factual

Must a new supplier execute a confidentiality agreement before being approved by Gold Star?

Gold_Star Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 7.5 Supplier Confidentiality.

Any new supplier must execute a confidentiality agreement in form and substance satisfactory to the COMPANY prior to receiving the COMPANY's approval.

Source: Item 23 — Receipts (FDD pages 53–163)

What This Means (2025 FDD)

According to Gold Star's 2025 Franchise Disclosure Document, any new supplier must execute a confidentiality agreement before receiving approval from Gold Star. The confidentiality agreement must be in a form and substance that is satisfactory to Gold Star. This requirement ensures that the supplier protects Gold Star's proprietary information.

For a potential Gold Star franchisee, this means that if you want to use a supplier not already approved by Gold Star, that supplier will need to sign a confidentiality agreement. This protects Gold Star's business practices and trade secrets.

This is a fairly standard practice in franchising. Franchisors want to make sure their suppliers don't share key information with competitors. As a franchisee, you should be aware of this requirement when suggesting new suppliers to Gold Star.

Disclaimer: This information is extracted from the 2025 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.