Under what circumstances can All Team designate an approved supplier for payroll and billing processing services, payroll funding, and sublicensing the Software to FRANCHISEE?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
Currently ATFC is the only approved supplier of payroll and billing processing services, payroll funding, and sublicensing the Software to FRANCHISEE. FRANCHISEE acknowledges that its agreement to comply with the foregoing is a material condition upon which this franchise is granted. In the event that ATFC or its affiliates are unable to offer any of these services to FRANCHISEE, ATFC may designate an approved supplier or suppliers for these services upon written notice to FRANCHISEE.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, currently ATFC is the only approved supplier for payroll and billing processing services, payroll funding, and sublicensing the Software to the franchisee. The franchisee's agreement to comply with this requirement is a material condition of the franchise grant.
However, All Team may designate an alternative approved supplier for these services if ATFC or its affiliates are unable to provide them. In such a case, All Team will provide written notice to the franchisee, informing them of the approved supplier designation.
This means that as a franchisee, you are initially required to use ATFC for these critical services. However, if ATFC cannot fulfill these obligations, All Team retains the right to select and approve another supplier, ensuring business continuity. It is important for a prospective franchisee to understand the implications of this dependency on ATFC and the potential for a change in service providers.