Where are the provisions for the gift card program set forth for a Southern Steer franchisee?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
all such promotional campaigns, prize contests, special offers and other programs, national, regional or local in nature (including the introduction of new products, services and Food, Beverages and Products, or other marketing programs directed or approved by Franchisor), which are prescribed from time to time by Franchisor. Franchisee will be responsible for the costs of such participation.
(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.
(h) Southern Steer Business Hours. Franchisee's Southern Steer Business will be open during the hours specified in the Brand Manual. During business hours, the Franchisee will have Management Staff on duty responsible for supervising the Southern Steer Business's employees and operations.
(i) Personnel. The Franchisee will have a sufficient number of adequately trained and competent personnel on duty to guarantee efficient service to the customers of the Southern Steer Business and operation of the Southern Steer Business.
Source: Item 16 — ITEM. 16 RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 42–43)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, several items outline the provisions for the gift card program. Item 22 discusses gift cards under the section on promotions, stating that franchisees cannot create their own gift certificates or cards and must only sell those issued by Southern Steer that are accepted at all locations. Franchisees must also participate in any gift card administration programs designated by Southern Steer and honor all gift certificates, gift cards, and other promotions as directed by the franchisor. This includes participating in customer loyalty programs, potentially involving third-party vendors, and executing necessary documents to facilitate these programs.
Item 16 also addresses the gift card program, noting that franchisees are required to participate in a gift card or other customer loyalty program if permitted by applicable law, according to the provisions set forth in the Brand Manual or otherwise disclosed. Participation may require purchasing additional equipment and paying applicable fees. Southern Steer retains the right to determine how the amount of gift cards or loyalty cards will be divided or accounted for and reserves the right to retain the amount of any unredeemed gift cards.
Item 8 specifies that franchisees must purchase gift cards from Southern Steer's designated suppliers. These provisions collectively outline the requirements, restrictions, and obligations for Southern Steer franchisees regarding the gift card program, emphasizing adherence to the franchisor's standards and systems.