How are the prices for Amorino Goods and Services determined?
Amorino Franchise · 2025 FDDAnswer from 2025 FDD Document
All pricing for products or services offered for sale shall be established by Amorino (except as prohibited by law).
We have the right to establish maximum, minimum or other retail pricing requirements to the extent permitted by law.
You shall purchase your requirements of Amorino Goods and Services from Amorino or its designated sources.
Such goods and services shall be made available for purchase at such prices as determined from time to time, and according to the supplier's then-current purchase terms and conditions.
Amorino and its Affiliates may act as suppliers of goods, services, products, and/or supplies to be purchased by you, including but not limited to the Proprietary Products ("Amorino Goods and Services"), and may designate themselves as the sole suppliers of any such Amorino Goods and Services.
You acknowledge and agree that Amorino and its Affiliates may negotiate purchase arrangements with suppliers for your benefit and may derive revenue or obtain rebates, bulk pricing discounts or allowances for their own account from approved or designated suppliers if rebates or other considerations become available because of your purchases of products or services.
Source: Item 22 — CONTRACTS (FDD pages 80–81)
What This Means (2025 FDD)
According to Amorino's 2025 Franchise Disclosure Document, Amorino establishes all pricing for products or services offered for sale, except where prohibited by law. Amorino retains the right to set maximum, minimum, or other retail pricing requirements to the extent permitted by law.
As a franchisee, you are required to purchase Amorino Goods and Services from Amorino or its designated sources. These goods and services are made available at prices determined from time to time, based on the supplier's current purchase terms and conditions. This means that the cost of goods and services may fluctuate, and franchisees must adhere to the pricing set by Amorino and its suppliers.
Amorino may designate themselves or their Affiliates as the sole suppliers of Amorino Goods and Services. The FDD states that Amorino and its Affiliates may negotiate purchase arrangements with suppliers for the franchisee's benefit and may receive revenue, rebates, or discounts from these suppliers due to the franchisee's purchases. This arrangement could potentially benefit franchisees through cost savings, but it also means they are reliant on Amorino's negotiation skills and supplier relationships.
This pricing structure gives Amorino significant control over retail prices and the supply chain, which is a common practice in franchising to maintain brand consistency and quality. However, it also limits the franchisee's autonomy in pricing and sourcing, making it essential for prospective franchisees to carefully evaluate the potential impact on their profitability and operational flexibility.