Can Big O Tires change the Approved Point-of-Sale Vendor that franchisees must use?
Big_O_Tires Franchise · 2025 FDDAnswer from 2025 FDD Document
NOW, THEREFORE, the parties hereby agree as follows:
-
- Certain Definitions. The following terms shall have the meaning set forth below:
- (a) APPROVED POINT-OF-SALE VENDOR means the vendor and/or Point-of-Sale system Big O management designates that franchisees must use. Big O management may, at its sole discretion, change the Approved Point-of-Sale Vendor. In the event that Big O changes the Approved Point-of-Sale Vendor, all references herein to Tekmetric shall be deemed to refer to the new Approved Point-of-Sale Vendor.
Source: Item 23 — RECEIPTS (FDD pages 102–535)
What This Means (2025 FDD)
According to the 2025 Big O Tires Franchise Disclosure Document, Big O Tires management has the authority to change the Approved Point-of-Sale Vendor that franchisees are required to use. The FDD defines the "Approved Point-of-Sale Vendor" as the vendor and/or Point-of-Sale system designated by Big O Tires management for mandatory use by franchisees.
Big O Tires retains sole discretion in making changes to the Approved Point-of-Sale Vendor. If Big O Tires decides to switch vendors, all references to the previous vendor in the agreement will automatically apply to the new Approved Point-of-Sale Vendor. For example, the document states that initially Tekmetric is the Approved Point-of-Sale Vendor, but if Big O changes the Approved Point-of-Sale Vendor, all references to Tekmetric shall be deemed to refer to the new Approved Point-of-Sale Vendor.
This clause gives Big O Tires significant control over a critical operational system. For a potential franchisee, this means they must be prepared to adapt to changes in the POS system and vendor, potentially incurring costs for training, data migration, or new hardware. It is important for prospective franchisees to inquire about the frequency with which Big O Tires has changed POS vendors in the past, the reasons for those changes, and whether Big O Tires provides financial assistance or support during the transition to a new system.