What is the estimated cost range for Beauty Bungalows to investigate an alternative supplier?
Beauty_Bungalows Franchise · 2025 FDDAnswer from 2025 FDD Document
receive any amounts from our suppliers.
If you would like to purchase required items from another supplier (other than our designated supplier), you may request our approval by submitting a written request for an evaluation of the alternative product or supplier. Based on the information and samples you supply to us, we will test the items supplied and review the proposed supplier's business reputation, delivery performance, credit rating and other information. You will be required to pay our actual costs incurred by us in investigating the supplier or vendor. The additional costs are estimated to be between $1,000 and $2,000 but may be more. The costs will include time, travel and materials associated with our reasonable efforts to investigate, inspect, test, and do reasonable due diligence on the proposed supplier or vendor. We expect to complete our review and advise you of our decision within 30 days after you submit the required information. The specifications and standards for these required purchases are in the Manual. We reserve the right to disapprove any previously approved vendor whose performance falls below our standards. We will make any approvals of new vendors or revoke approval of vendors in writing based on the vendor's credit worthiness, delivery standards, and cost and will incorporate our decision in the Manual. The specifications and standards for th
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 19–22)
What This Means (2025 FDD)
According to Beauty Bungalows's 2025 Franchise Disclosure Document, if a franchisee wishes to purchase required items from a supplier other than the designated supplier, they must request approval from Beauty Bungalows. This involves submitting a written request for an evaluation of the alternative product or supplier.
Beauty Bungalows will then test the items and review the proposed supplier's business reputation, delivery performance, and credit rating. The franchisee is responsible for covering Beauty Bungalows's actual costs incurred during this investigation. These additional costs are estimated to range from $1,000 to $2,000, but the FDD notes that they may be higher depending on the extent of the investigation.
These costs cover the time, travel, and materials associated with Beauty Bungalows's efforts to investigate, inspect, test, and perform due diligence on the proposed supplier or vendor. Beauty Bungalows expects to complete its review and inform the franchisee of its decision within 30 days after receiving the required information. This process ensures that all suppliers meet Beauty Bungalows's standards, maintaining consistency and quality across all franchise locations.