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FRANCHISOR AREA DEVELOPMENT PROGRAM

These items are included in the plan for new and established Franchisors to market exclusive areas to multiple unit owners of their Franchises. This program is a separate addition to the Signature Franchise Development Plan for new Franchisors and is not included in that plan. The Area Development Plan allows a franchisor to market a number of franchises to a single area developer over a specified time period.

A percentage of the initial franchise fee for every franchise sold and to be opened in the territory awarded to the Area Developer is divided between the Franchisor and the Area Developer at a price specified in the FDD. The Area Developer also receives a share of the ongoing Royalties from each Franchise sold in the exclusive territory, at a price specified in the FDD.

Preparation of Franchise Development Agreement (FDD) for Area Developer Franchisors

Signature Franchising will prepare the FDD, including the Franchise Agreement and all Exhibits specifically designed for the area developer. This document will spell out exactly the terms of the agreement, showing all of the terms, conditions and obligations of the Area Developer, including the responsibilities for opening each franchise unit within a specified time-frame.

 

  • Deposit Agreement & Initial Franchise Fee
  • Confidentiality & Non-Competition Agreement
  • Area Development Agreement
  • Site Selection Criteria  
  • Operation Manual Table of Contents
  • Franchisee Compliance Certification
  • State Specific Addendum to the Disclosure Document, including Franchise Agreement
  • Description of Exclusive Territory
  • Term of Area Agreement
  • Initial  Area Development Fee
  • Royalty Fee Structure for Franchisor

Preparation of Area Development Manuals

A Pre-Opening manual & Operations Manuals will be prepared by Signature Franchising, which will detail all procedures necessary to operate as an Area Developer-Franchisee. These manuals will show in detail to the Area Developer the requirements necessary to operate your Franchise System in the exclusive territory.

Introduction to the Manuals

Introduction to your Franchise System

Pre-Opening Procedures

Personnel

Daily Operating Procedures

Sales Procedures

Marketing of Franchises
 

Licensing of Trade-Marks to Area Developer

Signature Franchising will prepare documentation for the assignment of your Franchise Trademark to the Area Developer for the establishment and ongoing promotion of your Brand to the public. Area Developer will be allowed to utilize these trademarks and trade names in the promotion of the Franchise within the exclusive development area.

Grant of Territory Development Rights

The Area Developer is granted the right to open and operate Franchises and to make available franchises to other franchisees within the exclusive Territory. The Area Developer is responsible to support the franchises within the exclusive Territory to a large extent as specified in the FDD. An Area Developer fee is typically paid to the Franchisor, based on the size, population concentration and other variables. Franchise fees and royalties collected from Franchises in the Territory will  be divided between the Franchisor and the Area Developer, as specified in the FDD.

Execution and Scheduling of Individual Franchise Agreements.

Termination Rights Of Franchisor

Obligations Upon Termination Or Expiration

Obligations upon Termination With Reversion of Rights to Franchisor

Indemnification of Franchisor by Area Developer

Disputes Subject to Arbitration, Venue and Jurisdiction

Enforcement of Covenants

Re-sale  of Area Development Rights by Franchisee Area Developer

Franchisor Option to Purchase Area Rights

Area Development Completion of Expansion Schedule

Each Development Area is evaluated for market potential to ensure that it is capable of supporting enough franchise outlets to provide a cash stream for its’ Area Franchise Developers. Area Franchises are granted to individuals and companies who demonstrate strong skills in managing multiple locations, abiding by a development schedule and on a local basis. Area Franchise Developers will have the right to assist in marketing franchises in their awarded territory. Revenue opportunities come from initial franchise fees, training fees, royalties and resale fees coming from the local franchise units within the awarded territory.

While enjoying this exciting income potential, Area Franchise Developers will simultaneously be building their own business equity as their local network grows in size and reputation. Area Franchise Developers will also be encouraged to operate their own units and can enjoy the income of these commercial operations. Upon award of an Area Franchise, the Area Franchise Developer commits to paying the initial fee and assumes the duties of bringing new Unit Franchises into the network.

