Are there specific instances where Gold Star is required to approve a particular supplier?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
4.6 Equipment, Vendor Lists. The COMPANY will additionally provide, at no cost to the FRANCHISEE:
- 4.6.1 a schedule of all equipment necessary to operate the Store; and
- 4.6.2 a list of approved sources for architectural services, supplies, equipment, furniture, advertising and marketing materials, computer software and hardware, and other items necessary for the operation of the Store.
7.3 Alternative Suppliers.
If FRANCHISEE desires to purchase from a source that is not on the COMPANY's then current approved supplier list for the item desired to be purchased, or to obtain approval to offer merchandise or services or use items that are not on the COMPANY's then current list of approved Products, FRANCHISEE shall submit to the COMPANY a written request for approval in accordance with the procedures then prescribed by the COMPANY for submission of requests for approval of products and suppliers.
The COMPANY shall have the right to require that its representatives be permitted to inspect the source's facilities, that samples from the source be submitted to the COMPANY or its designee for testing and evaluation and that FRANCHISEE pay the COMPANY a charge not to exceed the reasonable cost of the inspection and the actual cost of testing or other evaluation.
The COMPANY shall notify FRANCHISEE in writing within a reasonable time, not to exceed sixty (60) days, after receipt of FRANCHISEE's request and samples, whether such approval is granted.
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.
The COMPANY shall not be required to approve any particular supplier or item.
- 7.4 Modification of Products.
The COMPANY may from time to time modify the list of approved Products and/or suppliers in the Manual or otherwise in writing, and FRANCHISEE shall not, after receipt of notice of such modification, reorder any Product, or order from any supplier, that is no longer approved.
- 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.
- 5.10 Furniture, Fixtures and Equipment.
FRANCHISEE shall at its expense purchase, install and use any furniture, fixtures, leasehold improvements, equipment, supplies, uniforms and signs required by the COMPANY and may purchase, install or use only such furniture, fixtures, leasehold improvements, equipment, supplies, uniforms and signs as are approved by the COMPANY in the Manual or otherwise in writing.
FRANCHISEE also must obtain the COMPANY's prior written approval for the alteration or replacement of any such items.
These conditions are required to ensure that such items meet the System Standards.
Such items and the suppliers thereof must satisfy the conditions applicable to approval under Section 7, below.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, franchisees are generally required to use suppliers approved by Gold Star. Gold Star provides a list of approved sources for various items necessary for the store's operation, including architectural services, supplies, equipment, furniture, advertising and marketing materials, and computer software and hardware. This ensures that franchisees adhere to the uniform standards of operation that Gold Star has in place.
If a franchisee wishes to use a supplier not on the approved list, they must submit a written request to Gold Star for approval. Gold Star has the right to inspect the supplier's facilities, request samples for testing and evaluation, and charge the franchisee for the reasonable cost of the inspection and testing. Gold Star will then notify the franchisee in writing within a reasonable time, not exceeding 60 days, whether the approval is granted. However, Gold Star is not required to approve any particular supplier or item.
Gold Star may modify the list of approved products and suppliers from time to time, and franchisees must comply with these modifications. Any new supplier must also execute a confidentiality agreement satisfactory to Gold Star before receiving approval. The franchisee is responsible for purchasing and using only approved furniture, fixtures, leasehold improvements, equipment, supplies, uniforms, and signs, and must obtain prior written approval for any alterations or replacements to ensure they meet the System Standards.