What kind of access to data collected by Technology Systems must an Itan franchisee provide?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree to take all steps necessary to provide us with independent and unlimited access to data collected by or through your Technology Systems, including Gross Sales data for purposes of calculating fees owed.
Upon request, including upon termination or expiration of this Agreement, you must provide us with user IDs and passwords for your Technology Systems.
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, franchisees must provide independent and unlimited access to data collected through their Technology Systems. This includes Gross Sales data, which Itan uses to calculate fees owed by the franchisee. Upon request, including termination or expiration of the Franchise Agreement, franchisees must also provide user IDs and passwords for their Technology Systems.
This requirement ensures that Itan can monitor the franchisee's operations and accurately calculate royalties and other fees. The franchisee does not have the right to deny access to this data. The franchisee is responsible for ensuring their employees are adequately trained to use the Technology Systems, and for protecting against disruptions like viruses and cyberattacks.
Itan also retains the right to view the franchisee's iTAN email accounts and emails at any time. The franchisee must exclusively use the iTAN email addresses provided by Itan for all communications related to the salon with Itan, customers, suppliers, and other relevant parties. They cannot use these email addresses for any purpose unrelated to their salon.
These stipulations are fairly standard in franchising, as franchisors typically need access to sales and operational data to ensure brand consistency, calculate royalties, and provide support. However, franchisees should carefully consider the implications of providing unlimited access to their data and email accounts, and ensure they have adequate security measures in place to protect their systems.