Once new franchises are granted, the Area Developer supervises and directs the site location and opening of the new stores as well as providing assistance in the development of these businesses. 

It is important that Area Franchise Developers are successful in developing the number of franchise outlets allocated as quickly as possible in order to recoup their investment and fund the Area Franchise organization, thus will justify the necessary and proportionate support structure.

Assignment of Area Agreement:

1.    Terms required of Area Developer.

2.    Terms acceptable by Franchisor.

3.    Franchisor Assignment of Territory Fees

Area Developer’s Covenants, None Compete

1.    In-Term Covenant None Compete and Post-Term Covenant None Compete.

U.S.A. DMA MAP

Designates all 210 Markets Designated Market Areas in the United States, detailing each county and state for Single Unit and Area Franchise Development Sales. The DMA system is a nationally accepted standard by all Media. The DMA map is an excellent method of awarding territories to area developers and multi-unit Franchisee's.

DMA Map

  • 1 New York 7,493,530 20,093,347 2.68

  • 2 Los Angeles 5,659,170 17,036,504 3.01

  • 3 Chicago 3,501,010 9,381,467 2.68

  • 4 Philadelphia 2,955,190 7,444,967 2.52

  • 5 Dallas-Ft. Worth 2,544,410 6,786,334 2.67

  • 6 San Francisco-Oak-San Jose 2,503,400 6,718,840 2.68

  • 7 Atlanta 2,387,520 6,316,859 2.65

  • 8 Boston (Manchester) 2,410,180 5,983,812 2.48

  • 9 Washington, DC (Hagerstown) 2,335,040 5,935,943 2.54

  • 10 Houston 2,123,460 5,883,467 2.77

  • 11 Phoenix (Prescott) 1,873,930 4,982,357 2.66

  • 12 Detroit 1,890,220 4,757,983 2.52

  • 13 Seattle-Tacoma 1,833,990 4,492,765 2.45

  • 14 Minneapolis-St. Paul 1,732,050 4,283,492 2.47

  • 15 Tampa-St. Pete (Sarasota) 1,805,810 4,177,920 2.31

  • 16 Miami-Ft. Lauderdale 1,538,090 4,104,449 2.67

  • 17 Denver 1,539,380 3,839,416 2.49

  • 18 Sacramento-Stockton-Modesto 1,404,580 3,837,728 2.73

  • 19 Cleveland-Akron (Canton) 1,520,750 3,668,743 2.41

  • 20 Orlando-Daytona Bch-Melbourne 1,455,620 3,561,548 2.45

  • 21 St. Louis 1,249,450 3,048,858 2.44

  • 22 Portland, OR 1,188,770 2,994,368 2.52

  • 23 San Diego 1,073,390 2,889,035 2.69

  • 24 Charlotte 1,147,910 2,828,148 2.46

  • 25 Salt Lake City 944,060 2,826,515 2.99

  • 26 Raleigh-Durham (Fayetville) 1,107,820 2,726,148 2.46

  • 27 Baltimore 1,093,170 2,720,118 2.49

  • 28 Indianapolis 1,119,760 2,704,483 2.42

  • 29 Pittsburgh 1,154,950 2,663,615 2.31

  • 30 Nashville 1,019,010 2,483,920 2.44

  • 31 Hartford & New Haven 1,010,630 2,472,114 2.45

  • 32 Kansas City 941,360 2,298,002 2.44

  • 33 Cincinnati 918,670 2,261,716 2.46

  • 34 San Antonio 830,000 2,259,437 2.72

  • 35 Milwaukee 901,790 2,183,639 2.42

  • 36 Columbus, OH 904,030 2,178,783 2.41

  • 37 Greenvll-Spart-Ashevll-And 865,810 2,039,502 2.36

