lay. You may, but need not, purchase the following optional subscriptions from Toast: Marketing; and Third-Party Integration (for third- party delivery platforms such as UberEats, Doordash and GrubHub
From the filings
CHOP5 Salad Kitchen
Quick service restaurantCHOP5 Salad Kitchen's most recent FDD, from 2024, discloses 3 US locations, all 3 company-owned, which makes software purchasing an HQ decision at the Kentucky headquarters with no franchisee body to sell around. Item 1 names Allen Hertzman as Chief Executive Officer and Brian Mills as President, with Kim Pettingell as Marketing Director and co-founders Philip Horn and Donald Bauer; no CIO or CTO is disclosed. The filing mandates three systems, all of them delivery marketplaces — DoorDash, Grubhub and Uber Eats — while Toast is named only and is not required.
For software vendors selling into US franchise brands.
Live signals
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.
6.5%of gross sales (FY2024)
15% reference
Mandated & recommended tech
The systems vendors compete with
3 of these are mandated in the franchise agreement. Each is named in Item 11 of the filing, the incumbents a challenger must displace or integrate with.
but need not, purchase the following optional subscriptions from Toast: Marketing; and Third-Party Integration (for third- party delivery platforms such as UberEats, Doordash and GrubHub). If you choo
tchen Display. You may, but need not, purchase the following optional subscriptions from Toast: Marketing; and Third-Party Integration (for third- party delivery platforms such as UberEats, Doordash a
r and fax machine; (c) recipe and music iPads; and (d) Toast POS system with the following hardware and associated equipment: 2 Toast Flex for Guest with Toast Tap (on counter), Toast Printer and Ca
Franchisor behaviours
What the franchisor requires
24 requirements the franchisor states in this filing, each in its own words; 5 explicit no's; 5 questions the text does not settle, which is not a no.
Accounting
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesItem 11
We will have independent unlimited access to the data collected on your computer system and there are no contractual limits imposed on our access.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
You must prepare and send us all financial statements required by the Manual in the format we prescribe, including, without limitation: (a) monthly financial statements, which are due no later than 20 days after the end of each month; (b) quarterly financial statements, which are due no later than 60 days after the…
How the franchisor buys
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
0Item 8
During the fiscal year ended December 31, 2023, neither we nor our affiliates received any revenue as a result of franchisee purchases or leases of goods or services from designated or approved suppliers (including purchases from us or our affiliates).
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?
35Item 8
We estimate nearly 70% to 95% of the total purchases and leases to establish your Restaurant and 35% to 60% of ongoing operating expenses will consist of source-restricted goods or services, as further described below.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 8
You must reimburse us for all costs we incur to review products and suppliers you propose.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
If you wish to purchase or lease a source-restricted item from a non-approved supplier, you must send us a written request for approval and submit all additional information we request.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
you hereby authorize the foregoing companies to transfer such telephone numbers, domain names and listings to us
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesItem 11
You must also comply with the standards established by PCI-DSS to protect the security of credit card information.
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
For quality control purposes we may: (a) periodically inspect your Restaurant in accordance with §6.4 and §16.1; and/or (b) engage the services of a “mystery shopper” or quality assurance firm to inspect your Restaurant.
Can the franchisor change the operations manual and brand standards unilaterally?
YesItem 11
We can modify the Manual at any time, but the modifications will not alter your status or fundamental rights under the Franchise Agreement.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 12
Each Franchise Agreement grants you the right to operate one Restaurant from a site we approve.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesItem 11
Except for the webpage we provide, you may not (a) develop, host, or otherwise maintain a website or other digital presence relating to your Restaurant (including any website bearing any of our Marks); (b) utilize the Internet to conduct digital or online advertising; or (c) engage in ecommerce.
Is a minimum grand opening advertising spend required?
YesFranchise agreement
During the period beginning 30 days before opening and ending 90 days after opening, you must spend between at least $15,000 on grand opening advertising and marketing to promote the opening of your Restaurant.
Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?
YesItem 11
After opening, you must spend a minimum monthly amount equal to your Local Advertising Commitment on local advertising.
Must the franchisee participate in a customer loyalty or rewards program?
YesFranchise agreement
You must fully participate and implement all required customer loyalty, rewards and other affinity programs designed to increase customer loyalty, generate new customers or improve overall demand for Restaurants.
Must the franchisee participate in a regional advertising cooperative when one exists?
YesItem 11
If your Restaurant is located within a region subject to an advertising cooperative you must: (a) participate in the cooperative according to its rules and procedures and abide by its decisions; and (b) pay a cooperative advertising fee.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
You must purchase or lease certain “source-restricted” goods and services for the development and operation of your Restaurant.
Must equipment be purchased from designated or approved suppliers?
YesItem 8
Certain components of your Technology Systems must be purchased from approved or designated suppliers while other components may be purchased from any supplier of your choosing.
Payments
Must the franchisee use a payment processor or merchant-services provider designated or approved by the franchisor?
YesItem 11
Toast will serve as your credit card processing company and charge you its then-current credit card processing rates.
