{"id":2820,"date":"2018-08-30T10:43:07","date_gmt":"2018-08-30T14:43:07","guid":{"rendered":"https:\/\/www.franchisesolutions.com\/blog\/?p=2820"},"modified":"2018-08-30T10:05:26","modified_gmt":"2018-08-30T14:05:26","slug":"understanding-franchise-territories","status":"publish","type":"post","link":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/","title":{"rendered":"Understanding Franchise Territories"},"content":{"rendered":"

When it comes to franchise territories, bigger doesn\u2019t always mean better. Here are some tips from Franchise Solutions\u00a0on understanding franchise territories when considering buying a franchise.<\/p>\n

\"franchise<\/a>First, check whether or not the franchise has protected territories at all. Some franchises within the business service<\/a> or home service industries, that can serve customers across the country, will most likely not be restricted by a territory because they can provide their service anywhere. A system without exclusive territories is called an open system.<\/p>\n

For those systems that do offer territories, make sure to carefully explore the rules outlining the territories in the Franchise Disclosure Document<\/a> (FDD) before deciding to buy the franchise.<\/p>\n

Find out how the territory was determined. How did the franchisor decide on the size and location of it? Franchise territories are usually designated by a geographic area say by city limits, counties or zip codes. Others are determined by population or demographics.<\/p>\n

You may want to investigate if that territory has a good conversion rate and ask if other franchisees are succeeding elsewhere based on the same territory rules. This will ensure that the franchise system has a good strategy that can generate a substantial income.<\/p>\n

Also pay close attention to any rules you see in the agreement concerning geographical restrictions on marketing or sales in the business, since these types of restrictions often provide as much or even more protection than the territory definition.<\/p>\n

Give some careful thought to the business model of the franchise to determine what seems fair to you in terms of protecting your business if you become a franchisee. Will there be enough units developed to create an advertising pool sufficient to drive the success of your business?<\/p>\n

Be sure to call a number of existing franchisees and ask them what their opinion is about the protected territories.<\/p>\n

