Can Gold Star make revisions, deletions, or additions to its standards, specifications, and approved supplier lists?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
Gold Star formulates and modifies its standards and specifications imposed on Franchisees based on its experience. Gold Star does not issue its specifications and standards to approved suppliers. Gold Star communicates its approved supplier lists and standards and specifications to you and other Franchisees in a variety of ways, including bulletins, catalogs, intranet and the Manual. Gold Star reserves the right to make revisions, deletions or additions to those standards, specifications and approved supplier lists. Gold Star may modify the list of approved items and/or suppliers, and you may not, after receipt of notice of modification, reorder any item, or order from any supplier, that is no longer approved. Franchisees are advised of modifications and revocations in writing.
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 21–25)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, Gold Star retains the right to modify its standards, specifications, and approved supplier lists. This means that Gold Star franchisees must stay updated on any changes communicated by Gold Star through various channels such as bulletins, catalogs, the intranet, and the Manual. Franchisees are obligated to comply with these changes and cannot continue ordering from suppliers or for items that are no longer approved after receiving notice of the modification.
This flexibility allows Gold Star to adapt to changing market conditions, improve quality control, and maintain brand consistency across all franchise locations. However, it also places a responsibility on franchisees to remain informed and adjust their operations accordingly. Failure to comply with these modifications could result in a breach of the franchise agreement.
Gold Star communicates its approved supplier lists and standards and specifications to franchisees in a variety of ways, including bulletins, catalogs, intranet and the Manual. Franchisees are advised of modifications and revocations in writing. This ensures that franchisees are kept up to date with any changes to the approved supplier lists and standards and specifications.
Prospective franchisees should consider the implications of these potential changes and ensure they have a system in place to promptly receive and implement any updates from Gold Star. It is also advisable to discuss with existing franchisees how frequently these changes occur and the impact they have on day-to-day operations and costs.