15 Type of Fee (1) Amount Due Date Remarks Ace Gift Card $19.11 fee for display and $0.35 10 days after billing See Exhibit I for the Ace Program per blank (inactivated) card Retailer Acceptance Agreement. stock. For stores using Epicor POS systems, there will be a $175 set up fee. If you have another POS provider, there may or may not be additional fees. Cost will also vary depending upon type of card, displays and accessories purchased. There is a 10% marketing fee per transaction for redemption on Gift Card Mall gift cards. Regional Will vary depending on regional 10 days after billing Participation is optional and Advertising advertising programs. program is market-specific. See
From the filings
Ace Hardware
Retail non foodAce Hardware's board oversees a cooperative where most purchasing is not centrally mandated, but new stores without an existing POS system must buy, lease, or finance one from an Ace-designated vendor. The system spans 5,250 units, 4,982 of them franchised.
For software vendors selling into US franchise brands.
Live signals
Ordinary royalty terms
Complete royalty terms unconfirmed
Complete royalty terms are not confirmed for the selected filing.
Mandated & recommended tech
The systems vendors compete with
Systems named in Item 11 of this filing. None is recorded as mandated here, which is not the same as the filing mandating nothing. Read Item 11 before treating the category as open.
Franchisor behaviours
What the franchisor requires
9 requirements the franchisor states in this filing, each in its own words; 5 explicit no's; 20 questions the text does not settle, which is not a no.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesItem 8
We are the only source for Ace private label merchandise.
Is there a franchisee advisory council, association or committee?
YesItem 20
There is a Dealer Advisory Council, known as Progressive Ace Leaders, whose address is Ace Hardware Corporation, 2915 Jorie Boulevard, Oak Brook, Illinois 60523, Attention: Director Consumer Marketing.
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 16
Under your Membership Agreement (Nonbranded) and Ace Brand Agreement, we reserve the right to change our General Member Standards/ Ace Brand Standards/ Member Operational Requirements (part of Exhibit A and Exhibit B) upon notice to you.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
8200000000Item 8
In fiscal year 2025, Ace’s revenues from the sale of merchandise and services to our members were $8.2 billion, or 82% of our consolidated revenues of $10.0 billion.
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
To keep accurate books of account and records covering all transactions made from the member location while this Agreement is in effect, and to permit the Company and its duly authorized representatives as of the effective date of this Agreement and for a period of two years after its termination, however caused, to…
Can the franchisor change the operations manual and brand standards unilaterally?
YesItem 16
Under your Membership Agreement (Nonbranded) and Ace Brand Agreement, we reserve the right to change our General Member Standards/ Ace Brand Standards/ Member Operational Requirements (part of Exhibit A and Exhibit B) upon notice to you.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 12
The relocation of your store or the establishment by you of additional Ace store(s) requires our specific approval.
Operations
Must equipment be purchased from designated or approved suppliers?
YesItem 8
If you are opening a new store that is not a branch store or a conversion, and you do not also own an existing separate business that uses a point-of-sale computer system, we require that you purchase or lease or finance your point-of-sale computer system from our designated vendors.
Payments
Must the franchisee participate in a gift card program?
YesItem 8
Participation in the Ace Rewards (provided your technology allows) and Ace Gift Card programs require you to comply with certain program terms which we may designate from time to time.
The filing answers no to 5 questions
- Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?Item 8
- Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?Item 16
- Is a minimum grand opening advertising spend required?Item 7
- Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?Item 11
- Must the franchisee buy products from a designated distributor?Item 8
The vendor opportunity at Ace Hardware
Ace Hardware runs 5,250 units, 4,982 of them franchised, with franchised outlets up 2.0% year over year. Item 19 of the FDD includes a financial performance representation. The retailer-owned cooperative maps 3,378 operators, 404 of them multi-unit, concentrated in CA, FL, TX, NY, and IL.
Who controls software purchasing
Ace Hardware's board, chaired by Steven Burggraf, sits over a cooperative structure where most purchasing is not centrally mandated. Every store must submit merchandise orders electronically and operate a point-of-sale computer system, and pays a Core Retail Services fee that bundles ACENET, Ace's primary communications portal. The designated-vendor mandate applies to new stores: if a new store is not a branch store or a conversion, and the owner does not already run a separate business with its own point-of-sale computer system, Ace requires the store to purchase, lease, or finance its POS system from one of Ace's designated vendors.
Tech named in the FDD, and what is actually required
Epicor is in use in the system — Item 6 describes fees tied to Epicor point-of-sale systems, and members who buy their POS system and maintenance from Epicor Software Corporation pay Ace, which pays Epicor. The POS mandate above, which applies specifically to new stores without an existing system, is the named technology requirement.
Procurement, renewals, and timing
Item 8 keeps most purchasing open by design: Ace maintains a list of approved suppliers and service providers, but there is no current obligation for members to buy from designated sources under the Membership or Ace Brand Agreements, apart from Ace private label merchandise, which members must source from Ace. Members are expected to make Ace their primary source of supply, giving first and careful consideration to Ace's own merchandise lines.
How to read the Ace Hardware FDD
The embedded viewer below carries Ace Hardware's 2026 Franchise Disclosure Document, including the Item 8 and Item 11 language summarized above.
Talk to FranCloud for a ranked list of franchise systems like Ace Hardware where the technology mandate and cooperative structure line up with your product.
Ordinary royalty terms
Complete royalty terms are not confirmed.
Questions vendors ask
Ace Hardware, answered from the filing
Read the filing itself
Read the original document for the filing figures and their terms, page by page. Buy the original PDF to download, search, and annotate it.
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Operator footprint
Who runs the locations
3,378 operators run 4,675 mapped locations. 404 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Top states by locations
| CA | 370 |
|---|---|
| FL | 313 |
| TX | 276 |
| NY | 189 |
| IL | 186 |
Related Retail non food brands
Primary franchise filings · updated September 2026. Read the original filing for definitions, conditions, and qualifications.