What are the 7 Brew franchisee's obligations regarding pre-opening purchases/leases (Item 9) and how do these relate to the franchisor's requirements for the computer system (Item 8)?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
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- We will not be involved in reviewing, negotiating, approving, or accepting any lease you sign for the Traditional 7 BREW Stores you construct and develop under the DRR. You alone are exclusively responsible for all lease matters. The only requirement we impose upon you is that the site's lease must incorporate the terms of our then-current Lease Rider (attached to the Franchise Agreement) for Traditional 7 BREW Stores. You must send us a fully-signed copy of each Store's lease within 10 days after our request. (DRR—Section 6(d))
(1) You agree to obtain and use the computer hardware and software, point-of-sale system, computer-related accessories and peripheral equipment, tablets, smart phones, on-line, digital, and App ordering systems, and on-line inventory ordering system we periodically specify (the "Computer System"). You must use the Computer System to access the System Website and to input and access information about your sales and operations. The Computer System must operate continuously. We will have continuous, unlimited access to all information maintained on the Computer System (excluding matters relating to labor relations and employment practices) and to the content of any 7 BREW e-mail accounts we provide you.
(2) We may periodically modify the Computer System's specifications and components.
Our modification of Computer System specifications and/or other technological developments or events may require you to purchase, lease, or license new or modified computer components, software, and peripherals and to obtain service and support for the Computer System.
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, franchisees are responsible for locating, evaluating, and securing a site for their store. 7 Brew will review potential sites but does not search for or select the site. The franchisee is responsible for all lease matters, and the lease must incorporate 7 Brew's current Lease Rider. The franchisee must send 7 Brew a signed copy of the lease within 10 days of request. Franchisees are also responsible for ensuring the store's plans comply with all laws and lease requirements.
Regarding the computer system, 7 Brew requires franchisees to obtain and use specific computer hardware and software, including a point-of-sale system and online ordering systems. This Computer System must operate continuously, and 7 Brew has continuous, unlimited access to all information maintained on it, excluding labor relations and employment practices.
7 Brew may periodically modify the Computer System's specifications, potentially requiring franchisees to purchase, lease, or license new or modified computer components. This obligation to maintain an up-to-date computer system is separate from the site selection and lease obligations but is a mandatory investment for franchisees to remain compliant with 7 Brew's standards and operational requirements. The FDD does not specify any direct financial assistance from 7 Brew related to these technology upgrades, so franchisees should budget accordingly.