  • 38 Las Vegas 721,780 1,889,396 2.62

  • 39 Grand Rapids-Kalmzoo-B.Crk 740,430 1,878,788 2.54

  • 40 Harrisburg-Lncstr-Leb-York 743,420 1,820,476 2.45

  • 41 West Palm Beach-Ft. Pierce 776,080 1,820,181 2.35

  • 42 Fresno-Visalia 579,180 1,817,626 3.14

  • 43 Birmingham (Ann and Tusc) 742,140 1,764,377 2.38

  • 44 Norfolk-Portsmth-Newpt Nws 709,880 1,761,530 2.48

  • 45 Albuquerque-Santa Fe 694,040 1,746,794 2.52

  • 46 Austin 678,730 1,743,018 2.57

  • 47 Memphis 667,660 1,675,981 2.51

  • 48 Jacksonville 679,120 1,673,528 2.46

  • 49 Oklahoma City 694,030 1,662,429 2.40

  • 50 Greensboro-H.Point-W.Salem 691,380 1,644,404 2.38

  • 51 New Orleans 633,930 1,613,446 2.55

  • 52 Louisville 668,310 1,595,863 2.39

  • 53 Providence-New Bedford 619,610 1,512,733 2.44

  • 54 Buffalo 633,220 1,493,990 2.36

  • 55 Wilkes Barre-Scranton 593,480 1,401,126 2.36

  • 56 Little Rock-Pine Bluff 564,490 1,345,718 2.38

  • 57 Richmond-Petersburg 553,950 1,334,922 2.41

  • 58 Mobile-Pensacola (Ft Walt) 534,730 1,303,860 2.44

  • 59 Albany-Schenectady-Troy 554,070 1,293,543 2.33

  • 60 Tulsa 528,070 1,285,676 2.43

  • 61 Knoxville 552,380 1,279,507 2.32

  • 62 Honolulu 433,240 1,214,966 2.80

  • 63 Lexington 506,340 1,179,226 2.33

  • 64 Harlingen-Wslco-Brnsvl-McA 354,150 1,174,745 3.32

  • 65 Charleston-Huntington 501,530 1,159,311 2.31

  • 66 Ft. Myers-Naples 500,110 1,158,634 2.32

  • 67 Tucson (Sierra Vista) 465,100 1,142,859 2.46

  • 68 Dayton 482,590 1,141,851 2.37

  • 69 Wichita-Hutchinson Plus 452,710 1,118,832 2.47

  • 70 Flint-Saginaw-Bay City 458,020 1,112,972 2.43

  • 71 Green Bay-Appleton 443,420 1,061,393 2.39

  • 72 Roanoke-Lynchburg 461,220 1,047,250 2.27

  • 73 Spokane 419,350 1,030,644 2.46

  • 74 Des Moines-Ames 432,310 1,029,792 2.38

  • 75 Toledo 423,100 1,011,149 2.39

  • 76 Omaha 410,350 1,006,693 2.45

  • 77 Springfield, MO 422,740 996,681 2.36

  • 78 Rochester, NY 392,190 956,197 2.44

  • 79 Columbia, SC 398,620 953,628 2.39

  • 80 Shreveport 386,180 944,670 2.45

  • 81 Portland-Auburn 408,120 942,908 2.31

  • 82 Huntsville-Decatur (Flor) 390,900 937,374 2.40

  • 83 Syracuse 385,440 924,612 2.40

  • 84 El Paso (Las Cruces) 310,760 920,462 2.96

  • 85 Paducah-Cape Girard-Harsbg 399,690 920,364 2.30

  • 86 Madison 377,260 898,029 2.38

  • 87 Champaign&Sprngfld-Decatur 384,620 891,287 2.32

  • 88 Chattanooga 365,400 882,965 2.42

  • 89 Waco-Temple-Bryan 339,570 875,399 2.58

  • 90 Jackson, MS 336,520 852,742 2.53

  • 91 South Bend-Elkhart 336,130 847,845 2.52

  • 92 Colorado Springs-Pueblo 334,710 841,679 2.51

  • 93 Baton Rouge 326,890 829,632 2.54

  • 94 Cedar Rapids-Wtrlo-IWC&Dub 346,030 817,513 2.36

  • 95 Savannah 322,030 796,706 2.47

  • 96 Burlington-Plattsburgh 330,650 781,562 2.36

  • 97 Tri-Cities, TN-VA 334,620 754,714 2.26

  • 98 Charleston, SC 311,190 752,498 2.42

