If Buona requires the implementation of a Software Program, what is the Buona franchisee required to do regarding purchasing, leasing, or licensing the software and hardware?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) If Franchisor develops and custom designs a software program and hardware system for conducting accounting, inventory, point-of-sale or marketing functions and/or other activities related to the Franchised Business (hereinafter "Software Program"), Franchisee agrees to implement the Software Program into the Franchised Business, and to comply with all specifications and standards prescribed by Franchisor regarding the Software Program as provided from time to time in the Manual.
At such time as Franchisor requires the implementation of such Software Program, Franchisee shall only utilize the Software Program as prescribed by Franchisor.
At such time as Franchisor requires the implementation of such Software Program, Franchisee shall be required to purchase, lease or license the designated Software Program, to purchase or lease specified computer hardware compatible with the Software Program requirements and contract for on-going service, maintenance and support for such hardware and Software Program at terms designated by Franchisor or its suppliers.
Source: Item 23 — RECEIPTS (FDD pages 78–356)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, if Buona develops a software program and hardware system for accounting, inventory, point-of-sale, marketing, or other business-related functions, franchisees must implement this software program into their franchised business and adhere to all specifications and standards provided in the manual.
At the time that Buona requires the implementation of the Software Program, the franchisee must use only the software program prescribed by Buona. The franchisee is required to purchase, lease, or license the designated Software Program. They also need to purchase or lease specified computer hardware that is compatible with the software requirements.
Furthermore, the franchisee must contract for ongoing service, maintenance, and support for both the hardware and software program under the terms designated by Buona or its suppliers. This ensures that all franchisees are using a standardized system, but it also means that franchisees will incur costs for the software, hardware, and related services, potentially from suppliers chosen by Buona.