What is included in the Third-party vendors fee for a Desi District franchise?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Third party vendors | Pass-through of costs, plus reasonable administrative charge. Currently, none. | Varies | We have the right to require franchisees to use third-party vendors and suppliers that we designate. Examples can include computer support vendors, mystery shopping, and customer feedback systems. The vendors and suppliers may bill franchisees directly, or we have the right to collect payment for these vendors together with a reasonable markup or charge for administering the payment program. |
Source: Item 6 — OTHER FEES (FDD pages 16–20)
What This Means (2024 FDD)
According to Desi District's 2024 Franchise Disclosure Document, franchisees may be required to use third-party vendors and suppliers designated by the company. Currently, there is no set fee for third-party vendors. However, if Desi District requires franchisees to use third-party vendors, the fee will be a pass-through of costs, plus a reasonable administrative charge.
Examples of third-party vendors and suppliers that Desi District may designate include computer support vendors, mystery shopping services, and customer feedback systems. These vendors and suppliers may bill Desi District franchisees directly.
Alternatively, Desi District has the right to collect payments for these vendors, along with a reasonable markup or charge for administering the payment program. The due date for these fees varies depending on the vendor and the specific services provided.