What credit card vendors must an Hck Hot Chicken franchisee use?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
ed guarantee, uptime, and static IP, which guarantees service when needed.
We estimate the cost of purchasing the Computer System will be approximately $5,000 to $7,000. In addition to offering and accepting HCK Hot Chicken gift cards and loyalty cards, you must use any credit card vendors and accept all credit cards and debit cards that we determine. The term "credit card vendors" includes, among other things, companies that provide services for electronic payment, such as near field communication vendors (for example, "Apple Pay" and "Google Wallet").
Restaurants will also be required to comply with EMV standards for credit cards. EMV is a technical standard for smart payment cards and for payment terminals and automated teller machines that can accept them. We estimate that each Restaurant will require two EMV terminals which are approximately $400 to $1,000 each, and these
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING,COMPUTER SYSTEMS, AND TRAINING (FDD pages 28–37)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, franchisees must use any credit card vendors that Hck Hot Chicken determines. This includes accepting all credit and debit cards, as well as utilizing companies that provide services for electronic payment, such as near field communication vendors like Apple Pay and Google Wallet.
This requirement ensures that Hck Hot Chicken restaurants maintain a consistent payment processing system across all locations. By mandating the use of specific credit card vendors, Hck Hot Chicken can negotiate better rates, ensure compatibility with its point-of-sale system, and maintain brand standards for payment processing.
For a prospective franchisee, this means they will not have the freedom to choose their own credit card processing companies. Instead, they must use the vendors approved by Hck Hot Chicken. While this limits the franchisee's autonomy, it also provides the benefit of a pre-selected, integrated system, potentially reducing the complexity and cost of setting up payment processing. Franchisees are also required to comply with EMV standards for credit cards and will need to invest in EMV terminals, estimated to cost between $400 and $1,000 each, with each restaurant requiring two terminals. These costs are included in the estimated cost of the computer system, which ranges from $5,000 to $7,000.
It is important for potential franchisees to understand the terms and conditions associated with the mandated credit card vendors, including processing fees, contract lengths, and customer support availability. Franchisees should also inquire about any potential revenue sharing or other financial arrangements between Hck Hot Chicken and the approved vendors, as these could impact the franchisee's profitability.