Are Auntie Annes or its affiliates currently Approved Suppliers for any Goods that franchisees are required to purchase or lease?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
hop from any source, as long as the Supplier and the Goods meet our minimum Standards. We may designate any Supplier as ineligible to supply Goods to you in our sole discretion. Further, we may designate one or more Approved Suppliers for any Goods upon written notice to you.
We or Our Affiliates as Approved Suppliers. Except as set forth in this paragraph, neither we nor our affiliates are currently Approved Suppliers for any Goods that you are required to purchase or lease. If you qualify to operate an SRU, you will be required to lease or purchase the cart or kiosk from us or a third party to participate in the SRU Program. Additionally, GoTo Supply provides supply chain, quality assurance, distribution, and logistics services to franchisees, and GoTo Rewards administers our gift card program, although neither are Approved Suppliers for any Goods. We and our affiliates reserve the right to become an Approved Supplier or the only Approved Supplier for any Goods in the future.
Interest in Approved Suppliers. Except through an interest in us or our affiliates, none of our officers owns any interest in any Suppliers with whom you must or are recommended to do business.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 54–59)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, generally, neither Auntie Annes nor its affiliates are currently Approved Suppliers for any Goods that franchisees are required to purchase or lease. However, if a franchisee qualifies to operate a Satellite Retail Unit (SRU), they will be required to lease or purchase the cart or kiosk from Auntie Annes or a third party to participate in the SRU Program.
Prospective franchisees should note that Auntie Annes reserves the right to become an Approved Supplier or the only Approved Supplier for any Goods in the future. This means that the supply chain and sourcing requirements could change during the term of the franchise agreement.
Additionally, the FDD specifies that franchisees must purchase all requirements of Proprietary Ingredients, Proprietary Products, and proprietary uniforms, signs, menu boards, smallwares, materials, supplies, paper goods, equipment, and packaging (collectively, the "Proprietary Goods") from Auntie Annes, its affiliates, or its designated Approved Suppliers. The Proprietary Goods include printed paper, paper products, and plastic products bearing Auntie Annes's Proprietary Marks (including, for example, dishes, containers, cartons, bags, napkins, and packaging supplies).