factual

What are the "Software Support Fees" for a Hardees franchise, and what do these fees cover?

Hardees Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 3.1 Software Support Fees. Commencing at the end of the first Fiscal Period following the date of this Agreement, Franchisee shall pay to CKR, by ACH payment, the Software Support Fees in the amounts and frequency set forth on Exhibit A. CKR shall have the right, upon 60 days' prior written notice to Franchisee, to increase the Support Services Fees.
  • 3.2 Initial Training Support for PAR Brink and Crunch Time Software. In order to facilitate the support services, Franchisee agrees to purchase and participate in mandatory initial training programs for

use of the PAR Brink and Crunch Time software. The scope of the training programs for each software is set forth on Exhibit C to this Agreement. The cost for the training programs shall be a one-time fee of $1,250 which will be billed to the Franchisee by CKR upon execution of this Agreement. Additional training programs may be made available to Franchisee, at CKR's discretion, for additional training fees.

L1/L2 Help Desk Support $118 per Franchised Restaurant per Fiscal Period (i.e., CKR's 4-

week accounting period)

Hosting Fee $6.50 per Fiscal Period (4-week accounting period), plus the

CrunchTime hosting fee of $1.50 per Fiscal Period

Source: Item 23 — Receipts (FDD pages 85–541)

What This Means (2025 FDD)

According to Hardees's 2025 Franchise Disclosure Document, franchisees are required to pay Software Support Fees to CKR for technical support related to the Licensed Products and Covered Equipment. These fees are outlined in Article 3.1, stating that franchisees will pay the Software Support Fees in the amounts and frequency set forth on Exhibit A, commencing at the end of the first fiscal period following the agreement date. CKR has the right to increase these fees with 60 days' prior written notice to the franchisee. To facilitate these support services, franchisees must also purchase and participate in mandatory initial training programs for the PAR Brink and Crunch Time software, incurring a one-time fee of $1,250 upon execution of the agreement.

The specific costs for software support include L1/L2 Help Desk Support at $118 per Franchised Restaurant per Fiscal Period (CKR's 4-week accounting period). Additionally, there is a Hosting Fee of $6.50 per Fiscal Period (4-week accounting period), plus a CrunchTime hosting fee of $1.50 per Fiscal Period. These fees cover access to help desk support services, available at designated dates and times set by the Licensor, accessible via a provided Help Desk Access Number.

Prospective Hardees franchisees should note that these fees are in addition to the initial franchise fee and other ongoing royalties. The franchisee is also responsible for maintaining the Covered Equipment and ensuring it meets Hardees's specifications. Furthermore, franchisees are required to install specific Next Generation Connectivity equipment and contract with a CKR-approved managed service provider to monitor and manage their network equipment. Understanding these technology-related costs and requirements is crucial for budgeting and operational planning.

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.