What is the estimated cost range for the POS System that Chesters may require franchisees to use?
Chesters Franchise · 2025 FDDAnswer from 2025 FDD Document
n 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.
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, while franchisees are not currently obligated to buy a new electronic cash register or computer system, Chesters has the right to require franchisees to obtain and use a specific point-of-sale (POS) system. This system facilitates 24/7 electronic communication between the restaurant and Chesters. 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 estimated cost for this POS System ranges from $2,000 to $6,000, depending on the restaurant's specific needs. Franchisees are responsible for securing service contracts or warranties directly with the third-party vendors of these computer-related products to ensure ongoing maintenance, repairs, upgrades, and updates. Chesters estimates that the ongoing costs for these services will be approximately $250 to $325 per month, which is covered by the POS Technology Fee.
Chesters retains the right to increase the POS Technology Fee with 90 days' prior written notice, but the monthly fee will not exceed $350. The POS system is designed to generate and maintain sales, menu mix, and other financial information, to which Chesters will have independent, unlimited access (excluding employee-related information). Franchisees are obligated to upgrade the POS System and obtain necessary service and support as required by technological developments, including compliance with PCI Data Security Standards. There are no contractual limitations on the frequency and cost of these required upgrades.