Can Spray Net require franchisees to process customer payments through their Business Management Software?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
or branded paint and other products necessary to provide the Approved Services (collectively, the "Proprietary Products"), as in the amounts initially required by Franchisor and otherwise as needed to meet client demand for the Approved Services.
- c. Beginning when Franchisee opens for business, Franchisee shall pay Franchisor the then-current fee for Franchisor's Business Management Software on the first of each month plus 0.25% of Franchise's monthly Gross Sales generated by the Franchised Business. The Business Management Software fee is currently $350 per month plus 0.25% of Franchise's monthly Gross Sales generated by the Franchised Business. Franchisee shall ensure that all of its agents, employees, and contractors who will be utilizing Franchisor's proprietary Spray-Network software accept Franchisor's then-current Terms and Conditions for use of the Spray-Network software. The current Terms and Conditions are attached hereto as Exhibit G. Franchisee shall report to Franchisor all data related to products and services as required by Franchisor from time to time. Such data may include, without limitation, weather conditions among other data points.
Source: Item 23 — RECEIPTS (FDD pages 75–219)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, franchisees are required to use Spray Net's Business Management Software and to ensure that their personnel also accept the terms and conditions for using the Spray-Network software. Franchisees must pay a monthly fee for the Business Management Software, which is currently $350 per month, plus 0.25% of the franchise's monthly Gross Sales. Franchisees must also report all data related to products and services as required by Spray Net, which may include weather conditions. Spray Net may request this data from franchisees or require them to enter it into the Spray-Network software or another data collection method.
This means that as a Spray Net franchisee, you will be obligated to use the Spray-Network software for business management and data reporting. The monthly fee and percentage of gross sales will be ongoing costs. You will also need to ensure that your employees and contractors agree to the software's terms and conditions. The requirement to report data, including potentially specific details like weather conditions, means franchisees must maintain accurate records and comply with Spray Net's data collection procedures.
While the FDD excerpt specifies the franchisee's obligation to use the software and report data, it does not explicitly state whether franchisees are required to process customer payments through the Business Management Software. A prospective franchisee should clarify with Spray Net whether processing customer payments through the Spray-Network software is mandatory, and if so, what the specific procedures and any associated fees are.