Does Cd One Price Cleaners have sole judgment in approving or disapproving new suppliers?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
If you desire the approval of other suppliers, you must submit to us a written request to approve the proposed supplier, together with the evidence of conformity with our standards and specifications as we may reasonably require. We may inspect and evaluate the supplier's facilities and business operations and test the item to be supplied, and you must pay all of our reasonable expenses. We will provide you our general criteria for approving suppliers at your request, but we may approve or disapprove new suppliers in our sole judgment. We will notify you of our approval or disapproval of a proposed supplier within a reasonable period of time (typically 30 days) after we receive the information we request. We may revoke our approval at any time if we determine, in our sole judgment, that the supplier no longer meets our standards. Upon receiving our notice, you must immediately stop purchasing from any disapproved supplier.
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 28–31)
What This Means (2025 FDD)
According to Cd One Price Cleaners' 2025 Franchise Disclosure Document, Cd One Price Cleaners retains the sole judgment in approving or disapproving new suppliers. To gain approval for a supplier, a franchisee must submit a written request along with evidence that the supplier meets Cd One Price Cleaners' standards and specifications. Cd One Price Cleaners may then inspect the supplier's facilities, business operations, and test the items to be supplied, with the franchisee bearing all reasonable expenses for these evaluations.
Cd One Price Cleaners will provide its general criteria for supplier approval upon request. The FDD states that Cd One Price Cleaners will typically notify the franchisee of its decision within 30 days after receiving the necessary information. However, Cd One Price Cleaners maintains the right to revoke approval at any time if it determines that the supplier no longer meets its standards. Upon receiving such notice, the franchisee must immediately cease purchasing from the disapproved supplier.
This level of control over suppliers is common in franchising to maintain quality and consistency across the brand. However, it also means that a Cd One Price Cleaners franchisee's choice of suppliers is significantly restricted, and they must adhere to the franchisor's decisions, even if they disagree. This could potentially limit a franchisee's ability to negotiate better prices or source unique products independently.