Can Designated and Approved Suppliers establish policies for allocating and distributing ingredients among Noodles & Company restaurants?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
Designated and Approved Suppliers will not be liable for any delay in the delivery of products as a result of any cause beyond their reasonable control, except in accordance with our contracts with them. Designated and Approved Suppliers may establish policies and procedures for the allocation and distribution of ingredients and products among Noodles & Company restaurants.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 28–32)
What This Means (2025 FDD)
According to the 2025 Noodles & Company Franchise Disclosure Document, Designated and Approved Suppliers have the authority to establish policies and procedures for allocating and distributing ingredients and products among Noodles & Company restaurants. This means that these suppliers, not Noodles & Company itself or the franchisees, determine how ingredients and products are distributed among the various restaurant locations.
This policy could impact a franchisee's ability to obtain necessary supplies promptly or in the desired quantities. While Noodles & Company states they will ensure suppliers sell reasonable quantities, the suppliers ultimately control the allocation and distribution processes. This could lead to potential inconsistencies in product availability across different Noodles & Company locations.
As a prospective franchisee, it is important to understand the specific allocation and distribution policies of the Designated and Approved Suppliers. This includes understanding how these policies might affect your restaurant's ability to meet customer demand and maintain consistent product quality. It would be prudent to discuss these policies with existing franchisees to learn about their experiences and any challenges they may have faced due to supplier allocation decisions.