Is a Buona franchisee required to offer delivery services through Third Party Delivery Services?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) Third Party Delivery Services.
Franchisee shall offer delivery to customers through Third Party Delivery Services unless such services are not available in Franchisee's market.
A "Third Party Delivery Service" as used herein shall mean a company or business through which customers purchase menu items from the Franchised Business, that delivers said menu items to the customer at a location other than the Franchised Business.
The Third Party Delivery Service typically charges the Franchisee a fee for this service which may be automatically deducted from the funds that are collected from the customer prior to disbursement of the funds by the Third Party Delivery Service to the Franchisee.
Current examples of Third Party Delivery Services include, but are not limited to GrubHub, DoorDash, UberEats, ezCater.
Franchisee shall, within seven (7) days of selling any menu items for the first time through a Third Party Delivery Service company, inform Franchisor in writing of the name of said company, and furnish Franchisor with access
information to the websites of any Third Party Delivery Service being used in order to enable Franchisor to verify Franchisee's Gross Sales from all sources. This obligation shall apply to each Third Party Delivery Service company that submits an order to Franchisee's Store for the first time. Franchisor reserves the right to approve or disapprove any particular Third Party Delivery Service based on whether the service provided by the Third Party Delivery Service meets Franchisor's specifications and standards. Franchisee may be required to obtain and use software and/or applications required by Franchisor for the use of Third Party Delivery Services.
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, franchisees are generally required to offer delivery services through Third Party Delivery Services. However, this requirement is contingent on the availability of such services in the franchisee's market. If Third Party Delivery Services are not available in a specific market, the franchisee is not obligated to offer delivery through them.
A "Third Party Delivery Service" is defined as a company or business that allows customers to purchase menu items from the franchised business and delivers those items to the customer at a location different from the franchised business. These services typically charge the franchisee a fee, which may be automatically deducted from the funds collected from the customer before the Third Party Delivery Service disburses the funds to the franchisee.
Examples of Third Party Delivery Services include GrubHub, DoorDash, UberEats, and ezCater. If a Buona franchisee begins selling menu items through a Third Party Delivery Service, they must inform Buona in writing within seven days of the first sale, providing the name of the company and access information to the websites of any Third Party Delivery Service being used. This allows Buona to verify the franchisee's Gross Sales from all sources. Buona also reserves the right to approve or disapprove any particular Third Party Delivery Service based on whether the service meets Buona's specifications and standards. Franchisees may also be required to use specific software or applications required by Buona for using Third Party Delivery Services.