From whom must Crave Cookies franchisees purchase the boxes used in the operation of the franchised business?

According to Crave Cookies's 2025 Franchise Disclosure Document, franchisees are required to purchase proprietary boxes from Crave Cookies Franchising, LLC. This requirement is explicitly stated in Item 8, which outlines restrictions on sources of products and services. This means that franchisees do not have the option to source these boxes from alternative suppliers unless specifically approved by Crave Cookies.

This requirement ensures brand consistency and quality control, as the boxes are considered proprietary to the Crave Cookies brand. While franchisees are obligated to purchase these boxes from a specific source, Crave Cookies does negotiate purchase arrangements with suppliers, including price terms, for the benefit of franchisees. These contracts currently save franchisees up to 46% on items such as chocolate, butter, and containers.

The FDD also states that Crave Cookies's revenue from all required purchases and leases of products and services by franchisees in the prior fiscal year was $632,828, indicating the financial significance of these mandatory purchases. The franchisor estimates that required purchases and leases of goods and services to operate the business account for 50% to 80% of the franchisee's total purchases and leases.

Prospective franchisees should consider the implications of these mandatory purchases on their operating costs and profit margins. While the franchisor negotiates some arrangements to benefit franchisees, the limited sourcing options for essential items like proprietary boxes could impact a franchisee's ability to control costs and potentially limit their flexibility in managing their supply chain.