Does Face Foundrie currently have any purchasing or distribution cooperatives in its System?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
There are currently no purchasing or distribution cooperatives within the System. In the future, we may require you to (i) become a member of purchasing and/or distribution cooperatives/associations/programs designated by us and/or established by us for the System, (ii) remain a member in good standing of such groups or programs and (iii) pay all membership dues or fees on purchases that are assessed by such groups or programs.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 27–31)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, there are currently no purchasing or distribution cooperatives within the Face Foundrie system. However, Face Foundrie retains the right to mandate franchisee membership in purchasing or distribution cooperatives/associations/programs in the future. This includes the ability to require franchisees to join groups designated or established by Face Foundrie, maintain good standing within these groups, and pay all associated membership dues or fees.
This means that while franchisees are not currently required to participate in any purchasing cooperatives, this could change. If implemented, franchisees would need to factor in additional costs for membership dues and fees on purchases made through these cooperatives. These costs would be in addition to the already significant portion of required purchases from designated or approved suppliers, which Face Foundrie estimates to be approximately 80% to 90% of the total cost of establishing a Facial Bar, and approximately 85% to 95% of the total cost of operating it.
Prospective franchisees should consider the potential financial impact of future mandatory cooperative memberships. It would be prudent to inquire with Face Foundrie about the likelihood of establishing such cooperatives, the potential costs involved, and the benefits franchisees might expect to receive from these arrangements. Understanding these factors will help franchisees better assess the overall financial viability of a Face Foundrie franchise.