factual

Is the Cream Technology Fee inclusive of the direct out-of-pocket costs for acquiring, maintaining, or servicing the Computer System?

Cream Franchise · 2025 FDD

Answer from 2025 FDD Document

We require you to pay us a technology fee at the intervals we specify (the "Technology Fee"). As of the Effective Date, the Technology Fee is 0.25% of your Net Sales. We may modify the amount of the Technology Fee from time to time with 30 days prior notice to you, provided that the total amount of the Technology Fee will not at any time exceed 1% of your Net Sales. The Technology Fee is in addition to all direct out-of-pocket costs you must otherwise incur under the terms of this Agreement or the Brand Manual to acquire, maintain, or service your Computer System.

Source: Item 23 — RECEIPTS (FDD pages 61–192)

What This Means (2025 FDD)

According to Cream's 2025 Franchise Disclosure Document, the Technology Fee is not inclusive of the direct out-of-pocket costs for acquiring, maintaining, or servicing the Computer System. Cream franchisees must pay a Technology Fee, which, as of the effective date, is 0.25% of Net Sales. Cream can modify this fee with 30 days' notice, but it will not exceed 1% of Net Sales.

This Technology Fee is in addition to any direct out-of-pocket costs that a Cream franchisee must incur to acquire, maintain, or service their Computer System. This means that franchisees should anticipate additional expenses beyond the Technology Fee for their computer systems.

Prospective Cream franchisees should carefully consider these additional costs when evaluating the financial investment required to operate a franchise. It is important to factor in the potential expenses related to acquiring, maintaining, and servicing the Computer System, as these costs are separate from the Technology Fee paid to Cream.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.