What factors does Spray Net consider when evaluating a proposed alternative supplier?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
If you wish to undertake either of these actions, you must request and obtain our approval in writing before: (i) using or offering the non-approved product or service in connection with your Franchised Business; or (ii) purchasing from a non-approved supplier. We may ask you to submit samples or information so that we can make an informed decision whether the goods, equipment, supplies or supplier meet our specifications and quality standards. In evaluating a supplier that you propose to us, we consider not only the quality of the particular product at issue, but also the supplier's production and delivery capability, overall business reputation and financial condition. We may provide any alternate supplier you propose with a copy of our then-current specifications for any product(s) you wish the supplier to supply, provided the supplier enters into a confidentiality and non-disclosure agreement in the form we specify. We may also inspect a proposed supplier's facilities and test its products, and request that you reimburse our actual costs associated with the testing/inspection.
We will notify you in writing within 30 days after we receive all necessary information and/or complete our inspection or testing to advise you if we approve or disapprove the proposed item and/or supplier. The criteria we use in approving or rejecting new suppliers is proprietary, but we may (but are not required to) make it available to you upon request. Each supplier that we approve of must comply with our usual and customary requirements regarding insurance, indemnification and non-disclosure. If we incur any costs in connection with testing a particular product or evaluating an unapproved supplier at your request, you must reimburse us for our reasonable testing costs, regardless of whether we subsequently approve the item or supplier. If we approve any supplier, we will not guarantee your performance of any supply contract with that supplier under any circumstances. We may re-inspect and/or revoke our approval of a supplier or item at any time and for any reason to protect the best interests and goodwill of our System and Proprietary Marks. The revocation of a previously approved product or alternative supplier is effective immediately when you receive written notice from us of revocation and, following receipt of our notice, you may not place any new orders for the revoked product, or with the revoked supplier.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 33–36)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, if a franchisee wishes to purchase required items or services from a supplier not already approved by Spray Net, they must seek written approval from Spray Net. Spray Net may request samples or information to assess whether the proposed supplier meets their standards.
In evaluating a potential alternative supplier, Spray Net considers several factors. These include the quality of the specific product at issue, the supplier's production and delivery capabilities, their overall business reputation, and their financial condition. Spray Net may also provide the proposed supplier with their current product specifications, provided the supplier agrees to a confidentiality and non-disclosure agreement.
Spray Net also has the option to inspect the supplier's facilities and test their products, with the franchisee required to reimburse Spray Net for the actual costs associated with such testing or inspection. While the specific criteria Spray Net uses to approve or reject new suppliers is considered proprietary, they may make it available to the franchisee upon request. Any approved supplier must also comply with Spray Net's standard requirements for insurance, indemnification, and non-disclosure.
Spray Net will notify the franchisee in writing within 30 days of receiving all necessary information or completing their inspection/testing whether the proposed supplier is approved or disapproved. However, even if a supplier is approved, Spray Net does not guarantee the franchisee's performance of any supply contract with that supplier. Spray Net retains the right to re-inspect or revoke approval of a supplier at any time to protect the brand's interests and goodwill, and such revocation is effective immediately upon written notice.