What is the Cool Binz franchisee's responsibility regarding the acceptance of the equipment as conforming to the invoice?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
You are solely responsible for: (a) selecting, retaining and paying your employees; (b) the payment of all invoices for the purchase of goods and services used in connection with operating the COOL BINZ Business; and (c) determining whether, and on what terms, to obtain any financing or credit that you deem advisable or necessary for the conduct of the COOL BINZ Business. You agree to pay all current obligations and liabilities to suppliers, lessors, and creditors on a timely basis. You agree to indemnify us in the event that we are held responsible for debts owed by you if we elect to pay any of your obligations in order to preserve the relationship between system suppliers and COOL BINZ franchisees. You agree to make prompt payment of all federal, state and local taxes, including individual and corporate taxes, sales and use taxes, franchise taxes, gross receipts taxes, employee withholding taxes, FICA taxes, personal property and real estate taxes arising from your operation of the COOL BINZ Business. You agree to indemnify us in the event that we are held responsible for these taxes.
You shall meet and maintain the highest safety standards and ratings applicable to the operation of the COOL BINZ Business. You shall furnish to us within two (2) days of your receipt thereof, a copy of all inspection reports and any violation or citation that indicates your failure to maintain federal, state, or local safety standards in the operation of the COOL BINZ Business.
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
Based on the 2025 Cool Binz Franchise Disclosure Document, the franchisee is responsible for paying all invoices for goods and services used in operating the Cool Binz business. This includes determining whether to obtain financing or credit for the business. The franchisee is obligated to pay suppliers, lessors, and creditors on time and must indemnify Cool Binz if Cool Binz is held responsible for the franchisee's debts and elects to pay them to maintain relationships with system suppliers.
Additionally, the Cool Binz franchisee must meet and maintain the highest safety standards applicable to the business's operation. They are required to provide Cool Binz with copies of all inspection reports and any violations or citations indicating a failure to maintain federal, state, or local safety standards within two days of receipt.
While the FDD excerpt details payment responsibilities and safety standards, it does not explicitly state the franchisee's responsibility regarding the acceptance of equipment as conforming to the invoice. A prospective franchisee should seek clarification from Cool Binz regarding the specific procedures for verifying equipment upon receipt and the process for resolving discrepancies between the equipment received and the invoice.