factual

Is a Bonchon franchisee required to purchase technology before opening their restaurant?

Bonchon Franchise · 2025 FDD

Answer from 2025 FDD Document

You must purchase, utilize, maintain, retire and replace the technology serving your franchised Business and as and when we require in the Manuals or otherwise in writing. Before the opening of the franchised Restaurant, you agree to procure and install, at your expense, the computer hardware, order and pay kiosks, point of sale server ordering tablets, software, training service, Internet connections and service, required dedicated telephone and power lines, e-mail service, point of sale system, remote helpdesk service, secure payment service, back office equipment, credit card processor, credit card chip reader, food and labor cost management software, digital menu boards, burglar alarm, camera system, music audio and video system, security firewall and networks, network cabling, and other computer-related accessories, peripherals and equipment that we specify in our Manuals or otherwise (the "Computer and Point of Sale System and Other Technology"). You are required to purchase one LED television screen and mount it on the wall in your Restaurant. You are currently required to use the NCR/Aloha point of sale system or any other system we may designate in the future or approve in advance. If you will be operating a Remote Kitchen Restaurant, the lease for your Restaurant Location may require that you use a computer or point of sale system other than the point of sale system we require, in which case you agree to take whatever steps we require (in our business judgment) to properly report your Restaurant's sales transactions. You agree to obtain and maintain high-speed communications access, such as broadband, fiber or other highspeed capacity that we require for your Computer and Point of Sale System and Other Technology. You are currently required to use our designated internet and phone service provider, purchase the internet and phone service package we require as set forth in our Manuals and sign such forms that our provider requires.

Source: Item 23 — RECEIPTS (FDD pages 92–536)

What This Means (2025 FDD)

According to Bonchon's 2025 Franchise Disclosure Document, franchisees are required to purchase and install specific technology before opening their restaurant. This includes computer hardware, order and pay kiosks, point of sale server ordering tablets, software, training service, internet connections, dedicated telephone and power lines, e-mail service, point of sale system, remote helpdesk service, secure payment service, back office equipment, credit card processor, credit card chip reader, food and labor cost management software, digital menu boards, burglar alarm, camera system, music audio and video system, security firewall and networks, network cabling, and other computer-related accessories, peripherals, and equipment. Franchisees must also purchase one LED television screen and mount it on the wall in their restaurant.

Bonchon requires franchisees to use the NCR/Aloha point of sale system or any other system Bonchon designates or approves. Franchisees operating a Remote Kitchen Restaurant may be required by their lease to use a different point of sale system, in which case they must take steps required by Bonchon to properly report sales transactions. Franchisees must also obtain and maintain high-speed communications access, such as broadband or fiber, and use Bonchon's designated internet and phone service provider, purchasing the required service package and signing necessary forms.

This requirement ensures that all Bonchon restaurants operate with a standardized technology infrastructure, which can help maintain brand consistency and operational efficiency. However, it also represents a significant upfront investment for the franchisee. The franchisee bears the expense of procuring, installing, maintaining, and replacing this technology, and must adhere to Bonchon's specifications and approved systems. This also means that Bonchon has the right to change the required technology, obligating the franchisee to adapt and invest further in new systems as needed.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.