Does the FDD specify the criteria Angry Chickz uses to approve suppliers?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
s of any proprietary items to you or any third party.
If you wish to purchase or use any products or services for or at your Restaurant that we have not yet evaluated or purchase any product or service from a person or entity (a "Proposed Supplier") that we have not yet approved (for products and services that we obligate you to purchase only from designated or approved suppliers), you must submit sufficient information, specifications and samples for us to determine whether the product or service complies with the Standards and specifications and the proposed supplier meets our criteria. For each Proposed Supplier, you must first deliver written notice seeking approval, which notice shall: (a) identify the name and address of the Proposed Supplier, (b) contain such information as may be requested by us or required in the Manual(s), bulletins, electronic communications and/or other directives (which may include financial, operational and economic information regarding its business and product), and (c) identify the products and/or services desired to be purchased or obtained through the Proposed Supplier. Upon request, we will furnish to you the general, but not manufacturing specifications for non-proprietary items and services if specifications are not contained in the Manual(s), bulletins, electronic communications and/or other directives. We may request that the Proposed Supplier furnish us, at no cost to us, product samples, specifications and such other information as we may require. As a further condition of its approval, we may require a Proposed Supplier to agree in writing: (i) to faithfully comply with our specifications and requirements relating to product quality, prices, consistency, warranty, reliability, financial capability, labor relations, customer relations, frequency of delivery, concentration of purchases, standards of service (including prompt attention to complaints), and/or other criteria, (ii) to offer and sell goods or services bearing or using the Marks only to licensees and franchisees of ours and only pursuant to a trademark license agreement in form prescribed by us, (iii) to provide to us duplicate purchase invoices for our records and inspection purposes and (iv) to otherwise comply with our reasonable requests. Each Proposed Supplier must agree to comply with our usual and customary requirements, including those relating to insurance, indemnification and non-disclosure, and shall demonstrate to our reasonable satisfaction: (a) its ability to provide goods or services, applicable, meeting the Standards; (b) its reliability with respect to delivery and the consistent quality of its products or services; and (c) its ability to meet such other requirements as determined by us to be in the best interest of the franchise system. We have the right to inspect the Proposed Supplier's facilities and to require the Proposed Supplier to deliver product samples or items, at our option, either directly to us or to any third party it designates for testing. We reserve the right periodically to inspect and re-inspect the facilities and products of any Suppliers with whom you may deal, designate sources that you must use, and/or refuse any of your requests for any reason, including that we have already designated an exclusive source (which might be us or our affiliate) for a particular item or service or if we believe that doing so is in the best interests of our franchise network. We may disapprove a proposed supplier for any reason, including if, in our opinion the approval of the proposed supplier would disrupt or adversely impact our national or regional distribution arrangements. We may revoke our approval of a supplier at any time.
We will use our good faith efforts to notify you of our decision within 15 business days after we receive your request for approval and all requested back-up information. If we do not deliver a written approval of the Supplier within 15 business days after we receive your request, the Supplier is disapproved.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 18–23)
What This Means (2025 FDD)
According to Angry Chickz's 2025 Franchise Disclosure Document, if a franchisee wishes to purchase products or services from a supplier not yet approved by Angry Chickz, the franchisee must submit sufficient information for Angry Chickz to determine if the supplier meets their criteria and standards. The franchisee must provide written notice including the supplier's name and address, any information requested by Angry Chickz (which may include financial, operational, and economic information), and the products or services the franchisee wants to obtain from the supplier.
Angry Chickz may request that the proposed supplier furnish product samples, specifications, and other information at no cost to Angry Chickz. As a condition of approval, Angry Chickz may require the supplier to agree in writing to comply with requirements relating to product quality, prices, consistency, warranty, reliability, financial capability, labor relations, customer relations, frequency of delivery, concentration of purchases, and standards of service. The supplier must also agree to offer goods or services bearing Angry Chickz's marks only to Angry Chickz licensees and franchisees under a trademark license agreement, provide duplicate purchase invoices, and comply with Angry Chickz's reasonable requests.
Each proposed supplier must also comply with Angry Chickz's requirements for insurance, indemnification, and non-disclosure, and demonstrate their ability to provide goods or services meeting Angry Chickz's standards, their reliability in delivery and consistent quality, and their ability to meet other requirements determined by Angry Chickz to be in the best interest of the franchise system. Angry Chickz has the right to inspect the supplier's facilities and require product samples for testing. Angry Chickz may disapprove a supplier if the approval would disrupt their distribution arrangements. They will try to notify the franchisee of their decision within 15 business days, and failure to deliver written approval within that time results in automatic disapproval. The franchisee or supplier must pay $500 per reinspection, plus out-of-pocket expenses, for Angry Chickz to review the application and inspect the supplier's facilities.
These stipulations are typical in franchising, as franchisors need to maintain quality control and consistency across all locations. The ability to approve or disapprove suppliers allows Angry Chickz to protect its brand standards and ensure that all franchisees are using products and services that meet their requirements. The fees associated with the approval process are also standard, as they help to cover the costs incurred by Angry Chickz in evaluating and inspecting potential suppliers.