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What are the conditions that must be met before being permitted to open a Beverly Anns Cookie franchise?

Beverly_Anns_Cookie Franchise · 2025 FDD

Answer from 2025 FDD Document

n MOBILE COOKIE COMPANY, LLC, a Delaware limited liability company ("Franchisor") and [Entity Name], d/b/a ["DBA Name"], a(n) [state] [type of entity] ("Franchisee") (each, a "Party" and together, the "Parties").

BACKGROUND

  • A. Franchisor and Franchisee are parties to a Franchise Agreement ("Franchise Agreement") [dated/dated as of] 7/17/2025as a result of an approved transfer of a franchised business of Franchisor ("Franchised Business").
  • B. Franchisor and Franchisee desire to amend the Franchise Agreement to reflect Franchisee's status as a transferee franchisee for the Franchised Business.
  • C. All capitalized terms not otherwise defined in this Transfer Addendum shall have the meanings set forth in the Franchise Agreement.

AGREEMENT

NOW, THEREFORE, in consideration of the mutual covenants and promises of the parties and subject to the following terms and conditions, it is agreed as follows:

    1. Franchisor and Franchisee agree that because the Franchised Business is already open and operating and being acquired via a transfer, Franchisee and Franchisor shall be relieved of performing certain pre-opening and development obligations set forth in the Franchise Agreement. Specifically:
    • a. Franchisee has already acquired the truck and, if applicable, additional equipment ("Assets") under Section 13.13 of the Franchise Agreement upon transfer of the Franchised Business. Section 13.13 of the Franchise Agreement is hereby amended accordingly. If any equipment is required for the Assets as set forth in Section 13.13 of the Franchise Agreement, Franchisee agrees to purchase such items from Franchisor prior to operating the Assets.
    • b. Because Franchisee is a transferee franchisee, Franchisee shall not be required to pay the Initial Franchise Fee. Section 6.6 of the Franchise Agreement is hereby amended accordingly.
    • c. If Franchisee is an existing franchisee under the Beverly Ann's Cookies System, Franchisee shall not be required to attend Initial Training and there shall be no Initial Training Deadline. Accordingly, Franchisor is under no obligation to provide Initial Training to Franchisee. If Franchisee is not an existing franchisee under the Beverly Ann's Cookies System, Franchisee shall complete the initial training program contained in Item 11 and Franchise Agreement Section 8 prior to beginning operation of the Beverly Ann's Cookies franchise. Notwithstanding the foregoing, any successor

Designated Manager must attend Initial Training and additional persons may attend the Initial Training in accordance with the terms of the Franchise Agreement; such Designated Managers and/or additional persons shall be required to pay for hotel and transportation costs associated with attending Initial Training. Section 8 of the Franchise Agreement is hereby amended accordingly.

    1. This Transfer Addendum constitutes the entire and complete agreement between Franchisor and Franchisee concerning the subject matter hereof, and supersedes any and all prior agreements. No amendment, change, or variance from this Transfer Addendum shall be binding on either party unless mutually agreed to in a writing signed by both parties.

Source: Item 22 — CONTRACTS (FDD page 57)

What This Means (2025 FDD)

The 2025 Beverly Anns Cookie FDD outlines several conditions that must be met before a franchisee is permitted to open a franchise. These conditions vary depending on whether the franchisee is a new franchisee or a transferee. For a transfer of an already operating Beverly Anns Cookie franchise, the franchisee must have already acquired the truck and any additional equipment as specified in Section 13.13 of the Franchise Agreement. If any additional equipment is required, the franchisee must purchase these items from Beverly Anns Cookie before operating the assets.

For a new Beverly Anns Cookie franchisee, the initial training program outlined in Item 11 and Section 8 of the Franchise Agreement must be completed before beginning operations. However, if the franchisee is an existing franchisee within the Beverly Anns Cookie system, this initial training is not required. It is important to note that any successor Designated Manager must attend Initial Training, and additional persons may attend, but they will be responsible for their own hotel and transportation costs.

Additionally, all franchisees must comply with applicable zoning, land use, and other legal requirements, and obtain all necessary permits, licenses, and approvals to operate from a fixed location, at their own expense. Franchisees operating from a fixed location must also adhere to the fixed location policies, procedures, and standards set forth in Beverly Anns Cookie's Brand Manual. Franchisees are also required to purchase an initial inventory of Beverly Anns Cookies equipment, uniforms, and supplies from Beverly Anns Cookie or its affiliates when leasing or purchasing the premises, and these payments are non-refundable.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.