As a Coffee News franchisee, am I required to purchase weekly copy from the U.S. Franchisor?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
CES OF PRODUCTS AND SERVICES**
Periodical Copy
You must purchase weekly copy, also known as content, from us as the U.S. Franchisor. The weekly copy shall be used for the Periodical, hardcopy and/or online version, which contains the format and information to be included in all sections except the "What's Happening" section, which you shall provide. Weekly fees are not a part of the initial acquisition of your franchises as explained in Item 7. Weekly fees paid by you cover the cost of the copy or content we supply to you on an ongoing basis. Please see Item 6 for the amount of weekly fees paid by you. Copy or content shall be incorporated in each edition of Coffee News you publish according to the guidelines in the franchise agreement. Additionally, you must purchase the printing service from the local commercial printer in Bangor, Maine as Coffee News Printing, LLC contracts for a minimum period of one (1) year from the date of the franchise agreement. Upon expiration of such one (1) year, you may voluntarily stay with said local commercial printer or have the option to purchase printing service from another print shop. The Coffee News Online related services, if enrolled, must be purchased from either Shadow Fox Consulting in Valdosta, GA or Chil Consulting through us. Both companies are third-party contractors hired to provide Coffee News online services.
Other than the initial franchise fees, the weekly Royalty fees for copy represents all of our revenue from required purchases or leases in North America. In 2024, revenue from all sources was $424,965 with $387,947, representing all required purchases and leases for 91.3% of total revenues. In 2024, the affiliate Coffee News Printing LLC's total revenue was $444,936 and the required revenue derived from Coffee
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 14–15)
What This Means (2025 FDD)
According to the 2025 Coffee News Franchise Disclosure Document, franchisees are required to purchase weekly copy from the U.S. Franchisor. This weekly copy, also referred to as content, is essential for both the hardcopy and online versions of the Coffee News periodical. The content provided by the franchisor includes the format and information for all sections of the periodical, except for the "What's Happening" section, which the franchisee is responsible for providing.
The weekly fees for the copy are separate from the initial franchise fees detailed in Item 7. These fees cover the ongoing cost of the content supplied by Coffee News. Item 6 of the FDD provides information on the amount of these weekly fees. Franchisees must incorporate the provided content into each edition of Coffee News, following the guidelines outlined in the franchise agreement.
In addition to the weekly copy, franchisees are initially required to use Coffee News Printing, LLC, a local commercial printer in Bangor, Maine, for their printing services for the first year of the franchise agreement. After this initial year, franchisees have the option to continue using Coffee News Printing, LLC, or choose another print shop. The FDD states that in 2024, revenue from all required purchases and leases accounted for 91.3% of Coffee News' total revenues, amounting to $387,947 out of a total revenue of $424,965.
Coffee News retains the rights to edit the weekly copy provided by its affiliate, 2703203, Manitoba, Inc., and franchisees are not allowed to edit the copy without prior written permission from Coffee News. This ensures consistency and quality control across all Coffee News publications. While franchisees are required to purchase the weekly copy, they have the freedom to source other products and services, such as stands, from third-party suppliers, and are not obligated to purchase any specific computer hardware or software.