factual

What standards and techniques must a Gold Star franchisee employ for product preparation?

Gold_Star Franchise · 2025 FDD

Answer from 2025 FDD Document

counts for franchisees and its company-owned restaurants.

To ensure that the Restaurant maintains the highest degree of quality and service, you must operate your Restaurant in strict conformity with the methods, standards and specifications that we prescribe in the Manual (as defined in Item 11 hereof) or otherwise in writing:

  • offer for sale only those products and services for which Gold Star has given its written approval;
  • sell or offer for sale all of the products and services Gold Star requires;
  • purchase equipment, fixtures, software, ingredients, paper products and other items in accordance with Gold Star's specifications;
  • employ only the preparation standards and techniques that Gold Star specifies;
  • not deviate from Gold Star's standards and specifications, including our requirements concerning product preparation; and
  • refrain from selling and offering for sale any products and services that Gold Star has later disapproved.

Depending on the item, Gold Star's purchasing specifications may include particular brands or models, particular characteristics of the products and services to be purchased, or one or more particular sources for the product or service. Gold Star may change the specifications during the term of the Franchise Agreement in its sole discretion.

Required Purchases of Goods and Services from Designated and Approved Suppliers.

You must purchase the following goods and services from designated suppliers pursuant to our specifications: chili products in all forms, food products, branded food products, branded and non-branded paper products, cleaning supplies, soda/beverages, bakery items, uniforms, signage and logo items, credit card services, equipment, furniture, architectural services, real estate brokerage services, civil engineering services, menus, marketing services, guest feedback systems. We require you to purchase these items from approved suppliers consistent with our specifications so that the products and services offered by all franchisees are uniform and consistent. We provide a list of these approved suppliers in our Manual. We have established specifications for Restaurant

construction and design, signs, promotional materials, operational procedures, equipment and other items bearing our trademarks, trade name and logos. All specifications are contained in the Manual. We will provide you with a list of required and suggested inventory, equipment and supplies after you purchase the Franchise.

Gold Star requires you to obtain and use a point-of-sale cash register system that meets Gold Star's standards and specifications (collectively, the "POS System") and reserves the right to require you to enter into a maintenance contract for the POS System with our designee.

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.

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, franchisees must adhere to specific standards and techniques for product preparation as outlined in the company's manual. To maintain quality and service, franchisees must operate their restaurants in strict accordance with the methods, standards, and specifications prescribed by Gold Star. This includes offering only approved products and services, selling all required products and services, purchasing items according to Gold Star's specifications, and employing only the specified preparation standards and techniques. Franchisees must not deviate from these standards, including those concerning product preparation, and must refrain from selling any disapproved products or services.

Gold Star's purchasing specifications may include particular brands or models, specific product characteristics, or designated sources. These specifications are subject to change at Gold Star's discretion during the franchise term. Franchisees are required to purchase goods and services such as chili products, food products, paper products, cleaning supplies, beverages, bakery items, uniforms, signage, credit card services, equipment, furniture, architectural services, real estate brokerage services, civil engineering services, menus, marketing services, and guest feedback systems from designated suppliers.

The standards and specifications imposed on franchisees are formulated and modified based on Gold Star's experience. Gold Star communicates these standards, specifications, and approved supplier lists to franchisees through various channels, including bulletins, catalogs, the intranet, and the manual. Gold Star reserves the right to revise, delete, or add to these standards, specifications, and approved supplier lists, and franchisees will be notified of any modifications in writing. Prospective franchisees should carefully review the Gold Star manual and related communications to fully understand the required product preparation standards and techniques.

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.