What is the Spray Net franchisee's obligation regarding maintaining inventory/supply levels to meet customer demand?

According to Spray Net's 2025 Franchise Disclosure Document, franchisees must purchase all inventory and supplies required by Spray Net to sell and provide approved products and services. After the initial purchase, franchisees must maintain inventory and supply levels that they deem reasonably necessary and appropriate to meet both current and anticipated customer demand in the near future.

This means a Spray Net franchisee has the responsibility to forecast demand and manage their inventory accordingly. While Spray Net dictates the required inventory and supplies, the franchisee has some discretion in determining the appropriate levels to maintain. This allows franchisees to adapt to seasonal fluctuations or local market conditions that may impact customer demand.

However, franchisees must also purchase required items, including inventory and supplies, from Spray Net's approved suppliers, which may include Spray Net or its affiliates. Spray Net or its affiliates may derive revenue from these sales. Spray Net also has the right to inspect inventory and supply samples to ensure they meet the company's standards and specifications. If a sample fails to conform to Spray Net's specifications or the supplier is not approved, the franchisee may be required to bear the cost of testing.