Can Angry Chickz request financial information about a Proposed Supplier from a franchisee?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
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 wants to use a supplier that Angry Chickz hasn't approved yet, the franchisee needs to get approval from Angry Chickz first. This applies to products or services that Angry Chickz requires franchisees to buy from approved suppliers.
To get a supplier approved (referred to as a "Proposed Supplier"), the franchisee must give Angry Chickz written notice. This notice needs to include the supplier's name and address. It also needs to have any information that Angry Chickz asks for, which could include financial, operational, and economic details about the supplier's business and products. The notice must also specify what products or services the franchisee wants to buy from the Proposed Supplier.
This means that Angry Chickz can request financial information about a Proposed Supplier from a franchisee as part of the approval process. This allows Angry Chickz to assess the supplier's financial stability and capability to meet the franchise's standards before giving its approval. This is a fairly standard practice in franchising, allowing the franchisor to maintain quality control and consistency across the brand.