If a Deck Medic franchisee wants to purchase from a non-approved supplier, what must they do?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
If you want to purchase or lease a source restricted item from a supplier that has not been previously approved or designated by us in writing, you must send us a written request for approval and submit additional information that we may request. We may charge you a supplier review and testing fee and we may request that you send us samples from the supplier for testing and documentation from the supplier for evaluation. We may also require, subject to our discretion, that we be allowed to inspect the supplier's facilities. We will notify you of our approval or disapproval within a reasonable time, not to exceed 60 days, after we receive your written request for approval and all additional information and samples that we may request. We may, in our discretion, withhold our approval. When evaluating the approval of a particular supplier, among other things, we consider: whether the supplier can demonstrate to our reasonable satisfaction the ability to meet our standards, specifications and production requirements, the suppliers quality control, whether or not we are the exclusive supplier of the particular item, whether or not our affiliate or affiliates are the exclusive supplier of the particular item, and whether or not the suppliers approval, in our sole determination, will allow us to advance the overall interests of the System.
We estimate that your purchase of goods and services from suppliers according to our specifications, including your purchase of goods or services from our designated exclusive suppliers to represent approximately 90% of your total purchases and leases in establishing the Franchised Business and approximately 90% of the on-going operating
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 19–22)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, a franchisee wanting to purchase or lease a source-restricted item from a non-approved supplier must submit a written request for approval to Deck Medic. This request must include any additional information Deck Medic asks for. Deck Medic may charge a supplier review and testing fee and may also request samples from the supplier for testing and documentation for evaluation. Deck Medic also has the right to inspect the supplier's facilities.
Deck Medic will then notify the franchisee of their approval or disapproval within a reasonable time frame, not exceeding 60 days, after receiving the written request, additional information, and samples. However, Deck Medic retains the discretion to withhold approval.
When evaluating a supplier, Deck Medic considers several factors. These include the supplier's ability to meet Deck Medic's standards, specifications, and production requirements, as well as the supplier's quality control measures. Deck Medic also considers whether it or its affiliates are the exclusive supplier of the item and whether approving the supplier will advance the overall interests of the Deck Medic system.
Deck Medic estimates that purchases from approved or designated suppliers will account for approximately 90% of a franchisee's total purchases and leases when establishing the franchised business and about 90% of ongoing operating expenses.