What criteria does Endless Summer Sweets use to approve or revoke suppliers?
Endless_Summer_Sweets Franchise · 2024 FDDAnswer from 2024 FDD Document
We may grant approvals of new suppliers or revoke past approvals of suppliers on written notice to you or by updating our Manual.
E. Alternative Suppliers
We may approve other or alternate vendors if you request it in writing or if a vendor requests it and if the vendor demonstrates to our satisfaction that it is financially stable and can provide products or services that meet our specifications and that are consistent with our image. 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.
There is no fee for us to review or approve an alternate supplier, but we may charge our reasonable costs incurred in evaluating a proposed vendor. We will give you a good faith estimate of our cost of evaluating a proposed vendor within a reasonable time after you make the request, but before we begin the evaluation process. 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.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 14–16)
What This Means (2024 FDD)
According to Endless Summer Sweets's 2024 Franchise Disclosure Document, the company may approve or revoke suppliers of certain items, such as food and drink products with proprietary recipes, by providing written notice or updating their manual.
Endless Summer Sweets may approve alternative vendors if requested in writing by the franchisee or the vendor. The vendor must demonstrate financial stability and the ability to provide products or services that meet Endless Summer Sweets's specifications and are consistent with their image. The criteria for approving suppliers include evaluations of the supplier's capacity, quality, financial stability, reputation, and reliability, as well as inspections, product testing, and performance reviews. However, the specific criteria for approving suppliers are not disclosed to franchisees.
While there is no fee to review or approve an alternate supplier, Endless Summer Sweets may charge franchisees for reasonable costs incurred in evaluating a proposed vendor. The company will provide a good faith estimate of these costs before starting the evaluation process. Franchisees will receive written notification of the approval or disapproval of any proposed supplier within 30 days after Endless Summer Sweets receives the request.