Can the Kidokinetics franchisor re-inspect approved suppliers and revoke approval?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisor reserves the right, at its option, to re-inspect from time to time the facilities and products of any such approved supplier and to revoke its approval upon the supplier's failure to continue to meet any of Franchisor's then-current criteria.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, Kidokinetics reserves the right to re-inspect approved suppliers. Kidokinetics, at its option, may periodically re-inspect the facilities and products of any approved supplier.
Kidokinetics can revoke its approval if a supplier fails to continue meeting Kidokinetics's current criteria. This means that even if a supplier is initially approved, they must maintain the standards set by Kidokinetics to remain on the approved list.
This clause protects the Kidokinetics system by ensuring that all suppliers meet the brand's standards consistently. For a franchisee, this means they must be prepared to switch suppliers if Kidokinetics revokes approval from their current source, which could impact costs and supply chain logistics.