factual

Is a Pearce Bespoke franchisee protected from competition from other channels of distribution?

Pearce_Bespoke Franchise · 2025 FDD

Answer from 2025 FDD Document

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. If we or our affiliates solicit or accept orders within your territory, we are not required to provide any compensation.

Pearce Bespoke has established a Pearce Bespoke e-commerce site on the internet. Although Pearce Bespoke does not do so as of the issuance date of this Disclosure Document, Pearce Bespoke reserves the right to distribute products through alternative channels of distribution, including the internet (or any other existing or future form of electronic commerce), using the Marks inside or outside of the Franchised Territory. Pearce Bespoke also reserves the right to distribute products through alternative channels of distribution or establish franchised or company-owned businesses selling similar products or services under a trademark differentfrom the Marksinside or outside ofthe Franchised Territory.

Pearce Bespoke reserves the right to sell at all conventions, conferences, and other trade centers both domestically in the United States and internationally to market and sell its services solely or jointly with any of its franchisees. We reserve the rights to offer (i) other services and products not offered under the Marks, (ii) other quality custom clothing and accessories concepts or products under the Marks or other trademarks, and (iii) products or services through other channels of distribution in the Franchised Territory including, but not limited to, co-branding with other quality custom clothing and accessories businesses, and products offered through retail stores, the Internet or direct marketing. You will receive no compensation for our sales through alternative distribution channels in the Franchised Territory.

Source: Item 12 — TERRITORY (FDD pages 27–29)

What This Means (2025 FDD)

According to Pearce Bespoke's 2025 Franchise Disclosure Document, franchisees do not receive an exclusive territory and may face competition from various sources. These sources include other franchisees, outlets that Pearce Bespoke owns, other channels of distribution, and competitive brands that Pearce Bespoke controls. This means a franchisee's territory is not protected from these competitive pressures. Pearce Bespoke retains the right to solicit or accept orders within a franchisee's territory without providing any compensation to the franchisee.

Pearce Bespoke has established an e-commerce site and reserves the right to distribute products through alternative channels of distribution, including the internet or any other form of electronic commerce, using their trademarks both inside and outside the Franchised Territory. Pearce Bespoke also reserves the right to distribute products through alternative channels of distribution or establish franchised or company-owned businesses selling similar products or services under a different trademark from their own, both inside and outside the Franchised Territory.

Pearce Bespoke also reserves the right to sell at conventions, conferences, and other trade centers, both domestically and internationally, either alone or with franchisees. They can offer other services and products not offered under the Marks, other quality custom clothing and accessories concepts or products under the Marks or other trademarks, and products or services through other channels of distribution in the Franchised Territory, including co-branding, retail stores, the Internet, or direct marketing. Franchisees will not receive compensation for Pearce Bespoke's sales through these alternative distribution channels in their Franchised Territory. These factors highlight the importance of a franchisee's business acumen and marketing efforts to compete effectively within their territory.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.