Does Floors To Go currently participate in any purchasing or distribution cooperatives?

According to the 2025 Floors To Go Franchise Disclosure Document, Floors To Go does not currently participate in any purchasing or distribution cooperatives. However, Floors To Go retains the right to negotiate purchase arrangements with suppliers, including setting price terms, for the benefit of the franchise system.

While franchisees are not required to participate in any purchasing or distribution cooperatives, they are required to purchase a minimum amount of merchandise through the FTG System. Specifically, Section 7.1 of the Membership Agreement mandates that franchisees purchase a minimum of $350,000 or 80% of their total floor covering and window treatment purchases, whichever is greater, through the FTG System during each calendar year following the opening of each showroom. Failure to meet these minimum purchase requirements could result in the termination of the franchisee's membership in the FTG System.

Floors To Go also benefits from brokerage fees paid by manufacturers or merchandise vendors participating in the FTG System, based on the total sales made by each vendor through the FTG System. In 2024, Floors To Go received $2,384,489 in brokerage fees, which represented approximately 76% of the company's total revenue of $3,154,986. This revenue structure incentivizes Floors To Go to negotiate favorable terms with suppliers and manage the FTG System effectively.