What procedures may Annex Brands periodically prescribe for the submission of requests for approved brands or suppliers?

According to the 2025 FDD, Annex Brands retains the right to periodically establish procedures for franchisees to submit requests for approved brands or suppliers. This means that if a franchisee wishes to use a brand or supplier not already on Annex Brands' approved list, they must follow the prescribed procedures for submitting a request for approval. These procedures are subject to change at Annex Brands' discretion.

This provision allows Annex Brands to maintain quality control and standardization across its franchise network. By controlling the brands and suppliers that franchisees use, Annex Brands can ensure that all locations meet its standards for products, services, and overall brand image. This can benefit franchisees by ensuring consistent quality and potentially leveraging the franchisor's buying power to negotiate favorable pricing with approved suppliers.

For a prospective Annex Brands franchisee, this means they will need to be prepared to adhere to the franchisor's approved supplier list and any procedures for requesting approval of new suppliers. It would be prudent to inquire about the current procedures for supplier approval and the criteria used to evaluate potential suppliers. Understanding these procedures and criteria can help a franchisee navigate the approval process and potentially introduce new, beneficial suppliers to the Annex Brands system.