Are the fees for software purchases refundable for a Christian Brothers Automotive franchise?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
The software that will be provided by CBAC and used to operate your CBA franchise include a shop management system, an accounting software suite, associated middleware, a client communication system, an automotive animations library, an online training platform with relevant content, website hosting, SEO management, a phone call tracking platform, email accounts and cloud document suite, network equipment updates and warranty services, PCI compliance services, an antivirus protection software, remote support agents, and required client access licenses at the approximate upfront cost of $1,650 and the approximate ongoing cost of $10,500 annually, plus data overages. Costs are subject to change and will vary depending on the underlying vendors' current prices. The fees for software purchases are refundable prior to store opening. See Item 5 and Item 7 for more information about the equipment, furniture and software that will be needed to operate the franchise.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 33–36)
What This Means (2025 FDD)
According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, the fees for software purchases are refundable prior to the store opening. Christian Brothers Automotive requires franchisees to purchase specific software to operate their franchise, including a shop management system, accounting software, a client communication system, and an online training platform. The upfront cost for this software is approximately $1,650, with ongoing annual costs of approximately $10,500, plus data overages. These costs are subject to change based on the vendors' current prices.
This refund policy offers a degree of financial protection to franchisees before they commence operations. If a franchisee decides not to proceed with opening the store, they can recover the initial software costs. However, it is important to note that this refund applies only prior to the store opening. Once the store is open, the franchisee is responsible for all software costs.
Prospective franchisees should confirm the exact refund conditions and procedures with Christian Brothers Automotive. Understanding the circumstances under which a refund is granted, and any associated administrative processes, is crucial for financial planning. Additionally, franchisees should stay informed about potential changes in software costs, as these are subject to vendor pricing adjustments.