Is there a contractual limit on the cost of point-of-sale system upgrades required by Chocolate Bash?
Chocolate_Bash Franchise · 2024 FDDAnswer from 2024 FDD Document
t with a third party.
You must upgrade or update any system when we determine. There is no contractual limit on the frequency or cost of this obligation.
We estimate that the annual cost of any optional or required maintenance, updating, upgrading, or support contracts will be $100 - $250 per month depending on the level of support you choose.
You must give us independent access to the information that will be generated or stored in these systems. The information that we may access will include sales, customer data, and reports. There is no contractual limitation on our right to access the information.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 19–25)
What This Means (2024 FDD)
According to Chocolate Bash's 2024 Franchise Disclosure Document, there is no contractual limit on the cost of point-of-sale (POS) system upgrades. Chocolate Bash requires franchisees to upgrade or update their systems when the franchisor determines it is necessary. This means that a franchisee could face unexpected costs associated with these mandatory upgrades.
The initial cost for the point-of-sale system and computer system is estimated to be between $1,000 and $2,000. However, this figure does not account for future upgrades or updates, which could potentially be substantial and are not capped by any contractual agreement. The franchisee is obligated to comply with Chocolate Bash's requirements for system updates, regardless of the expense.
In addition, Chocolate Bash is not obligated to provide any ongoing maintenance, repairs, upgrades, or updates for the POS system. While franchisees are not required to enter into a third-party contract for these services, the responsibility for maintaining and updating the system ultimately falls on the franchisee, who must bear the associated costs. The FDD estimates that the annual cost of optional or required maintenance, updating, upgrading, or support contracts will be $100 - $250 per month depending on the level of support chosen.