What is the purpose of the 'POS System License and Related Fees' for a Floyds 99 franchise?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| determine whether items or suppliers meet our specifications | costs (as noted in the Amount column) to determine whether those items or those suppliers meet our specifications. | ||
| POS System License and Related Fees5 | Currently an annual license fee of $2,700 (if paid up front in a lump sum) or $250 per month; dedicated web services infrastructure charges of $40 per month; other potential charges may apply (see note) | Monthly or Annually | Currently paid to our designated suppliers. You have the option to pay these fees monthly or annually (a discount is provided if the license fee is paid up front). Our designated supplier provides monthly text and email messaging services (1000 text messages and 5000 emails per month) without additional charge. If these thresholds are exceeded, additional charges of $0.03/text message and $0.002/email apply. You must also pay for dedicated web services infrastructure on a monthly basis. You must reimburse us for any POS System license or related fees that we pay on your behalf. |
Source: Item 6 — OTHER FEES (FDD pages 14–20)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, the POS (Point of Sale) System License and Related Fees cover the costs associated with the software and infrastructure required to operate the shop's transaction and communication systems. These fees are paid to designated suppliers and encompass several components. The annual license fee for the POS system is $2,700 if paid upfront or $250 per month. Additionally, there are dedicated web services infrastructure charges of $40 per month.
These fees also include monthly text and email messaging services, providing 1000 text messages and 5000 emails per month. If a franchisee exceeds these limits, they will incur additional charges of $0.03 per text message and $0.002 per email. The franchisee is responsible for reimbursing Floyds 99 for any POS system license or related fees that Floyds 99 pays on their behalf.
Prospective franchisees should note that these fees are subject to change and are typically paid to third-party vendors. Understanding the full scope of these technology-related costs is crucial for budgeting and financial planning. It is also important to clarify with Floyds 99 which specific services are included and what additional charges may apply based on usage.