SyscoSysco
Mandatoryunted pricing on computers and related products. In November 2011, we contracted with Sysco to be our sole approved distributor for food and other products. You must contract with Sysco to be your foo
From the filings
HQ-led decisions
Kolache Factory
Quick service restaurantSoftware purchasing at Kolache Factory is controlled by its sole general partner, Kolache Factory Management, L.L.C., at the brand's Texas headquarters. The chain mandates PAR Brink POS by PAR Technology Corporation and internal accounting systems across its 60 locations. Vendors are pitching into a compact, corporate-heavy system with 32 company-owned units and 28 franchised locations, where a single decision-making entity governs technology selection.
For software vendors selling into US franchise brands.
Live signals
Total units
60
28 franchised
Unit growth YoY
-6.667%
vs prior filing
AUV
$919K
Item 19, 2024
Royalty
6%
of gross sales
Ad fund
3%
national + local
Initial fee
$45K
per unit
Investment range
$642K–$937K
all-in, Item 7
Procurement
Approved supplier
from the filing
Non-compete
2 years
from the filing
Item 19
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.
9%of gross sales (FY2025)
15% reference
Mandated & recommended tech
The systems vendors compete with
1 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.
FacebookMeta
Kolache Factory network. We have sole discretion and control over any profiles using the Kolache Factory® name or trademarks on social media outlets, including without limitation, Facebook, Twitter, I
InstagramMeta
work. We have sole discretion and control over any profiles using the Kolache Factory® name or trademarks on social media outlets, including without limitation, Facebook, Twitter, Instagram, Yelp, Goo
NCRNCR Voyix
OS cash register systems that franchisees must install in their Stores. We do not derive income from franchisees’ 2025 FDD 11 4841-9377-9280 v.53 purchases of the POS systems from NCR Local or any oth
PARPAR Technology
stems. The POS system includes cashier’s terminals and a manager workstation. As indicated in Item 8, we have established a purchasing arrangement for the POS system with PAR, and PAR is currently our
PAR TechnologyPAR Technology
established a purchasing arrangement for the POS system with PAR, and PAR is currently our only authorized vendor and installer of the system. The address of PAR is ParTech, Inc., PAR Technology Park,
PaytronixPaytronix
ers we have designated or approved. You must participate in the Kolache Factory Loyalty and Gift Card Program (“Gift Card Program”), which we started to offer in the fall of 2007. Paytronix Systems, I
TwitterX
ctory network. We have sole discretion and control over any profiles using the Kolache Factory® name or trademarks on social media outlets, including without limitation, Facebook, Twitter, Instagram,
ValpakValpak
n your Trade Area, counter mats and gator boards. Prices may vary depending upon vendor and quantities. Grand Opening Expenses may include items such as print advertising (flyers, Valpak, or other (7)
YelpYelp
ve sole discretion and control over any profiles using the Kolache Factory® name or trademarks on social media outlets, including without limitation, Facebook, Twitter, Instagram, Yelp, Google or othe
Franchisor behaviours
What the franchisor requires
25 requirements the franchisor states in this filing, each in its own words; 4 explicit no's; 5 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?
YesFranchise agreement
Franchisee will (i) adopt and follow Company’s fiscal year for accounting purposes, (ii) adopt and follow the accounting principles, policies and practices Company prescribes, including use of Company's standard chart of accounts and (iii) acquire, install and use the Information Systems Company specifies from time…
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesItem 11
We will have independent access to the information and data stored on your POS system and computer system, and there are no contractual limitations on this access.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
within 45 days after the end of each fiscal year of the Store, submit to Company a balance sheet, income statement and statement of cash flow for the year then ended.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesFranchise agreement
(7) Company will furnish Franchisee a list that describes or shows the specifications for the furniture, fixtures, equipment and signs that Franchisee must install in the Store, together with the 5 4823-4665-4032 v.31 names of suppliers Company has designated or approved, including Company and its affiliates.
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesFranchise agreement
Company reserves the right to modify the System and the Store concept, Trade Dress and equipment package from time to time for a variety of reasons.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
In 2022, we partnered with My Small Rebate and began receiving additional small rebates on certain non-contracted items purchased by our franchisees through Sysco.
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?
