What does Article 11 of the Floyds 99 Franchise Agreement cover?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
11. PURCHASES OF PRODUCTS
11.1 Inventory. Prior to commencement of operation of the FLOYD'S 99 Shop, the Franchisee shall purchase and stock the Barbershop with hair care products, merchandise and related items in such mix and
quantities as the Franchisor may determine and prescribe based on the size of and demand at the Barbershop. The Franchisee shall, during the term of the Franchise Agreement, maintain product inventory levels and product inventory mix sufficient to meet client demands and in compliance with the Franchisor's standards and specifications as may be described in the Operations Manual from time to time. The Franchisor reserves the right to require the Franchisee to purchase and maintain inventories of products of designated brands, including the "FLOYD'S 99" brand. The Franchisee may be required to purchase products from the Franchisor, its affiliate or designated supplier.
Source: Item 22 — CONTRACTS (FDD pages 57–58)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, Article 11 of the franchise agreement pertains to the franchisee's purchase of products. Specifically, it states that before commencing operations, the franchisee must purchase and stock the barbershop with a mix and quantity of hair care products, merchandise, and related items as determined and prescribed by Floyds 99, based on the barbershop's size and anticipated demand.
During the term of the Franchise Agreement, the franchisee is obligated to maintain sufficient product inventory levels and mix to meet client demands, adhering to Floyds 99's standards and specifications, which may be detailed in the Operations Manual. Floyds 99 retains the right to mandate that franchisees purchase and maintain inventories of products from designated brands, including the Floyds 99 brand itself.
Furthermore, the franchisee may be required to purchase these products from Floyds 99, its affiliates, or a designated supplier. This clause ensures that Floyds 99 maintains control over the quality and consistency of products used and sold in its franchised locations, which is a common practice in franchising to protect brand standards and reputation. Franchisees should carefully review the Operations Manual and any lists of designated suppliers to understand the potential costs and requirements associated with product purchases.