Enhancement Procurement FAQ - RaaS

It is a service offered by food distribution experts that helps businesses renegotiate their distribution contracts.

We review purchasing data supplied to us from the distributor. Our clients do not need to share invoices. 

There are 2 qualifications needed: 1st, the business needs to purchase a minimum of $500,000 annually. 2nd, the business needs to have an average drop (delivery) size of $5,000

The service doesn’t cost the business anything. Enhanced Procurement only collects a fee if and when your distribution agreement is actually renegotiated. So there’s zero upfront cost and no risk to the business to see if they qualify and what they could potentially save. In success, Enhanced Procurements fee is paid by the distributor and not by the business.

There’s an expected range of 3% to 6% annual savings. This is based on the initial group of businesses who have used the service

Once qualified we review 1 month of purchasing history provided by the distributor(s)  and then it normally takes another 3 to 4 weeks to complete the renegotiation process.

No. If you would like to stay with your existing vendors, you can. However, if you would like us to provide alternatives for greater potential savings, this is a part of the service we offer. 

That’s the “secret sauce” to our service but we can tell you that our team has more than 50 years experience working for the largest food distribution companies in the United States and at the highest corporate level. So it’s safe to say that we understand these complex agreements better than most.

Once you sign our agreements, we are bound by a non-disclosure provision for any proprietary information.

We launched the service in 2023 and by Q1 2024 had already renegotiated upwards of $150M in annual purchasing contracts.

Yes. The service is available to any business type that uses a commercial food and supply distributor. So besides restaurants, this includes businesses like hotels and resorts, hospitals and healthcare facilities, schools and universities, catering companies, corporate cafeterias, event venues and stadiums, convenience stores and gas stations, and senior living and assisted living facilities.

No. Enhanced procurement is not a traditional GPO (group purchasing organization). Although we have access to the best GPO in the industry, the service is available to businesses that already have a GPO and is separate from anything your GPO provides.

Both single and multi-unit operations are eligible.

Yes. Regardless of how great your current agreement is. We’ve found there are always some “hidden” overcharges that are increasing your distributors margins and not your own. We don’t charge you anything to find out so there’s no downside to exploring how much you can potentially save.

This is normal and not a problem. We will need to see your total purchasing volume (across all distributors) in order to qualify you and create a proposal.

You may be able to qualify depending on how your franchise purchasing agreement is structured. We will need more information to determine your eligibility.