, with each fiscal year ending on December 31. Failure to meet these minimum requirements gives Ledgers the right to establish a company-owned outlet in the territory. Ledgers also retains the right to use other channels of distribution, such as the Internet, to solicit customers within a franchisee's territory without compensation, although they will typically direct inquiries from within the territory to the local franchisee.