factual

Does Buns On Fire reserve the right to disapprove a requested supplier for any reason?

Buns_On_Fire Franchise · 2025 FDD

Answer from 2025 FDD Document

We reserve the right to approve or disapprove any requested supplier for any reason or no reason in our sole discretion.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 19–22)

What This Means (2025 FDD)

According to Buns On Fire's 2025 Franchise Disclosure Document, Buns On Fire maintains significant control over the supply chain for its franchisees. If a franchisee wishes to use a supplier not already approved, they must submit samples, specifications, and other information at their own expense. Buns On Fire then has the right to inspect the supplier's facilities and evaluate their products or services, with the franchisee responsible for reimbursing Buns On Fire for these inspection expenses. Buns On Fire will then notify the franchisee in writing within thirty (30) days whether the supplier is approved based on uniformity, quality, business reputation, delivery performance, and credit rating.

However, if Buns On Fire does not respond within this 30-day period, the supplier is automatically deemed disapproved. More importantly, Buns On Fire explicitly reserves the right to approve or disapprove any requested supplier for any reason, or even for no reason at all, in its sole discretion.

This level of control is fairly common in franchising, as franchisors seek to maintain consistency and quality across all locations. However, the fact that Buns On Fire can disapprove a supplier for any reason, even after the franchisee has invested time and money in the approval process, is a significant point for prospective franchisees to consider. It means that franchisees have limited power to negotiate better deals or source innovative products independently.

Prospective franchisees should carefully evaluate the approved supplier list and understand the potential limitations and costs associated with seeking approval for alternative suppliers. They should also inquire about the criteria Buns On Fire uses for supplier approval to better assess the likelihood of getting a new supplier approved.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.