Can Gold Star disapprove a previously approved supplier?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
The COMPANY reserves the right to reinspect facilities and items from time to time.
The COMPANY may revoke approval of any source or item that does not continue to meet any of the COMPANY's then current criteria.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, Gold Star has the authority to revoke approval of any previously approved supplier or item if they no longer meet the company's current criteria. This means that even if a supplier is initially approved, Gold Star can later disapprove them.
This provision allows Gold Star to maintain quality control and consistency across its franchise system. It ensures that all suppliers meet the brand's standards, which can evolve over time. As a result, a franchisee may need to switch suppliers if Gold Star revokes approval from their current source.
For a prospective franchisee, this means they should not assume that an approved supplier list is permanent. They should factor in the potential need to change suppliers and adjust their business operations accordingly. It would be prudent to inquire about the criteria Gold Star uses to evaluate and approve suppliers, as well as the frequency with which these evaluations occur, to better anticipate potential changes.