factual

What are the approved software programs for the Computer/POS System at a Carls Jr. restaurant?

Carls Franchise · 2024 FDD

Answer from 2024 FDD Document

he connectivity currently includes security appliance – Meraki MX68 w/Advanced Security License, wireless access Points – Meraki MR33, and managed switch – Meraki MS120. You are required to upgrade or update these systems and add or replace components during the term of the Franchise Agreement, and there is no contractual limitation on the frequency or cost of the obligation.

You also must use an approved software program for the Computer/POS System. You must choose either PAR Brink or Xenial Xpient (5.0 or higher) for your Computer/POS System. The cost of PAR Brink includes an initial setup fee of $2,200 per Franchised Restaurant and $576 annual license fee per Franchised Restaurant which will cover 4 terminals and 6 KDS systems, both fees payable directly to the third-party vendor. You may add additional terminals or KDS systems for $7 per month for each additional service. If you choose PAR Brink, you must also use CrunchTime as your back-office software solution. If you choose to use PAR Brink, you may sign a Software Support Agreement with CKR (the current form is attached as Exhibit G-1) and pay to CKR a software support fee of $118 for each Franchised Restaurant for each fiscal period (as defined by CKR) which will give you access to CKR's Level 1 and Level 2 Help Desk Support and also pay to CrunchTime $825 per Franchised Restaurant bi-annually (every 26 week accounting period) for swivel seat support which includes hardware and network issues, phone and internet issues and access to the CrunchTime back-office software solution. If you obtain support for PAR Brink/CrunchTime from a third party, we estimate the cost to be on average $125 per month. In addition, for PAR Brink, you must enter into a written agreement with Par Tech, Inc. ("Par Tech"), Lucas POS Systems, or POS Technical to provide on-site support. Par Tech, Lucas POS Systems, or POS

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 41–54)

What This Means (2024 FDD)

According to the 2024 Carls FDD, franchisees must use an approved software program for their Computer/POS system. The approved options are PAR Brink or Xenial Xpient IRIS 5.0 (or higher). If a franchisee chooses PAR Brink, they must also use CrunchTime as their back-office software solution.

The cost of PAR Brink includes an initial setup fee of $2,200 per restaurant and a $576 annual license fee per restaurant, covering 4 terminals and 6 KDS systems. Additional terminals or KDS systems can be added for $7 per month each. Franchisees who select PAR Brink may also sign a Software Support Agreement with CKR for a software support fee of $118 per restaurant per fiscal period, which grants access to CKR's Level 1 and Level 2 Help Desk Support. Additionally, they must pay CrunchTime $825 per restaurant bi-annually for swivel seat support, which includes hardware and network issues, phone and internet issues, and access to the CrunchTime back-office software solution. Alternatively, franchisees can obtain support for PAR Brink/CrunchTime from a third party, estimated to cost around $125 per month. On-site support for PAR Brink requires a written agreement with Par Tech, Inc., Lucas POS Systems, or POS Technical, who will bill the franchisee directly.

For franchisees choosing Xenial Xpient IRIS 5.0 (or higher), a license must be obtained directly from Xenial, along with on-site support from a Xenial-approved vendor. The total purchase price for the required hardware, software, and support for Xenial Xpient ranges from approximately $35,000 to $45,000, depending on the vendor selected. Carls also requires franchisees to purchase or lease PAR ES600 or PAR ES8500 terminals for their Computer/POS System, which record customer transactions and generate gross sales reports. Franchisees are also required to upgrade or update these systems and add or replace components during the term of the Franchise Agreement, and there is no contractual limitation on the frequency or cost of the obligation.

Disclaimer: This information is extracted from the 2024 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.