How does Crave Cookies Franchising define an 'Approved Vendor'?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
e System to Franchisee for Franchisee to develop and operate a Crave Cookies business on the terms and conditions of this Agreement.
ARTICLE 1. DEFINITIONS
- "Action" means any action, suit, proceeding, claim, demand, governmental investigation, governmental inquiry, judgment or appeal thereof, whether formal or informal.
- "Approved Vendor" means a supplier, vendor, or distributor of Inputs which has been approved by Crave Cookies Franchising.
- "Business" means the Crave Cookies business owned by Franchisee and operated under this Agreement.
- "Competitor" means any business which primarily offers fresh baked cookies.
- "Confidential Information" means all non-public information of or about the System, Crave Cookies Franchising, and any Crave Cookies business, including all methods for developing and operating the Business, and all non-public plans, recipes, data, financial information, processes, vendor pricing, supply systems, marketing systems, formulas, techniques, designs, layouts, operating procedures, customer data, information and know-how.
- "Gross Sales" means the total dollar amount of all sales generated through the Business for a given period, including, but not limited to, payment for any services or products sold by Franchisee, whether for cash or credit. Gross Sales does not include (i) bona fide refunds to customers, (ii) sales taxes collected by Franchisee, (iii) sales of used equipment not in the ordinary course of business, or (iv) sales of prepaid cards or similar products (but the redemption of any such card or product will be included in Gross Sales).
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, an 'Approved Vendor' is defined as a supplier, vendor, or distributor of inputs that has been approved by Crave Cookies Franchising. Inputs are defined as any goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items related to establishing or operating the Crave Cookies business.
Crave Cookies maintains the right to require franchisees to purchase or lease inputs from specific sources, including Crave Cookies Franchising itself, its designees, required vendors, or approved vendors. Crave Cookies also retains the right to change these requirements or the status of any vendor, which will be communicated through updated System Standards.
If a franchisee wishes to use an alternate vendor not already approved, they must submit a written request to Crave Cookies Franchising for approval. Crave Cookies may then evaluate the proposed vendor based on criteria such as capacity, quality, financial stability, reputation, and reliability, potentially including inspections, product testing, and performance reviews. Crave Cookies will provide written notification of approval or disapproval within 30 days of receiving the franchisee's request.
Crave Cookies also states that it has no liability to the franchisee for any claims or losses related to products or services provided by approved or required vendors, including defects, delays, or unavailability. This means the franchisee bears the risk related to vendor performance, even with approved vendors.