Can Better Blend change the requirements for purchasing or leasing goods, services, and supplies in the future?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
We have the right to require you to purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items related to establishing or operating your business (1) either from us or our designee, or from suppliers approved by us, or (2) according to our specifications. You must comply with any changes we make in the future to these requirements.
We issue specifications and standards to you for applicable aspects of the franchise in our Manual and/or in written directives. We may issue new specifications and standards for any aspect of our brand system, or modify existing specifications and standards, at any time by revising our Manual and/or issuing new written directives (which may be communicated to you by any method we choose). We will generally (but are not obligated to) issue new or revised specifications after evaluating the intended changes. We may also conduct limited market testing in one or more outlets.
Our affiliate Better Blend Nutrition LLC will receive revenue from franchisee purchases of certain inventory items. Its revenue from all required purchases and leases of products and services by franchisees in the prior fiscal year was $139,598.63
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 17–20)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, Better Blend has the right to modify the requirements for franchisees regarding the purchase or lease of goods, services, and supplies necessary for establishing or operating their business. Better Blend can mandate that franchisees acquire these items either directly from Better Blend or its designated suppliers, or from suppliers approved by Better Blend, or in accordance with Better Blend's specifications. Franchisees must comply with any future changes Better Blend makes to these requirements.
Better Blend issues specifications and standards for the franchise in its Manual and/or in written directives. Better Blend can introduce new specifications and standards for any aspect of its brand system, or modify existing ones, at any time by revising the Manual or issuing new written directives, which may be communicated through any method Better Blend chooses. While Better Blend generally evaluates intended changes before issuing new or revised specifications, it is not obligated to do so. Better Blend may also conduct limited market testing in one or more outlets before implementing changes.
This flexibility allows Better Blend to adapt to changing market conditions, maintain brand consistency, and potentially negotiate better deals with suppliers. However, it also means that franchisees must be prepared for potential changes in their operating costs and supply chain. While Better Blend is not obligated to share any benefits of supplier payments with franchisees, Better Blend does disclose that its affiliate, Better Blend Nutrition LLC, receives revenue from franchisee purchases of certain inventory items. In the prior fiscal year, this revenue amounted to $139,598.63 from all required purchases and leases of products and services by franchisees.