Under what condition can a Ledgers franchisee offer competitive services during the term of the Franchise Agreement?

According to Ledgers's 2025 Franchise Disclosure Document, a franchisee may not offer competitive services in the United States during the term of the Franchise Agreement unless they receive prior written consent from Ledgers. This restriction applies to all states and territories within the U.S.

This means that while the franchise agreement is in effect, a Ledgers franchisee is generally prohibited from engaging in any business activities that directly compete with the services offered by Ledgers, such as business advisory, bookkeeping, payroll, and income tax preparation. To do so, the franchisee must first obtain explicit written permission from Ledgers.

This restriction is a standard practice in franchising to protect the brand and prevent franchisees from using the franchisor's system and resources to benefit a competing business. It is important for prospective franchisees to understand this limitation and factor it into their business plans. If a franchisee wishes to diversify their business interests, they must seek approval from Ledgers to ensure they do not violate the terms of the agreement.