What is the role of Wholesale in relation to Azal Coffee?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
. Our affiliate Azal Wholesale, LLC ("Wholesale") provides certain goods required to be purchased by our franchisees, including coffee beans, tea, coffee and tea mixes, equipment, paper products, syrups, sauces, milk, cups, mugs, branded products, coffee supplies, bakery goods, uniforms, and other inventory items. Wholesale's principal place of business is the same as ours. We or our affiliates, now existing or later created, may provide additional goods and services to our franchisees.
Except as described above, we do not have any affiliates that offer franchises in any line of business or that provide products or services to our franchisees. However, we may use one or more of our affiliate businesses to test our franchise system and system improvements and to sell required goods or services to our franchisees.
Franchisor's Business
We began offering and selling Azal Coffee franchises in July 2024.
Source: Item 5 — INITIAL FEES (FDD page 12)
What This Means (2024 FDD)
According to Azal Coffee's 2024 Franchise Disclosure Document, Azal Wholesale, LLC ("Wholesale") is an affiliate of Durar Investment, LLC, the franchisor of Azal Coffee. Wholesale provides certain goods required to be purchased by Azal Coffee franchisees. These goods include coffee beans, tea, coffee and tea mixes, equipment, paper products, syrups, sauces, milk, cups, mugs, branded products, coffee supplies, bakery goods, and uniforms. The principal place of business for Azal Wholesale, LLC is the same as Azal Coffee's, located at 15010 W. Warren, Unit 113, Dearborn, Michigan 48126.
As a new Azal Coffee franchisee, you must pay Wholesale between $70,000 and $80,000 for your initial supply of these required inventory items. This payment is due before you open your franchise and immediately upon invoice, and it is non-refundable. The quoted range includes the estimated cost to ship the goods to your franchise location.
Azal Coffee retains the right to use its affiliates, including Wholesale, to sell required goods and services to its franchisees. This arrangement ensures that franchisees have access to necessary supplies and equipment, while also providing Azal Coffee with a degree of control over the supply chain and product quality. Prospective franchisees should consider the required purchases from Wholesale as part of their initial investment and ongoing operational costs.