Is a Hydrodog franchisee required to enter into agreements with Preferred Vendors?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
Certain Preferred Vendors may require that you enter into agreements with them (subject to our approval) in connection with our designation or your use of them as a Preferred Vendor or participation in their Preferred Vendor Program ("Preferred Vendor Agreements").
You agree to do so.
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, franchisees may be required to enter into agreements with preferred vendors. Hydrodog may designate certain approved suppliers as exclusive providers of business materials, supplies, operating assets, consumer goods, fixtures, materials, and business services. These suppliers are referred to as "Preferred Vendors."
Hydrodog may receive compensation from these Approved Suppliers through fees, rebates, or other considerations related to franchisee purchases. In some instances, these Preferred Vendors may require franchisees to enter into agreements, which are subject to Hydrodog's approval. The franchisee agrees to comply with this requirement. Hydrodog also has the option to participate in these agreements and may contribute any fees or rebates received to the Marketing Fund, although they are not obligated to offset the franchisee's Marketing Fund Fees.
Furthermore, Hydrodog mandates that franchisees use approved suppliers for specific services, such as scheduling grooming appointments, and requires them to pay the associated monthly fee. Franchisees are also obligated to obtain designated or approved products and services from designated or approved suppliers, which may include Hydrodog or its affiliates. Selling unauthorized products or ordering from unauthorized vendors can lead to default or termination of the franchise agreement.