factual

What is the process for a Fitstop franchisee to propose using alternate sources of supply?

Fitstop Franchise · 2024 FDD

Answer from 2024 FDD Document

  • 12.4.7 Proposal to Use Alternate Sources of Supply. If you wish to purchase supplies from an alternative supplier, you must deliver to us a sample of each item of supplies proposed to be purchased from the alternative supplier.

We may check those items to ensure that they are of an appropriate quality for the Franchise.

We may notify you if any of the items are unsuitable for the Franchise in which case you must not use such supplies in the Franchise.

We will use our best efforts to ensure that either we or a designated supplier will at all times have a supply of Approved Products for sale to you.

Source: Item 23 — RECEIPTS (FDD pages 50–135)

What This Means (2024 FDD)

According to Fitstop's 2024 Franchise Disclosure Document, if a franchisee wishes to purchase supplies from an alternative supplier, they must provide Fitstop with a sample of each item they propose to purchase from the alternative supplier. Fitstop may then check those items to ensure they are of appropriate quality for the franchise.

Fitstop will notify the franchisee if any of the items are unsuitable, in which case the franchisee must not use such supplies in the Fitstop franchise. Fitstop commits to using its best efforts to ensure that either Fitstop itself or a designated supplier will at all times have a supply of approved products for sale to the franchisee.

This process allows Fitstop to maintain quality control and consistency across all franchise locations while still providing franchisees with a mechanism to potentially source supplies from alternative vendors. However, the ultimate decision on whether to approve an alternative supplier rests with Fitstop. This is a fairly standard practice in franchising, as franchisors typically want to ensure brand consistency and quality across all locations.

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.