How will Cinch I.T. communicate the revocation of an approved supplier to franchisees?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
We may terminate the use of any products or services, or any supplier of such items or services, that does not meet our then-current standards by giving you written notice. If we do so, you must immediately stop purchasing from such supplier or using such products or services in your Franchised Business unless or until we notify you that such supplier or such products or services requalify to meet our quality standards. If we revoke an approved supplier, we will provide notice to that supplier and notify you in our Operations Manual or other forms of communication.
We may limit the number of approved suppliers with whom you may deal, designate sources that you must use and/or refuse any request for alternative suppliers for any reason, including that we have already designated an exclusive source (which may be us or our affiliates) for any particular item or service if we believe doing so is in the best interest of our Franchise System.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 22–26)
What This Means (2024 FDD)
According to Cinch I.T.'s 2024 Franchise Disclosure Document, Cinch I.T. will notify franchisees of a revoked supplier through the Operations Manual or other forms of communication. If Cinch I.T. terminates the use of any products or services, or any supplier of such items or services, that does not meet their then-current standards, Cinch I.T. will provide written notice.
It is imperative that franchisees stay up-to-date with any changes to approved suppliers, as they must immediately stop purchasing from a supplier that has been revoked. Franchisees are obligated to adhere to the standards and specifications set by Cinch I.T., and failure to comply with these standards can lead to the closure of the franchised business or termination of the Franchise Agreement.
Cinch I.T. does not have to issue their specifications and standards to franchisees and/or approved suppliers, nor are criteria for supplier approval made available to franchisees. This means that Cinch I.T. has the discretion to change suppliers based on market acceptance of products and the financial stability of suppliers. Franchisees should maintain open communication with Cinch I.T. to ensure they are always using approved suppliers and products.