70Item 8
We estimate your continued required purchases or leases for the operation of the Store will be approximately 70% or more of your total continuing purchases or leases for the operation of the Store.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 8
We charge you or the potential supplier a $2,500 fee to defray the cost of our investigation and evaluation.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
When a franchisee proposes a new supplier, or a new supplier approaches us, we conduct our own investigation of the supplier and our own evaluation of its product or service.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
may instruct the telephone company to transfer use and control of the Store's telephone numbers to Company or its designee.
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesItem 11
You are responsible for implementing and maintaining an approved Payment Card Information (PCI) compliance program that complies with our Brand Standards Manual.
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
Franchisee will permit Company, at any time during the term of the franchise and for three years after it expires or terminates, to conduct a special audit of Franchisee’s books and records relating to the Store’s operation.
Can the franchisor change the operations manual and brand standards unilaterally?
YesFranchise agreement
Company may instruct Store franchisees to adapt their Stores to the concept change through a supplement to the Brand Standards Manual.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 11
Whether or not we physically visit a proposed site, you may not proceed with negotiations to lease the site before we give you verbal authorization to do so.
Marketing
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
You must spend a minimum of 2-3% of Gross Sales to advertise and promote your Store locally, and provide evidence of such expenditures to us on a quarterly basis.
Must the franchisee participate in a customer loyalty or rewards program?
YesItem 8
You must participate in the Kolache Factory Loyalty and Gift Card Program (“Gift Card Program”), which we started to offer in the fall of 2007.
Must the franchisee participate in a regional advertising cooperative when one exists?
YesFranchise agreement
Franchisee agrees (i) to join, participate in, and actively support any Area Cooperative established in the Store's DMA, and (ii) to make contributions to each Area Cooperative on the payment schedule adopted by the Area Cooperative's members and at the contribution rate approved by Company.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
You must contract with Sysco to be your food and product distributor.
Must equipment be purchased from designated or approved suppliers?
YesItem 8
We require that you purchase your equipment, fixtures, signs, inventory and supplies based on our specifications from suppliers that we have approved.
Payments
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesFranchise agreement
Royalties (and Ad Fund contributions under Section 8(a)) will be payable weekly by automatic debit of Franchisee’s account.
Must the franchisee participate in a gift card program?
YesItem 8
You must participate in the Kolache Factory Loyalty and Gift Card Program (“Gift Card Program”), which we started to offer in the fall of 2007.
People
Must employees wear uniforms specified by the franchisor?
YesFranchise agreement
Franchisee will ensure that all the Store's employees follow Company's grooming and dress code and wear the Kolache Factory uniform items developed by Company.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesItem 11
The only point-of-sale cash register system that we currently allow franchisees to use is PAR POS from Partech Systems.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
We will have independent access to the information and data stored on your POS system and computer system, and there are no contractual limitations on this access.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesFranchise agreement
Subject to availability of pupil space and to payment of a reasonable tuition charge (currently $350 per day, plus transportation and expenses, but subject to a cap on calendar year to calendar year increases of 10% of the then current fee). Franchisee may re-enroll or enroll others in the training program from time…
The filing answers no to 4 questions
- Is there a franchisee advisory council, association or committee?Item 11
- Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
- Is a minimum grand opening advertising spend required?Franchise agreement
- 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 franchisor's owner/CEO decides; an ops or franchise-development lead may evaluate.
VP SalesHead of SalesCROSales Director
- 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%.
- 82.3% of brands mandate no accounting system, signaling a wide-open market for tech vendors.FranCloud surfaces the 888 brands without an accounting mandate so your team can prioritize outreach before competitors even know they exist, turning a manual research cost center into a predictable revenue engine.
- 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.
The vendor opportunity at Kolache Factory
Kolache Factory operates 60 quick-service restaurants, with a corporate-heavy mix of 32 company-owned locations and 28 franchised units. The brand posted an average unit volume of $918,800 in its 2025 FDD, giving software vendors a clear revenue-per-site benchmark. However, the system contracted by 6.7% year-over-year, signaling that the total addressable unit count may be stable or shrinking in the near term. For vendors, this means the opportunity lies less in net-new location rollouts and more in displacing incumbents or layering on complementary tools at existing sites.
The franchisee base is small and geographically concentrated. Only two franchise operators are mapped, each running a single unit—one in Georgia and one in Illinois. There are no multi-unit operators. This structure concentrates purchasing power at the corporate level and simplifies the sales motion: you are selling into one decision-making entity, not a fragmented network of franchisees.
