Does Alloy specify the forms and methods of bookkeeping and accounting that franchisees must use?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
D. Alloy App. You must purchase a proprietary software application system that complies with our standards and requirements, including all future updates, supplements and modifications (the "Alloy App") and sign any related agreements that we require. The Alloy App is a tool for you to use in the operation of your Facility and not as a means for us to exercise control over the day-to-day operation of your Facility. The Alloy App and other future software and hardware that you are required to use in the operation of the Facility may include designated software used to manage and communicate with your coaches and clients through the personal profile you build. Through the Alloy App, you will be able to build specific, video driven programs for your clients, send messages to your clients, and track each client's results.
The required software and hardware may include a credit card processing system and/or gift card processing system we designate. It is your responsibility to make sure that you are in compliance with all laws that are applicable to the POS System or other technology used in the operation of your Facility, including all data protection or security laws as well as PCI compliance. You may be required to license the proprietary software from us, an affiliate or a third party and you also may be required to pay a software licensing or user fee in connection with your use of the proprietary software. All right, title and interest in the software will remain with the licensor of the software. You shall not use or download any software on your computer unless it has been authorized by us in writing. In the event that you use or download any unauthorized software, you shall be liable for all damages and problems caused by the unauthorized software in addition to the other remedies provided under this Agreement. You acknowledge and agree that we will have full and complete access to the information and data entered and produced by the POS System. You must, at all times, have at the Facility Internet access with a form of high speed connection as we require and you must maintain an email account for the Facility.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
Based on the 2025 FDD, Alloy requires franchisees to purchase and use the proprietary Alloy App software, which must comply with Alloy's standards. The Alloy App is a tool for franchisees to manage their facility, communicate with coaches and clients, build programs, send messages, and track results.
This required software may include a credit card processing system and/or gift card processing system designated by Alloy. Franchisees are responsible for complying with all applicable laws related to the POS system or other technology used, including data protection, security laws, and PCI compliance. Franchisees may be required to license the proprietary software from Alloy, an affiliate, or a third party and pay a software licensing or user fee.
Alloy will have full access to the information and data entered and produced by the POS system. Franchisees must maintain Internet access with a high-speed connection and an email account for the facility. While the FDD mentions the use of specific software and compliance with data-related laws, it does not explicitly detail the specific forms and methods of bookkeeping and accounting that franchisees must use beyond the Alloy App and POS system. A prospective franchisee should ask Alloy for more details regarding bookkeeping and accounting requirements.