Does Hardees provide supply chain, quality assurance, distribution and logistics services for the franchise system?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
Finally, we and our affiliates provide supply chain, quality assurance, distribution and logistics services for the franchise system. These services include negotiating with suppliers and distributors who will sell and
distribute goods to our franchisees, designating one or more distributors to service our franchisees, and managing distribution logistics. As a result, we and our affiliates reserve the right to recover our costs related to performing these services by collecting a per-case distribution fee for all cases sold by an approved supplier to our franchisees and from other logistics-related programs.
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 39–42)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, Hardees and its affiliates provide supply chain, quality assurance, distribution, and logistics services for the franchise system. These services encompass negotiating with suppliers and distributors for goods sold to franchisees, designating distributors to service franchisees, and managing distribution logistics. Hardees reserves the right to recover costs related to these services by collecting a per-case distribution fee for all cases sold by an approved supplier to its franchisees and from other logistics-related programs.
Hardees also negotiates system-wide contracts with suppliers, allowing Hardee's Restaurants to purchase products at negotiated prices and terms. Franchisees are entitled to purchase products at these negotiated prices, although Hardees reserves the right to limit the number of suppliers who deliver products at those prices. For equipment, smallwares, and supplies, franchisees must purchase from Hardees's third-party vendor, Wasserstrom Holdings, Inc. and its subsidiaries, to obtain the negotiated price and be eligible for certain revenue-sharing incentives.
Most food items and other goods that franchisees are required to purchase will be purchased from a master distributor. As of the date of the 2025 Franchise Disclosure Document, the master distributor is McLane Company, Inc., but Hardees reserves the right to change master distributors. Hardees may approve one or more suppliers or distributors for any products, equipment, goods, or materials, and approval may be conditioned on requirements relating to delivery frequency, reporting capabilities, service standards, sanitation standards, insurance, quality assurance, or concentration of purchases.