factual

What rebate does Beverly Anns Cookie currently receive from its cookie dough supplier?

Beverly_Anns_Cookie Franchise · 2025 FDD

Answer from 2025 FDD Document

We have negotiated purchase arrangements with suppliers and distributors for the benefit of our Franchisees, and we may receive rebates or volume discounts from our purchase of equipment and supplies that we resell to you. We currently receive a 5% rebate from our cookie dough supplier. Other than these cooperatives, there are currently no other purchasing or distribution cooperatives in effect.

Source: Item 8 — RESTRICTIONS ON SOURCES OF SERVICES AND PRODUCTS (FDD pages 29–32)

What This Means (2025 FDD)

According to Beverly Anns Cookie's 2025 Franchise Disclosure Document, the company currently receives a 5% rebate from its cookie dough supplier. This means that for every purchase Beverly Anns Cookie makes from its cookie dough supplier, the supplier returns 5% of the purchase amount to the company. This rebate arrangement is in place as of the end of the last fiscal year, December 31, 2024.

For a prospective franchisee, this rebate is not directly received by them. Instead, it benefits Beverly Anns Cookie as the franchisor. While franchisees may not see a direct monetary benefit from this rebate, it could indirectly contribute to the financial health of the company, potentially allowing for investments in system-wide improvements, marketing, or other franchisee support programs.

It's important for potential franchisees to understand that Beverly Anns Cookie has negotiated purchase arrangements with suppliers and distributors for the benefit of its franchisees. These arrangements may include rebates or volume discounts on equipment and supplies that Beverly Anns Cookie resells to franchisees. However, the FDD does not specify how these rebates or discounts are passed on to the franchisees, if at all. Franchisees should inquire about how these negotiated benefits are distributed within the franchise system to fully understand the financial implications.

Disclaimer: This information is extracted from the 2025 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.