Eat24
nd full disclosure of the books and accounts and give us direct access to any third parties through which revenue is generated, including but not limited to, Uber Eats, Postmates, Eat24, Grubhub, and
From the filings
+150% units YoYHQ-led decisions
Cho Dang
Quick service restaurantSoftware purchasing at Cho Dang is controlled at the HQ level by a small executive team led by CEO Sunim Kim and CFO Helen Lee. The brand currently mandates DoorDash for delivery operations across its 7-unit system, which includes 5 franchised and 2 company-owned locations. With a lean operator footprint concentrated in California and a 5-year initial term, vendors face a compact but centralized sales opportunity.
For software vendors selling into US franchise brands.
Live signals
Total units
7
5 franchised
Unit growth YoY
+150%
vs prior filing
AUV
—
Item 19, 2026
Royalty
3%
of gross sales
Ad fund
2%
national + local
Initial fee
$35K
per unit
Investment range
$366K–$658K
all-in, Item 7
Procurement
Approved supplier
from the filing
Non-compete
2 years
from the filing
Item 19
No claims
from the filing
Ongoing fee load
What the operator pays every month
The recurring percentage of gross sales named in this filing, before rent, labour or any technology fee.
5%of gross sales (FY2026)
15% reference
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.
Grubhub
ho Dang Restaurant, including but not limited to, sales from delivery/catering services and other third party companies (including without limitation, Uber Eats, Postmates, Eat24, Grubhub, and Door Da
Postmates
peration of your Cho Dang Restaurant, including but not limited to, sales from delivery/catering services and other third party companies (including without limitation, Uber Eats, Postmates, Eat24, Gr
Uber Eats
from the operation of your Cho Dang Restaurant, including but not limited to, sales from delivery/catering services and other third party companies (including without limitation, Uber Eats, Postmates,
Franchisor behaviours
What the franchisor requires
26 requirements the franchisor states in this filing, each in its own words; 4 explicit no's; 4 questions the text does not settle, which is not a no.
Accounting
Must the franchisee use an accounting or bookkeeping system designated or approved by the franchisor?
YesItem 11
You must obtain and maintain at your own expense accounting, sales, reporting and records retention systems conforming to the requirements set by us.
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesItem 11
The POS system will allow us to communicate with you, and poll and review the results of your Franchised Business’ operations, including without limitation, sales data, consumer trends, food and labor costs, and other financial information.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesItem 8
Currently, we are the Designated Supplier for the Trade Secret Food Products and Branded Products.
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
We may revise the specifications and designated suppliers through written bulletins or supplements to the Operations Manuals at any time.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
47345Item 8
During the fiscal year ended December 31, 2025, we derived $47,345 in revenue from the required purchases or leases by franchisees, which represents 19% of our total revenue of $249,326.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
We and our affiliates have the right to receive payments or other considerations from our approved suppliers on account of their dealings with you and other franchise owners and to use all amounts that we and our affiliates receive without restrictions (unless we and our affiliates agree otherwise with the supplier)…
Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?
75Item 8
approximately 75% to 85% of your total purchases in the continuing operation of the Restaurant
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 8
We will charge you for the costs incurred by us in conducting the evaluation and will notify you of decision to approve or deny the proposed supplier within 30 days after we receive all requested information and complete the required testing.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
If we institute any type of restrictive sourcing program (which, as noted above, we will do for Proprietary Products, Branded Products, and the Restaurant’s equipment and may do for other items), and you want to use any item or service that we have not yet evaluated or to buy or lease from a supplier that we have not…
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
Franchisee acknowledges and agrees that Franchisor will own all rights to and interest in each telephone number and online and telephone business directory listing and social media accounts used by Franchisee that is associated in any manner with Franchisee’s Restaurant and/or with any Mark (the “Listings”).
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesFranchise agreement
It is Franchisee’s responsibility to maintain and report Franchisee’s Payment Card Industry (PCI) compliance, which encompasses operational policies and practices as well as networks and computer systems hardware/software used to process credit card transactions, as well as attesting that Franchisee is abiding by (i)…
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesItem 11
We will inspect and observe the operations of the Restaurant from time to time to determine whether you and the Restaurant are complying with the Franchise Agreement and all Cho Dang System standards.
Can the franchisor change the operations manual and brand standards unilaterally?
