factual

Can Deer Solution inspect a potential new supplier's facilities?

Deer_Solution Franchise · 2025 FDD

Answer from 2025 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. If we have previously approved a supplier, and their standards fall below our designated standards, we will revoke our approval. We will notify you in writing of us revoking our approval.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 24–27)

What This Means (2025 FDD)

According to Deer Solution's 2025 Franchise Disclosure Document, if a franchisee wants to purchase or lease a source-restricted item from a supplier not already approved by Deer Solution, the franchisee must submit a written request for approval along with any additional information requested by Deer Solution. Deer Solution may charge a supplier review and testing fee and request samples and documentation from the supplier for evaluation.

Importantly, Deer Solution retains the discretion to require an inspection of the supplier's facilities. Deer Solution will then notify the franchisee of its decision within a reasonable timeframe, not exceeding 60 days, after receiving the request and all necessary information and samples. Deer Solution also reserves the right to withhold approval at its discretion.

When evaluating a supplier, Deer Solution considers factors such as the supplier's ability to meet their standards, specifications, and production requirements, the supplier's quality control measures, whether Deer Solution or its affiliates are the exclusive supplier of the item, and whether approving the supplier will advance the overall interests of the Deer Solution system. If a previously approved supplier's standards decline, Deer Solution will revoke its approval and notify the franchisee in writing.

This process highlights the importance of adhering to Deer Solution's approved supplier list and the potential costs and delays associated with seeking approval for new suppliers. It also demonstrates Deer Solution's commitment to maintaining quality and consistency throughout its franchise system.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.