Are 7 Brew franchisees required to purchase energy drinks directly from 7 Energy LLC?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
- (1) 7 Energy LLC, a Wyoming limited liability company whose principal business address is 3400 S. US Highway 89, Jackson, Wyoming 83001, originates certain energy drinks for 7 BREW Stores, including franchised 7 BREW Stores, and is the designated source of certain brands of energy drinks it originates (although sales to franchisees will be made by unaffiliated suppliers);
Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 9–12)
What This Means (2025 FDD)
According to the 2025 7 Brew Franchise Disclosure Document, 7 Energy LLC originates certain energy drinks for 7 Brew stores, including franchised locations. However, 7 Brew franchisees do not purchase these energy drinks directly from 7 Energy LLC. Instead, the FDD states that sales to franchisees will be made by unaffiliated suppliers.
This arrangement means that while 7 Energy LLC develops the energy drink products, the actual distribution and sale to franchisees are handled by a separate, unaffiliated entity. This could be for logistical, legal, or business strategy reasons. For a prospective franchisee, this distinction is important because it clarifies the supply chain and identifies who they will be dealing with when ordering energy drinks for their 7 Brew store.
It is important for potential franchisees to understand the specific suppliers they will be required to use and the terms of those supply agreements. This includes pricing, delivery schedules, and quality control measures. While 7 Energy LLC is the originator of the energy drinks, the unaffiliated suppliers will be the direct point of contact for franchisees, and their performance will directly impact the franchisee's operations.