The route's western terminus is at SR 37 nearly 3.25 miles (5.23 km) northwest of the village of Marseilles.

Its eastern terminus is at its junction with SR 98 about 4.75 miles (7.64 km) south of the city of Bucyrus.

There is no segment of SR 294 that is incorporated within the National Highway System (NHS).

The NHS is a network of highways determined to be most important for the economy, mobility and defense of the nation.

Simultaneously, SR 294 was extended east of US 23 along its present alignment into Crawford County to a new eastern terminus at SR 98.