What is the name of the printing service that Coffee News franchisees are initially required to use?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
all have the right to produce and supply Copy to Franchisee under the terms of a separate agreement entered into between Franchisor and 2703203 Manitoba Inc.
- 4.4 Printing Services. Franchisee acknowledges and agrees that it will purchase the printing services from Coffee News Printing, LLC in Bangor, Maine for a minimum period of one (1) year from the date of this Agreement. Upon expiration of such one (1) year, Franchisee may continue using the printing service of Coffee News Printing, LLC, but has the option to purchase printing service from another print shop.
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 FDD, franchisees must initially use Coffee News Printing, LLC, located in Bangor, Maine, for their printing services. This requirement lasts for a minimum of one year from the date of the Franchise Agreement. After this initial period, franchisees have the option to continue using Coffee News Printing, LLC, or switch to another print shop.
This initial requirement ensures consistency in the Coffee News product during the critical startup phase. It allows Coffee News to maintain quality control and brand uniformity across its franchises. However, it also means that franchisees cannot shop around for potentially cheaper or more convenient printing options during the first year.
Notably, if a franchisee receives financing from Coffee News to purchase four or more franchises, they are obligated to continue using Coffee News Printing, LLC for the duration of the loan. This condition ties the financing to the use of the designated printing service, potentially impacting the franchisee's operational flexibility and costs over a longer term. Franchisees should carefully consider these factors when evaluating financing options and the number of franchises to acquire.
This type of restriction on suppliers is relatively common in franchising, especially during the initial term. Franchisors often require the use of approved suppliers to maintain quality control and brand standards. However, franchisees should always assess the costs and benefits of such requirements and negotiate for flexibility where possible.