What does the Supplier Review fee for a Deck Medic franchise cover?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
| Customer Service and Refunds (Note 8) | Varies under the circumstances | On demand | Applies if, in our discretion, we elect to resolve a complaint or refund request by a customer. |
| Annual Conference Attendance Fee (Note 9) | Our then current conference fee, not greater than $1,000 | When invoiced | Applies to conference fee for an annual System conference. |
| Additional Employee Initial Training | Our then current training fee, currently $600 per person per day | When invoiced and prior to training | Our initial pre-opening training is provided at no additional cost for you or your Managing Owner and one designated manager at no additional charge. This fee applies to additional individuals that we authorize to attend training. You are responsible for all fees, wages, and expenses associated with attendance. |
| Supplemental Training | Our then current daily rate per trainer, plus expenses we incur. Current rate is $600 per day | On demand | If you request or we require additional training, you must pay our then current trainer fee plus, if applicable, our expenses related to travel and accommodations. |
| Supplier Review | $500 plus actual fees, costs, and expenses | On demand | You must pay us the costs incurred by us to review and evaluate a potential supplier, product, or service that you submit to us for approval, regardless of whether we subsequently approve the product or supplier. |
Source: Item 6 — OTHER FEES (FDD pages 11–15)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, the Supplier Review fee covers the costs Deck Medic incurs to review and evaluate a potential supplier, product, or service that a franchisee submits for approval. This fee is $500 plus actual fees, costs, and expenses.
This means that if a Deck Medic franchisee wants to use a supplier, product, or service that is not already approved by the franchisor, they must first submit it to Deck Medic for review. The franchisee will be responsible for paying the $500 review fee, as well as any additional costs Deck Medic incurs during the evaluation process. These costs could include things like lab testing fees, travel expenses for site visits, or consulting fees for expert opinions.
It's important to note that the franchisee is responsible for paying this fee regardless of whether Deck Medic ultimately approves the supplier, product, or service. This policy ensures that Deck Medic is compensated for its time and expenses, even if the submission is ultimately rejected. Franchisees should carefully consider the potential benefits of using a non-approved supplier against the certainty of incurring this review fee.
This type of fee is not uncommon in franchising, as franchisors want to maintain quality control and brand consistency across all franchise locations. By requiring franchisees to seek approval for new suppliers and products, Deck Medic can ensure that all franchisees are using materials and services that meet the company's standards.