Is Noodles & Company restricted from operating Noodles & Company restaurants outside of the franchisee's Protected Area?

According to the 2025 Noodles & Company Franchise Disclosure Document, Noodles & Company retains the right to operate or license others to operate Noodles & Company restaurants at any location outside of a franchisee's Protected Area. This means that while a franchisee is granted a Protected Area, Noodles & Company is not restricted from establishing other Noodles & Company locations outside of that area. This applies both to individual franchise agreements and area development agreements.

This policy allows Noodles & Company to expand its brand presence without being limited by the territories granted to franchisees. It also retains the right to operate or license restaurants within a Development Area after the Area Development Agreement terminates or expires, except within the Protected Area of an operating restaurant.

For a prospective franchisee, this means that while you will have a Protected Area where Noodles & Company will not open another restaurant during the term of your agreement, Noodles & Company can still expand outside of your territory. This is a fairly standard practice in franchising, as franchisors typically need the flexibility to grow and adapt to market conditions. Franchisees should consider this when evaluating the potential for long-term growth and competition in their market.