What criteria may Card My Yard use to condition approval of a supplier?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
We may condition our approval of a supplier on requirements relating to product quality, prices, consistency, reliability, financial capability, labor relations, client relations, frequency of delivery, concentration of purchases, standards of service (including prompt attention to complaints) or other criteria. We reserve the right to reinspect from time to time the facilities and products of any approved supplier and to revoke our approval of the supplier if the supplier fails to continue to meet any of our criteria. If we revoke our approval of any supplier, you agree to promptly discontinue use of that supplier.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, Card My Yard has the right to set various conditions for supplier approval. These conditions can relate to several aspects of the supplier's operations and capabilities.
Specifically, Card My Yard may condition approval of a supplier based on factors such as product quality, ensuring that the products meet the required standards. Pricing is another consideration, ensuring the supplier offers competitive and reasonable prices. Consistency and reliability in providing products are also important, as is the supplier's financial capability to meet the demands of the Card My Yard network. The franchisor may also consider the supplier's labor relations, client relations, and frequency of delivery to ensure smooth operations.
Furthermore, Card My Yard may evaluate the concentration of purchases from the supplier and the standards of service, including how promptly the supplier addresses complaints. The franchise agreement also mentions "other criteria," indicating that Card My Yard has broad discretion in setting supplier approval conditions. Card My Yard also reserves the right to re-inspect approved suppliers and revoke approval if they fail to continue meeting the set criteria. If Card My Yard revokes approval, franchisees must discontinue using that supplier.