SyscoSysco
Mandatoryrchase Products, equipment, supplies, services and other items at a price that will benefit us and our franchisees. We currently do receive rebate incentives from approved vendors Sysco and Pepsi. In
From the filings
HQ-led decisions
LAC Franchising
Full service restaurantSoftware purchasing decisions at LAC Franchising flow through a lean corporate structure where Minson Ngo is listed as the agent for service of process. The system currently mandates EPOSNOW as its point-of-sale software and operates a proprietary intranet. With 18 total units—17 franchised and 1 company-owned—the addressable market for a vendor pitch is small and concentrated, primarily in Texas.
For software vendors selling into US franchise brands.
Live signals
Total units
18
17 franchised
Unit growth YoY
-10.526%
vs prior filing
AUV
$799K
Item 19, 2023
Royalty
6%
of gross sales
Ad fund
3%
national + local
Initial fee
$35K
per unit
Investment range
$346K–$504K
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 (FY2024)
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.
Epos NowEpos Now
stand)  Simple screen option(s) (15.1’’ and 15.6’’ touchscreens)  Approved Third Party Vendor POS for deliveries as described in the Manuals. In-store POS Software is currently EPOSNOW Software as d
Franchisor behaviours
What the franchisor requires
27 requirements the franchisor states in this filing, each in its own words; 2 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 reserve the right to download sales, other data and communications from your Computer System.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
Franchisee shall: 12.2.1 Prepare by the twentieth (20th) day of each calendar month a balance sheet, profit and loss statement, cash flow statement and an activity report for the last preceding calendar month, which shall be in the form prescribed by Franchisor.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesItem 8
Currently Our Affiliates and Us account for approximately 5% to 12% of required purchases and supplies for the establishment and continued operations of a Franchised Store.
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 11
We reserve the right to change our specifications in the future to take advantage of technological advances or to adapt the system to meet operational needs and changes.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
We currently do receive rebate incentives from approved vendors Sysco and Pepsi.
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?
90Item 8
We estimate that your purchases from approved Suppliers will represent approximately 90% to 100% of your total purchases in establishing the Franchised Store, and approximately 90% to 100% in the continuing operation of the Franchised Store.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 6
You must pay a charge not to exceed the reasonable cost of the evaluation and testing.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
If you desire to purchase unapproved products, or Products (except for Proprietary Products, which are discussed below) or Store Items or other services from other than approved suppliers, you must submit to us a written request to approve the proposed product or supplier, together with such evidence of conformity…
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
Franchisee appoints Franchisor as its attorney-in-fact to act in Franchisee’s place for the purpose of assigning any telephone numbers and social media covered by Paragraph 3 above to Franchisor or Franchisor’s designees or transferees.
Franchise management
Must the franchisee participate in a customer-satisfaction or net-promoter survey program?
YesFranchise agreement
Franchisee shall participate in all customer surveys and satisfaction audits, which may require that Franchisee provide discounted or complimentary Products, provided that such discounted or complimentary sales shall not be included in the Net Sales of the Franchised Store.
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesItem 11
We may conduct, as we deem advisable, periodic inspections of the Franchised Store and may provide evaluations of the Products sold and services rendered at the Franchised Store.
Can the franchisor change the operations manual and brand standards unilaterally?
YesFranchise agreement
Franchisor may from time to time revise the contents of the Manuals to improve or maintain the standards of the System and the efficient operation thereof, or to protect or maintain the goodwill associated with the Proprietary Marks or to meet competition, and Franchisee expressly agrees to comply with each new or…
Must the franchisor approve the franchisee's site or location before opening?
YesFranchise agreement
No site shall be deemed approved unless it has been expressly approved in writing by Franchisor.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesFranchise agreement
7.6.3 Franchisee shall not establish a separate Website, without Franchisor’s prior written approval (which Franchisor shall not be obligated to provide).
Is a minimum grand opening advertising spend required?
YesFranchise agreement
Franchisee shall expend a minimum of between Five Thousand Dollars ($5,000) and Ten Thousand Dollars ($10,000) for grand opening advertising and promotional programs in conjunction with the Franchised Store’s initial grand opening
Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?
YesItem 6
The chart reflects the maximum required percentage amount, three percent (3%) which you will be required to contribute to the System Ad Fund and/or spend on local advertising (together the “Advertising Obligation”).
Must the franchisee participate in a regional advertising cooperative when one exists?
YesItem 11
If a Cooperative Fund for your area was established before you began to operate your Franchised Store, then when you open your Franchised Store, you must immediately join that Cooperative Fund.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
you must purchase Proprietary Products only from the suppliers and distributors that we designate in our sole discretion
Must equipment be purchased from designated or approved suppliers?
YesFranchise agreement
Franchisee shall purchase all of its requirements for Proprietary Products from Franchisor or Franchisor’s designee(s), as set forth in Section 8.8 below (through such distributor or distributors as Franchisor may designate).
Payments
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesFranchise agreement
Franchisee agrees to be liable to Franchisor for any and all charges by these suppliers for these Computer Systems, Required Software, Intranet, and Cash Register Systems. Fees shall be paid by the Franchisee monthly through ACH as specified in Exhibit E.
Must the franchisee participate in a gift card program?
YesItem 11
When the Gift Card program is made a part of the System, you must participate by offering Gift Cards to your customers and honoring all Gift Cards presented to you as payment for products, regardless of whether the Gift Card was issued by you or another LA Crawfish Store.
