Where must a Crepe De Licious franchisee obtain the Computer System and related services?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
cost of this obligation.
You must obtain the Computer System, software licenses, maintenance and support services, and other related services from the suppliers we specify (which may be limited to us and/or our affiliates). We may periodically modify the specifications for, and components of, the Computer System. These modifications and/or other technological developments or events may require you to purchase, lease, and/or obtain by license new or modified computer hardware and/or software, and obtain service and support for the Computer System. The Franchise Agreement does not limit the frequency or cost of these changes, upgrades, or updates. We estimate that the annual cost of required maintenance updates or upgrading or support contracts will be $500 (however, it may be more or less, depending the update or contract). We have no obligation to reimburse you for any Computer System costs. Within 60 days after you receive notice from us, you must obtain the components of the Computer System that we designate and ensure that your Computer System, as modified
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 29–40)
What This Means (2025 FDD)
According to the 2025 Crepe De Licious Franchise Disclosure Document, franchisees must acquire the Computer System, software licenses, maintenance and support services, and other related services from suppliers specified by Crepe De Licious, which may include the franchisor or its affiliates. Crepe De Licious may periodically modify the specifications and components of the Computer System, potentially requiring franchisees to purchase, lease, or license new or modified computer hardware and/or software, and obtain service and support for the Computer System.
The Franchise Agreement does not limit the frequency or cost of these changes, upgrades, or updates. The FDD estimates the annual cost of required maintenance updates or upgrading or support contracts will be $500, but this amount may vary. Crepe De Licious has no obligation to reimburse franchisees for any Computer System costs. Franchisees must obtain the designated components of the Computer System within 60 days after receiving notice from Crepe De Licious and ensure that the modified Computer System is functioning properly.
This requirement ensures uniformity and compatibility within the Crepe De Licious system, allowing the franchisor to maintain control over data collection, reporting, and system-wide operations. However, it also means that franchisees have limited choice in selecting their computer systems and related services and must bear the costs of upgrades and maintenance as dictated by Crepe De Licious. This is a fairly standard practice in franchising, where franchisors often mandate specific suppliers to ensure consistency and quality control across all locations.
Prospective franchisees should carefully consider the potential costs associated with maintaining and upgrading the Computer System, as these expenses can fluctuate and are not capped by the Franchise Agreement. It would be prudent to discuss typical upgrade cycles and associated costs with existing franchisees during the due diligence process to gain a more realistic understanding of these ongoing technology expenses.