factual

What is the definition of 'Required Software' for a Fitstop franchise?

Fitstop Franchise · 2024 FDD

Answer from 2024 FDD Document

  • 6.11 Required Software (including CMS) and Use of Approved Supplier for Billing/Collection and Point of Sale (POS) Software and/or Services. You must at your cost: (1) acquire and install the software necessary to access the CMS, as well as any other cloud-based or other software program, we require you license and/or use in connection with your Franchised Business (collectively, the "Required Software"); (2) pay all fees and costs to our then-current Approved Supplier, for such Required Software; (3) acquire and install all other software required to operate the Franchise as directed by us; and (4) acquire and use computer hardware and other electronic equipment as set forth in the Manual(s) or otherwise in writing, whether prior to opening or thereafter (the "Computer System"); and (5) utilize our then-current Approved Supplier that will (a) provide billing and collection services with respect to all membership fees and other revenue generated by the Franchised Business, and (b) remit the appropriate amounts to you and other System franchisees, less the applicable Royalty Fees, Fund Contributions and other recurring amounts due under this Agreement. To the extent access to a given Required Software is afforded as part of your then-current Technology Fee, the Applicable Provider(s) of such Required Software will either (a) provide you with login credentials to initially access such software directly, or (b) work with us to ensure you are provided with said credentials.

Source: Item 23 — RECEIPTS (FDD pages 50–135)

What This Means (2024 FDD)

According to Fitstop's 2024 Franchise Disclosure Document, franchisees must acquire and install specific software to operate their business. The 'Required Software' includes the software necessary to access the CMS (presumably Customer Management System), along with any other cloud-based or other software program that Fitstop requires the franchisee to license and/or use in connection with their Franchised Business.

Fitstop franchisees are responsible for paying all fees and costs to Fitstop's approved supplier for the Required Software. Additionally, franchisees must acquire and install all other software required to operate the franchise as directed by Fitstop. They must also acquire and use computer hardware and other electronic equipment as detailed in the manuals or in writing, which constitutes the 'Computer System'.

Fitstop also mandates that franchisees utilize their approved supplier for billing and collection services related to membership fees and other revenue. This supplier will remit the appropriate amounts to the franchisee and other Fitstop franchisees, after deducting Royalty Fees, Fund Contributions, and other recurring amounts due under the Franchise Agreement. Access to certain Required Software may be provided as part of the Technology Fee, with login credentials supplied either directly by the software provider or through Fitstop.

Disclaimer: This information is extracted from the 2024 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.