What is considered a reasonable time for Big Blue Swim School to decide on a proposed supplier?
Big_Blue_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
If you want to purchase or lease any Operating Assets, products, or services from a supplier or distributor we have not then approved (if we require you to buy or lease the asset, product, or service only from an approved supplier or distributor), then you must establish to our reasonable satisfaction that the quality and functionality of the item or service are equivalent to those of the item or service it replaces and that the supplier or distributor is, among other things, reputable, financially responsible, and adequately insured for product-liability claims. You must pay upon request any actual expenses we incur to determine whether or not the items, services, suppliers, or distributors meet our requirements and specifications. We will decide within a reasonable time (up to 120 days).
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 29–34)
What This Means (2025 FDD)
According to Big Blue Swim School's 2025 Franchise Disclosure Document, if a franchisee wants to purchase or lease any operating assets, products, or services from a supplier that Big Blue Swim School has not yet approved, the franchisee must demonstrate to Big Blue Swim School's satisfaction that the quality and functionality of the item or service are equivalent to those of the item or service it replaces. The franchisee must also show that the supplier or distributor is reputable, financially responsible, and adequately insured for product-liability claims.
Furthermore, the franchisee is responsible for paying any actual expenses Big Blue Swim School incurs to determine whether the items, services, suppliers, or distributors meet their requirements and specifications. Big Blue Swim School will then decide whether to approve the proposed supplier within a reasonable time, which they define as up to 120 days.
This 120-day period is a significant amount of time for a franchisee to wait for approval, potentially causing delays in operations if a specific product or service is needed urgently. It is important for prospective franchisees to factor this waiting period into their planning and procurement processes. Additionally, the franchisee bears the financial risk of covering Big Blue Swim School's expenses for evaluating the proposed supplier, regardless of whether the supplier is ultimately approved. This could add unexpected costs to the franchisee's overhead.