factual

Is there a fee charged by Crave Cookies to review or approve an alternate supplier?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

If you want to use a supplier that is not on our list of approved suppliers, you must request our approval in writing. We will grant or revoke approvals of suppliers based on criteria appropriate to the situation, which may include evaluations of the supplier's capacity, quality,

financial stability, reputation, and reliability; inspections; product testing, and performance reviews. Our criteria for approving suppliers are not available to you. We permit you to contract with alternative suppliers who meet our criteria only if you request our approval in writing, and we grant approval. There is no fee for us to review or approve an alternate supplier. We will provide you with written notification of the approval or disapproval of any supplier you propose within 30 days after receipt of your request. We may grant approvals of new suppliers or revoke past approvals of suppliers on written notice to you, or by updating our Manual.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 17–19)

What This Means (2025 FDD)

According to Crave Cookies's 2025 Franchise Disclosure Document, there is no fee for the franchisor to review or approve an alternate supplier. However, if a franchisee wants to use a supplier that is not on Crave Cookies's list of approved suppliers, they must request approval in writing. Crave Cookies will then grant or revoke approvals based on criteria such as the supplier's capacity, quality, financial stability, reputation, and reliability, as well as inspections, product testing, and performance reviews. These criteria for approving suppliers are not available to the franchisee. Crave Cookies will provide written notification of the approval or disapproval of any proposed supplier within 30 days after receiving the request.

Crave Cookies maintains the right to grant approvals of new suppliers or revoke past approvals by providing written notice or updating their manual. This allows Crave Cookies to maintain control over the supply chain and ensure that all suppliers meet their standards. Franchisees must adhere to the specifications and standards issued by Crave Cookies, which may be updated at any time through revisions to the manual or new written directives.

Crave Cookies estimates that required purchases and leases to establish and operate the business range from 50% to 80% of the franchisee's total purchases and leases. This indicates a significant reliance on approved suppliers or those meeting Crave Cookies's specifications. While franchisees can request approval for alternative suppliers, the ultimate decision rests with Crave Cookies, and the lack of a fee for review does not guarantee approval. This system ensures consistency and quality across all Crave Cookies locations but also limits the franchisee's autonomy in sourcing supplies.

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.