May Cream concentrate purchases with one or more suppliers to obtain lower prices for Cream franchisees?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 23: RECEIPTS]
We may concentrate purchases with one or more suppliers for any reason, including to obtain lower prices, advertising support, and/or services for us, our affiliates, or any group of Jeni's Ice Creams Scoop Shops that we designate. You acknowledge and agree that we and/or our affiliates may derive consideration, revenue, and/or profits based on your purchases (including from charging you for products and services we or our affiliates provide to you, and from promotional allowances, rebates, volume discounts, and other payments, services, or consideration we receive from suppliers on the basis of sales to you or other franchise owners). We and/or any of our affiliates may retain and use such consideration, revenue, and profit without restriction.
If you would like us to consider approving a supplier that is not an approved supplier, you must submit your request in writing before purchasing any items or services from that supplier. We will make all determinations about whether to approve an alternative supplier in our discretion based on our then-current criteria, which may change from time to time. We may also refuse to consider and/or approve any proposed alternative supplier for any reason whatsoever, including that we will not under any circumstances approve or consider any alternative supplier for Proprietary Products. We may, with or without cause, revoke our approval of any supplier at any time.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, Cream may concentrate purchases with one or more suppliers for various reasons. These reasons include obtaining lower prices, advertising support, and/or services for Cream, its affiliates, or any group of Jeni's Ice Creams Scoop Shops that Cream designates.
Cream franchisees acknowledge and agree that Cream and/or its affiliates may derive consideration, revenue, and/or profits based on the franchisee's purchases. This can include charging franchisees for products and services provided by Cream or its affiliates, as well as promotional allowances, rebates, volume discounts, and other payments, services, or consideration Cream receives from suppliers based on sales to franchisees or other franchise owners. Cream and/or its affiliates may retain and use such consideration, revenue, and profit without restriction.
If a Cream franchisee would like Cream to consider approving a supplier that is not already an approved supplier, the franchisee must submit a written request before purchasing any items or services from that supplier. Cream will make all determinations about whether to approve an alternative supplier at its discretion based on its then-current criteria, which may change. Cream may refuse to consider and/or approve any proposed alternative supplier for any reason, including that it will not under any circumstances approve or consider any alternative supplier for Proprietary Products. Cream may, with or without cause, revoke its approval of any supplier at any time.