From the filings
Software purchasing decisions at Network LEX appear to flow through a lean HQ, with General Counsel Mark D. Nichols listed as the sole executive on file. The franchise mandates use of a proprietary online portal, but no other operational or POS tech is disclosed in the 2022 FDD. The addressable market is currently 36 franchised units, with no company-owned locations identified.
For software vendors selling into US franchise brands.
Live signals
Ongoing fee load
The recurring percentage of gross sales named in this filing, before rent, labour or any technology fee.
16%of gross sales (FY2022)
15% reference
Franchisor behaviours
17 requirements the franchisor states in this filing, each in its own words; 9 explicit no's; 8 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 access to all information that will be generated or stored in or through the online portal.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
Upon reasonable written request by NLX, Franchisee shall provide financial reports to NLX, as NLX may require in the Manual or otherwise in writing, including: (i) a monthly profit and loss statement and balance sheet for the Business within 30 days after the end of each calendar month; (ii) an annual financial…
How the franchisor buys
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesFranchise agreement
NLX may change any such requirement or change the status of any vendor.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
0Item 8
For the year ended June 30, 2022, our gross revenue from the sale of the Software and Supplies Package was $0 or 0% of our total revenue of $309,774.
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?
50Item 8
We estimate that the required purchases and leases of goods and services to operate your business are 50% to 80% of your total purchases and leases of goods and services to operate your business.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
If you want to use a supplier that is not on our list of approved suppliers, you must request our approval in writing.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesItem 17
return Manual and on termination/non- return or turn over proprietary items and all items renewal bearing the Marks; notify phone, internet, and other providers and transfer service;
Franchise management
Must the franchisee participate in a customer-satisfaction or net-promoter survey program?
YesFranchise agreement
Franchisee shall participate at its own expense in programs required from time to time by NLX for obtaining Member evaluations and/or reviewing Franchisee’s compliance with the System, which may include (but are not limited to) a NLX FDD 2022-2023 B-11 Initials ______/______ Franchise Agreement Member feedback system…
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
NLX may examine and audit all books and records related to the Business, and supporting documentation, at any reasonable time.
Can the franchisor change the operations manual and brand standards unilaterally?
YesFranchise agreement
NLX may supplement, revise, or modify the Manual, and NLX may change, add or delete System Standards at any time in its discretion.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesFranchise agreement
Franchisee shall not conduct such marketing or commerce, nor establish any website or social media presence independently, except as NLX may specify, and only with NLX’s consent.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
We have the right to require you to purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items related to establishing or operating your business (1) either from us, our designee, or from suppliers approved by us: or (2) according…
Must equipment be purchased from designated or approved suppliers?
YesItem 8
We have the right to require you to purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items related to establishing or operating your business (1) either from us, our designee, or from suppliers approved by us: or (2) according…
Payments
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesFranchise agreement
Franchisee shall sign an authorization substantially in the form attached to this Agreement as Schedule B and all other documents necessary to permit NLX to withdraw funds from Franchisee’s designated bank account by electronic funds transfer in the amount of the Royalty Fee, the Advertising Fund Contribution and all…
Point of sale
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 all information that will be generated or stored in or through the online portal.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
We do not currently require additional training programs or refresher courses, but we have the right to do so.
Is attendance at an annual convention or conference mandatory for the franchisee?
YesFranchise agreement
Franchisee shall use reasonable efforts to attend all in-person meetings and remote meetings (such as telephone conference calls) that NLX requires, including any national or regional brand conventions.
Network LEX operates a compact but growing franchise system of 36 units, all franchised, with no company-owned locations disclosed in the 2022 FDD. The brand posted 38.46% year-over-year unit growth, signaling an expanding footprint that could create recurring software evaluation moments as new locations open. For software vendors, the immediate addressable market is limited to these 36 franchised outlets and a lean corporate headquarters in Florida. The royalty rate sits at 15.0%, and the initial franchise term runs 10 years. Average unit volume is not disclosed in the most recent FDD.
The 2022 FDD lists a single HQ executive: Mark D. Nichols, General Counsel. In a system this size, the General Counsel often serves as the gatekeeper for vendor agreements, compliance, and technology mandates. Vendors should expect that any software pitch—whether for franchisee-facing tools or HQ infrastructure—will need to clear his office. No CIO, CTO, or VP of Operations is named in the filing, which suggests a centralized and tightly held decision-making process.
The only technology explicitly mandated in the 2022 FDD is the Network LEX online portal. No point-of-sale system, accounting platform, payroll provider, or other operational software vendor is named. This absence of mandated third-party systems could represent a greenfield opportunity for vendors who can demonstrate compliance and operational value, but it also means you will need to do additional discovery to map the de facto tech stack in use across the franchisee base.
The FDD does not include an Item 8 extract, so the formal procurement model—whether designated supplier, approved supplier, or open—is not publicly disclosed. Franchisees sign 10-year initial agreements and can renew for up to two additional 10-year terms, provided they pay a $2,500 renewal fee, sign the then-current franchise agreement, and bring their operations into compliance with current standards. The 38.46% recent unit growth rate suggests that new franchisees are entering the system regularly, each representing a potential software implementation window. Renewal cycles, spaced a decade apart, are less frequent but still relevant for long-term enterprise contracts.
The 2022 Franchise Disclosure Document is embedded below. Focus on Item 1 for the full list of executives and any parent-company relationships—though none are on file, as Network LEX appears independently owned. Item 11 is where you will find the franchisor's obligations regarding the mandated online portal and any other technology requirements. Because Item 8 is absent from our extract, vendors should review that section directly in the PDF for any supplier restrictions or purchasing cooperatives that may apply. For a ranked target list of franchise systems that match your software category, FranCloud can help you prioritize your outreach.
Questions vendors ask
Every number on this page traces back to this document. Read it in full, page by page. Buy the original PDF to download, search, and annotate it.
View only A one-time purchase: the original filing, yours to keep.
FDD alert
We’ll email you the moment Network LEX files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
Network LEX’s FDD on file does not disclose a franchisee directory.
Ownership
strategic_multibrand of United Franchise Group.
Sibling brands
Related Professional services brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.