  • 99 Ft. Smith-Fay-Sprngdl-Rgrs 298,330 748,681 2.51

  • 100 Davenport-R.Island-Moline 308,910 732,776 2.37

  • 101 Myrtle Beach-Florence 287,400 692,140 2.41

  • 102 Johnstown-Altoona-St Colge 294,350 691,946 2.35

  • 103 Bakersfield 222,910 687,499 3.08

  • 104 Evansville 291,830 686,227 2.35

  • 105 Greenville-N.Bern-Washngtn 290,280 685,580 2.36

  • 106 Boise 262,800 683,173 2.60

  • 107 Reno 270,500 682,259 2.52

  • 108 Ft. Wayne 273,860 680,456 2.48

  • 109 Monterey-Salinas 227,390 671,462 2.95

  • 110 Tallahassee-Thomasville 280,710 670,859 2.39

  • 111 Tyler-Longview(Lfkn&Ncgd) 267,890 670,624 2.50

  • 112 Lincoln & Hastings-Krny 281,590 669,431 2.38

  • 113 Springfield-Holyoke 262,960 636,767 2.42

  • 114 Augusta-Aiken 255,950 633,995 2.48

  • 115 Youngstown 266,560 631,884 2.37

  • 116 SantaBarbra-SanMar-SanLuOb 241,370 628,261 2.60

  • 117 Sioux Falls(Mitchell) 261,100 627,405 2.40

  • 118 Lansing 253,690 614,513 2.42

  • 119 Yakima-Pasco-Rchlnd-Knnwck 219,510 608,628 2.77

  • 120 Macon 239,330 592,990 2.48

  • 121 Peoria-Bloomington 247,830 592,396 2.39

  • 122 Lafayette, LA 230,180 583,879 2.54

  • 123 Montgomery-Selma 244,750 583,560 2.38

  • 124 Traverse City-Cadillac 245,000 575,551 2.35

  • 125 Eugene 241,730 571,374 2.36

  • 126 Fargo-Valley City 240,330 552,627 2.30

  • 127 Corpus Christi 199,560 531,265 2.66

  • 128 La Crosse-Eau Claire 214,820 517,291 2.41

  • 129 Columbus, GA (Opelika, AL) 213,880 513,789 2.40

  • 130 Chico-Redding 197,970 492,314 2.49

  • 131 Amarillo 192,490 487,953 2.53

  • 132 Rockford 189,160 477,508 2.52

  • 133 Columbus-Tupelo-West Point-Houston 189,460 461,767 2.44

  • 134 Palm Springs 161,110 442,564 2.75

  • 135 Wausau-Rhinelander 184,720 435,949 2.36

  • 136 Monroe-El Dorado 177,200 434,154 2.45

  • 137 Topeka 180,090 428,909 2.38

  • 138 Wilmington 189,950 426,440 2.25

  • 139 Columbia-Jefferson City 178,810 421,475 2.36

  • 140 Beaumont-Port Arthur 167,330 417,477 2.49

  • 141 Medford-Klamath Falls 172,900 409,760 2.37

  • 142 Anchorage 151,470 398,399 2.63

  • 143 Albany, GA 156,890 396,869 2.53

  • 144 Lubbock 158,360 395,757 2.50

  • 145 Duluth-Superior 174,360 391,580 2.25

  • 146 Sioux City 154,810 380,636 2.46

  • 147 Joplin-Pittsburg 155,670 380,508 2.44

  • 148 Erie 156,520 379,235 2.42

  • 149 Salisbury 158,340 372,840 2.35

  • 150 Wichita Falls & Lawton 154,450 372,511 2.41

  • 151 Odessa-Midland 143,710 371,483 2.58

  • 152 Rochestr-Mason City-Austin 144,300 345,206 2.39

  • 153 Terre Haute 145,550 345,152 2.37

  • 154 Idaho Fals-Pocatllo (Jcksn) 126,880 344,784 2.72

  • 155 Yuma-El Centro 118,300 344,589 2.91

  • 156 Panama City 147,440 336,966 2.29

  • 157 Bangor 144,230 324,162 2.25

  • 158 Binghamton 137,240 321,005 2.34

  • 159 Minot-Bismarck-Dickinson 136,540 319,584 2.34

  • 160 Bluefield-Beckley-Oak Hill 142,570 319,438 2.24

