Is All Team obligated to maintain or update the software programs that franchisees lease?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
uired to upgrade or purchase new equipment.
Under the terms of the Franchise Agreement, you will lease the specific Software we require. Currently, the "Software" includes "Avionte" software which provides billing, payroll, employee records, customer information and accounts receivable. You will pay us an initial fee of $4,500 to license the Software. There is a weekly Technology Fee of $100 which includes the continuing license fee to maintain the Software as well as network support, email access, and maintenance and updates to the website. The Software is proprietary software which we sublicense to you. We are not under any obligation to maintain or update these programs except as otherwise provided. We reserve the right to require different, upgraded or additional programs and if so, you will pay the cost of such different, upgraded or additional programs. In addition to any amount you pay under the Technology Fee, we estimate the cost of optional or required maintenance, updates and upgrades to the computer system will be $0 to $500 per year
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 18–23)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, franchisees are required to lease specific software, which currently includes "Avionte" software for billing, payroll, employee records, customer information, and accounts receivable. Franchisees pay an initial fee of $4,500 to license this software. Additionally, there is a weekly Technology Fee of $100, which covers the continuing license fee to maintain the software, as well as network support, email access, and website maintenance and updates.
While All Team sublicenses the proprietary software to franchisees, they are not generally obligated to maintain or update these programs. However, the weekly Technology Fee does include the continuing license fee to maintain the Software. All Team reserves the right to require different, upgraded, or additional programs, and franchisees will bear the costs of these changes. In addition to the Technology Fee, franchisees should anticipate spending an estimated $0 to $500 per year for optional or required maintenance, updates, and upgrades to the computer system, payable to third-party vendors.
This arrangement means that All Team franchisees should budget not only for the initial software license and weekly fees but also for potential future upgrade costs. It is important for prospective franchisees to understand that while All Team provides the initial software and some level of maintenance through the Technology Fee, the responsibility for keeping the systems current and compatible may ultimately fall on the franchisee, potentially impacting their operational costs.