factual

Is there a fee charged by Desi District to review or approve an alternate supplier?

Desi_District Franchise · 2024 FDD

Answer from 2024 FDD Document

If you want to use a supplier that is not on our list of approved suppliers, you must request our approval in writing. We will grant or revoke approvals of suppliers based on criteria appropriate to the situation, which may include evaluations of the supplier's capacity, quality, financial stability, reputation, and reliability; inspections; product testing, and performance reviews. Our criteria for approving suppliers are not available to you. We permit you to contract with alternative suppliers who meet our criteria only if you request our approval in writing, and we grant approval. There is no fee for us to review or approve an alternate supplier. We will provide you with written notification of the approval or disapproval of any supplier you propose within 30 days after receipt of your request. We may grant approvals of new suppliers or revoke past approvals of suppliers on written notice to you, or by updating our Manual.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 26–29)

What This Means (2024 FDD)

According to Desi District's 2024 Franchise Disclosure Document, there is no fee for the franchisor to review or approve an alternate supplier. The FDD specifies that if a franchisee wants to use a supplier that is not on Desi District's list of approved suppliers, they must request approval in writing.

Desi District will grant or revoke approvals based on criteria such as the supplier's capacity, quality, financial stability, reputation, and reliability, including inspections, product testing, and performance reviews. However, the specific criteria for approving suppliers are not disclosed to franchisees.

Desi District is obligated to provide written notification of the approval or disapproval of any proposed supplier within 30 days after receiving the request. Desi District may also grant approvals of new suppliers or revoke past approvals of suppliers by written notice or by updating their manual.

Disclaimer: This information is extracted from the 2024 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.