Is a Stretch Zone franchisee allowed to solicit business from consumers outside their DMA?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
You will not solicit business from consumers outside your DMA, including through other channels of distribution, such as the Internet, catalog, sales, telemarketing, or other direct marketing. You must operate the Franchise Business only at the location described in Section 1.2 of the Franchise Agreement. You do not have the right to use other channels of distribution to provide services to customers without our prior written consent.
Source: Item 12 — ITEM -12 TERRITORY (FDD pages 54–58)
What This Means (2025 FDD)
According to Stretch Zone's 2025 Franchise Disclosure Document, franchisees are restricted from soliciting business from consumers outside of their Designated Market Area (DMA). The FDD specifies that franchisees cannot solicit business outside their DMA through various channels, including the Internet, catalogs, telemarketing, or other direct marketing methods. This restriction ensures that franchisees primarily focus their marketing and operational efforts within their defined territory.
This limitation has significant implications for prospective Stretch Zone franchisees. It means that their marketing strategies and advertising campaigns must be carefully targeted to reach consumers within their DMA. Franchisees need to be aware of the boundaries of their DMA and ensure that their promotional activities do not extend beyond these limits. This restriction could impact the potential customer base and revenue streams, as franchisees are unable to actively pursue customers in other geographic areas.
While franchisees are restricted from soliciting business outside their DMA, Stretch Zone and its affiliates retain the right to engage in activities they deem appropriate, unless expressly prohibited by the Franchise Agreement. This includes establishing and operating units outside the Limited Protected Territory and using various methods of distribution. This provision highlights that Stretch Zone can pursue business opportunities outside of a franchisee's DMA, which could potentially create competition or overlap in certain markets. Franchisees should carefully consider these factors and understand the potential impact on their business operations and revenue potential.