factual

Is a Better Blend franchisee required to use only ingredients specified or authorized by BBF?

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 22 — CONTRACTS (FDD page 43)

What This Means (2024 FDD)

According to Better Blend's 2024 Franchise Disclosure Document, franchisees must use only ingredients specified or authorized by Better Blend. Specifically, franchisees must adhere to all recipes prescribed by Better Blend, which includes using only the ingredients that Better Blend specifies or authorizes.

This requirement ensures consistency in the quality and taste of Better Blend's products across all franchise locations. By mandating the use of specific ingredients, Better Blend aims to maintain brand standards and customer expectations. This also allows Better Blend to control the supply chain and potentially negotiate better pricing with suppliers, which could benefit franchisees.

For a prospective franchisee, this means they will have limited flexibility in choosing ingredients. They must source ingredients that meet Better Blend's specifications, potentially from approved suppliers. While this may reduce a franchisee's autonomy, it also provides a framework for quality control and brand consistency, which are crucial for maintaining the reputation of the Better Blend brand. Franchisees should inquire about the approved supplier list and the process for requesting approval of alternative ingredients if desired.

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.