Are all Bojangles franchised restaurants included in the system-wide purchasing volumes that determine rebates, or are there exceptions?

According to Bojangles's 2025 Franchise Disclosure Document, rebates based on system-wide purchasing volumes may not include purchases made by certain franchised restaurants that are exempt from the standard purchasing requirements. This implies that not all franchised locations are automatically included in the calculations for rebates.

Bojangles negotiates purchase arrangements with suppliers, potentially using consultants, and receives rebates or volume discounts based on the volume of products purchased for company-operated restaurants. These discounts are typically a percentage of the total purchase. Generally, the same percentage discounts or rebates are available and paid directly to franchisees when they purchase the same products.

Bojangles also has arrangements with beverage suppliers that pay rebates or commissions based on purchases made by both franchised and company-operated restaurants. These rebates can range from $0.50 to $0.82 per gallon of syrup and $0.01 to $0.02 per pound of collected used cooking oil. Some of these rebates and commissions are deposited into the Marketing Development Fund.

Prospective franchisees should inquire with Bojangles about the specific criteria that determine which franchised restaurants are exempt from the system-wide purchasing requirements. Understanding these criteria is crucial for accurately forecasting potential revenue from rebates and commissions.