factual

Does Better Blend have sole discretion to approve or disapprove an alternative vendor?

Better_Blend Franchise · 2024 FDD

Answer from 2024 FDD Document

  • 8.2 Alternate Vendor Approval. If BBF requires Franchisee to purchase a particular Input only from an Approved Vendor or Required Vendor, and Franchisee desires to purchase the Input from another vendor, then Franchisee must submit a written request for approval and any information, specifications and/or samples requested by BBF. BBF may approve or disapprove the alternative vendor in its sole discretion. BBF may condition its approval on such criteria as BBF deems appropriate, which may include evaluations of the vendor's capacity, quality, financial stability, reputation, and reliability; inspections; product testing, and performance reviews. BBF

shall provide Franchisee with written notification of the approval or disapproval of any proposed new vendor within 30 days after receipt of Franchisee's request.

Source: Item 22 — CONTRACTS (FDD page 43)

What This Means (2024 FDD)

According to Better Blend's 2024 Franchise Disclosure Document, Better Blend retains sole discretion when it comes to the approval or disapproval of alternative vendors. Specifically, if Better Blend requires franchisees to purchase a particular input only from an approved or required vendor, and a franchisee wants to buy that input from a different vendor, the franchisee must submit a written request for approval.

Better Blend has the authority to either approve or disapprove the alternative vendor at its discretion. Better Blend may base its approval on criteria it deems appropriate. These criteria can include evaluations of the vendor's capacity, quality, financial stability, reputation, and reliability, as well as inspections, product testing, and performance reviews.

Better Blend is required to provide the franchisee with written notification of its decision, whether it's an approval or disapproval, within 30 days of receiving the franchisee's request. This process ensures that while franchisees can suggest alternative vendors, Better Blend maintains control over the supply chain and product quality, which is typical in franchising.

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.