factual

What action must a Chatime franchisee take if an approved supplier's approval is revoked?

Chatime Franchise · 2025 FDD

Answer from 2025 FDD Document

If an approved supplier's approval is revoked, we will inform you of the revocation and you will cease to use that supplier.

Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 22–25)

What This Means (2025 FDD)

According to Chatime's 2025 Franchise Disclosure Document, if Chatime revokes approval of a supplier, Chatime will inform the franchisee of the revocation, and the franchisee must cease using that supplier. This policy ensures that Chatime franchisees adhere to the brand's standards and maintain consistency across all locations.

This requirement means a Chatime franchisee must be prepared to switch suppliers if Chatime withdraws its approval from a previously approved vendor. This could happen if the supplier's performance declines, if Chatime changes its specifications or standards, or for other reasons determined by Chatime. The franchisee does not have a say in this decision.

This stipulation is fairly standard in franchising, as franchisors typically maintain tight control over their supply chain to protect brand quality and consistency. However, it's important for a prospective Chatime franchisee to understand that they may need to adapt quickly to changes in approved suppliers and should inquire about the frequency with which Chatime changes or revokes supplier approvals during their due diligence.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.