Is Golden Corral an approved supplier for any Item?
Golden_Corral Franchise · 2025 FDDAnswer from 2025 FDD Document
ocument, we have not established any such programs.
Golden Corral is not an approved supplier for any Item. Our parent, GCC, is an approved supplier for a variety of restaurant equipment, fixtures, furnishings, signs, and computer hardware and software services. For those Items you are purchasing from GCC's Coastal division, we expect that you will sign Coastal's Equipment Purchase and Sale Agreement (Exhibit F) during the construction phase of your Restaurant.
In fiscal year ending January 1, 2025, franchisees purchased $6,992,663 of Restaurant equipment and other Items from GCC (including Coastal), which sum represents 5.0% of GCC's total revenues of $140,559,281 for the 2024 fiscal year, based on GCC's consolidated financial statements and internal accounting records. GCC also is an approved supplier of ancillary services pertaining to computer hardware and software, and received revenues of $1,500,597, or 1.1% of its total revenues, from franchisee payments for these services in the fiscal year ending January 1, 2025. Finally, GCC is the lessor or sub-lessor of certain franchised Restaurant premises. In the fiscal year ending January 1, 2025, GCC re
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 25–29)
What This Means (2025 FDD)
According to Golden Corral's 2025 Franchise Disclosure Document, Golden Corral itself is not an approved supplier for any item. However, its parent company, GCC, is an approved supplier for a variety of restaurant equipment, fixtures, furnishings, signs, and computer hardware and software services.
For items purchased from GCC's Coastal division, franchisees are expected to sign Coastal's Equipment Purchase and Sale Agreement during the restaurant's construction phase. In the fiscal year ending January 1, 2025, franchisees purchased $6,992,663 of restaurant equipment and other items from GCC (including Coastal), which represented 5.0% of GCC's total revenues of $140,559,281 for the 2024 fiscal year. GCC also earned $1,500,597 (1.1% of its total revenues) from franchisees for computer hardware and software services and $1,816,717 from rent payments by franchisees in the fiscal year ending January 1, 2025.
This arrangement means that while franchisees are generally required to purchase items from approved suppliers, Golden Corral's parent company benefits directly from these purchases. Prospective franchisees should carefully review the Coastal Equipment Purchase and Sale Agreement and consider the financial implications of purchasing equipment and services from GCC. Understanding the costs and terms associated with these purchases is crucial for assessing the overall investment and profitability of a Golden Corral franchise.