And lastly, make sure you take the time to address all your concerns about the territories prior to becoming a franchisee. It\u2019s much easier to resolve any issues you have at this stage in the game rather than waiting until your business is up and running.<\/p>\n","protected":false},"excerpt":{"rendered":"When it comes to franchise territories, bigger doesn\u2019t always mean better. Here are some tips from Franchise Solutions\u00a0on understanding franchise territories when considering buying a franchise. First, check whether or not the franchise has protected territories at all. Some franchises within the business service or home service industries, that can serve customers across the country,… Read More »<\/a>","protected":false},"author":2305,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[699,700,698],"class_list":["post-2820","post","type-post","status-publish","format-standard","hentry","category-buying-a-franchise","tag-exclusive-territories","tag-franchise-territories","tag-protected-territories"],"yoast_head":"\nUnderstanding Franchise Territories | FranchiseSolutions.com Blog<\/title>\n<meta name=\"description\" content=\"When it comes to franchise territories, bigger doesn\u2019t always mean better. Get tips to understanding franchise territories when buying a franchise.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Understanding Franchise Territories | FranchiseSolutions.com Blog\" \/>\n<meta property=\"og:description\" content=\"When it comes to franchise territories, bigger doesn\u2019t always mean better. Get tips to understanding franchise territories when buying a franchise.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/\" \/>\n<meta property=\"og:site_name\" content=\"The Franchise Solutions Blog\" \/>\n<meta property=\"article:author\" content=\"http:\/\/www.facebook.com\/kerry.crocco.1\" \/>\n<meta property=\"article:published_time\" content=\"2018-08-30T14:43:07+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.franchisesolutions.com\/blog\/wp-content\/uploads\/2013\/10\/globe-territories-300x300.jpg\" \/>\n<meta name=\"author\" content=\"Kerry Crocco\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Kerry Crocco\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n","yoast_head_json":{"title":"Understanding Franchise Territories | FranchiseSolutions.com Blog","description":"When it comes to franchise territories, bigger doesn\u2019t always mean better. Get tips to understanding franchise territories when buying a franchise.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/","og_locale":"en_US","og_type":"article","og_title":"Understanding Franchise Territories | FranchiseSolutions.com Blog","og_description":"When it comes to franchise territories, bigger doesn\u2019t always mean better. Get tips to understanding franchise territories when buying a franchise.","og_url":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/","og_site_name":"The Franchise Solutions Blog","article_author":"http:\/\/www.facebook.com\/kerry.crocco.1","article_published_time":"2018-08-30T14:43:07+00:00","og_image":[{"url":"https:\/\/www.franchisesolutions.com\/blog\/wp-content\/uploads\/2013\/10\/globe-territories-300x300.jpg","type":"","width":"","height":""}],"author":"Kerry Crocco","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Kerry Crocco","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/#article","isPartOf":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/"},"author":{"name":"Kerry Crocco","@id":"https:\/\/www.franchisesolutions.com\/blog\/#\/schema\/person\/39eca11867a0140e42ac1a358c51a679"},"headline":"Understanding Franchise Territories","datePublished":"2018-08-30T14:43:07+00:00","mainEntityOfPage":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/"},"wordCount":356,"commentCount":0,"publisher":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/#primaryimage"},"thumbnailUrl":"https:\/\/www.franchisesolutions.com\/blog\/wp-content\/uploads\/2013\/10\/globe-territories-300x300.jpg","keywords":["exclusive territories","franchise territories","protected territories"],"articleSection":["buying a franchise"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/","url":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/","name":"Understanding Franchise Territories | FranchiseSolutions.com Blog","isPartOf":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/#primaryimage"},"image":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/#primaryimage"},"thumbnailUrl":"https:\/\/www.franchisesolutions.com\/blog\/wp-content\/uploads\/2013\/10\/globe-territories-300x300.jpg","datePublished":"2018-08-30T14:43:07+00:00","description":"When it comes to franchise territories, bigger doesn\u2019t always mean better. Get tips to understanding franchise territories when buying a franchise.","inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.franchisesolutions.com\/blog\/2018-08\/understanding-franchise-territories\/#primaryimage","url":"https:\/\/www.franchisesolutions.com\/blog\/wp-content\/uploads\/2013\/10\/globe-territories.jpg","contentUrl":"https:\/\/www.franchisesolutions.com\/blog\/wp-content\/uploads\/2013\/10\/globe-territories.jpg","width":600,"height":600,"caption":"Franchise Solutions Tip of the day - understanding franchise territories"},{"@type":"WebSite","@id":"https:\/\/www.franchisesolutions.com\/blog\/#website","url":"https:\/\/www.franchisesolutions.com\/blog\/","name":"The Franchise Solutions Blog","description":"Connecting Franchisees & Franchisors","publisher":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.franchisesolutions.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.franchisesolutions.com\/blog\/#organization","name":"The Franchise Solutions Blog","url":"https:\/\/www.franchisesolutions.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.franchisesolutions.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.franchisesolutions.com\/blog\/wp-content\/uploads\/2023\/02\/og-site-logo.png","contentUrl":"https:\/\/www.franchisesolutions.com\/blog\/wp-content\/uploads\/2023\/02\/og-site-logo.png","width":700,"height":427,"caption":"The Franchise Solutions Blog"},"image":{"@id":"https:\/\/www.franchisesolutions.com\/blog\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/www.franchisesolutions.com\/blog\/#\/schema\/person\/39eca11867a0140e42ac1a358c51a679","name":"Kerry Crocco","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.franchisesolutions.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/efa0d6361f38162e512f35835043acdcd23dbc993a7d05ad144166c91bc72a51?s=96&d=blank&r=pg","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/efa0d6361f38162e512f35835043acdcd23dbc993a7d05ad144166c91bc72a51?s=96&d=blank&r=pg","caption":"Kerry Crocco"},"description":"Kerry is the marketing coordinator for Franchise Solutions and Franchise.com. She creates and conducts email marketing campaigns, web page management and trade show coordination.","sameAs":["http:\/\/www.franchisesolutions.com","http:\/\/www.facebook.com\/kerry.crocco.1","http:\/\/www.linkedin.com\/profile\/view?id=228012012&trk=tab_pro"],"url":"https:\/\/www.franchisesolutions.com\/blog\/author\/kerry-crocco\/"}]}},"_links":{"self":[{"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/posts\/2820","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/users\/2305"}],"replies":[{"embeddable":true,"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/comments?post=2820"}],"version-history":[{"count":8,"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/posts\/2820\/revisions"}],"predecessor-version":[{"id":4473,"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/posts\/2820\/revisions\/4473"}],"wp:attachment":[{"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/media?parent=2820"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/categories?post=2820"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.franchisesolutions.com\/blog\/wp-json\/wp\/v2\/tags?post=2820"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}