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 11
You must maintain a minimum of one qualified manager, see above, in the Franchised Store at all times.
Must employees wear uniforms specified by the franchisor?
YesFranchise agreement
Franchisee shall be responsible for having all personnel employed by Franchisee 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?
YesFranchise agreement
7.1.3 Franchisee shall record all sales on computer-based point of sale systems approved by Franchisor or on such other types of cash registers as may be designated by Franchisor in the Manuals or otherwise in writing (“Cash Register Systems”), which shall be deemed part of the Franchisee’s Computer System.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
We reserve the right to download sales, other data and communications from your Computer System.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
We may charge you our then-current per diem training fee for the additional remedial training provided; and you will also have to reimburse us for all out of pocket costs and expenses associated with the additional remedial training, including lodging, food and travel arrangement of the trainers (see Item 6 regarding…
Is attendance at an annual convention or conference mandatory for the franchisee?
YesItem 11
Additionally, we may require that you or your Designated Principal and General Manager attend such refresher courses, seminars, and other training programs as we may require from time to time, provided that required refresher and additional training will not exceed (a) four days (per trainee) each year at our…
The filing answers no to 2 questions
- Is there a franchisee advisory council, association or committee?Item 11
- Must the franchisee participate in a customer loyalty or rewards program?Franchise agreement
The vendor opportunity at LAC Franchising
LAC Franchising operates a compact lodging system of 18 total units, with 17 of those being franchised locations. The brand posted an average unit volume (AUV) of $798,674 in its 2024 FDD. For a software vendor, the immediate addressable market is limited to these 17 franchised units, plus the single company-owned location. The system is not in expansion mode; it recorded a -10.526% year-over-year unit growth rate. The entire operator footprint maps to a single operator, with no multi-unit franchisees on file. Geographically, the opportunity is concentrated in Texas, which is the top state by unit count. This is a small, centralized target where winning a corporate-level mandate is the only viable go-to-market motion.
Who controls software purchasing
Purchasing control sits at the headquarters level. The 2024 FDD lists Minson Ngo as the agent for service of process, a signal that corporate governance is tightly held. No multi-unit operators or franchisee advisory councils are disclosed that might exert independent buying influence. For a vendor, the pitch is straightforward: you need to reach the corporate office. The absence of a parent company on file suggests LAC Franchising is independently owned, meaning the decision-maker is likely within this small HQ team rather than a distant private equity board.
Mandated and current tech stack
The technology landscape at LAC Franchising is defined by two mandates. First, EPOSNOW Software is the required point-of-sale system across the system. This is a named vendor mandate, meaning any competing POS solution faces a high barrier to entry. Second, a proprietary intranet is mandated for franchisee communications and operations. Beyond these two items, the FDD is silent on other operational software. There is no mention of a mandated property management system, CRM, or accounting platform, which could represent white space for vendors who can complement the existing EPOSNOW and intranet infrastructure.
Procurement, renewals, and timing
The procurement model is opaque. Item 8 of the 2024 FDD, which typically details whether the franchisor designates suppliers, approves them, or allows open purchasing, contains no extract. This means a vendor cannot assume a clear path to becoming an approved supplier without direct inquiry. On contract timing, the initial franchise agreement runs for 10 years. Renewals are possible under conditions that include notice, satisfaction of monetary obligations, compliance with the agreement, a mutual release, signing a new Franchise Agreement, and paying a renewal fee. With the system's recent contraction, there is no public signal of an imminent tech refresh cycle. Vendors should approach this as a relationship-driven, long-cycle sale tied to the 10-year term rhythm.
How to read the LAC Franchising FDD
The 2024 Franchise Disclosure Document is the foundational research tool for any vendor evaluating LAC Franchising as a prospect. It contains the legal and operational data points that shape a sales strategy: unit counts, royalty rates (6.0%), the identity of the corporate agent, and the mandated technology vendors. The embedded PDF viewer below hosts the full document. When reviewing it, pay close attention to Item 11 for the franchisor's obligations around technology and support, and cross-reference Item 8 for any future updates on procurement restrictions. For a ranked target list that benchmarks LAC Franchising against higher-growth franchise systems, FranCloud can help you prioritize your outreach.
Questions vendors ask
LAC Franchising, answered from the filing
The 2024 FDD lists Minson Ngo as the agent for service of process, indicating a centralized HQ decision-making structure. Vendors should direct pitches to this corporate level, as no multi-unit operators are on file to influence purchasing independently.
The franchise system mandates EPOSNOW Software for point-of-sale operations. A proprietary intranet is also mandated for franchisee communications. No other specific operational software vendors are disclosed in the 2024 FDD.
There are 18 total units: 17 franchised and 1 company-owned. The system experienced a -10.5% year-over-year unit decline. The single mapped operator footprint is concentrated in Texas.
The procurement model is not disclosed in the most recent FDD. Item 8, which typically outlines designated or approved supplier requirements, contains no extract, leaving the specific purchasing restrictions or freedoms unclear for software vendors.
The initial franchise term is 10 years. Renewal conditions include notice, compliance, and signing a new agreement. With a recent unit decline and no disclosed renewal calendar, contract windows are unpredictable and likely tied to the 10-year cycle.
The 2024 FDD is filed with state franchise regulators. You can review the full document using the embedded PDF viewer below to analyze the legal and operational disclosures directly.
Source
Read the filing itself
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FDD alert
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Operator footprint
Who runs the locations
1 operators run 1 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Single-unit1
Top states by locations
| TX | 1 |
|---|
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.