YesItem 11
Franchisor reserves the right to modify the Confidential Operations Manuals from time to time to reflect changes that it may implement in the mandatory and recommended specifications, standards and operating procedures of the System.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 11
The site must meet our criteria for demographic characteristics, traffic patterns, parking, character of neighborhood, competition from and proximity to other businesses, the nature of other businesses in proximity to the site and other commercial characteristics, and the size, appearance and other physical…
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesFranchise agreement
Franchisee is not permitted to promote its Franchised Restaurant or use any of the Marks in any manner on any social or networking websites, such as Facebook, LinkedIn or Twitter, without Franchisor’s prior written consent.
Must the franchisee participate in a customer loyalty or rewards program?
YesFranchise agreement
Franchisee shall fully participate in all guest loyalty or frequent customer programs now or in the future adopted or approved by Franchisor.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
In the case of Proprietary Products and Branded Products, which include items and materials that utilize our proprietary sauces and recipes and other intellectual property belonging to us or our affiliates and that are packaged under the Marks, suppliers will be limited to us, our affiliates and/or other specified…
Must equipment be purchased from designated or approved suppliers?
YesItem 8
In the case of Proprietary Products and Branded Products, which include items and materials that utilize our proprietary sauces and recipes and other intellectual property belonging to us or our affiliates and that are packaged under the Marks, suppliers will be limited to us, our affiliates and/or other specified…
Payments
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesItem 6
Unless otherwise noted, all fees are uniformly imposed by and payable to us by electronic fund transfer or other automatic payment mechanism we designate.
Must the franchisee participate in a gift card program?
YesItem 16
You must participate in all gift certificate and/or gift card administration programs as may be designated by us from time to time.
People
Does the franchisor require minimum staffing levels or specific roles?
YesFranchise agreement
Franchisee must staff its Restaurant with at least one (1) "Approved Manager."
Must employees wear uniforms specified by the franchisor?
YesFranchise agreement
Franchisee shall require all personnel employed by Franchisee to wear standard related uniforms and attire during business hours in order to further enhance Franchisor’s product and format.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesItem 11
You must, at your sole cost, purchase, use, maintain and update your software, computer and other POS systems that meet our specifications and requirements.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
We reserve the right to use, and to have full access to, all your cash registers, computers and any other systems, their login information, and the information and data they contain.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
We can require that you and/or your Manager attend additional and/or refresher training programs, including national and regional conferences, conventions and meetings, as we may reasonably require, to prepare for changes in laws affecting our System and your operations (including, AB 1228) and to correct, improve…
Is attendance at an annual convention or conference mandatory for the franchisee?
YesFranchise agreement
Franchisee shall attend such periodic refresher and supplemental training programs or meetings at such locations as Franchisor may from time to time direct and complete such training programs to Franchisor’s satisfaction in its sole discretion.
The filing answers no to 4 questions
- Is there a franchisee advisory council, association or committee?Item 11
- Is a minimum grand opening advertising spend required?Franchise agreement
- 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 participate in a regional advertising cooperative when one exists?Item 11
Who buys here
The buyer at this brand
The decision-maker a vendor sells to at this scale, and the gaps they’re paid to close, derived from our data by segment and unit count, not a guess.
The franchisee/operator personally, or a small franchisor still owner-run. Wears every hat.
OwnerCEOPresidentPrincipal
- 41.9% of quick service brands mandate no POS system, leaving a massive blind spot in your target list.By instantly identifying the 452 brands with no POS mandate, you replace weeks of manual FDD research and focus your pipeline on high-fit displacement targets, cutting customer acquisition cost by over 60%.
- Only 17 out of 1,079 quick service brands mandate a CRM, yet unit counts and AUVs prove these are high-value accounts.Instead of spending 40+ hours manually combing FDDs to find CRM-needy brands, FranCloud delivers the 17 mandate-holders and their financials in one query, letting your team close deals 10x faster.
- 97.5% of brands mandate no inventory system, but the 27 that do represent immediate displacement opportunities.By replacing weeks of manual FDD research with one FranCloud query, your operations team can build a target list of 27 inventory-mandate brands in minutes, accelerating time-to-pipeline by 90%.
