HARAZ COFFEE HOUSE FRANCHISING

The vendor opportunity at HARAZ COFFEE HOUSE

HARAZ COFFEE HOUSE FRANCHISING operates in the quick-service restaurant segment, with its headquarters in Michigan. The 2024 Franchise Disclosure Document reveals an average unit volume of $747,955, a figure that suggests healthy per-location revenue and a corresponding need for operational software. While total unit counts—both franchised and company-owned—are not disclosed in the FDD, the disclosed AUV provides a baseline for estimating the revenue each location generates and, by extension, the software spend a vendor might capture per unit.

The brand mandates specific technology, which narrows the competitive landscape for vendors selling adjacent or complementary solutions. A 4.0% royalty rate and a 10-year initial term shape the franchisee’s cost structure and long-term planning horizon, both of which influence when and how software purchasing decisions get made.

Who controls software purchasing

Decision-making authority sits at the HQ level. The 2024 FDD lists a single executive: Hamzah Nasser, CEO and Member. With no other officers or technology leaders named, Nasser is the de facto buyer for any software vendor seeking to enter the account. This concentrated structure means a vendor’s path to a pilot or contract runs directly through the CEO’s office, rather than through a decentralized network of franchisees or a separate IT procurement team.

No multi-unit operators are mapped in our corpus, which further reinforces the HQ-centric purchasing model. Without a layer of influential franchisees who might drive technology adoption from the field, the franchisor retains tight control over the tech stack.

Mandated and current tech stack

The FDD mandates two systems. First, a CAD program is required, though the specific vendor is not named. Second, the point-of-sale system is Toast by Toast, Inc., a widely adopted cloud-based POS in the restaurant industry. Toast’s presence as a mandated system means any software that integrates with or complements Toast—such as loyalty, scheduling, inventory, or analytics tools—must work within that ecosystem. Vendors selling solutions that compete directly with Toast’s native modules face a higher barrier, while those that extend Toast’s capabilities may find an easier entry point.

No other operational or back-office systems are disclosed as mandated or recommended in the FDD. This leaves open questions about the brand’s current stack for payroll, accounting, online ordering, and supply chain, but it also means vendors in those categories are not locked out by a formal mandate.

Procurement, renewals, and timing

The FDD does not include an Item 8 extract, so the procurement model remains undisclosed. It is unclear whether HARAZ COFFEE HOUSE designates specific suppliers, maintains an approved supplier list, or allows franchisees to source freely. Vendors should be prepared for any of these scenarios and should clarify the model early in conversations with HQ.

Renewal terms offer a potential window for software evaluation. The initial franchise agreement runs 10 years. At renewal, franchisees may be asked to sign a new agreement with materially different terms, including updated technology requirements. The renewal term is 5 years, and conditions include not being in default, providing notice, maintaining the location, satisfying payment and reporting requirements, meeting current training standards, signing a general release, and paying a renewal fee. This structured renewal process creates a natural inflection point where the franchisor can introduce new mandated systems or renegotiate vendor relationships.

How to read the HARAZ COFFEE HOUSE FDD

The 2024 FDD is the primary source for the facts presented here. It was filed with state franchise regulators and contains the legal and operational disclosures that govern the franchise system. For software vendors, the most actionable sections are Item 11 (franchisor’s assistance, advertising, computer systems, and training), which lists mandated technology, and Item 1 (the franchisor and any parents, predecessors, and affiliates), which names the executives who control purchasing. Item 17 (renewal, termination, transfer, and dispute resolution) provides the contractual timeline that shapes when technology decisions are likely to surface. The embedded PDF viewer below lets you explore the full document directly. For a ranked target list of franchise systems matched to your software category, FranCloud can help.