Is the Technology Fee currently collected by Moes Southwest Grill?
Moes_Southwest_Grill Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee1 | Amount | Date Due | Remarks |
|---|---|---|---|
| Currently, 3% of the pre-tax transaction amount for each transaction that is processed through our online ordering system. | amount and at the times that we specify, for various ordering support services that we will provide or arrange for our affiliates or third parties to provide, such as services related to online and catering ordering platforms, call center(s), ordering and delivery management services, and catering rewards programs. We may include in the fee our and our affiliates' costs and administrative expenses related to procuring, providing, and/or developing the services, including without limitation the costs of integrating such services with the Computer System. We may modify this fee (including by changing it to a fixed fee per transaction) and the included products and services from time to time, but any fees that we or our affiliates charge will not exceed 110% of our or their actual costs and expenses. | ||
| Technology Fee | Our then-current fee, which may be based on a percentage of Net Sales, fixed fees, and/or usage fees. Currently, we do not collect this fee. | As incurred | We may require you to pay us, or a third party we designate, a Technology Fee to defray our costs of developing, implementing, upgrading, operating, maintaining, supporting, or providing any technology-related products, services, programs, systems, or platforms that we, in our sole discretion, deem appropriate. This fee may replace or supplement other technology-related fees in this table. The fee may be modified from time to time, but it will not exceed 110% of our or our affiliates' actual costs and expenses related to such products or services. |
Source: Item 6 — Other Fees (FDD pages 30–41)
What This Means (2025 FDD)
According to Moes Southwest Grill's 2025 Franchise Disclosure Document, a Technology Fee is defined as a fee that Moes Southwest Grill may require franchisees to pay to cover the costs of technology-related products, services, programs, systems, or platforms. This fee may be paid to Moes Southwest Grill or a third party they designate. It may also replace or supplement other technology-related fees. The Technology Fee may be based on a percentage of Net Sales, fixed fees, and/or usage fees. However, as of the issue date of the 2025 Franchise Disclosure Document, Moes Southwest Grill is not currently collecting this fee.
Moes Southwest Grill retains the right to modify the Technology Fee from time to time, but the fee will not exceed 110% of their or their affiliates' actual costs and expenses related to such products or services. This means that while franchisees are not currently paying this fee, they should be prepared for the possibility of it being implemented in the future.
Prospective franchisees should take note of this potential fee and factor it into their financial planning. It would be prudent to inquire with Moes Southwest Grill about any plans to implement the Technology Fee in the near future and to understand the specific products, services, and systems it would cover. Understanding the potential costs associated with technology is crucial for assessing the overall financial viability of a Moes Southwest Grill franchise.