Must a Burros Fries franchisee lease all kitchen equipment from approved vendors?
Burros_Fries Franchise · 2024 FDDAnswer from 2024 FDD Document
e dress. Franchisee must purchase such items from us and/or our affiliates or approved vendors as specified in the Operations Manual and Section 12.T of this Agreement.
-
- To insure the consistent high quality and uniformity of Products and Services provided by the Franchised Businesses, Franchisee must lease or purchase all products, supplies, kitchen equipment and services (as described above) for use in the operation of its Business, from us, our affiliates or approved vendors who demonstrate to our continuing satisfaction an ability to meet our standards and specifications. We are not liable to Franchisee for any loss or damage, or deemed to be in breach of this Agreement, if we, our affiliates or approved vendors and/or suppliers cannot deliver, or cause to be delivered, Franchisee's order of products, supplies or kitchen equipment where such items are outof-stock or discontinued. Franchisee is prohibited from purchasing or leasing products, supplies, kitchen equipment and services from unapproved vendors and/or suppliers who are not on our approved list without our written approval.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2024 FDD)
According to the 2024 Burros Fries Franchise Disclosure Document, franchisees must either lease or purchase all kitchen equipment from Burros Fries, its affiliates, or approved vendors. This requirement ensures that all franchised businesses maintain consistent high quality and uniformity in their products and services. Franchisees are prohibited from obtaining kitchen equipment from unapproved vendors without written consent from Burros Fries, which retains sole discretion over vendor approvals. A franchisee's failure to comply with this requirement may lead to the termination of their Franchise Agreement.
Burros Fries may consider various factors when approving vendors, including price, quality, performance, durability, safety, technical specifications, delivery frequency, design, service maintenance programs, quality control, value, customer service, and the vendor's financial stability and reputation. Burros Fries may also establish strategic alliances or preferred vendor programs, potentially limiting the number of approved vendors or designating specific sources that franchisees must use.
If a franchisee wishes to lease or purchase equipment from an unapproved vendor, they must submit a written request to Burros Fries for approval. Burros Fries has 30 days to approve or deny the request, communicating their decision via email or other written means. As a condition of approval, Burros Fries may require an inspection of the vendor's facilities and testing of the proposed equipment, with the franchisee or vendor bearing the costs. Burros Fries also reserves the right to reinspect facilities and retest equipment at any time, revoking approval if the vendor fails to meet their standards.