Who controls software purchasing
Kolache Factory Management, L.L.C., listed as the sole general partner in Item 1 of the FDD, controls all software purchasing from the brand's headquarters in Texas. No parent company appears on file, and the brand appears independently owned. With no multi-unit franchisees wielding independent buying authority, the path to adoption runs entirely through the corporate office. Vendors should direct outreach to the management team at HQ, focusing on operational leaders who oversee the 32 company-owned stores, as those units represent the majority of the system and the most immediate deployment opportunity.
Mandated and current tech stack
The 2025 FDD mandates two technology categories: point-of-sale systems and internal accounting. Specifically, the brand requires PAR Brink POS by PAR Technology Corporation. The document also references PAR POS from Partech Systems and Aloha by NCR Voyix, indicating these platforms are present in the environment, though the mandate language centers on PAR Brink. For accounting, the FDD mandates internal accounting systems without naming a specific vendor, leaving room for vendors in financial reporting, payroll, or ERP-adjacent tools to probe for the incumbent.
This tech stack creates clear whitespace for vendors selling above-store reporting, inventory management, labor scheduling, or customer engagement platforms that integrate with PAR Brink. Since the POS is mandated, any tool that sits on top of or beside Brink—rather than replacing it—faces a lower adoption barrier.
Procurement, renewals, and timing
Item 8 of the FDD provided no extract on procurement rules, so the brand's supplier designation model—whether designated, approved, or open—remains undisclosed. Vendors should treat this as a discovery question early in conversations. The initial franchise term runs 10 years, and compliant franchisees can renew for two additional 5-year terms, per Item 17. This long-term structure suggests that franchisees are locked into the mandated tech stack for extended periods, making the corporate office the sole chokepoint for any technology change.
The recent unit contraction may influence timing. A brand shrinking its footprint often focuses on cost control and operational efficiency, which can open doors for vendors that demonstrably reduce labor costs, streamline accounting, or improve margin visibility. There is no public contract window, but the combination of a single buyer, mandated POS, and corporate-heavy unit mix means a well-timed pilot across company-owned stores could convert the entire system.
How to read the Kolache Factory FDD
The full 2025 Franchise Disclosure Document is embedded below. Vendors should focus on Item 11 to confirm the mandated tech systems listed here, Item 1 for the exact legal name of the buying entity, and Item 17 for renewal conditions that affect long-term software lock-in. Item 8, while empty in our extract, is worth reviewing directly for any supplier restrictions that may have been filed in the complete document. The operator footprint in Item 20 confirms the two single-unit franchisees and the absence of multi-unit operators, reinforcing the HQ-centric sales motion.
For a ranked target list of franchise brands matched to your software category, FranCloud can map the full market by tech mandates, decision-maker concentration, and unit economics.
Questions vendors ask
Kolache Factory, answered from the filing
Kolache Factory Management, L.L.C., the sole general partner, controls all technology decisions from the brand's Texas headquarters. No multi-unit franchisee operators hold significant buying power, as the two mapped franchisees each operate a single unit.
The 2025 FDD mandates PAR Brink POS by PAR Technology Corporation and internal accounting systems. It also lists PAR POS from Partech Systems and Aloha by NCR Voyix as recognized systems in the tech environment.
There are 60 total units: 32 company-owned and 28 franchised. The brand has a small operator footprint with two franchisees in Georgia and Illinois, and the rest of the system is corporate-run, largely in Texas.
The procurement model is not disclosed in the most recent FDD. Item 8 provided no extract regarding designated or approved supplier requirements, so vendors should clarify purchasing rules directly during discovery.
The initial franchise term is 10 years. Renewal is available for two additional 5-year terms if in full compliance. With negative unit growth (-6.7% YoY), the brand may prioritize operational efficiency tools over expansion-driven tech, but no specific window is public.
The 2025 FDD was filed with state franchise regulators. You can review the full document in the embedded PDF viewer below to analyze Item 11 tech mandates, Item 17 renewal terms, and operator details directly from the source.
Source
Read the filing itself
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FDD alert
Tell me when this brand refiles.
We’ll email you the moment Kolache Factory files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
Who runs the locations
5 operators run 5 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Single-unit5
Top states by locations
| TX | 2 |
|---|---|
| CA | 1 |
| SC | 1 |
| AL | 1 |
Ownership
The portfolio behind Kolache Factory
unknown of kolache factory management l l c.
Related Quick service restaurant brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.