Does the franchisor have an obligation to pass through supplier rebates to Bigfoot Forestry franchisees?

According to the 2025 Bigfoot Forestry Franchise Disclosure Document, Bigfoot Forestry may negotiate purchase agreements with suppliers to obtain discounted prices for franchisees. While Bigfoot Forestry may arrange for franchisees to purchase goods directly from the supplier at discounted prices, this is subject to any rebates the supplier pays to Bigfoot Forestry. This means that while discounted prices may be available, Bigfoot Forestry is not obligated to pass through any rebates they receive from suppliers to the franchisees.

Bigfoot Forestry also has the option to purchase items in bulk from suppliers and resell them to franchisees. In this case, the price to the franchisee would be Bigfoot Forestry's cost plus shipping fees and a reasonable markup. This provides an alternative purchasing channel, but again, does not guarantee that franchisees will receive any rebates the franchisor might obtain.

In practical terms, a prospective Bigfoot Forestry franchisee should be aware that while the franchisor may negotiate discounts with suppliers, they are not required to pass along any rebates received. This could impact the franchisee's cost of goods and overall profitability. It would be prudent for a potential franchisee to discuss the specifics of supplier agreements, potential rebates, and the franchisor's markup policy during the due diligence process to fully understand the financial implications.