factual

Who bears the costs associated with Crawlspace Medic's review of a potential new supplier?

Crawlspace_Medic Franchise · 2024 FDD

Answer from 2024 FDD Document

SECTION A: INTRODUCTION (21 PAGES) SECTION B: PRE-OPENING PROCEDURES (32
THE CRAWLSPACE MEDIC MISSION 1 PAGES)
CORE VALUES 2 PRE-OPENING CHECKLIST 1
WELCOME LETTER 3 Pre-Opening Timeline and Checklist ◄ 2
HISTORY OF CRAWLSPACE MEDIC 5 ESTABLISHMENT OF BUSINESS FORM AND OPERATION 5
HOME OFFICE AND MANAGEMENT 6 BUSINESS PLANNING 6
SERVICES PROVIDED TO THE CRAWLSPACE Business Plan ◄ 7
MEDIC FRANCHISEES 7 Marketing Plan ◄ 9
Advertising Materials and Sales Aids ◄ 7 Sales Plan ◄ 9
Approved Suppliers ◄ 7 COMPETITIVE ANALYSIS 11
Corporate Website ◄ 8 Review the Results ◄ 11
Franchisee Advisory Councils ◄ 8 SETTING UP YOUR OFFICE AND SHOP 13
Initial Training ◄ 8 Office Space Requirements ◄ 13
Ongoing Training and Support ◄ 8 Gaining Site Selection Acceptance ◄ 14
Opening and Continuing Assistance ◄ 9 Lease Considerations ◄ 15
Site Selection ◄ 9 REQUIRED LIST OF EQUIPMENT 17
Use of Trademarks ◄ 9 INITIAL INVENTORY 18
RESPONSIBILITIES OF CRAWLSPACE VEHICLE SPECIFICATIONS 19
MEDIC FRANCHISEES AND STAFF 10 Vehicle Signage ◄ 20
Responsibilities to Your Clients ◄ 10 CONTRACTING WITH REQUIRED UTILITIES AND SERVICES21
Responsibilities to Your Employees ◄ 11 OBTAINING REQUIRED LICENSES AND PERMITS 22
Responsibilities to Fellow Franchisees ◄ 12 PROCURING REQUIRED INSURANCE POLICIES 24
Responsibilities to the Franchisor ◄ 12 SETTING UP BANK ACCOUNTS 26
Responsibilities to the Brand ◄ 13 Suggested Accounts to Open ◄ 26
PAYING OTHER FEES 14 MEETING YOUR TAX OBLIGATIONS 28
Additional Initial Training ◄ 14 Federal Taxes ◄ 28
Additional Support/Refresher Training ◄ 14 State Taxes ◄ 29
Audit ◄ 14 BUSINESS COMMENCEMENT 30
Computer and Communications Equipment
Upgrades and Maintenance Fee ◄ 15 SECTION C: PEOPLE DEVELOPMENT (81
Conference Fee ◄ 15 PAGES)
Costs and Attorneys' Fees ◄ 15 EEOC GUIDELINES FOR HIRING EMPLOYEES 1
Indemnification ◄ 16 Employers Covered by EEOC-Enforced Laws ◄ 1
Interest on Overdue Amounts ◄ 17 How Employees Are Counted ◄ 2
Modifications ◄ 17 Record Keeping Requirements ◄ 2
Successor Fee ◄ 18 Reporting Requirements ◄ 3
Supplier Testing ◄ 18 Charge Processing Procedures ◄ 3
Transfer Fee ◄ 18 Mediation ◄ 4
VISITS FROM HOME OFFICE 19 Remedies ◄ 4
Your Crawlspace Medic Management Support ◄ 20 Regulatory Enforcement Fairness Act ◄ 4

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 20–21)

What This Means (2024 FDD)

According to Crawlspace Medic's 2024 Franchise Disclosure Document, the franchisee bears the costs associated with supplier testing. This includes the costs associated with Crawlspace Medic's review of a potential new supplier.

This means that if a franchisee wants to use a supplier that is not already approved by Crawlspace Medic, the franchisee will be responsible for paying for the franchisor to review and approve the new supplier. This could include the cost of testing the supplier's products or services to ensure that they meet Crawlspace Medic's standards.

This policy ensures that all suppliers used by Crawlspace Medic franchisees meet the franchisor's standards for quality and safety. While this protects the brand, it also means that franchisees may have to incur additional costs if they want to use a supplier that is not already approved. Prospective franchisees should consider this potential expense when evaluating the Crawlspace Medic franchise opportunity.

Disclaimer: This information is extracted from the 2024 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.