factual

What is the initial fee required by Pump It Up for the software license?

Pump_It_Up Franchise · 2025 FDD

Answer from 2025 FDD Document

Service Provider ("ASP") to provide some or all of the service and support for the computer for your benefit or the benefit of all Pump It Up Businesses, and you may pay a service or ASP hosting fee. We have no obligation to reimburse you for any costs that you incur relating to your computer system or other electronics.

  • (4) We or our affiliates may condition any license of proprietary software to you, or your use of technology that we or our affiliates develop or maintain, on your signing a software license agreement or similar document that we or our affiliates prescribe to regulate your use of, and our and your respective rights and responsibilities with respect to, the software or technology. We or our affiliates may charge you a monthly or any other fee for any proprietary software or technology that we or our affiliates license to you and for other maintenance and support services that we or our affiliates provide during the term of this Agreement.
  • (5) You must use and maintain the Computer System according to our System Standards. You will have sole and complete responsibility for: (a) the acquisition, operation, maintenance, modification and upgrading of the Computer System; (b) the manner in which your Computer System interfaces with our and any third party's computer system;

Source: Item 23 — RECEIPTS (FDD pages 60–225)

What This Means (2025 FDD)

According to Pump It Up's 2025 Franchise Disclosure Document, the franchisor or its affiliates may require franchisees to sign a software license agreement to regulate the use of proprietary software or technology. Pump It Up or its affiliates may charge a monthly or other fee for licensing this software or technology, as well as for related maintenance and support services during the franchise term. The franchisee is also responsible for any taxes and registration fees associated with the software license.

Pump It Up requires franchisees to use and maintain the computer system according to the franchisor's system standards. The franchisee is responsible for the costs of maintaining the computer system and any required service or support. While the franchisor may offer help desk support for the initial setup, franchisees are expected to engage a third-party support company for ongoing network or hardware/software issues.

Prospective Pump It Up franchisees should note that the FDD does not specify a fixed initial fee for the software license. Instead, it indicates that fees may be charged on a monthly or other basis for the use of proprietary software or technology. It is important for potential franchisees to clarify the specific fees, payment schedules, and terms associated with the software license during their due diligence process with the franchisor.

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.