Does Beard Papas require franchisees to pay an ongoing fee for the point of sale system?
Beard_Papas Franchise · 2025 FDDAnswer from 2025 FDD Document
"Business Management System" refers to and means the software, internet, web based and/or cloud based system or systems, point of sale system or systems and customer relationship management system or systems as same may be individually, or collectively, designated by Franchisor, in Franchisor's Reasonable Business Judgment, as being required for use by the Franchised Business.
"Business Management System Data" refers to and means the forms, data, tools, customer information, inventory, sales, and other information that: (a) is pre-populated or entered into the Business Management System; (b) is entered by Franchisor or Franchisee into the Business Management System; and/or (c) is recorded, stored and/or maintained in connection with the Franchised Business.
Source: Item 23 — RECEIPTS (FDD pages 58–275)
What This Means (2025 FDD)
Based on the 2025 Beard Papas Franchise Disclosure Document, the brand utilizes a 'Business Management System' which includes a point of sale system. While the FDD defines this system, it does not explicitly state whether franchisees are required to pay ongoing fees for its use.
The FDD mentions that the Brand Development Fund may be used for the maintenance, evaluation, and monitoring of the Business Management Systems. It also states that the Brand Development Fund can cover expenses incurred by Beard Papas for advertising, marketing, product and service testing, product and service development, and upgrades to the System Website. However, it does not specify if these funds are used to cover ongoing fees for the point of sale system, or if franchisees are directly responsible for these costs.
Therefore, it remains unclear from the provided excerpts whether Beard Papas franchisees must pay separate, ongoing fees for the point of sale system. Prospective franchisees should seek clarification from the franchisor regarding any recurring costs associated with the Business Management System, including the point of sale system, to fully understand their financial obligations.