Can Deck Medic require a franchisee to exclusively use a designated supplier?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
affiliates or employees with respect to any such idea, concept, method, technique
or product. Franchisee agrees that Franchisee will not use nor will Franchisee allow any other person or entity to use any such concept, method or product without obtaining Franchisor's prior written approval.
ARTICLE 7 OPERATING STANDARDS
7.A. OPERATING REQUIREMENTS
At all times, Franchisee and the Franchised Business shall, as designated by Franchisor in the Operations Manual and/or as otherwise designated by Franchisor in writing and, as may be modified by Franchisor from time to time: (a) exclusively offer and sell the Approved Services and Products; (b) exclusively purchase and use the System Supplies; (c) maintain a complete and updated inventory and supply of System Supplies; (d) maintain, update, replenish and replace Franchisee's System Supplies; (e) maintain, update, replenish and recondition Franchisee's Administrative Office; and (f) maintain Franchisee's Service Vehicles and System Supplies in a clean and safe condition and in conformity with the brand standards related to the Licensed Marks and System.
**7.B.
Source: Item 23 — RECEIPTS (FDD pages 43–228)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, Deck Medic franchisees are required to exclusively purchase and use 'System Supplies.' These 'System Supplies' include equipment and supplies designated by Deck Medic for use in connection with the franchisee's Deck Medic business and the approved services and products. These supplies can be System branded, non-branded, or third-party branded, as designated by Deck Medic.
System Supplies include items such as customer vouchers, installation kits, and uniforms, as specified in the Operations Manual or in writing by Deck Medic, and may be modified over time. These supplies also include products that Deck Medic authorizes for sale to customers of the Deck Medic business.
This means that as a Deck Medic franchisee, you will be obligated to purchase all designated equipment and supplies from suppliers approved by Deck Medic. This requirement ensures consistency and quality across all Deck Medic franchises but may limit your ability to find lower-cost alternatives. It is important to understand the potential costs and implications of this requirement before investing in a Deck Medic franchise.