Does Buildingstars negotiate purchase arrangements with suppliers for the benefit of Buildingstars franchisees?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
BUILDINGSTARS shall loan FRANCHISEE for the duration of this Agreement and any renewal one (1) copy of the Confidential Operations Manual (or the "Manual"), which may cover such items as general business methods, merchandising, financial reporting requirements, confidentiality agreements, plans and specification requirements, approved suppliers, etc. The Manual will constitute a confidential trade secret of BUILDINGSTARS and shall remain the property of BUILDINGSTARS. The Manual cannot be photocopied, reproduced, or disseminated without BUILDINGSTARS' written consent. FRANCHISEE shall at all times insure that its copy of the Manual is kept current and up-todate; and, in the event of any dispute as to the contents of the Manual, the terms of the master copy of the Manual maintained by BUILDINGSTARS shall be controlling. Upon termination or expiration of this Agreement, FRANCHISEE shall return the copy of the Manual to BUILDINGSTARS. FRANCHISEE agrees that it shall strictly comply with all of the mandatory requirements in the Manual and such compliance is an essential part of its obligations under this Agreement. FRANCHISEE shall at all times be responsible for ensuring that its employees and all other persons under its control comply with the mandatory portions of the Manual in all respects.
FRANCHISEE understands and agrees that due to changes in competitive circumstances, presently unforeseen changes in the needs of Customers, and/or presently unforeseen technological innovations, the System may need to undergo changes in order that it best serve the interests of the FRANCHISEE, BUILDINGSTARS and System. Subject to the other provisions of this Agreement, FRANCHISEE expressly agrees to abide by any such modifications, changes, additions, deletions and alterations, including but not limited to the purchase of new and additional equipment and acknowledge that such modifications, changes, additions, deletions and alterations may require further expenditures by FRANCHISEE.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 18–19)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, the Confidential Operations Manual may cover approved suppliers. Buildingstars will loan the franchisee a copy of this manual for the duration of the agreement. The franchisee must keep the manual current and up-to-date, and must comply with all mandatory requirements in the manual.
The franchisee is responsible for ensuring that their employees comply with the mandatory portions of the manual. Due to changes in competitive circumstances, the needs of customers, or technological innovations, the system may undergo changes. The franchisee agrees to abide by any modifications, which may include purchasing new equipment and may require further expenditures.
While the FDD mentions "approved suppliers" as a topic covered in the manual, it does not explicitly state whether Buildingstars negotiates purchase arrangements with these suppliers for the benefit of its franchisees. A prospective franchisee should clarify with Buildingstars the extent to which the franchisor negotiates pricing or other terms with approved suppliers, and what role franchisees have in selecting or working with those suppliers.