What are the ongoing obligations of a Mr. Sandless franchisee (Item 9) and how do they relate to the approved suppliers (Item 8)?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
You shall operate the Business during such hours of the day and such days of the year as we shall specify from time to time, subject only to applicable law.
You must consistently perform not less than eight (8) floor jobs a month within six (6) months of the Grand Opening of your Business. If you own multiple Mr. Sandless Businesses, then notwithstanding this Section 9.2, you must consistently perform, on a monthly basis, not less than eight (8) floor jobs plus an additional two (2) floor jobs for each territory you own and operate. Your failure to comply with this minimum performance criteria will be a material default of this Agreement and we will have the right, among others, to reduce the size of or your rights in the Designated Territory or to terminate this Agreement.
You shall operate your Business in strict compliance with all applicable laws, regulations and ordinances including, without limitations, laws and regulations applicable to or affecting health and safety.
We have the right to establish designated and approved suppliers for products and services offered in connection with the Business. When establishing the Business, you must purchase or lease products, including supplies, branded clothing, inventory items and equipment, from designated or approved suppliers, which may include us, and you must enter into service agreements with approved vendors, as directed by us. We may be an approved supplier, but not the only approved supplier, of equipment, tools, inventory, job tins, and uniforms, but you are not required to purchase these items from us. We are currently the only approved supplier for the Franchise Starter Kit, invoices and after care packs. All supplies ordered through us are subject to a 10% administrative fee over our cost.
We estimate that the costs of your purchases from designated or approved sources, or according to our standards and specification, will range from 40% to 80% of the total cost of establishing your Business, and approximately 5% to 7% of the total cost of operating your Business.
We specify the use of a standardized vehicle dedicated to the Business, which can be any type as long as it holds the equipment and is silver in color.. If you are purchasing a Mr. Sandless Business only, your service vehicle must be silver.
If you wish to purchase any item that we have not yet approved, or you wish to purchase from a supplier that we have not yet approved, you must make a written request to us and furnish us with any information we may reasonably need to evaluate the proposed item or supplier. We will make a good faith effort to notify you of our approval within 15 days of receiving such information. Our failure to approve a supplier within this 15-day period will constitute disapproval of the proposed supplier. You must reimburse our costs related to our evaluation of the proposed item or supplier, not to exceed $500.
You must obtain and maintain insurance meeting our requirements and all policies must name us as an additional insured. Our then-current insurance requirements will be included in the Operations Manual, and may change during the term of your Franchise Agreement. You must comply with any changes we mandate for insurance coverages.
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, franchisees have several ongoing obligations that relate to approved suppliers. Mr. Sandless franchisees must operate their business during the hours and days specified by Mr. Sandless, adhering to applicable laws and regulations. Franchisees must also meet a minimum performance criterion of completing at least eight floor jobs a month within six months of their business's grand opening. For franchisees owning multiple Mr. Sandless businesses, this requirement increases by two floor jobs per additional territory. Failure to meet these performance criteria can result in a reduction of territory size or termination of the Franchise Agreement.
Mr. Sandless requires franchisees to comply with their policies and procedures. This includes purchasing or leasing products, supplies, branded clothing, inventory, and equipment from designated or approved suppliers, which may include Mr. Sandless itself. Franchisees must also enter into service agreements with approved vendors as directed by Mr. Sandless. While Mr. Sandless may be an approved supplier for certain items like equipment, tools, inventory, job tins, and uniforms, franchisees are not always required to purchase these specifically from them. However, Mr. Sandless is currently the only approved supplier for the Franchise Starter Kit, invoices, and after-care packs. All supplies ordered through Mr. Sandless are subject to a 10% administrative fee over their cost.
The FDD states that the estimated costs of purchases from designated or approved sources, or according to Mr. Sandless's standards and specifications, range from 40% to 80% of the total cost of establishing the business, and approximately 5% to 7% of the total cost of operating the business. Franchisees are also obligated to use a standardized vehicle dedicated to the business, which must be silver in color. If a franchisee wishes to purchase an item or use a supplier not yet approved, they must submit a written request to Mr. Sandless, and may have to reimburse Mr. Sandless for evaluation costs, up to $500. Mr. Sandless also requires franchisees to maintain insurance that meets their requirements, naming Mr. Sandless as an additional insured, as detailed in the Operations Manual.