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesItem 6
You must sign an ACH Authorization Form (attached to the Franchise Agreement as ATTACHMENT "E") permitting us to electronically debit your designated bank account for all amounts owed to us and our affiliates (other than fees due within 15 days after signing the Franchise Agreement).
Must the franchisee participate in a gift card program?
YesFranchise agreement
You must participate in any gift card program we establish and honor all gift cards, including gift cards purchased from us or another franchisee.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesItem 8
We currently require that you purchase the Toast point-of-sale system.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
We will have independent unlimited access to the data collected on your computer system and there are no contractual limits imposed on our access.
Training
Is attendance at an annual convention or conference mandatory for the franchisee?
YesFranchise agreement
Attendance is mandatory unless: (a) we designate attendance as optional; or (b) we waive your obligation to attend based on showing of good cause.
The filing answers no to 5 questions
- Is the franchisor or an affiliate itself a supplier of required products, services or systems?Item 8
- Is there a franchisee advisory council, association or committee?Item 20
- Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?Item 8
- Must the franchisee participate in a customer-satisfaction or net-promoter survey program?
- Does the franchisor require minimum staffing levels or specific roles?Franchise agreement
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.
- 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 CHOP5 Salad Kitchen
CHOP5 Salad Kitchen is a quick-service restaurant brand headquartered in Kentucky, and the most recent FDD on file is from 2024. It reports 3 total locations, all 3 company-owned; the franchised unit count is not disclosed and year-over-year unit growth is not available. The royalty is 6.0% and the initial term runs 10 years. Average unit volume is not disclosed in the most recent FDD. Three company-owned restaurants is not a seat-count opportunity — it is a design-partner conversation with a franchisor still writing the standards later franchisees will inherit.
Who controls software purchasing
Item 1 names five people. Allen Hertzman is Chief Executive Officer and Brian Mills is President; Kim Pettingell is Marketing Director; Philip Horn and Donald Bauer are Co-Founders and Members. No CIO, CTO, or other technology officer is disclosed in the most recent FDD, so the CEO and President are the signers and the Marketing Director is the obvious evaluator for anything touching demand generation, delivery, or loyalty — the surface this filing actually mandates against. CHOP5 has no parent company on file and appears independently owned. With every disclosed unit company-owned, there is no franchisee association and no multi-unit operator to route around: this is an HQ decision end to end. Our operator mapping separately finds 31 operators, none multi-unit, across roughly 31 located units — Florida (12), South Carolina (8), Kentucky (6), Louisiana (2), Wisconsin (1) — more locations than the 2024 filing discloses, and the filing does not explain the difference.
Tech named in the FDD, and what is actually required
Three systems are mandated, and all three are the same category: DoorDash, Grubhub and Uber Eats, each of which the FDD obliges the franchisee to use. It tells you the franchisor has decided third-party delivery is non-negotiable, is comfortable naming individual vendors as contractual requirements, and governs off-premise volume centrally rather than leaving it a store-level choice. The fourth name in the filing is Toast, and it is named only — the FDD mentions it, and nothing in the document requires anyone to adopt it. That gap is the opening. A brand that mandates three delivery marketplaces but no point of sale has committed the demand channel and left the transaction layer uncommitted — and a product that reconciles three delivery streams into one ticket flow sells into a problem the filing itself created. POS, payments, labor, loyalty and back office are all open here.
Procurement, renewals, and timing
Item 8 — where designated-supplier and approved-supplier requirements normally sit — produced no extract from this filing, so the procurement model is not established by the disclosure text. The three mandated marketplaces are the strongest evidence available: this franchisor will write a named vendor into the agreement. Item 17 is detailed. The initial term is 10 years, with a renewal term of 5, and renewal requires no default, timely notice, signing the then-current form of franchise agreement, a general release subject to state law, a renewal fee, extension of the lease, and remodeling the restaurant and upgrading furniture, fixtures and equipment to current standards. The remodel-and-upgrade condition is the timing hook: renewal here is contractually a capital event, and capital events are when hardware and system refreshes get approved.
How to read the CHOP5 Salad Kitchen FDD
The 2024 document was filed with state franchise regulators, and the full PDF is embedded in the viewer below. Item 1 gives the entity and the five people named above; Item 8 covers supplier obligations; Item 11 covers computer systems and required technology, where the DoorDash, Grubhub and Uber Eats obligations should be read alongside the unrequired Toast reference; Item 17 covers renewal and the remodel condition; Item 20 carries the unit tables behind the 3-unit count. If you want CHOP5 Salad Kitchen scored against the rest of the US franchise corpus and returned as a ranked target list, talk to FranCloud.
Questions vendors ask
CHOP5 Salad Kitchen, answered from the filing
Read the filing itself
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FDD alert
Tell me when this brand refiles.
We’ll email you the moment CHOP5 Salad Kitchen files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
Who runs the locations
31 operators run 31 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Top states by locations
| FL | 12 |
|---|---|
| SC | 8 |
| KY | 6 |
| LA | 2 |
| WI | 1 |
Related Quick service restaurant brands
Primary franchise filings · updated August 2026. Every figure is source-traceable and QA-checked.