  • 161 Sherman-Ada 127,990 311,399 2.43

  • 162 Biloxi-Gulfport 122,740 310,586 2.53

  • 163 Wheeling-Steubenville 133,110 300,927 2.26

  • 164 Gainesville 128,400 299,216 2.33

  • 165 Abilene-Sweetwater 116,190 278,124 2.39

  • 166 Hattiesburg-Laurel 111,610 277,684 2.49

  • 167 Missoula 111,940 271,111 2.42

  • 168 Billings 107,420 254,919 2.37

  • 169 Clarksburg-Weston 110,050 253,138 2.30

  • 170 Utica 104,890 245,955 2.34

  • 171 Laredo 69,790 245,091 3.51

  • 172 Quincy-Hannibal-Keokuk 102,710 240,906 2.35

  • 173 Dothan 101,840 240,693 2.36

  • 174 Rapid City 98,240 237,016 2.41

  • 175 Lake Charles 95,900 236,850 2.47

  • 176 Jackson, TN 98,250 231,098 2.3

  • 177 Elmira (Corning) 95,790 228,922 2.39

  • 178 Watertown 93,970 228,574 2.43

  • 179 Harrisonburg 93,400 225,439 2.41

  • 180 Alexandria, LA 90,740 220,940 2.43

  • 181 Marquette 88,490 199,649 2.26

  • 182 Jonesboro 82,300 194,759 2.37

  • 183 Bowling Green 81,650 192,996 2.36

  • 184 Greenwood-Greenville 70,350 184,317 2.62

  • 185 Grand Junction-Montrose 75,030 181,144 2.41

  • 186 Charlottesville 75,920 178,616 2.35

  • 187 Lima 71,380 175,473 2.46

  • 188 Meridian 72,180 172,585 2.39

  • 189 Twin Falls 64,740 168,893 2.61

  • 190 Bend, OR 66,980 162,752 2.43

  • 191 Lafayette, IN 66,180 157,328 2.38

  • 192 Great Falls 65,000 157,031 2.42

  • 193 Butte-Bozeman 66,260 156,772 2.37

  • 194 Parkersburg 64,060 147,630 2.30

  • 195 Eureka 61,090 144,451 2.36

  • 196 Casper-Riverton 55,620 132,030 2.37

  • 197 San Angelo 54,580 131,480 2.41

  • 198 Cheyenne-Scottsbluff 54,710 128,708 2.35

  • 199 Mankato 52,230 123,540 2.37

  • 200 Ottumwa-Kirksville 51,370 119,781 2.33

  • 201 St. Joseph 48,440 115,741 2.39

  • 202 Fairbanks 36,250 94,233 2.60

  • 203 Victoria 31,560 83,209 2.64

  • 204 Zanesville 32,350 80,755 2.50

  • 205 Presque Isle 31,070 68,151 2.19

  • 206 Juneau 25,340 63,755 2.52

  • 207 Helena 27,630 63,546 2.30

  • 208 Alpena 17,420 39,391 2.26

  • 209 North Platte 15,350 35,356 2.30

  • 210 Glendive 3,940 8,727 2.21

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  • NSI Total U.S. 114,866,380 291,962,687 2.54
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  • Source: The Nielsen Company; Universe Estimates-January 1, 2010

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         References                                                                                                                   Buy a Franchise

    As a client of Signature Franchising,  you will receive individual assistance, support and unlimited consultation from our experienced franchise consultants. Signature Franchising skilled consultants will guide you in developing, marketing and growth of your franchised  business with ongoing support as your franchise operation continues to expand. 

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