Who bears the expense for updates and upgrades to the hardware and software for a Fitstop franchise?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
its on our rights to do so. We may require updates and upgrades to the Computer System and/or Required Software from time to time during the term of the franchise agreement. We require updates and upgrades to your hardware, software and other Computer System components as such become available, at your expense, upon providing you with reasonable advance notice via the Manuals or otherwise in writing (i.e., typically 60 or more days). There are no contractual limitations to the frequency and cost of the obligation to upgrade and maintain these items. With that said, we do not currently have any specific ongoing maintenance and/or support contract requirements other than working with our third-party Approved Supplier for billing/collection and related services. We estimate that you may spend an average of between $500 and $1,500 (per year from the date you acquire the same) on annual updates and maintenance to the Computer System hardware, includin
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 24–35)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, the franchisee is responsible for the expenses associated with updates and upgrades to the hardware and software of the computer system. Fitstop may require these updates and upgrades periodically throughout the term of the franchise agreement.
The FDD states that Fitstop will provide reasonable advance notice, typically 60 or more days, via the manuals or in writing before requiring these updates. While there are no contractual limitations on the frequency and cost of these upgrades, Fitstop estimates that franchisees may spend an average of $500 to $1,500 annually from the date of acquisition on computer system hardware updates and maintenance, including non-material upgrades.
Prospective Fitstop franchisees should consider these ongoing technology expenses when evaluating the overall cost of the franchise. It is important to factor in that the actual costs could vary and there are no contractual limitations to the frequency and cost of the obligation to upgrade and maintain these items. Franchisees should budget accordingly to ensure they can maintain the required technology standards throughout their franchise term.