factual

Is a Crave franchisee required to use a specific supplier for the self-serve beer tap wall?

Crave Franchise · 2025 FDD

Answer from 2025 FDD Document

You shall obtain equipment and installation of the self-serve beer tap wall for your Franchised Business only from our sole approved supplier. You shall obtain services for your Franchised Business' loyalty program and your electronic ordering mobile solution only from our sole approved supplier.

If you desire to purchase, lease or use any unapproved products or other items, or you desire to purchase or lease from an unapproved supplier, you shall submit to us a written request for approval of such product or supplier, or shall request the supplier itself to do so. You shall pay our then-current evaluation fee for each product or supplier you request to have approved, and you shall reimburse the reasonable expenses we incur related to our evaluation of the proposed product or supplier. You shall not purchase or lease any product or from any supplier until and unless such product or supplier has been approved in writing by us. We shall have the right to require that our representatives be permitted to inspect the

Source: Item 23 — RECEIPTS (FDD pages 63–253)

What This Means (2025 FDD)

According to Crave's 2025 Franchise Disclosure Document, franchisees are required to obtain the equipment and installation of the self-serve beer tap wall from Crave's sole approved supplier. This requirement ensures uniformity and quality control across all Crave franchise locations.

This mandate extends beyond just the beer tap wall, as franchisees must also source services for the loyalty program and electronic ordering mobile solution exclusively from Crave's designated supplier. However, franchisees are not completely restricted in their choice of suppliers. They can request approval for alternative suppliers or products, but this requires submitting a written request and paying an evaluation fee to Crave. Franchisees must also reimburse Crave for any reasonable expenses incurred during the evaluation process.

Crave retains the right to inspect the supplier's facilities. Ultimately, franchisees cannot purchase or lease any product from an unapproved supplier until Crave provides written approval. This system allows Crave to maintain standards while providing a pathway for franchisees to propose alternative options, although the approval process involves additional costs and is not guaranteed.

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.