Does Hardees require franchisees to use only ingredients and materials that meet its standards and specifications?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
initial period.
(10) You should review these figures carefully with a business advisor before making any decision to purchase the franchise. We do not offer any direct financing for any part of the initial investment.
ITEM 8
RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES
Where we have issued standards and specifications, you must use only ingredients, food products, spices, seasonings, mixes, beverages, materials, supplies used in the preparation of food products, furniture, fixtures, equipment, smallwares, forms, paper and plastic products and packaging, cleaning supplies, and other materials that meet those standards and specifications. Our standards and specifications are contained in the Operation Procedures Manual ("OPM"). Periodically, we will provide you a list of approved suppliers. Most food items and other goods that you are required to purchase will be purchased from a master distributor. The master distributor will carry items such as meats, cheese, grocery, bread products, paper and cleaning supplies. As of the date of this disclosure document, our master distributor is McLane Company, Inc. We reserve the right to change the master distributors. Other master distributors may be approved from time to time.
We may approve one or more suppliers or distributors for any products, equipment (including computer/cash register system as noted below), goods or materials, and we may approve a supplier or distributor only as to certain goods or materials. We may concentrate purchases with one or more suppliers to obtain lower prices and/or the best advertising support and/or services for any group of Hardee's Restaurants, or any other group of restaurants operated or franchised by HR or its affiliates. Although you are not required to lease a location from us or an affiliate, we must consent to your selection of the site for your Hardee's Restaurant. If you lease the Restaurant premises from a third party landlord, you must sign the Franchise Lease Addendum attached as Appendix G to the Franchise Agreement.
Approval of a supplier or a distributor may be conditioned on requirements relating to the frequency of delivery, reporting capabilities, standards of service, including prompt attention to complaints, sanitation standards, insurance and other quality assurance requirements or other criteria, and concentration of purchases, as set forth above, and it may be temporary pending a further evaluation of the supplier by us.
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, franchisees are required to adhere to the brand's standards and specifications for all ingredients, food products, materials, supplies, and equipment used in the restaurant. These standards are detailed in Hardees' Operation Procedures Manual (OPM). Franchisees must purchase approximately 90% of their fixtures, furnishings, equipment, décor, signs, food items, ingredients, supplies, and other products according to Hardees' specifications or from approved suppliers. Hardees estimates that these items represent about 65% of a franchisee's controllable purchases, excluding labor and general administrative costs.
Hardees provides a list of approved suppliers, and most food items and other goods are purchased from a master distributor, which, as of the date of the FDD, is McLane Company, Inc. However, Hardees reserves the right to change master distributors and may approve other distributors. Hardees may approve suppliers or distributors for specific products, equipment, goods, or materials and may concentrate purchases with one or more suppliers to obtain lower prices, advertising support, or services.
If a franchisee proposes to purchase goods from a non-approved supplier, they must notify Hardees and submit the required information, specifications, and samples for testing, at the franchisee's expense. Hardees may charge a fee for the inspection and testing, and the franchisee will be notified within 60 days whether the supplier is approved. A deposit of $1,500 is required for the inspection of the supplier's facility, with the franchisee responsible for any additional costs. Hardees may also require retesting to ensure continued compliance with their specifications and may revoke approvals in writing.