factual

For a Southern Steer franchise, does the definition of 'Approved Supplier' include distributors?

Southern_Steer Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 30.3.

Approved Supplier. "Approved Supplier" will mean a supplier, vendor or distributor that has been approved in writing by the Franchisor to supply its products and/or services to the Franchisee because its products and/or services conform to the standards and specifications established by the Franchisor, and the Franchisor has determined that its business reputation, quality standards, delivery performance, credit rating and other factors are satisfactory.

Source: Item 22 — ITEM. 22 CONTRACTS (FDD pages 61–168)

What This Means (2025 FDD)

According to Southern Steer's 2025 Franchise Disclosure Document, the definition of an 'Approved Supplier' does include distributors. Specifically, an Approved Supplier is defined as a supplier, vendor, or distributor that Southern Steer has approved in writing to supply products and/or services to the franchisee.

For a prospective Southern Steer franchisee, this means that you are required to purchase certain products, services, supplies, equipment, materials, and food items from manufacturers, suppliers, or distributors that Southern Steer has either designated or previously approved. Southern Steer also retains the right to update or modify the list of Approved Suppliers from time to time.

If a franchisee wishes to use different items or purchase from other suppliers who are not on the approved list, they must first obtain written approval from Southern Steer. The proposed suppliers must meet Southern Steer's standards and specifications, including business reputation, quality standards, delivery performance, and credit rating. Southern Steer has the right to deny or revoke approval of any supplier at any time if they fail to meet these standards. The franchisee will bear the costs of submitting samples, specifications, and product information for review and testing, as well as reimbursing Southern Steer for any inspection costs of the supplier's facilities.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.