What is considered a 'Non-Traditional Site' for a Stretch Zone unit?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
During the Initial Term, if you are not in default, we agree not to open the premises of a Company-Owned Unit within your Limited Protected Territory or franchise another Stretch Zone Franchise having premises located within your Limited Protected Territory, except for Non-Traditional Locations in the Protected Territory.
Source: Item 8 — Receipts. Any sale made must be in compliance with § 683(8) of the Franchise Sale Act (N.Y. Gen. Bus. L. § 680 et seq.), which describes the time period a Franchise Disclosure Document (offering prospectus) must be provided to a prospective franchisee before a sale may be made. New York law requires a franchisor to provide the Franchise Disclosure Document at the earliest of the first personal meeting or ten (10) business days before the execution of the franchise or other agreement or the payment of any consideration that relates to the franchise relationship. (FDD pages 99–263)
What This Means (2025 FDD)
I am unable to provide information about what constitutes a 'Non-Traditional Site' for a Stretch Zone franchise, according to the 2025 Franchise Disclosure Document. While the document mentions 'Non-Traditional Locations' in Section 1.3 regarding territorial rights, it does not define or describe what qualifies as such a location. The document states that Stretch Zone may open Company-Owned Units or franchise other Stretch Zone locations within a franchisee's Limited Protected Territory if they are 'Non-Traditional Locations'.
For a prospective franchisee, this lack of clarity could create uncertainty. It is important to understand what types of locations Stretch Zone considers 'Non-Traditional' because these locations are exceptions to the territorial protection a franchisee would otherwise receive. Without a clear definition, Stretch Zone could potentially open a unit near a franchisee's location, impacting their business.
To gain a better understanding, a prospective franchisee should ask Stretch Zone for a clear and comprehensive definition of 'Non-Traditional Locations.' They should inquire about specific examples of locations that would be considered 'Non-Traditional' and how these locations might impact a franchisee's protected territory. Understanding this exception is crucial for evaluating the potential risks and benefits of investing in a Stretch Zone franchise.