Is a Craters & Freighters franchisee required to upgrade or update the computer system during the term of the franchise?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
You will be responsible for maintaining the computer system and software programs in good repair at your expense. We anticipate that you may be required to upgrade or update the computer system during the term of the franchise. We are not obligated to provide you with ongoing maintenance, repairs, upgrades or updates to your computer system. It is difficult to estimate the cost of maintaining, updating or upgrading your computer system or software as it will depend on your repair history, local cost of such services in its area and technological advances, which we cannot predict at this time. We currently estimate these costs to range from $1,000 to $2,000 per year, although these costs could change frequently and significantly over time as technology changes. However, the aggregate cost of your obligations to carry out upgrades of the computer
system, addition of components to the computer system, and replacement of components to the computer system will not exceed $5,000 per year during the term of your Franchise Agreement.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 22–29)
What This Means (2025 FDD)
According to Craters & Freighters' 2025 Franchise Disclosure Document, franchisees are responsible for maintaining their computer systems and software programs. Craters & Freighters anticipates that franchisees may be required to upgrade or update their computer systems during the term of the franchise agreement. However, Craters & Freighters is not obligated to provide ongoing maintenance, repairs, upgrades, or updates to the franchisee's computer system.
The cost of maintaining, updating, or upgrading the computer system or software will depend on the repair history, local cost of such services, and technological advances. Craters & Freighters estimates these costs to range from $1,000 to $2,000 per year, although these costs could change frequently and significantly over time as technology changes.
The FDD states that the aggregate cost of upgrades, additions, and replacements to the computer system will not exceed $5,000 per year during the term of the Franchise Agreement. This provides a limit to the potential expenses a franchisee might incur for keeping their computer systems current. Prospective franchisees should factor these potential costs into their financial planning and be prepared for ongoing technology-related expenses.