Does Chesters currently require franchisees to obtain and use a specific POS System?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
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You currently have no obligation to buy or use any new electronic cash registers or computer system for the Restaurant and may use your current systems. However, you must send us monthly reports regarding the Restaurant's sales, labor costs, and profits in the format we specify. [Agreement — Section 15]
We have the right to require you to obtain (but currently only recommend that you obtain) and use the computer hardware and software, point-of-sale system, printers, tablets, smartphones, and other computer-related accessories and peripheral equipment we periodically specify (the "POS System"). The POS System must permit 24-hours-per-day, 7-days-per-week electronic communications between the Restaurant and us. (Agreement — Sections 5, 8, 10, and 15)
The POS System may include all or some of the following: point-of-sale terminals, networking switches, kitchen printers and displays, cash drawers, hand-held terminals, credit card terminals, self-order kiosks, and receipt printers. We estimate the POS System's cost to range from $2,000 to $6,000 depending on your Restaurant's needs.
The third parties whose computer-related products you buy have no contractual right or obligation to provide ongoing maintenance, repairs, upgrades, or updates unless you obtain a service contract or a warranty that covers the product. We currently do not provide computer-related products and therefore have no such obligations. We estimate the cost of ongoing maintenance, repairs, upgrades, and updates for the POS System to be approximately $250 to $325 per month (which is covered by the POS Technology Fee). We have the right to increase the POS Technology Fee upon 90 days' prior written notice, although the monthly fee will not exceed $350. The POS System generates and maintains sales, menu mix, and other financial information. You must upgrade the POS System, and/or obtain service and support, as we require or when necessary because of technological developments, including complying with PCI Data Security Standards. There are no contractual limitations on the frequency and cost of this obligation. We will have independent, unlimited access to the information the system generates, although not to employee-or employment-related information for your Restaurant's employees.
Training
Before the Restaurant opens, your manager and the employees we designate must attend and complete our initial brand standard training program to our satisfaction.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 24–29)
What This Means (2025 FDD)
According to Chesters's 2025 Franchise Disclosure Document, franchisees currently do not have an obligation to buy or use a specific electronic cash register or computer system for their restaurant. Franchisees can use their current systems, but they must send monthly reports to Chesters regarding the restaurant's sales, labor costs, and profits in a specified format.
However, Chesters retains the right to mandate the use of a specific POS System in the future. While currently only recommended, Chesters can require franchisees to obtain and use particular computer hardware, software, point-of-sale systems, printers, tablets, smartphones, and other computer-related accessories. This POS System must allow for 24/7 electronic communication between the restaurant and Chesters. The estimated cost for such a system ranges from $2,000 to $6,000, depending on the restaurant's specific needs.
The POS System may include point-of-sale terminals, networking switches, kitchen printers and displays, cash drawers, hand-held terminals, credit card terminals, self-order kiosks, and receipt printers. The franchisee is responsible for upgrades and support required by technological developments, including PCI Data Security Standards. Chesters will have independent, unlimited access to the data generated by the system, excluding employee-related information. The estimated cost of ongoing maintenance, repairs, upgrades, and updates for the POS System is approximately $250 to $325 per month (covered by the POS Technology Fee), and the monthly fee will not exceed $350.
Prospective franchisees should be aware that while there is no current requirement, Chesters has the right to implement such a requirement in the future, which would involve a potentially significant investment and ongoing monthly fees. It would be prudent for a potential franchisee to discuss with Chesters their long-term plans for POS system standardization and the potential impact on franchisees.