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From the filings
+50% units YoYHQ-led decisions
Lee's Hoagie House
Quick service restaurantSoftware purchasing control at Lee's Hoagie House rests with a lean HQ team led by President John Connell and CEO Allan Lewin. The brand mandates no specific technology systems in its 2023 FDD, presenting a greenfield opportunity. With only 4 total units and a 50% year-over-year growth rate, the addressable market is extremely small but potentially agile.
For software vendors selling into US franchise brands.
Live signals
Total units
4
3 franchised
Unit growth YoY
+50%
vs prior filing
AUV
$432K
Item 19, 2022
Royalty
5%
of gross sales
Ad fund
2%
national + local
Initial fee
$30K
per unit
Investment range
$176K–$509K
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.
7%of gross sales (FY2023)
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.
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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
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesFranchise agreement
Franchisor shall also have the right to, at any time without notice, electronically connect with Franchisee’s POS system to monitor or retrieve data stored on the POS system or for any other purpose.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
Franchisee shall, at Franchisee’s expense, submit to Franchisor in the form prescribed by Franchisor, the following reports, financial statements, and other data: 11.2.1. By the twenty-fifth (25th) of each month, an accurate profit and loss statement and a report accurately reflecting all Gross Sales during the…
How the franchisor buys
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
we also reserve the right to change and/or add approved suppliers of any required purchase.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
16105.20Item 8
During our fiscal year ending December 31, 2022, we received $16,105.20 from vendors on account of required purchases by franchisees, representing 18% of our total revenue which totaled $86,390.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
During our fiscal year ending December 31, 2022, we received $16,105.20 from vendors on account of required purchases by franchisees, representing 18% of our total revenue which totaled $86,390.
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?
0.35Item 8
We estimate that your purchase or lease of products, supplies and services from approved suppliers (or those which meet our specifications) will represent approximately 0.04% of your cost to establish your Franchised Business and approximately 0.35% of your costs for ongoing operation.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesFranchise agreement
Franchisee shall submit its request to approve such supplier or product/service to Franchisor, along with a fee of $500.
Can a franchisee propose a new supplier for the franchisor's approval?
YesFranchise agreement
for use in connection with the operation of the Restaurant that have not been previously approved by Franchisor, Franchisee shall submit its request to approve such supplier or product/service to Franchisor, along with a fee of $500.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
Franchisee shall make such modifications or alterations to the Premises (including, without limitation, the changing of, and the assigning to Franchisor of, the telephone number) immediately upon termination or expiration of this Agreement
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesItem 11
We or our designee may, as we deem necessary in our sole discretion, periodically visit your Restaurant to inspect your operations, observe and interview your employees and review your books and records (including data stored on your computers) to verify your compliance with the Franchise Agreement and the…
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, and Franchisee expressly agrees to comply with each new or changed standard.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 11
You must find a site that we approve and enter into a lease for your Approved Location within 120 days from the date you execute your Franchise Agreement.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesItem 11
We forbid you to have your own website or other web presence to promote your Lee’s Hoagie House Restaurant without our consent.
Is a minimum grand opening advertising spend required?
YesItem 11
You must expend a minimum of ten thousand dollars ($10,000) on advertising and promotion associated with the grand opening of your Restaurant as we direct in writing.
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
We require that you spend a minimum of $500 monthly on local advertising, marketing and promotional programs (“Local Advertising”), to be paid to third parties.
Must the franchisee participate in a regional advertising cooperative when one exists?
YesItem 11
If a Cooperative is established after you have opened your Restaurant, you must become a member of the Cooperative no later than thirty (30) days after the date on which the Cooperative commences operation.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
you must buy those products only from an approved supplier.
Must equipment be purchased from designated or approved suppliers?
YesItem 8
You must use or sell all of the Proprietary Products that we designate and purchase them from the suppliers that we designate.
Payments
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesItem 6
Royalty payments are paid weekly via ACH on each Wednesday for the sales week ending the immediately preceding Sunday.
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 15
Specifically, each of your Restaurants must be under the direct, full‐time supervision of at least one (1) full‐time Equity Owner (as defined in this Item 15) that has completed the Initial Training Program to our satisfaction and devotes full‐time attention to supervising the day‐to‐day operations of the Restaurant.
Must employees wear uniforms specified by the franchisor?