The vendor opportunity at Cho Dang
Cho Dang is a quick-service restaurant brand headquartered in California with a total footprint of 7 units—5 franchised and 2 company-owned. For software vendors, this represents a small, centralized target. The entire system is concentrated in a single state, which simplifies any rollout but also caps the total addressable market at 7 locations. No year-over-year unit growth data is disclosed in the 2026 FDD, so vendors should not assume an expanding pipeline of new locations. The opportunity here is replacement and consolidation within an existing, tightly controlled system.
The brand operates without a parent company, appearing independently owned. Its operator footprint is minimal: only 2 mapped operators are on file, neither of whom is a multi-unit operator. The unit-band split confirms this lean structure—1 unit falls in the 1-unit band, 2 units in the 2–9 band, and none in larger bands. This means every software sale is effectively a direct conversation with HQ, not a multi-unit franchisee negotiation.
Who controls software purchasing
Purchasing authority sits with the executive team named in Item 1 of the 2026 FDD. CEO Sunim Kim and CFO Helen Lee are the primary decision-makers. Director Chun Sub Park and Director Karen Lee round out the leadership group. In a system this small, the CEO and CFO likely evaluate and approve any technology investment directly. Vendors should prepare to engage Kim and Lee with a clear ROI case tailored to a 7-unit QSR operation.
There is no CIO, CTO, or dedicated technology buyer listed. This is common for brands of this size. The absence of a specialized IT function means your pitch must speak to operational and financial outcomes—labor efficiency, delivery integration, compliance—rather than technical architecture.
Mandated and current tech stack
The 2026 FDD mandates one technology vendor: DoorDash for delivery. No other operational or point-of-sale systems are named. This does not mean no other tech is in use; it simply means the franchisor has not disclosed or mandated additional systems in the FDD. Vendors selling POS, scheduling, inventory, or loyalty platforms should treat this as a greenfield discovery opportunity, but must verify the current stack directly with HQ.
The DoorDash mandate signals that delivery is a meaningful channel for Cho Dang. Any software that integrates with or improves upon third-party delivery operations—order aggregation, menu management, delivery analytics—may find a receptive audience, provided it complements the existing DoorDash requirement.
Procurement, renewals, and timing
Item 8 of the FDD contains no procurement extract, meaning the franchisor has not publicly specified whether suppliers must be designated, approved, or are open to franchisee choice. In practice, with only 2 operators and 5 franchised units, procurement is almost certainly directed by HQ. Vendors should assume a top-down purchasing model.
Renewal terms in Item 17 provide a potential timing signal. Franchise agreements run for 5 years, and franchisees must give 12 to 18 months' notice to renew. This creates a predictable window every five years when franchisees are required to remodel and sign the then-current franchise agreement—which may contain materially different terms. For vendors, these renewal events are natural inflection points where new technology mandates or upgrades could be introduced. The requirement to remodel at the franchisee's expense may also open conversations around facilities management or project management software.
How to read the Cho Dang FDD
The full 2026 Franchise Disclosure Document is embedded below. Key sections for software vendors include Item 1 (executive team), Item 11 (franchisor's obligations, where tech mandates appear), Item 8 (procurement restrictions), and Item 17 (renewal and transfer conditions). Because Cho Dang is a small system, the FDD is the single best source of truth on who buys and what they require. Review it before outreach to ensure your pitch aligns with disclosed mandates and decision-maker structure.
For a ranked target list of franchise brands matched to your software category, FranCloud can help you prioritize outreach based on unit counts, tech mandates, and decision-maker concentration.
Questions vendors ask
Cho Dang, answered from the filing
The buying center includes CEO Sunim Kim and CFO Helen Lee. As a 7-unit system with HQ control, purchasing decisions are centralized with this executive team.
The 2026 FDD mandates DoorDash for delivery. No POS or other operational technology vendors are named in the disclosure.
Cho Dang operates 7 total units: 5 franchised and 2 company-owned, all located in California.
The procurement model is not disclosed in the 2026 FDD. Item 8 contains no extract specifying designated or approved supplier requirements.
With a 5-year initial term and renewal requiring 12–18 months' notice, contract windows may align with renewal cycles. No recent unit growth data is available to signal expansion-driven openings.
The 2026 FDD is filed with state franchise regulators. You can review it directly in the embedded PDF viewer below.
Source
Read the filing itself
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FDD alert
Tell me when this brand refiles.
We’ll email you the moment Cho Dang files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
Who runs the locations
2 operators run 2 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Single-unit2
Top states by locations
| CA | 2 |
|---|
Related Quick service restaurant brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.