factual

Is a Better Blend franchisee required to sell all menu items that Better Blend mandates?

Better_Blend Franchise · 2024 FDD

Answer from 2024 FDD Document

7.3 Food Service.

  • (a) Menu. Franchisee shall offer all menu items, beverages, and other products and services, and only those menu items, beverages, and other products and services, from time to time prescribed by BBF in the Manual or otherwise in writing.
  • (b) Preparation. Franchisee shall follow all recipes prescribed by BBF, including, without limitation, use of all ingredients specified or authorized by BBF, and only such ingredients. Franchisee shall prepare and serve all food products in a high-quality manner that meets or exceeds the customer's reasonable expectations and all applicable System Standards.
  • (c) Inventory. Franchisee shall maintain sufficient levels of inventory at all times. BBF has the right to specify minimum levels of inventory as a System Standard.
  • (d) Method of Sale. Franchisee shall make sales only at the Location or by third-party delivery services as described in subsection (e).
  • (e) Delivery Services. Franchisee shall use such third-party delivery services as BBF may require or approve, and only such third-party delivery services. BBF reserves the right to negotiate system-wide agreements with third-party delivery services, and Franchisee shall comply with any such agreement. BBF reserves the right to set boundaries for delivery, which need not be the same as the Territory. Adjusted Gross Sales on deliveries will be calculated on the amount paid by the customer to the delivery service (not counting any fees charged by the delivery service to the customer in addition to Better Blend prices, such as a delivery fee, service charge, or gratuity charged by the delivery service to the customer), rather than the net amount received by Franchisee from the delivery service.

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 33–34)

What This Means (2024 FDD)

According to Better Blend's 2024 Franchise Disclosure Document, franchisees must offer all menu items, beverages, and other products and services that Better Blend prescribes from time to time in the manual or in writing. Franchisees are restricted to offering only those items that Better Blend approves.

This requirement ensures uniformity across all Better Blend locations, maintaining brand consistency and customer expectations. It also allows Better Blend to control the quality and types of products sold, which can impact the brand's reputation and customer satisfaction.

For a prospective franchisee, this means they have limited autonomy over the menu and product offerings. They must adhere strictly to Better Blend's prescribed menu, which could limit their ability to cater to local tastes or introduce new items without corporate approval. This also extends to following Better Blend's recipes, including using specified or authorized ingredients only.

This mandate extends to third-party delivery services, where franchisees must use only those services that Better Blend requires or approves. Better Blend also retains the right to negotiate system-wide agreements with these delivery services, further limiting the franchisee's control over this aspect of the business.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.