YesItem 8
You must buy all employee uniforms we specify, in the Confidential Operating Manual.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesItem 8
As we disclose in Items 7 and 11, you must currently lease or purchase the POS computer system that we designate in the Confidential Operating Manual.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesFranchise agreement
Franchisor shall also have the right to, at any time without notice, electronically connect with Franchisee’s POS system to monitor or retrieve data stored on the POS system or for any other purpose.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 6
If we provide you with additional training, we reserve the right to charge you for such training.
Is attendance at an annual convention or conference mandatory for the franchisee?
YesFranchise agreement
Franchisor may require Franchisee to attend the annual conference and to pay Franchisor’s then-current registration fee.
The filing answers no to 4 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 11
- Must the franchisee participate in a customer-satisfaction or net-promoter survey program?Item 11
- Must the franchisee participate in a gift card program?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 Lee's Hoagie House
Lee's Hoagie House is a quick-service restaurant concept headquartered in Pennsylvania. The system is tiny, with just 4 total units reported in the 2023 FDD—3 franchised and 1 company-owned. For a software vendor, the immediate total addressable market is these 4 locations. The average unit volume sits at $432,296, and franchisees pay a 5.0% royalty fee. While the absolute number of units is low, the brand posted 50% year-over-year unit growth, signaling expansion that could create new-location technology needs.
Who controls software purchasing
Decision-making authority is concentrated at the top. The FDD lists John Connell as President and Allan Lewin as CEO. No other executives, such as a CIO, CTO, or VP of IT, are disclosed. In a system this small, these two individuals likely evaluate and approve any software that would be deployed across the enterprise or recommended to franchisees. Vendors should prepare to engage directly with the C-suite rather than a dedicated technology buying center.
Mandated and current tech stack
The 2023 FDD does not capture any mandated or recommended technology systems. No POS provider, online ordering platform, payroll vendor, or back-of-house software is named. This absence of mandates means franchisees may currently select their own solutions, or the franchisor has simply not formalized a technology program in the disclosure document. For a software vendor, this represents a blank slate where a compelling pitch could establish a preferred vendor relationship before mandates are codified.
Procurement, renewals, and timing
Specific procurement rules from Item 8 were not extracted in the available data, so the franchisor's policy on designated versus approved suppliers remains unclear. However, the renewal process offers a window into contractual timelines. The initial franchise term is 10 years. To renew, a franchisee must provide notice between 6 and 12 months before expiration, pay a successor agreement fee equal to 25% of the then-current franchise fee (minimum $7,250), and execute the then-current form of Franchise Agreement. The successor term is 5 years. These renewal events, combined with the brand's recent growth, create natural inflection points where new technology evaluations could occur.
How to read the Lee's Hoagie House FDD
The Franchise Disclosure Document is the definitive source for understanding a franchise system's operations, obligations, and restrictions. For Lee's Hoagie House, the 2023 FDD provides the unit counts, executive roster, fee structure, and renewal conditions cited here. When reviewing the document, pay close attention to Item 11 for any future technology mandates and Item 8 for supplier restrictions that could affect software procurement. The full FDD is available for review below. For a ranked target list of franchise systems matched to your software category, FranCloud can help.
Questions vendors ask
Lee's Hoagie House, answered from the filing
With a small executive team, decisions likely involve President John Connell and CEO Allan Lewin. No dedicated technology or procurement executive is listed in the 2023 FDD.
The 2023 FDD does not mandate or recommend any specific POS or operational technology systems for franchisees.
There are 4 total units in the US, consisting of 3 franchised locations and 1 company-owned restaurant.
The procurement model is not detailed in the available FDD extracts. Item 8 signals regarding designated or approved suppliers were not captured.
With a 10-year initial term and 5-year successor term, renewal-driven tech evaluations may occur. A 50% unit growth rate could also trigger new location setup needs.
The 2023 FDD was filed with state franchise regulators. You can review the embedded document viewer below for the full legal and operational disclosures.
Source
Read the filing itself
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FDD alert
Tell me when this brand refiles.
We’ll email you the moment Lee's Hoagie House files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
Who runs the locations
3 operators run 3 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Single-unit3
Top states by locations
| PA | 2 |
|---|---|
| NJ | 1 |
Related Quick service restaurant brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.