Can Desi District revoke past approvals of suppliers?

According to Desi District's 2024 Franchise Disclosure Document, Desi District can revoke previously approved suppliers. Specifically, Desi District may grant approvals of new suppliers or revoke past approvals of suppliers.

This means that while a franchisee may receive approval to use a supplier not initially on Desi District's approved list, that approval is not permanent. Desi District retains the right to remove that supplier from the approved list. This could impact a franchisee's operations if they have established a relationship with a now-unapproved supplier, potentially requiring them to find a new supplier and adjust their purchasing practices.

Desi District will provide written notice of the revocation to the franchisee or by updating their Manual. This allows Desi District to maintain control over the supply chain and ensure that all suppliers meet their standards. It is important for prospective franchisees to understand that supplier approvals are subject to change and to factor this into their business planning. Franchisees should stay informed of any updates to the approved supplier list to avoid disruptions to their supply chain.