Who is the designated supplier of certain ingredients, mixes, furnishings, merchandise, smallwares, and decorative design packages for Nothing Bundt Cakes?
Nothing_Bundt_Cakes Franchise · 2025 FDDAnswer from 2025 FDD Document
Our affiliate, NBC Distribution, is presently the only designated supplier of certain ingredients and mixes for Products, certain furnishings, merchandise, smallwares and decorative design packages associated with operating a Bakery. Neither we nor our officers have an ownership interest in any approved or designated suppliers.
We are parties to a master services agreement (the "MSA") with Sysco Corporation, whose headquarters are located at 1390 Enclave Parkway, Houston, TX 77077. Under the MSA, we have designated Sysco as the prime distributor of certain required food and non-food products offered by System franchisees. All Nothing Bundt Cakes franchisees must participate in the program and must purchase products from Sysco under the agreed-upon pricing structure. Sysco has agreed to pay us certain incentives towards our annual convention. None of our owners have an interest in Sysco.
During its fiscal year ended December 29, 2024, our affiliate, NBC Distribution, derived revenues of $118,595,761 from required franchisee purchases or leases.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 36–40)
What This Means (2025 FDD)
According to the 2025 Nothing Bundt Cakes Franchise Disclosure Document, NBC Distribution, an affiliate of Nothing Bundt Cakes, is the designated supplier for certain ingredients and mixes for products, certain furnishings, merchandise, smallwares, and decorative design packages associated with operating a bakery. Franchisees are required to purchase these items from NBC Distribution. Neither Nothing Bundt Cakes nor its officers have an ownership interest in any other approved or designated suppliers.
Nothing Bundt Cakes franchisees must also participate in the National Grocery Program. Sysco Corporation is designated as the prime distributor of certain required food and non-food products. All Nothing Bundt Cakes franchisees must purchase these products from Sysco under an agreed-upon pricing structure. Sysco also provides Nothing Bundt Cakes with certain incentives towards their annual convention.
During the fiscal year that ended December 29, 2024, NBC Distribution derived revenues of $118,595,761 from required franchisee purchases or leases. This highlights the significant role of NBC Distribution as a supplier within the Nothing Bundt Cakes franchise system. Franchisees should consider the costs associated with purchasing from designated suppliers when evaluating the potential profitability of a Nothing Bundt Cakes franchise.