What action might Goldfish Swim School take if a franchisee purchases from unapproved suppliers?

According to the 2025 Goldfish Swim School FDD, Goldfish Swim School has the right to take action against a franchisee, including terminating the franchise agreement, if the franchisee purchases or sells unapproved products or makes purchases from unapproved suppliers. This underscores the importance of adhering to the brand's standards and specifications, which are detailed in the Goldfish Swim School Confidential Brand Standards Manual. Franchisees are required to purchase all supplies, including furniture, fixtures, equipment, computer equipment, inventory, and signage, from approved suppliers.

Goldfish Swim School communicates these standards and specifications during various stages, including the evaluation of the proposed location, training, initial advertising expense, on-site opening assistance, periodic visits to the franchise location, and through the Confidential Brand Standards Manual, including periodic bulletins. The franchisor also reserves the right to designate additional required vendors or suppliers.

This restriction ensures consistency and quality across all Goldfish Swim School locations, which is a common practice in franchising. While it limits the franchisee's autonomy in sourcing supplies, it also aims to protect the brand's reputation and maintain uniform standards. Prospective franchisees should carefully review the list of approved suppliers and understand the implications of this requirement before entering into a franchise agreement with Goldfish Swim School.