Does Burneys Sweets More reserve the right to become an approved supplier in the future?

According to Burneys Sweets More's 2025 Franchise Disclosure Document, Burneys Sweets More retains the right to become an approved supplier in the future. The FDD specifies that neither Burneys Sweets More, nor any affiliate, nor their owners are currently approved suppliers, own an interest in an approved supplier, or receive any benefit from required purchases. However, this could change. Burneys Sweets More explicitly reserves the right to become an approved supplier or to approve its affiliates as approved suppliers at any point in the future. They also reserve the right to receive benefits from required purchases that they do not currently receive.

This is a common practice in franchising, as it allows the franchisor to potentially increase their revenue streams by supplying goods and services to franchisees. However, it also means that Burneys Sweets More franchisees may be required to purchase supplies from Burneys Sweets More or its affiliates in the future, potentially impacting their costs and profit margins. Franchisees do not share in any revenue Burneys Sweets More receives as a result of franchisee purchases and Burneys Sweets More is under no obligation to share any revenues received with franchisees.

Prospective franchisees should carefully consider this provision and its potential impact on their business. It is important to understand that Burneys Sweets More has the right to profit from the supplies franchisees are required to purchase. While the FDD does not specify how this might affect pricing, it is possible that franchisees could end up paying more for supplies than they would if they were able to purchase them from other suppliers. It is advisable to discuss this with existing franchisees to understand their experience and to ask Burneys Sweets More about their long-term plans regarding supplier relationships and potential revenue sharing.