Can Bombs Away Franchising change the status of any vendor at any time?
Bombs_Away Franchise · 2024 FDDAnswer from 2024 FDD Document
- 8.1 Generally. Franchisee shall acquire all Inputs required by Bombs Away Franchising from time to time in accordance with System Standards. Bombs Away Franchising may require Franchisee to purchase or lease any Inputs from Bombs Away Franchising, Bombs Away Franchising's designee, Required Vendors, Approved Vendors, and/or under Bombs Away Franchising's specifications. Bombs Away Franchising may change any such requirement or change the status of any vendor. To make such requirement or change effective, Bombs Away Franchising shall issue the appropriate System Standards.
- 8.2 Alternate Vendor Approval. If Bombs Away Franchising 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 Bombs Away Franchising. Bombs Away Franchising may condition its approval on such criteria as Bombs Away Franchising deems appropriate, which may include evaluations of the vendor's capacity, quality, financial stability, reputation, and reliability; inspections; product testing, and performance reviews. Bombs Away Franchising will 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 pages 35–36)
What This Means (2024 FDD)
According to Bombs Away's 2024 Franchise Disclosure Document, Bombs Away Franchising retains the right to modify the status of any vendor at any time. This authority allows Bombs Away to adapt its supply chain and vendor relationships as it deems necessary for the benefit of the franchise system. To implement such changes, Bombs Away Franchising will issue updated System Standards.
This provision means that franchisees must remain flexible and prepared to adjust their purchasing practices based on Bombs Away's decisions. While franchisees may prefer to establish long-term relationships with specific vendors, Bombs Away maintains the prerogative to alter these arrangements. This could impact a franchisee's operational costs, product quality, or service delivery, depending on the nature of the required inputs.
However, if Bombs Away requires franchisees to purchase a particular input only from an Approved Vendor or Required Vendor, franchisees have the option to request approval for an alternate vendor. To do so, the franchisee must submit a written request along with any information, specifications, and samples requested by Bombs Away. Bombs Away will then provide written notification of approval or disapproval within 30 days of receiving the request, with approval potentially conditioned on factors like the vendor's capacity, quality, financial stability, and reliability.