factual

Where can a City Wide franchisee find the list of Required Suppliers?

City_Wide Franchise · 2025 FDD

Answer from 2025 FDD Document

IDE specifications for brands and types of equipment used in operation of the Franchised Business. From time to time, CITY WIDE will provide you with a list of Approved Suppliers authorized for the Franchised Business ("Approved Suppliers List") and a list of Approved Supplies ("Approved Supplies List").

From time to time as set forth in the Operating Manual, CITY WIDE may designate suppliers on the Approved Suppliers List as required suppliers ("Required Suppliers") from whom you must purchase inventory, products, services or other items and services. Currently, on the list of Required Suppliers is ADP Payroll Services. You may not use payroll services from any other provider. We, or our affiliate, is a Required Supplier for each of your Technology Systems (defined below) and for the IT Services (defined below).

The suggested or mandatory specifications, product lines, standards, operating procedures, and rules required for Locations may also appear in the Operating Manual. CITY WIDE may periodically modify the Operating Manual to reflect changes in the specifications, product lines, standards, operating procedures, and rules. Similarly, CITY WIDE may revise the Approved Suppliers List and Approved Supplies List from time to time in at sole and absolute right. Any changes to or modifications of the System, the Operating Manual, the Approved Suppliers List, Approved Supplies List, or any standard will be promptly communicated to all Franchisees.

We encourage you to use in the operation of your Franchised Business only those providers and products which are approved by CITY WIDE and listed on the Approved Suppliers List, Approved Supplies List, or in the Operating Manual. CITY WIDE will be the sole approved supplier of various financial accounting, processing and reporting services, and other financial services, which you are required to use for the first twelve months after you have completed the initial training program.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 24–28)

What This Means (2025 FDD)

According to City Wide's 2025 Franchise Disclosure Document, City Wide will provide franchisees with a list of Approved Suppliers authorized for the Franchised Business and a list of Approved Supplies. From time to time, City Wide may designate suppliers on the Approved Suppliers List as required suppliers from whom franchisees must purchase inventory, products, services or other items and services. Currently, on the list of Required Suppliers is ADP Payroll Services, and franchisees may not use payroll services from any other provider. City Wide, or its affiliate, is a Required Supplier for each franchisee's Technology Systems and for the IT Services.

The suggested or mandatory specifications, product lines, standards, operating procedures, and rules required for Locations may also appear in the Operating Manual. City Wide may periodically modify the Operating Manual to reflect changes in the specifications, product lines, standards, operating procedures, and rules. Similarly, City Wide may revise the Approved Suppliers List and Approved Supplies List from time to time in at sole and absolute right. Any changes to or modifications of the System, the Operating Manual, the Approved Suppliers List, Approved Supplies List, or any standard will be promptly communicated to all Franchisees.

This means that as a City Wide franchisee, you are required to purchase certain items and services from specific suppliers designated by City Wide. Currently, ADP Payroll Services is a required supplier, and franchisees must use City Wide or its affiliate for Technology Systems and IT Services. The list of required suppliers can be found on the Approved Suppliers List or in the Operating Manual, and City Wide has the right to modify these lists at any time. It is important to stay updated on any changes to these lists, as non-compliance could result in a breach of the franchise agreement.

Prospective franchisees should be aware that City Wide also benefits financially from these supplier relationships. In 2024, City Wide received $240,946 in total rebates from various suppliers based on franchisee purchases, including $212,670 from NSA, $6,892 from Essity, $6,805 from Envirox, $6,759 from Vistaprint, $3,749 from Spartan Chemical, $1,888 from BASYS, $1,184 from Unifirst and $999 from ProTeam. While City Wide states that it negotiates these arrangements for the mutual benefit of all franchisees, it's essential to understand that City Wide also profits from these relationships.

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.