Besides franchise rights, what other performance obligation does Clear Pest Pros have to franchisees?

According to the 2025 FDD, in addition to granting franchise rights to service customers, Clear Pest Pros also has a performance obligation to provide franchisees with customized software. Clear Pest Pros charges a technology fee for this software.

Clear Pest Pros recognizes revenue from franchise rights, royalties, and monthly franchise fees over the term of the franchise agreement. The company considers providing the franchise rights and the customized software as separate performance obligations, meaning they are distinct services provided to the franchisee.

For a prospective franchisee, this means that the technology fee they pay to Clear Pest Pros is not just for the right to use the software, but also for the ongoing provision and maintenance of that software throughout the term of their franchise agreement. This could include updates, support, and other related services. Franchisees should inquire about the specifics of the software, including its capabilities, support services, and any additional costs associated with its use.