Can a Ledgers franchisee accept orders from consumers outside of their territory?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
s 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.
Source: Item 12 — TERRITORY (FDD pages 32–34)
What This Means (2025 FDD)
According to Ledgers's 2025 Franchise Disclosure Document, franchisees are generally restricted from actively soliciting business outside of their designated territory. However, they are permitted to accept orders from customers who are located outside of their territory. This means that while a franchisee cannot directly target marketing efforts or sales activities towards individuals or businesses in other territories, they are allowed to fulfill orders that originate from those areas.
This policy has important implications for Ledgers franchisees. It allows them to capture business from customers who may find them through online searches or word-of-mouth referrals, even if those customers are not located within the franchisee's primary service area. However, it also means that franchisees must rely on passive marketing strategies to attract customers from outside their territory, as active solicitation is prohibited. This could include optimizing their website for search engines, participating in social media marketing, and encouraging customer referrals.
Ledgers also retains the right to use other channels of distribution, such as the Internet, to solicit or accept customers within a franchisee's territory without compensation to the franchisee. However, Ledgers will normally direct inquiries for services from within the franchisee's territory to their franchised business. This highlights the importance of franchisees focusing on providing excellent service and building strong relationships with their local customer base to maintain a competitive advantage within their territory. Franchisees should also be aware that ATAX franchisees, an affiliate of Ledgers, may solicit or accept orders from within their territory, even though they typically target a different client base.