If an Aplus franchisee participates in a Proprietary Program, from whom must they purchase the required ingredients, materials, and items?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
We have developed certain other proprietary programs to provide offerings to APLUS consumers. You may participate in the Air and Vacuum Program. You are required to fully participate in any program, or other specific merchandise programs, designated by us from time to time as described in the Systems Manual, which may include, but is not limited to, proprietary programs, specific product offerings and/or promotions (such as foods and beverages identified by us), approved prepaid programs such as gift cards, phone cards, and other related telecommunications products, ATM program, and APLUS rewards and/or loyalty program, which may change periodically (collectively, "Proprietary Programs"). We will work with you in determining whether any such Proprietary Programs are appropriate for your store. If so, you agree to purchase all ingredients, materials and items required for each Proprietary Program from Sunoco's Designated Specific Suppliers.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS & SERVICES (FDD pages 33–37)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, if a franchisee participates in any of Aplus's Proprietary Programs, they must purchase all ingredients, materials, and items required for that program from Sunoco's Designated Specific Suppliers. Aplus determines whether Proprietary Programs are appropriate for a store and will work with the franchisee in making that determination. Proprietary Programs may include specific product offerings, promotions, approved prepaid programs, ATM programs, and Aplus rewards/loyalty programs.
Aplus retains the right to modify or discontinue any program described in Item 8 of the FDD, in whole or in part, at any time during the franchise term, provided they give written notice to the franchisee. This allows Aplus to adapt its offerings and requirements as market conditions change.
Aplus also requires franchisees to purchase certain items from Approved Suppliers or Designated Specific Suppliers. These items include food service products and supplies, perishable food products, trademarked items, décor, uniforms, back office software and hardware, electronic point-of-sale systems, signs, store equipment and interior/exterior décor items. The purchase of these items from Approved Suppliers can represent between 40% and 55% of the franchisee's initial investment in their Aplus store.