Does the 1-800-GOT-JUNK? National Account Service Agreement specify any limitations on the discounts that can be offered to National Accounts?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor, Commercial Services or an affiliate of either of them, may enter into National Account agreements upon any terms it determines, in good faith, to be commercially viable for the System, including, without limitation:
(a) The provision of discounts off of regular retail pricing to the National Account, whether or not based upon volume.
Source: Item 22 — Contracts (FDD page 24)
What This Means (2025 FDD)
According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, the franchisor, Commercial Services, or an affiliate can enter into National Account agreements with terms they determine, in good faith, to be commercially viable for the System. These terms include providing discounts off regular retail pricing to National Accounts, whether or not based on volume.
This means that as a 1-800-GOT-JUNK? franchisee, you may be required to offer discounted rates to National Accounts as part of the National Account Service Agreement. These discounts can vary and may not necessarily be tied to the volume of business the account generates. The franchisor has the authority to set these discount terms based on what they believe is best for the overall 1-800-GOT-JUNK? system.
As a franchisee, it is important to understand that participation in National Account programs could impact your revenue, depending on the discount levels established. However, access to National Accounts can also provide a consistent stream of business that might offset the reduced pricing. Franchisees should discuss with 1-800-GOT-JUNK? the typical discount ranges offered to National Accounts and how these discounts might affect profitability before entering into the agreement.