Do any officers or directors of Craters & Freighters own an interest in an approved supplier?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
None of our officers or directors owns an interest in an approved supplier. Neither we nor any of our Affiliates derived any revenue in 2024 from franchisee purchases or leases of products and services from our designated suppliers, but we and our Affiliates reserve the right to do so in the future. The precise basis by which we may derive revenue in the future is undetermined at this time. If we derive revenue in the future from your purchases or leases of products and services from our designated suppliers, the precise basis by which we will do so will be disclosed to you.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 18–20)
What This Means (2025 FDD)
According to Craters & Freighters' 2025 Franchise Disclosure Document, none of their officers or directors owns an interest in an approved supplier. The FDD also states that Craters & Freighters is not an approved supplier, but they reserve the right to become one at any time. Additionally, none of Craters & Freighters' affiliates is an approved supplier.
In 2024, neither Craters & Freighters nor any of its affiliates derived any revenue from franchisee purchases or leases of products and services from designated suppliers. However, they reserve the right to do so in the future. If they do derive revenue in the future, the FDD states that the precise basis by which they will do so will be disclosed to franchisees.
This information is important for prospective franchisees as it provides transparency regarding potential conflicts of interest and revenue streams for the franchisor. It assures franchisees that currently, the leadership of Craters & Freighters does not directly benefit from the suppliers franchisees are required to use. However, the reservation of rights indicates that this could change, and any future revenue arrangements will be disclosed.