Could I face competition within my Ledgers territory from outlets that Ledgers owns?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
ement 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.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to Ledgers's 2025 Franchise Disclosure Document, as a franchisee, you may face competition from various sources, including outlets that Ledgers owns. While you will receive a protected territory, this protection is limited to preventing Ledgers from establishing another company-owned or franchised Ledgers location within your defined geographical area.
However, the FDD clarifies that this protected territory does not guarantee exclusivity. You may still encounter competition from other franchisees, outlets that Ledgers owns, other channels of distribution, or competitive brands that Ledgers controls. This means that even within your territory, clients may choose other service providers, including other Ledgers franchisees or company-owned outlets, especially through channels like the Internet, catalog sales, or telemarketing.
Ledgers is not obligated to compensate you for sales solicited or accepted from clients inside your territory by these other channels. However, Ledgers states that they will normally direct inquiries for services from within your territory to your franchise business. Furthermore, Ledgers or its affiliates may make sales within your territory using trademarks different from the ones you will use under the Franchise Agreement. For example, their affiliate ATAX LLC d/b/a ATAX offers similar franchise opportunities.