Is Buona or its affiliates designated or approved suppliers for any required purchases?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
Required Purchases and Designated and Approved Suppliers
You must purchase all Italian beef, Italian sausage and other ingredients and food products, beverages, packaging, equipment, signs, furniture, fixtures, point-of-sale system, software, marketing materials, marketing and promotional services, online/gift card/loyalty program services, architectural services, accounting services, construction management services, construction materials, uniforms, cleaning supplies and other materials and supplies required in the operation of the Franchised Business that are or incorporate our trade secrets or confidential information from either suppliers designated by us for some items or from suppliers approved by us, which suppliers may include us or our affiliates.
You must purchase other materials, supplies and services required for the operation of the Franchised Business solely from suppliers who demonstrate the ability to meet our standards and specifications for such item, who possess adequate quality controls and capacity to supply the needs of our franchisees
promptly and reliably and who have been approved by us in writing and such approval has not thereafter been revoked, or following our standards and specifications for such items. The Manual will contain a list of designated and approved suppliers as well as other purchasing standards and specifications.
Our affiliate Authentic Brands of Chicago, LLC is currently the only designated supplier for Italian beef and related products. Our affiliate The Buona Companies, L.L.C. is currently an approved supplier, but not the only approved supplier, of marketing materials. Our affiliate, Keystone Planning + Design, PLLC is currently the only designated supplier for design and architectural services.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 32–34)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, franchisees must purchase specific items from designated or approved suppliers, which may include Buona or its affiliates. These items include Italian beef, Italian sausage and other ingredients and food products, beverages, packaging, equipment, signs, furniture, fixtures, point-of-sale system, software, marketing materials, marketing and promotional services, online/gift card/loyalty program services, architectural services, accounting services, construction management services, construction materials, uniforms, and cleaning supplies.
Buona's affiliate, Authentic Brands of Chicago, LLC, is the only designated supplier for Italian beef and related products. The Buona Companies, L.L.C., another affiliate, is an approved supplier of marketing materials, but not the only one. Keystone Planning + Design, PLLC, also an affiliate, is the only designated supplier for design and architectural services.
For other materials, supplies, and services, franchisees must use suppliers who meet Buona's standards and specifications and have been approved in writing. If a franchisee wants to use an unapproved supplier, they or the supplier must submit a written request for approval, potentially incurring costs for inspections and testing. Buona estimates that purchases from designated or approved suppliers, or those meeting their standards, will account for 60% to 80% of the total initial cost and 30% to 45% of the ongoing costs to operate a Buona Business.
In 2024, Keystone Planning + Design, PLLC had revenue from franchisee purchases of $110,000, which represented 15% of its total revenue of $722,991. The other affiliates, The Buona Companies, L.L.C. and Authentic Brands of Chicago, LLC, had no revenue from franchisee purchases during that same year. Buona does not currently receive payments from designated or approved suppliers but reserves the right to do so in the future.