cross_section

Considering the restrictions on suppliers in Item 8, what obligations does an Amorino franchisee have regarding product purchases as outlined in Item 9?

Amorino Franchise · 2025 FDD

Answer from 2025 FDD Document

vices from Approved or Designated Suppliers

You must purchase all furniture, equipment, casework, and restaurant supplies from our approved third-party vendor, and/or our affiliates Amorino Trading or -18°. If we so require, you must maintain a maintenance agreement with the applicable manufacturers for the term of the franchise.

We may from time to time inspect and evaluate the facilities and products of any approved supplier and revoke its general approval of particular products or suppliers when we determine, in our sole discretion, that such products or suppliers no longer meet our standards. We will provide the Store with written notice of such revocation, at which time (or at the time set forth in the notice) the Store must stop selling any disapproved products and stop purchasing any products from any disapproved supplier.

Each Store must purchase and maintain an inventory of Proprietary Products as needed to meet reasonably anticipated consumer demand. A Store must purchase our gelato and sorbet from us, from our affiliate Amorino Trading, from our affiliate -18°, or from a producer, manufacturer, distributor or supplier designated or approved by us. You must purchase all products which bear any of our trademarks solely and exclusively from us or our affiliate -18° or from a producer, manufacturer, distributor or supplier we designate or approve. Amorino Trading and -18 are suppliers in which our officers owns an interest.

We may specify (i) certain beverages, food products and other ingredients, which are produced or manufactured according to our trade secrets, proprietary recipes, specifications and/or formulas, (ii) products which bear our trademarks, and (iii) certain packaging, POS Systems, computer hardware, software, modems and peripheral equipment or other products, supplies, services and equipment. You may buy these items only from us or from our designated suppliers (which may, in the future, include -18° or any of our affiliates). If the Store purchase any items from us or one of our affiliates, we or they may derive profits from these purchases.

You must spend a minimum of .5% of your annual gross revenue on seasonal and holiday decorations to be displayed in and around your Store, which decorations must comply our standards. You must provide us with evidence of the money you have paid to third parties for these decorations.

We estimate that, for your Store, you will be required to purchase 100% of your consumables, and 30% of your other purchases, from our affiliates, Amorino Trading or -18.

In the future, we may change and designate different approved suppliers, and we may require every Store to purchase from different approved suppliers. We do not allow a Store to suggest alternative suppliers, and for that reason, there is no procedure for a Store to propose, or for us to approve, different alternative suppliers. We do not provide material benefits (including, for example, renewal or granting additional franchises) to a franchisee based on the franchisee's purchase of

Amorino Unit Franchise Disclosure Document –April 24, 2025 Page 32 of 80

particular products or services or use of designated or approved suppliers.

We may designate certain non-proprietary food products, beverages, ingredients, fixtures, furnishings, equipment, uniforms, supplies, paper goods, menus, packaging, forms, computer hardware, software, modems and peripheral equipment and other products, supplies, services and equipment, other than Proprietary Products, which a Store may or must use or sell at the Store. A Store may use, offer or sell only those non-proprietary products that we expressly authorize and may purchase them from (i) us, our affiliate Amorino Trading, or our affiliate -18°, or (ii) suppliers we designate. Our officers own interests in the affiliated companies that supply goods or services to our franchise system, including Amorino Trading and -18. If one of our other affiliates becomes a supplier in the future, our officers may own interests in that affiliate, as applicable. A Store must purchase the POS computer from Square or any other vendor selling hardware compatible with Square software. See Item 11 for more information about computer hardware and software requirements.

There are no purchasing or distribution cooperatives currently in existence for the required purchases from our affiliate -18° or from Amorino Trading or from any other approved third-party vendors. We do not currently have or negotiate any purchase arrangements with suppliers for the benefit of franchisees.

What This Means (2025 FDD)

According to Amorino's 2025 Franchise Disclosure Document, franchisees face specific obligations regarding product purchases. Amorino requires franchisees to purchase furniture, equipment, casework, and restaurant supplies from approved third-party vendors or Amorino's affiliates, Amorino Trading or -18°. Franchisees must also maintain a sufficient inventory of proprietary products to meet consumer demand and must source gelato and sorbet exclusively from Amorino, its affiliates, or approved suppliers. Products bearing Amorino's trademarks must also be purchased solely from these designated sources.

Amorino may specify certain beverages, food products, ingredients, packaging, POS systems, computer hardware and software that franchisees must purchase only from Amorino or its designated suppliers, which may include -18° or other affiliates. If franchisees purchase items from Amorino or its affiliates, Amorino or its affiliates may profit from these purchases. Additionally, franchisees are obligated to spend a minimum of 0.5% of their annual gross revenue on seasonal and holiday decorations that comply with Amorino's standards, and they must provide evidence of these expenditures.

Amorino estimates that franchisees will be required to purchase 100% of their consumables and 30% of their other purchases from its affiliates, Amorino Trading or -18°. Amorino retains the right to change and designate different approved suppliers in the future, and franchisees are not allowed to suggest alternative suppliers. Franchisees are required to purchase Amorino goods and services from Amorino or its designated sources, with prices and purchase terms determined by the supplier. All other products, equipment, supplies, and materials, including proprietary products, must be purchased from suppliers approved by Amorino who meet Amorino's standards and specifications. Amorino may re-inspect and re-evaluate suppliers and revoke approval if they no longer meet standards, requiring franchisees to cease purchasing from disapproved suppliers.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.