Cheba Hut

Item 11

We (or our designee) have the right to independently access the electronic information and data relating to your Franchise and to collect and use your electronic information and data in any manner, including to promote the System and the sale of Franchises.

Franchise agreement

You will deliver monthly Financial Statements to us within 20 days of the end of each calendar month, which must be certified by you as complete and accurate.

Item 8

We are currently the only approved supplier of the Cheba Hut WTF Board, online ordering board, and select plaques and proprietary spices.

Franchise agreement

We reserve the right to: (i) change or add approved suppliers of these services at any time in our sole discretion;

Item 8

We currently receive rebates from suppliers based on purchases made by us and our franchisees.

Item 8

We estimate that approximately 75% of purchases required to open your Cheba Hut Business and 90% of purchases required to operate your Cheba Hut Business will be from us or from other approved suppliers or under our specifications.

Item 8

We reserve the right to charge a fee to evaluate the proposed product, service or supplier.

Franchise agreement

If you want us to approve a supplier that you propose, you must send us a written notice specifying the supplier’s name and qualifications and provide any additional information that we request.

Franchise agreement

You agree to comply with the then-current Payment Card Industry Data Security Standards as those standards may be revised and modified by the PCI Security Standards Council, LLC (see www.pcisecuritystandards.org), or any successor organization or standards that we may reasonably specify.

Franchise agreement

To ensure compliance with this Franchise Agreement, we or our representatives will have the right to enter your Cheba Hut Restaurant, evaluate your operations, and inspect or examine your books, records, accounts, and tax returns.

Franchise agreement

We can modify the Brand Standards Manual at any time.

Item 11

We must approve the site before you sign the Lease and you must obtain our approval of the site within 120 days of signing the Franchise Agreement.

Franchise agreement

At this time, we do not allow our franchisees to maintain their own websites (other than the localized webpage that we provide) or market their Cheba Hut Restaurant on the Internet (other than through approved social media outlets).

Item 11

In addition to the Brand Fund Contributions, you must spend an average of 1% of your Net Sales on local advertising each month (“Local Advertising Requirement”).

Franchise agreement

You agree to participate in our gift and loyalty card programs, if any, and agree to make gift and loyalty cards available for purchase and redemption at your Cheba Hut Restaurant.

Item 11

If we elect to form such cooperatives, or if such cooperatives already exist near your territory, you will be required to participate in compliance with the provisions of the Brand Standards Manual, which we may periodically modify at our discretion.

Item 8

You must obtain the computer hardware, software licenses, maintenance and support services, and other related services that meet our specifications from the suppliers we specify.

Franchise agreement

You agree to maintain, at all times, credit card relationships with the credit and debit card issuers or sponsors, check or credit verification services, financial-center services, merchant service providers, loyalty and gift cards, and electronic fund transfer systems (together, “Credit Card Vendors”) that we may…

Franchise agreement

You must complete and send us an ACH Authorization Form allowing us to electronically debit a banking account that you designate (“Account”) for: (i) all fees payable to us pursuant to this Franchise Agreement (other than the Initial Franchise Fee); and (ii) any amounts that you owe to us or any of our affiliates for…

Item 11

In addition to offering and accepting Cheba Hut gift cards and loyalty cards, you must accept all credit cards and debit cards that we determine.

Item 15

An experienced hospitality professional who has a minimum of three years of restaurant and bar management experience must manage the day-to-day operation of the Cheba Hut Business (“Designated Manager”).

Item 8

All non-proprietary ingredients, beverage products, cooking materials, containers, cartons, bags, menus, napkins, other paper and plastic products, utensils, uniforms, and other supplies and materials used in your Cheba Hut Business must strictly conform to our reasonable specifications and quality standards.

Item 8

You must use the computer hardware and software, including the point-of-sale system that we periodically designate to operate your Cheba Hut Franchise.

Item 11

We (or our designee) have the right to independently access the electronic information and data relating to your Franchise and to collect and use your electronic information and data in any manner, including to promote the System and the sale of Franchises.

Item 11

In addition to participating in ongoing training, you will be required to attend an annual meeting of all franchisees at a location we designate and pay a convention fee, currently estimated to be $420 per person, if we hold an annual meeting of all franchisees (See Item 6).