What is the deadline for Crown Gold Exchange to provide written notification of the approval or disapproval of a supplier?
Crown_Gold_Exchange Franchise · 2024 FDDAnswer from 2024 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 15–17)
What This Means (2024 FDD)
According to Crown Gold Exchange's 2024 Franchise Disclosure Document, if a franchisee wants to use a supplier not already on the approved list, they must request written approval from Crown Gold Exchange. Crown Gold Exchange will then evaluate the supplier based on criteria such as capacity, quality, financial stability, reputation, and reliability, potentially including inspections, product testing, and performance reviews.
Crown Gold Exchange does not disclose the specific criteria used for approving suppliers to franchisees. However, if a franchisee seeks approval for an alternative supplier, Crown Gold Exchange is obligated to provide written notification of either approval or disapproval within 30 days of receiving the franchisee's request.
Crown Gold Exchange retains the right to grant or revoke supplier approvals, communicating these changes through written notice to the franchisee or by updating the Brand Standards Manual. This means that a supplier initially approved could later be disapproved, and franchisees need to stay informed of any changes. There is no fee for Crown Gold Exchange to review or approve an alternate supplier.
This process is important for franchisees as it dictates their ability to source goods and services from suppliers beyond those initially approved by Crown Gold Exchange. Franchisees should be aware of the potential time frame for approval and the possibility of approvals being revoked, which could impact their business operations.