Can a Southern Steer franchisee create or issue their own gift certificates or gift cards?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
- (g) Gift Cards; Loyalty Programs.
Franchisee will not create or issue any gift certificates or gift cards and will only sell gift certificates or gift cards that have been issued by the Franchisor that are accepted at all Southern Steer Businesses.
Franchisee will participate in all gift certificate and/or gift card administration programs as may be designated by the Franchisor from time to time.
The Franchisee will honor all coupons, gift certificates, gift cards and other programs or promotions as directed by the Franchisor, even if the Franchisee is not required by the Franchisor to actively offer or promote such programs or promotions within the Franchisee's Protected Area.
The Franchisee will fully participate in all customer loyalty or frequent customer programs approved by the Franchisor, even if the Franchisee is not required by the Franchisor to actively promote such programs within the Franchisee's Protected Area.
The Franchisee acknowledges that a customer loyalty program and gift card program may include technology and system components or applications involving third-party vendors identified by the Franchisor, and the Franchisee agrees to timely execute and deliver such documents,
contracts, or agreements as the Franchisor may reasonably require to facilitate such programs.
The Franchisee will not issue coupons or discounts of any type for use at its Southern Steer Business except as approved by the Franchisor in writing, which may be withheld in its sole and absolute discretion.
Source: Item 22 — ITEM. 22 CONTRACTS (FDD pages 61–168)
What This Means (2025 FDD)
According to the 2025 Southern Steer Franchise Disclosure Document, franchisees are explicitly prohibited from creating or issuing their own gift certificates or gift cards. Instead, franchisees are required to sell only those gift certificates or gift cards that have been issued by Southern Steer and are accepted at all Southern Steer locations.
Southern Steer franchisees must participate in any gift certificate and/or gift card administration programs designated by the company. Furthermore, franchisees are obligated to honor all coupons, gift certificates, gift cards, and other promotions as directed by Southern Steer, regardless of whether the franchisee is actively promoting these programs within their protected area. This ensures a consistent brand experience and promotion strategy across all franchise locations.
Southern Steer also requires franchisees to fully participate in all customer loyalty or frequent customer programs approved by the company, even if they are not required to actively promote such programs in their area. These loyalty and gift card programs may involve technology and system components managed by third-party vendors identified by Southern Steer, and franchisees must execute any necessary documents or agreements to facilitate these programs. Additionally, franchisees cannot issue coupons or discounts without written approval from Southern Steer, which may be withheld at the company's discretion. This level of control allows Southern Steer to maintain uniformity and manage promotional activities effectively across the franchise system.