From whom must a Lees Famous Recipe franchisee purchase opening inventory?
Lees_Famous_Recipe Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Opening Inventory. You will need to purchase opening inventory that complies with our specifications and is purchased from us or approved suppliers.
We may be an approved supplier for certain items.
This amount does not reflect amounts needed to replenish inventory during the initial stage of operation.
See Item 8 for additional information.
Your expenditures for opening inventory may vary according to your anticipated sales volume and the current market prices.
Generally, amounts paid to approved suppliers for inventory are not refundable.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 21–26)
What This Means (2025 FDD)
According to Lees Famous Recipe's 2025 Franchise Disclosure Document, franchisees are required to purchase opening inventory that adheres to the franchisor's specifications. This inventory must be acquired either directly from Lees Famous Recipe or from their approved suppliers. The FDD specifies that Lees Famous Recipe may be an approved supplier for certain items.
The cost for opening inventory varies based on anticipated sales volume and current market prices. For a Traditional Stand-Alone or Streamlined location, the estimated cost of opening inventory ranges from $12,000 to $32,000, while for a Non-Traditional location, the range is $6,000 to $12,000. These figures do not account for the cost to replenish inventory during the initial phase of operation.
Amounts paid to approved suppliers for inventory are generally non-refundable. Item 8 of the FDD provides additional information regarding inventory. Prospective franchisees should carefully consider these requirements and costs when evaluating the initial investment for a Lees Famous Recipe franchise.